HomeMy WebLinkAbout0282.092-
June 4, 1992
Tnt HONORABLE CITY COUNCIL
Pal. ~1to, Califo"n;,
INV,STMrNT ACTIYITY REPORT FOA APRIL 12jl
Members of the Council:
This is an informational report and no Council action is necessary.
mEREST llitOME
Interest' lnc\Jme on an accrual basis fer the month of ~prl1 'Was S847.189 and for
the first ten months of 1991-92 totailed S8.S mt11ion, 82 pe~cent of the revised
annual target of $10.35 mi11i.on. On a cash hasis, receipts total1ed S409 J 8SS fol'"
April and SB.6 mil11.n year to d,t'.
rh~ previous target of S9.8 millien has been increased to $10,35 million due to
an increase in the size of tne portfolio, and staff's ability to leek in higher
than-anticipated rates.
"Ell f1MA1(C1NG~
The City took ad'Jantlge of 10111 fir'tGncing n,tes and. issued two fieW financif1gs
during the Jast two months. The first financing was a 57.67 million Certificates
of Participation {COPs} issue which was iss~ed at an i~erage rate of &.20 p~rcent
in March 1992, tc-refi~allce the outstanding Ci'l;c Center COPs and f()r nelrJ
improvements to the Po1ice ~in9 it City Hill. The s~cond issue Gf S4.7S mil1ion
in Utility Revenue Series A Bonas lrJas issued in ~pril 1992, at an average rate
of 6.46 percent to finance Storm Or11n Projects.
IHIEREST RATES AND INVESTMENTS
In April. staff in. ... est~d $5 mi11fan in Certificates of O€posit at a.verage rate
of 4.40 percent. Staff also invested $6 million in three-year U. S. Agency
Ntltes, at an a'Vera.ge retu.rn of 6.00 percent. Interest ra.tes dec.l ined du.ring
April, in antiCipation by He financiaJ market of a cut in the Federal funds
Rate.
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CURRENT PORTFOLIQ
The par value of the City's portfolio is approximately $143 milhon. \Which
consists of $93 million, or 65 percent~ maturing within two y€irs. Most of the
investments, SI14 mil lien, or 77 percMt, are ,." United States Government
SeCLiritjes. The ctJrrer.t market value of the portfolic is 101.3 percent <:If cost.
CO!!PLIAI!C£ WITH IHVES~£NT ~
As of April 30, 1992, the invest.ment portfolio .iilS in co;)'I91iance with illl
elemer.ts of the City's irlllestrnent policy. !n "ay 1992, projections indicated
recei~ts would be $1;.7 .ilTionj expenditures wou~d be $13.2 million; and S22.4
million in investments .,;:ould mature~ On the basis of the abov-e projection, there
were sufficient fijnds to mEet Palo A1to's expenditure requi~eme~t5 for the month
of May. Based upon tl"le cash flow projections prepared by TN!asury staff for
fiscal year 1991-92, thell"e are sufficient fut1ds from revenues and maturing
investllents to meet a1l expenditure requirements for the rema1:1der of the fiscal
year.
Reaecd:iil1Mubmitted,
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.ncilol Analyst
/r: II f\
{/ t ".1_ (\ .... "-._A... ' .:1;"_, )
ruLi HA.~RJ SOH
finance Oirector
J~
Assistant City Manager
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Pag, I of 6
RfPORT OF INVESTMENTS
APRil 30, 1992
Par Amount 04(30(92 1991·92 03(31;92 Un I ~;]l jQn<) -ill __ l~r.9.Ell_ 1%) BY MATURITY
Withi~ I month $ 22,35 15,60 > $6 Ii.OS
1-3 ""nths g,OO 6,26 9.90 3-6 months 5.00 3.49 4.94 6-9 months 12.00 8.38 5.56 9-12 months 10.50 7.33 6.00 1-2 yea,.. .l.!.S ZUl .25.08
'Ott'lin 2 years 93.39 65.20 > $35 68.74
2-5 years 48.50 33.86 30.00 5-10 years .no .00 .28 10·20 years .62 .44 .44 20-30 ye.rs .-JJ. --~Q -.d!
Over 2 years 49.84 34.BO 31.26
TOTAL 143.23 100.~ 10~ 100.0%
Il m~ Q£ lIfiUIIIr;HT
local Agency Investment fund 15.00 10.47 10.59 Mutual fund .20 .14 .14 Certificates of Deposit:
Cellateral ized 10.CO 6,93 6.35 Sank~rs Acceptances 3,15 2.20 5.75 COAIIIerc;.a 1 Pa~er 1.00 .70 .71 City of Pile Aito Bands .04 .03 .03 U.S. Treasury 53.50 37.35 37.76 U.S. A~ency 60.34 .!Lll ...1.§..M.
