Department for Persons with Disabilities

Department for Persons with Disabilities

A Catholic Charities Agency of the Diocese of Paterson

Financial Management Policy

Title:Investment Policy

Number:FIN –I01

Effective:1 July 2007

Supersedes:New

1. PURPOSE

To establish the policy governing the investment of funds of the Department for Persons with Disabilities (“DPD”).

2.GENERAL POLICY

As a Roman Catholic social services agency, the DPD follows the teachings of the Roman Catholic Church on such matters as human life and dignity, economic justice and social responsibility. It is therefore the stated policy of the DPD that investments shall be made in companies whose corporate philosophies are in agreement with Church teachings.

3.SPECIFIC POLICIES

3.1.Investments, in General

The Executive Director and the Chief Financial Officer of the DPD will recommend, from time to time, the investment of funds to the Finance Committee. The recommendation will be based on the availability of funds to invest, taking into account the cash flow needs of the DPD.

3.2.Permitted Investments

Unless prohibited by law or the policies of the Diocese of Paterson[1], permitted investments include, but are not limited to:

3.2.1.Certificates of Deposit

3.2.2.Funds deposited with the Paterson Diocese’s central lending agency.

3.2.3.Stocks, bonds and other securities of publicly-traded corporations, subject to the prohibitions described below.

3.3.Prohibited Investments

The funds of the DPD are prohibited from being invested in companies that directly or indirectly support the following activities, which are contrary to the teachings of the Roman Catholic Church:[2]

3.3.1.Abortion

3.3.2.Contraceptives

3.3.3.Embryonic Stem Cell/Human Cloning Research

3.3.4.Degradation of Human Rights, including racial discrimination and “sweat-shop” labor.

3.3.5.Discrimination against women.

3.3.6.Pornography, including but not limited to film and television companies, Internet service providers and other entities that appeal to a prurient interest in sex.

3.3.7.Weaponry production by firms primarily engaged in military weapons production or the development of weapons inconsistent with Catholic teaching on war (e.g., biological and chemical weapons, arms designed or regarded as first-strike nuclear weapons, indiscriminate weapons of mass destruction, etc.)

3.3.8.The manufacture, sale, or use of anti-personnel landmines.

3.3.9.Other activities which, in the opinion of the Finance Committee, are contrary to Church teachings.

3.4.Investment Advisors

The DPD may retain investment advisors to counsel the agency in the types of investments available, provided that said advisors unequivocally agree to support the above investment policy of the DPD.

3.5.Coordination with Diocesan Policy

Any part of this policy which is in contradiction to the policies of the Diocese of Paterson will render that particular part void but shall not negate this policy in its entirety.

End

Policy FIN - I01 - Investments.doc

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[1] Incorporated herein by reference.

[2] Adapted from the USCCB guidelines.