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[[underlined]] Army Mutual Aid Association (Insurance-type funds): [[/underlined]] Investment authority is delegated to one man on the staff who has power to pass on any recommendations made by Scudder, Stevens & Clark without further consultation with other trustees unless, in his judgment, he considers such consultation desirable. The funds total $50,000,000 to $60,000,000.

[[underlined]] Standard Oil of New Jersey Pension Fund: [[/underlined]] Complete discretion for investment of funds is given to Scudder, Stevens & Clark, which has the authority to purchase any bonds or stocks so long as the latter has been approved at sometime within the last ten years; any security may be sold without further authority.

[[underlined]] Two large foundations: [[/underlined]] Funds total up to $100,000,000. In one case, recommendations of Scudder, Stevens & Clark are approved only by one individual, not a member of the trust committee, prior to implementing the recommendations. This individual circulates a report of recommendations to other investment committee members but no exception has ever been taken to the action. 

In the case of the other foundation, the same authority is given, but is given with respect to investment in bonds only, not for stocks.

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It is recommended, therefore, that authorization be established in respect to each of the Smithsonian investment funds for the investment of up to $250,000 in bills or notes of the U. S. Treasury or of U. S. Government agencies, in bank Certificates of Deposit, or in high-grade commercial paper, based upon Scudder, Stevens & Clark recommendations but needing only the further approval of the Secretary or Assistant Secretary or Treasurer. Please see Tab 6 for this resolution. [It is to be noted that the resolutions adopted January 24, 1894, (as amended on May 19, 1965), and December 12, 1918, (as amended on May 19, 1965), are now to be amended to include the Treasurer.]

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