What is the University's Investment Policy?

It appears that the University has none. It is however governed by the University Act and all it's investment must be Authorised Trustee Secured Investments. Some of their investments are 'at call', receiving 4-4½%. Some are fixed term investments receiving 7-10% per annum. These are invested with three main companies. United Dominion Company, Trustee Executors, and Devon Investment Brokers Ltd. The later company has a high powered Board of Directors including Sir Ron Scott and Chairman of the Board, the Right Honourable Member for Tamaki, Rob Muldoon.

The University's investment programme can best be seen by looking at their investments at two points in time this year.

	18 April 75	19 May 75
Bank of New Zealand	$223,617	$21,734
Fixed Term Investments	1,227,720	1,403,720
At Call Investments	465,000	655,000

The interest rate the University receives for it's long term investments is not good. The Students' Association own Trust, which is a Trust only by name and not a legal turst, receives rates of between 10½-12% for Authorised Trustee Secured Investments. For a sum of money the size of a Building Fund a rate of 12% per annum would not be hard to get.

It appears that the University cannot be trusted with the students' money. The longer they have control of it and pay the fund a mere pittance in lieu of interest, the less value the fund is worth. The University should separate the money from its cash float immediately and invest it wisely. Perhaps the competance they have shown in this field in the past is reason enough to suggest that they should hand the money over the the Student's Association to invest on behalf of the students to whom it rightly belongs. After all, another $15,000 of interest is no small sum.