Investment Policy

Executive Summary

Arthritis and Osteoporosis NSW (AONSW) revised its investment policy in May 2018.  The Investment Policy Statement (IPS) is designed to support the works of the organisation by defining its investment objectives and tolerance to risk.  The IPS set outs the investment portfolio’s alignment to the needs of AONSW and its Income and Capital Objectives

The Vision and Mission for AONSW are set out in section 2.1

The objectives of both the Operational / Working Capital (Short Term) and Strategic Capital (Long Term) portfolios in terms of capital growth, income and volatility of portfolio value are contained in section 4. The Asset Allocation Benchmarks for each portfolio (section 5) have been set in order to achieve the objectives given the medium and long term outlook for investment markets. The permitted ranges of investment exposure to each asset class have been set to accommodate tactical tilts (increases or decreases in exposure to take advantage of the shorter term investment outlook) and to diversify investments in order to reduce risk.

  • Investment Strategy

The investment strategy of AONSW is designed and is to be implemented to support the works of the organisation, which are the provision of consumer information and education, delivery of services, promotion of community support, funding of research into the causes and potential cures of arthritis and musculoskeletal conditions, and establishment of strategic partnerships.

  • Corporate Governance

The IPS provides detail on the authorities, responsibilities and procedures required in order to manage the investments of AONSW thus providing a strong governance framework.

The relevant legal and taxation considerations are contained in section 8.

  • Evidence of Prudence

Permitted investments are limited to those that meet the ethical criteria that have been determined taking into account the organisation’s stakeholders (section 5.5) and are further limited in terms of type of investment in each asset class and level of exposure by credit quality and issuer.

Measures to manage and mitigate risks inherent in managing the investments are contained in section 9.

  • Continuity

Members of the Board and Executive will change from time to time but the IPS provides a basis for management of the organisation’s investments through all investment environments.

  • Framework to review the Philosophy and Portfolio Objectives

The investment portfolio’s objectives should align with the mission and vision of AONSW. The IPS will be reviewed on an ongoing basis to ensure that this continues to be the case.

Further information may be obtained by contacting AONSW at info@arthritisnsw.org.au or (02) 9857 3300