TOTAL 143.23 IOO.~ IC~ 100.~
Market V.lue/Cost $145.8/14).9 101.3% > 95% 101. 4%
CMR:281:92
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~ IIl'lESJMEI!IS
REPORT OF INVESTMENTS
APRIL lO, 1992
Int~fp.st Maturity Par
Jll,.'L _htL_ .WJrn
Market
.\'.ilY.I:
Local ".~ncy -.lnvest .... ~
LAIF 5,69 OS-Ol -92 15,000,00 15,000,000
~.l fund (Q,11%)
Fld.llty Investments 3.8B 05-01-92 100,000 100,000
Franklin Investments 3.58 05-01·92 lQQ...QW l!1Q..QQl!
200,000 200,000
~!J£!1~f Oeposlt (6,9~
City Natlon.1 Sank (Co11.I.r.1) 4.75 05-19-92 2,000,000 2,000,000
Sumllomo Sank lco11'I@ra1) 4.30 12-29-92 3,000,000 3,000,000
Sumltomo Bank Collatoral) 4.30 01-06-93 2,000,000 2,000,000
fld.llty rederal (Collateral) 4,50 03-03-93 MOO,OOO 3.000,000
10,000,000 10,000,000
'.nk.rL~tM~1L.Wl
Sum1tomo Bank l.93 05'26-92 2,000,000 1,977,151
SumHomo Bank 3,93 05-26-92 Ll.~QI1.Q 1.136,986
3,150,000 3,114,137
CMR:282:92
Unrealized
WlLU.m)
_ .. _ .. _~~_. ':'::'_~'c"'1l'!:'l''''''''' ---.. ' .• .i j
Purchase
Pr1ce
lIiliDll
15,000,000
100,000
1l>!1...QQ9.
200,000
2,000,000
3,000,000
2,000,000
l.QQQ.QQQ
10,000,000
1,977,151
1.136....2.86
3,114,137
Page 2 of 6
Accrual
Basis
.E.!J:n1.n91
6S,oocA)
323
~
628
7,917
10,750
5,494
-.In
24,536\ )
6,467
U~
10,185
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REPORT OF INVESTMENTS
APRIL 30, 1992
Purchas.e Accrual .-
Interest Matur; ty Par ~ark.t Unrealized Price Basis "
~ -BI..\!! Qit~ ~ ~ ~ijD (LQa) ej]a[!~~ Mrn1n9i I ,
~ial P ..... (O.ZOO I
I General Electric 4.Z5 09·25-92 1,000,000 978,986 978,986 3,542
0
£,Jo Alto Il!II!royemolJ.Llgru!s (,Qm ,
Serif's P 10.95 07-02-93 38,000 38,000 38,000 347 J ,
U.S. Treasury m,OO
Tr@asury Notes 8.38 06-30-92 7,000,000 7,014,453 7,014,453 48,854
Treasury Notes 8.25 08-15-92 3,000,000 2,977,031 2,977 ,031 20,625
Treasury Notes 8,38 11-15-92 2,000,000 2,009,375 2,009,375 13 1 958
Treasury Notes 8.75 01-15-93 2,000,000 2,010,000 2,010,000 14,583
Treasury Notes 8,25 02-15-93 4,500,000 4,509,375 4,509,37S 30,938
Trea.sury Notes 8.13 06-30-93 3,000,000 3,118,000 102,062 3,015,938 20,313
Treasur.Y Notes B.OO OB-:5-9] 7,000,000 7,278,000 289,875 6,988,125 46,667
Treasury Notes 8.25 09-30-93 4,000,000 4,183,000 147,062 4,035,938 27,500 ) Treasury Notes 7.75 !l-15-9) 8,000,000 8,320,000 238,437 8,081,563 51,667
Treasury NQtes 7,63 H-31-93 2,000,000 2,079,000 62,1Z5 2,016,875 12,708
Treasury Notes 7.00 05-)5-94 6,000,000 6,173,000 101,125 6,071,875 35,000
Treasury NotE!s 6.00 Jl-15-94 5,000.000 i...QlhQQQ ill...5.Ul ~.Qit...ill. ZhlQQ
53,SOO,OOO 54,696,234 914,123 53,782,!l1 347,813
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REPORT OF INVESTMENTS
APRil 3D, 1992 • Purchas~ Accrual
1
Interest MaturIty Par Mark.t UnrealIzed Prlcl:" Basis
~ _ Rat. Oat. 'l!ill liIlYL !iiI" (lossl Balance .lill.iD.9.i
U.S, A~~~~r (4Z,I~l
fNMA 8.45 05-11-92 2,000,000 2,000,000 l,OOO,OOD 14,08X) FNHA 845 07-10-92 2,000,000 2,000,000 2,000,000 14,08
FHLB 8.60 08-25-92 1,000,000 1,000,000 1,000,000 7,167
FHLG 9,05 12-28-92 3,000,000 3,015,000 3,015,000 22.625 FNMA 7.95 02-10-93 2,000,000 2,000,000 1,000,000 13,250
