BOYLE - An investment group based out of Edmonton put forward a portfolio proposal to improve the village of Boyle’s economic growth by managing its money.
Councillors heard from Qube Investment Management Inc, a group that operates in Alberta and British Columbia, at council's meeting Wednesday (Aug. 6).
Wyatt Lynds, Associate Portfolio Manager of Qube, told the council that about a year ago and a half ago, the company initiated a municipality portfolio designed specifically for Alberta municipalities. Lynds added that towns don’t have the luxury of finding a bank every few minutes and so Qube wanted to establish an investment option for smaller markets.
“Boyle would receive a tailored portfolio that reflects the village's cash flow needs, equity needs and risk tolerance. The portfolio would be safe and completely crafted towards the Municipal Government Act (requirements) and any type of investment policy that is internal,” said Lynds.
Mayor Colin Derko asked whether this program would concern employees or if this management is only a municipal-based investment group. Lynds explained that Qube’s bread and butter for the first two decades was retail clients, businesses and business owners.
“The reason we began this portfolio is because we noticed specifically the last four years counties and towns who’ve invested have lost quite a bit of money in terms of market losses,” said Lynds
“We fight pretty hard to make sure we get every additional basis point of return for our municipal clients.”
Councillors voted unanimously to get more information before making a final decision on the proposal.
“Bottom line is that it is worth looking into. It was their engagement to come to us and say that ‘Here’s what we do,” said Derko. “He’s putting that offer and extension out, so I think we look at it.”
