16. What Will You Need?
PFM
• Most Agencies do the following:
― Create trust
― Hire trustee/custodian bank
― Create governing/oversight board
― Discretionary versus Non-Discretionary Model
― Review asset/liability profile
― Create appropriate asset allocation
― Create investment policy statement
― Select investments
― Discretionary versus Non-Discretionary Model
― Non-discretionary: Board hires money managers
― Discretionary: Fiduciary investment advisor hires money managers
― Continued oversight and rebalancing
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