SAMPLEINVESTMENTPOLICYSTATEMENT-BCGSecurities.docVIP

____________________ PENSION PLAN INVESTMENT POLICY STATEMENT Purpose The purpose of this Pension Plan (Plan) is to provide retirement and ancillary benefits for Plan participants and their beneficiaries. The purpose of this Investment Policy Statement (IPS) is to assist the Investment Committee (Committee) in effectively supervising, monitoring and evaluating the investment of the Plan’s assets. Objectives The objectives of the Plan are to: Have the ability to pay all benefit and expense obligations when due. Control costs of administering the plan and managing the investments. Maximize return within reasonable and prudent levels of risk in order to minimize contributions. Time Horizon The investment guidelines are based upon an investment horizon of greater than five years. The Plans strategic asset allocation is also based on this long-term perspective. Short-term liquidity requirements are anticipated to be non-existent, or at least should be covered by the annual contribution. Risk Tolerances The Committee recognizes that some risk must be assumed in order to achieve the investment objectives of the plan. In establishing the risk tolerances of the IPS, the ability to withstand short and intermediate term variability were considered. A 1-yr loss limit of -____% has been calculated for the portfolio. The plans long time horizon, current financial condition and several other factors suggest collectively some interim fluctuations in market value and rates of return may be tolerated in order to achieve the longer-term objectives. Performance Expectations The desired investment objective is a long-term rate of return on assets that is at least ___%. The target rate of return for the Plan has been based upon the assumption that future real returns will approximate the long-term rates of return experienced for each asset class in the IPS. The Committee realizes market performance varies and a ____% rate of return may not be meaningfu