SLMA 10.50 04-22-93 1,000,000 1,059,000 59,000 1,000,000 8,750
FNMA 10,75 05-10-93 1,000,000 !,061,000 130,0&3 930,937 8,958
fHLB 10,75 05·25-93 1.000,000 1,062,000 63,875 998,125 3,958
FHLB 7.75 07-26·93 1,000,000 1,033,000 34,250 998,750 6,458
FHl8 7,45 08'25-93 2,000,000 2,058,000 58,000 2,000,000 lZ,41J FHlB 7.95 09-27-93 1,000,000 1,036,000 44,125 991,875 6,625
FHlB 12. 15 12-21·93 2,500,000 2,760,000 322,500 2,~31,500 25,313
FHlB 7.55 01-25·94 l,OOO,('uO 2,066,000 &2,875 2,003,125 12,583
FHlB 7.50 06·27·94 5,000,000 5,180,000 92,812 5,08/,lea 31,250
FNMA 7,45 07-11-94 l,OOO,OUO 3,100,000 63,203 3,036,797 18,625
FHlB 6.70 08-25·94 8,000,000 8,128,000 (lI8,l50) 8,24&,250 44,667
FHlB 6.58 09·26·94 4,000,000 4,048,000 (56,688) 4,104,666 21,933 FHl8 6.45 03-27-95 8,000,000 8,075,000 10,000 8,065,000 36,908. )
FHlB 6,04 04-25-95 2,000,000 1,996,000 (3,315) 1,999,375 336 .
FHlB (a) 7.95 12-26-95 3,000,000 ],108,000 108,000 3,000,OOQ 19,875 \ FNMA (b) 7.70 02·12·96 2,000,000 2,057,000 59,500 1,997,500 12,833
FNMA 7,60 01-10-97 2,000,000 2,043,000 40,181 2,002,813 12,667 i FLB 1.35 01-20-97 500,000 506,000 6,000 500,000 3,063
FHlMC (P&l) 10.00 02·01-09 397,260 417 ,000 46,146 380,854 3,265
FHLHC (P&l Semi ·Annually) 12,45 09·15-09 227,000 266,000 20,375 245,625 2.355
GNMA (P&I) 9.00 lI-1 H 6 ._..1.lli.llZ -1..~J....Q2Q .. lMW -.lR..Q1l ~
60,340,372 61,768,000 979,567 60,788,433 374,347
CHR:282:9l
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I!ll~d Sold )nY!l.!1m@ll
Sc\nw8! B&.nlc
Sumltomo Bank (Collateral)
Fidelity Federal (Collateral)
Sanwa Bant
FNMA (e)
TOTAL INVESTMENTS
REPORT OF INVrSTMEHTS
APRIL 30, 1992
Interest MaturIty
--Rate Dat. _
Par
~
3.96
4.00
5.75
4.00
1.40
04~06-92
04-09-92
04-07-92
04-01-92
10-01-91 ___ _
Market
~
Unreal1l@d
Gal n (LoIS)
(10011) $143.728.372 $145.795.357 51.393.690
Purchase
Price
~£IL
S143.901,667
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Page 5 of 6
Accrual
Basi s
w..oin'l.!
1,27/)
2,000
8,625
8,807
---.H
$847.190
(P&I) Principal and Interest payments ftIOnthly. Investments wHh maturities. ()f less than One year ar~ valued at cost.
Purchases since last report are shown in bold type.
(a) FHLB h ... callable option. beginnlng on 1Z-ll-9).
(b) FNMA has a c.llable option, beginning on Ol·12-94.
(c) FNMA was called at par on 4·1-9Z.
Note: Storm Draln Bond proc~eds of $4,687,500 were placed with Fidelity Investm~nts' U. S. Tredsury Income Portfolio on
4/9/91.
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INTEREST INCOME (ACCRUAL BASIS)
APRIL 30, 1992
To Dat.
Work 1990-91
Lin; t (illUlill)
Intere-st Income S 8,260,483
Effective Annual
Rate of Return
On Investments ~ 8.63
l!!..tlltll..Rtlu as of April ;0. 1992
Prime Rate:
3-month Tr •• ,ury Bill:
3-mont~ Bankers Acceptance:
3-montn Certificates of Deposit:
2-year Treis~ry Note:
2-1e.r Agency:
CMR: 182: 92
To Date
1991-92
8,537,891
7.66
6. SOl;
3.71%.
3. SOl;
3.47\
S.5~
S.52~
Increase
(Decrease)
1991-92 -
(148,396)
( -87)
Pig. 6 of 6
~ Of
hrget
Hrgtl To pate
iO,350,OOO 82.49
8.10 94.B8