HomeMy WebLinkAboutItem 4.07 CTInvestRpt2-94
L
e city Of Dublin e
city Treasurer's Listing of Investments
As of Feb. 28, 1994
This listing excludes Dublin Boulevard Extension Assessment District and cOP
reserve fund balances, which are held by third party Trustees and invested in
accordance with the financing legal documents.
...
TYPE OF INVESTMENT
POOLED INVESTMENTS
MATURITY
~ Value
38.4% of Total portfolio
State of California
LAIF
MUTUAL FUND 9.2% of Total Portfolio
Dean witter Reynolds
U.S. Govt Securities
(2)
RM.e.
$7,075,000.00
(2)
CERTIFICATES OF DEPOSIT 2.7% of Total Portfolio
$95,000.00 5.250
$99,000.00 5.560
$98,000.00 5.250
$99,000.00 5.200
S100.000.00 6.010
$491,000.00
GVRNT IAGEHCY SRCURITIES (4) 49.7% of Total Portfolio
rtrst Republic T & L
Investors Thrift & Loan
southern Calif FS&L
standard Pacific Svgs
World savings
9/14/98
7/30/98
9/14/98
7/30/98
1/29/98
Bank of California(Safekeeping)
FHLB 8/26/96
FNMA 6/10/97
FNMA(Callable 5/13/96) 5/13/98
FHLMC(Callable 9/09/94) 9/09/98
FNMA(Callable 10/15/96)10/15/98
U S Treasury Note 10/31/98
FHLB{Callable 11/03/94)11/03/98
FHLB(Callable 1/12/95) 1/12/99
FNMA{Callable 2/12/96) 2/12/99
FNMA(Callable 12/10/96)12/10/98
Total Investments - per books
$490,000.00
$1,205,000.00
$500,000.00
$500,000.00
$1,000,000.00
$1,000,000.00
$1,000,000.00
$2,000,000.00
$400,000.00
Sl. 000.000.00
$9,095,000.00
7.700
9.200
5.250
4.950
4.875
4.750
5.110
5.460
5.550
5.310
INVESTMENT
QQat Yield
$7,075,000.00 (I) 4.270%
$1,699,995.50 (3) 5.948%
$95,000.00
$99,000.00
$98,000.00
$99,000.00
S100.000.00
$491,000.00
$490,000.00
$1,281,000.00
$495,000.00
$498,359.38
$999,375.00
$984,687.50
$1,000,000.00
$2,000,000.00
$399,750.00
S999.531.25
$9,147,703.13
$18,413,698.63
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5.250%
5.560%
5.250%
5.200%
6.010%
5.457%
7.700%
7.066%
5.482%
5.020%
4.889%
5.101%
5.110%
5.460%
5.564%
5.311%
5.631%
5.133%
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Footnotes
(1) Interest rate shown is quarterly average as of February 28, 1994.
(2) As a mutual fund investment this can be liquidated at any given time,
however, the asset value will fluctuate based upon the current market
rate. The investment strategy assumes that $1 million will be held
through July 8, 1999, and $700,001 through September 10, 1999 without
a deferred sales charge. Value is calculated at original cost.
(3) The yield on a mutual fund fluctuates with the share price of shares
currently held. The yield presented is an annualized amount based
upon the eight months of dividends at the share price as of 2/24/94.
(4) Federal Home Loan Bank (FHLB), Federal National Mortgage Association
(FNMA), and Federal Home Loan Mortgage Corp (FHLMC) are lawful
investments for local governmental agencies.
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CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: March 14, 1994
MlLCity Treasurer's Investment Report:February 28, 1994
llO-(prepared by: Paul S. Rankin, Assistant City Mgr)
EXHIBITS ArrrACHED: (iisting of Investments as of February 28, 1994
RECOMMENDATION: ~;ceive Report
SUBJECT :
DESCRIPTION: The attached listing details the City'S investments
as of February 28, 1994. The total amount invested is approximately
$44,800 more than shown at for the end of the previous month. This
minimal increase will be more than offset by disbursements approved in
the month of February, but not processed for release until the first
week of March.
overall, the total yield on the City'S portfolio for the month of
February has decreased slightly from the rate shown for the month of
January ( 5.133% vs. 5.172% respectively). This is primarily the impact
of declining yields for LAIF and the Dean witter Mutual Fund Investment.
As noted in previous reports the market value of the Dean Witter
investment will fluctuate. As a public agency, the audi tors have the
City record all investments in the city's financial records, based upon
the purchase cost. Typically a government is buying the investment and
holding it until maturity. Therefore, fluctuations in market value from
JlQnth to month are not a significant issue. On an annual basis the
Notes prepared to accompany the Annual Financial Audi t, disclose the
market value as of June 30th. However, no adjustment is made to the
City Financial records, unless the investment is actually sold. This is
true for Mutual Funds as well as individual Agency Notes.
With the recent fluctuations in the interest rates on Federal and Agency
Bonds, the nMarket Value n of the Mutual Fund investment has also
fluctuated. The city originally purchased this investment at an average
share price of $9.48. The share price as of the date of the February
Dividend was $9.16. In the event that the recent rise in interest rates
is only temporary, the fund should have an increase in share price.
In the month of February one new $ 400,000 investment transaction was
completed. The City replaced a $400,000 Federal Farm Credit Bank (FFCB)
Note, which was called prior to its final maturity. The FFCB Investment
had a maturity date of February 1998 and was callable February 1994.
The investment had a yield of 5.80%.
As a replacement, the City purchased an original issue Federal National
Mortga9'e Association (FNMA), five year note. The investment has
provis1ons for an early call in February of 1996. The instrument was
purchased at a discount and will yield 5.564% to maturi ty . This
investment exceeds by approximately two weeks, the targeted use of
invested assets to pay all outstanding Civic Center COP's in 1999.
Given the small increment, it did not appear that this would create any
problem with the cash flow needs of this goal. This transaction allowed
the City to continue to retain approximately half of the total invested
portfolio invested in Federal Securities and Agency Notes.
LAIF is a pooled investment account managed by the State Treasurer. The
fund continues to provide an important investment option for public
agencies. The fund allows cities to move monies in and out similar to a
money market fund. The quarterly average was 4.270% as of February 28,
1994. This is down slightly from the 4.332% rate reported last month.
LAIF comprised approximately the same percentage of the total portfolio
as the previous month (38.4%).
Th~ schedule of investment maturities i~ anticipated to allow the city
to meet anticipated expenditures in the upcoming month.
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COPIES TO:
4.7
CITY CLERK
FILE ~
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