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Consulting Services Agreement between City of San Leandro and 7/1/2021 Chandler Asset Management for Investment Services Exhibit F – Page 9 of 19 This policy will be reviewed annually with the City Council to ensure compliance with the objectives of safety, liquidity and yield and adherence with applicable laws. The City Council Finance Committee will review and approve all changes to this policy statement prior to submittal to the full City Council for approval. California Government Code Section 53646 states that the Finance Director may render a quarterly report on the status of the City’s investment portfolio to the City Manager and the City Council within 30 days after the end of the calendar quarter. The report will provide detailed information regarding the type of investments, the amount invested with various institutions, purchase and maturity dates, and interest yield on all investments. The report shall state if the City’s investments are in compliance with this policy and if the City will be able to meet its cash obligations during the next six-month period. The Finance Director will submit a monthly transactions report on the portfolio’s activity to the City Manager and City Council consistent with the requirements of the State Code. IX. Prohibited Investment Vehicles and Practices  State law notwithstanding, any investments not specifically described herein are prohibited, including, but not limited to futures and options.  In accordance with Government Code, Section 53601.6, investment in inverse floaters, range notes, or mortgage derived interest-only strips is prohibited.  Investment in any security that could result in a zero interest accrual if held to maturity is prohibited. Under a provision sunsetting on January 1, 2026, securities backed by the U.S. Government that could result in a zero- or negative-interest accrual if held to maturity are permitted.  Trading securities for the sole purpose of speculating on the future direction of interest rates is prohibited.  Purchasing or selling securities on margin is prohibited.  The use of reverse repurchase agreements, securities lending or any other form of borrowing or leverage is prohibited.  The purchase of foreign currency denominated securities is prohibited.  Agencies that are not Qualified Institutional Buyers (QIB) as defined by the Securities and Exchange Commission are prohibited from purchasing Private Placement Securities. The SEC defines a QIB as having at least $100,000,000 in securities owned and invested. DocuSign Envelope ID: 8EF716EF-9F84-4654-B99B-9984574581A6