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HomeMy WebLinkAbout1996-11-05; City Council; 13880; REPORT ON CITY INVESTMENTS AS OF SEPTEMBER 30, 1996I v/ . MTG. 1 I /05/96 REPORT ON CITY INVESTMENTS RECOMMENDED ACTION: Accept and file report. ITEM EXPLANATION: The City’s Investment Policy requires the City Treasurer to report to the City Council a monthly basis the status of the City’s investment portfolio. This report is presentec Council each month on the investments held. In summary, the City’s investment portfolio as of September 30, 1996 is as follows: Investment Portfolio (Cash and Securities) Current Month Prior Month Par Value 151,032,63: 153,632,717 Market Value (2) 153,020,20I 154,990,192 Book Value of Investments (1) 151,837,42( 153,788,659 Cost of Investments 152,856,60: 154,821,714 It I I I ~~~ ~ 1 6% w a z 9L 2 (1) Book value is cost adjusted for amortized premiums and discounts. (2) Source of market values is First Interstate’s custodial report as of 9/30/96. Month FWD Month FYTD Of The Investment If Held To Maturity ~~~ 1 0 0 PAGE TWO OF AGENDA BILL NO. /3,8SV Investment Performance I Average Life [Years) Average Yield July 1996 5.7; 1.55 September 1996 5.71 1.61 August 1996 5.71 1.62 I I All investments have been made in accordance with the City’s Investment Policy adopted Jal 2, 1985 and last revised September 10, 1996. All investments were initially made in accorc with the City’s Investment Policy. Events subsequent to the purchase might have resulted in investments not being in compliance with the current policy. These events are typically a char the City’s Investment Policy or a change in the credit rating subsequent to a purchase. See E 5 and 6 for details. Investment portfolio has the ability to meet the City’s cash flow demands for the next s months. EXHIBITS: 1. Investment Portfolio Breakdown By Book Value, Market Value, Cash Income, and Avc Yield 2. Investment Portfolio Breakdown Of Maturities 3. Investment Report 4. Reconciliation of Fund Source to investment Portfolio 5. Corporate Note Ratings 6. Percentage Weightings By Corporate Note Issuer 7. 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E&S;=;=i=S OrOrOO"rOO"OrONNrrrrOOrr --000000--00r000000000r000 5"'oooo- .......................... I- 8888Z B 2GL3SG E~u~~~~ .......................... --NNNu)u)NmtWOtu)mu)m-mu)u)mu)u)u)u) $$$$$$$P$$F$$$$$$$$$$$$$$$ t~~hotmu)~~to~u)~-t--~-m-o-mwo NNNNNONrrNrrNOrOOONOONOrNm o~rm~u)rnmt~~mt~ou)t~mm~~~mbm g,l000- -0000000000000-00-000~0000 > z 00000 0 0 Exhibit 1 Reconciliation of Fund Source to Investment Portfolio As of September 30,1996 Cash Balance by Fund: General Special Revenue Debt Service Capital Projects Enterprise: Carlsbad Municipal Water District Sewer Fund Solid Waste Golf Course Total Internal Service Redevelopment Funds Trust Funds Misc. Special Funds 13,338,939 7,945,762 2,788,615 58,817,406 23,474,926 24,035,132 64,912 1,027,957 48,602,926 9,790,766 5,538,279 6,785,160 0 Total General Ledger Balance 153,607,874 Amortization of discounts and premiums Deposits in transit Outstanding checks Wire in/(out) not recorded Other Net adjustments per bank statement (I ,554,138) 1,734,923 Total adjustments 180,785 Total Treasurer's Investment Portfolio 153,788,659 ** Figures based on best estimate at the time report run on 10/7/96. 