Governor Warner Announces Top "AAAm" Rating for Local Government Investment Pool

Governor Warner Announces Top "AAAm" Rating for Local Government Investment Pool
— $2.6 billion LGIP provides proven investment option for localities —

Governor Mark R. Warner announced today that Standard & Poor's Ratings Services has assigned its best available 'AAAm' rating to the Virginia Local Government Investment Pool (LGIP).

The rating, the highest assigned to principal stability funds, is based on Standard & Poor's analysis of the LGIP's credit quality, market price exposure, and management.

The Commonwealth of Virginia Department of the Treasury manages the $2.6 billion Pool on a day-to-day basis to provide public entities in Virginia with a professionally managed diversified investment portfolio structured to meet the requirements of Virginia's "Investment of Public Funds" statutes, and to provide an investment that minimizes the risk of principal loss, while offering daily liquidity and a competitive rate of return.

"The excellent rating is a reflection of the Treasury Department's professional management of this useful financial tool for our local governments," Governor Warner said. "LGIP participants have earned very competitive rates of return by taking advantage of this investment expertise and by leveraging economies of scale."

"The 'AAAm' rating reflects the high safety level of the invested principal and the fund's superior capacity to maintain a stable net asset value," Treasurer Jody M. Wagner said. "This is achieved through conservative investment practices and strict internal controls."

http://www.governor.virginia.gov/Press_Policy/Releases/2005/Jun05/0616b.htm