HomeMy WebLinkAboutItem 4.03 CT InvestmentRpt
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CITY OF DUBLIN
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: December 13, 1993
,~City Treasurer's Investment Report:November 30, 1993
~~ (Prepared by: Paul S. Rankin, Assistant city Mgr)
EXHIBITS ATTACHED,~ting of Investments as of November 30, 1993
RECOMMENDATION: Receive Report '
SUBJECT:
DESCRIPTION: The attached listing details the City's investments
as of November 30, 1993. The total amount invested is less than shown
in the previous month by approximately $ 510,300. OVerall, the total
yield on the city's portfolio for the month of November increased
slightly from the rate shown for the month of October (5.067% vs. 4.966%
respectlvely).
In the month of November two new investment transactions were completed.
The city purchased an original issue Federal Home Loan Bank , five year
note. The investment has provisions for an early call in November of
1994. The instrument was purchased at par and will yield 5.11%. The
second instrument purchased was a 5 year U.S. Treasury Note. Although
the coupon rate on this investment is 4.750%, it was purchased at a
discount which brings the yield to maturity up to 5.101%. The cost of
this investment was $ 984,687.50. These transactions increased the
portion of the City's portfolio invested in Federal Securities to
approximately 35.4% as compared to 23.3% in the month of October. The
Treasury investment also provides a securi ty which cannot be called
before its stated maturi ty date, unlike many of the recent Federal
Agency purchases. It also extends the total amount of funds invested,
which will mature in more than one year.
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 4.366% as of November 29,
1993. This is down slightly from the 4.380% rate reported last month.
The City of Dublin has continued to decrease its reliance on LAIF as an
investment vehicle. The total percentage of the city's portfolio placed
in LAIF declined from 64.4% in October to 52.0% in November. The Ci ty
has continued with a schedule of incremental movement of a portion of
the portfolio into investment vehicles other than LAIF I each month since
May of 1993.
The schedule of investment maturities is anticipated to allow the city
to meet anticipated expenditures in the upcoming month.
COPIES TO:
~o.AJ.
CITY CLERK
FILE~
:.:.1....... ,. ....-- ... _I
. City of Dublin.
city Treasurer"s Listing of Investments
As of Nov. 30, 1993
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.
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TYPE OF INVES~
MATURITY
~ VaJ-Qe
~
PQQLJD IJfVESTMEHTS 52.0% of Tot.al Portfolio
state of California
LAIF
HUTUAL PUHD 9.8' of Total Portfolio
Dean Witter Reynolds
U.s. Govt Securities
(2 )
$9,050,000.00
(2)
CJRTIFI~TES pF DE~~IT 2.8% of Total Portfolio
$95,000.00 5.250
$99,000.00 5.560
$98,000.00 5.250
$99,000.00 5.200
$100,000.00 6.010
$491,000.00
GVlU{II'/AGEHCY SECURI~IE$ (4) 35. 4~ of Total Portfolio
First 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
FFCB 2/02/98
Lehman Brothers(Safekeeping)
FHLMC(Callable 9/9/94) 9/09/98
FNMA(Callable 10/15/96)10/15/98
U S Treasury Note 10/31/98
FHLB(Callable 11/3/94) 11/03/98
Total Investments - per bOOks
$490,000.00 7.700
$1,205,000.00 9.200
$500,000.00 5.250
$400,000.00 5.800
$500,000.00 4.950
$1,000,000.00 4.875
$1,000,000.00 4.750
$1.000,000.00 5.110
$6,095,000.00
INVESTMENT
~ Yield
$9,050,000.00 (1) 4.366%
$1,699,995.50 (3) 6.200%
$95,000.00
$99,000.00
$98,000.00
$99,000.00
$100,000.00
$491,000.00
$490,000.00
$1,281,000.00
$495,000.00
$400,000.00
$498,359.38
$999,375.00
$984,687.50
$1. 000,000.00
$6,148,421.88
$17,389,417.38
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5.250%
5.560%
5.250%
5.200%
6.010%
5.457%
7.700%
7.066%
5.482%
5.800%
5.020%
4.889%
5.101%
5.110%
5.754%
5.067%
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Footnotes
(1) Interest rate shown is quarterly average as of November 29, 1993.
(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 quarter to date dividends reinvested.
(4) Federal Home Loan Bank (FHLB), Federal National Mortgage Association
(FNMA), Federal Farm Credit Bank (FFCB) and Federal Home Loan Mortgage
Corp (FHLMC) are lawful investments for local governmental agencies.