Policy – Financial Investment

Purpose

The purpose of this policy is to guide the management of the Australasian College for Infection Prevention and Control’s (ACIPC) investment funds and inform financial planning strategies that support long-term sustainability. The policy aims to ensure ACIPC maintains a balanced operating budget while responsibly pursuing capital growth.

Scope

This policy applies to all individuals engaged in financial decision-making on behalf of ACIPC, including Board members, staff, contractors, consultants, and committee members.

Policy statement

ACIPC is committed to managing surplus cash assets in a way that maximises return while preserving capital and maintaining access to liquidity for operational and strategic needs.

Financial Investment Goals

ACIPC will:

• Manage surplus cash assets to maximise returns with appropriate risk controls;
• Maintain sufficient liquidity to meet current liabilities and fund approved new initiatives;
• Generate long-term income and capital growth to support financial resilience;
• Ensure investments align with strategic priorities.

Investment Plan

An Investment Plan will be developed and maintained by the Board. This plan will ensure that:

• ACIPC’s operating budget remains balanced;
• Capital is preserved and grown over time;
• Investments align with priorities set out in the Board’s stratgic plan;
• ACIPC retains access to cash for planned and unforeseen expenses.

Investment Principles

All investments must conform to the following principles:

• Priority will be given to the objectives set out in the Board’s stratgic plan;
• Investments will be low to medium risk, with a focus on capital security over the medium to long term;
• Investments will only be made through reputable and well-established financial institutions.

Governance

• The Board has overall responsibility for ACIPC’s financial stewardship and investment strategy.
• The Executive Management Committee or a Board committee under delegation from the Board, provides oversight, management, and stewardship of investments and develops an Investment Plan aligned with the Board’s strategic plan.
• The Board must seek external, independent investment guidance for any investments other than cash or bank term deposits, including equities, bonds, property, or pooled funds.

Risk Profile

• The Investment Plan will be designed for a low to medium risk profile, with a focus on capital preservation and long-term sustainability.
• The plan will define ACIPC’s risk tolerance and determine an appropriate mix of asset classes, which may include equities, bonds, property, pooled funds, and cash.
• The risk profile will be reviewed regularly to ensure alignment with ACIPC’s financial objectives and capacity to absorb risk.

Performance Monitoring and Review

• The President or delegated committee chair, will meet at least annually with the independent investment consultant to review portfolio performance.
• Outcomes from this meeting will be reported to the delegated committee and Board.
• The Board will regularly monitor investments.
• Financial reports will be tabled at each Board meeting for transparency and oversight.
• The Investment Plan will be reviewed every six months and reported as part of the Annual General Meeting to members.