101231E 0 Exhibit CITY OF CAFUSBAD INVESTMENT PORTFOLIO AS OF SEPTEMBER 30,1996 CORPORA TE NOTE RATINGS Investments Meeting the Current Investment Policy: (Ratings must be AA or better by both Moody'sand S&P) ASSOC COW OF N A CHEVRON TRUST DETROIT SEWER DUKE POWER FCC NATIONAL BANK GENERAL ELECTRIC CREDIT KENTUCKY UTILITIES NORWEST PFIZER INC SHELL OIL co TOYOTA MTR CR WAL-MART STORES Moody's AA3 AA2 AAA AA2 AA3 AAA AA2 AA3 AAA AA2 AAA AM - S&P AA- AA AAA AA- AA- AAA AA- AA- AAA AAA AAA AA Investments Made Under a Previous Investment Policy (Ratings must be A or better) Prior to 2/13/96 Moody's - S&P AMERICAN EXPRESS CREDIT AA3 A+ FORD MOTORS CREDIT A1 A+ SOUTHERN CALIF ED A2 A+ UNITED TECHNOLOGIES A1 A+ Investments with Subsequent Changes in Credit Rating * Maturity Carrying Market Moody's S&P Date - - Purchased Value - Value DIGITAL EQUIP BA 1 BB+ 11/15/97 A2/A- 1,014,931 1,001,410 DONNELLY UNION PACIFIC A1 A+ 12/01/00 AA3/AA- 1,126,346 1,078,870 AA3 A 03/15/01 AA2/AA- 1,998,196 1,998,940 * The City's Investment Policy allows the City Treasurer to determine the course of action that would correct exceptions to the policy. All investments are paying interest at the required times. The principal of all investments are considered secure. It is the intent of the City Treasurer to hold these assets in the portfolio until maturity unless the opportunity arises to sell them at a gain. ' CITY OF CARLSBAD INVESTMENT PORTFOLIO 0 Exhibit AS OF SEPTEMBER 30,1996 PERCENTAGE WEIGHTINGS BY CORPOR4TE NOTE ISSUER Investments Meeting the Current Investment Policv (Percentage Less Than 5%) AMERICAN EXPRESS CREDIT ASSOCIATES COW NA CHEVRON TRUST DETROIT SEWER DIGITAL EQUIP DONNELLY DUKEPOWER FCC NATIONAL BANK FORD MOTORS CREDIT KENTUCKY UTILITIES NORWEST PFIZER INC SHELL OIL CO NOTES SOUTHERN CALIF ED TOYOTA MTR CR UNION PACIFIC WAL-MART STORES Investment Cost Percent of Portfc 1,023,770.00 7,041,136.00 1,026,080.00 1,014,980.00 1,053,390.00 1,145,610.00 2,048,020.00 975,690.00 1,957,160.00 2,024,340.00 2,974,630.00 1,011,850.00 1,016,050.00 1,000,000.00 1,008,280.00 1,997,320.00 2,491,325.00 Investments Made Under a Previous Investment Policy (Percentage Limited to 10%) Prior to 2/13/96 GENERAL ELECTRIC CREDIT Investment Cost Percent of Portf 9,108,300.00 Total Portfolio $1 0 e a, 2 v) z U aa, 52 g3 .- Q E 0 LC 0 Q 0 v) - b CI a c .c, L v) ii 9 z * 0 I- 2 E ii c I * 0 I- 3, ii + L ffl a 0 UJ 0- rc, v) S L I- n S m Y c G 2 3j G .c, a Q) m CI .. c, C a 2 - 0 0 u) iE Y k m 5 65 + a, a, L c a, m 0 : T 0- hl m a Y t m 5 tj 4- a, a, L + a, m 0 8 a a Y c m 5 tj c a, a, L c. a, m 0 2 m T- Y C m tj 5 m + a, a, L a, m +" 0 0 .- 0 S 0 != L - 8 b 0 v) =I c, c CI L v) ii .E .E .E fEf 335 000 k .k c 000 .E .E .E Eff 333 000 kkLc 000 ccc 000 .E .E .E .E .E fffff 3333% 00000 kkkkk ooooc cccc'c ooooc ~~ e" 000 *** 000 222 +Fk GLLU ++e E .g .gJ 000 ooco mmm coco.? aam Ti" 999 0- N k 000 000 *" 0ffl0 +++ 222 iilLLL +++ E .g .g 000 88& NO0 aaa amhl n! *- 0- rr +.'***c 0000cf 22222 I-++++ e++++- ._ E .g .gJ .g .g u-ULLLLLL 00000 :8=?:: oawam cobaac oarmr\ hl 7- co_ a- "- b- r m UJ 9 L"- 2: 7 t 0 P d .. c, C a -2 8 0; ii 0 v) a, 3 - 3 L m n 2 L9! zm mn H -0; a, 03 ms 322 UL - C u) E U tl > C - 0 0 a 0- % 0 0 a a co 0- b Q 5 7 s b 2 0 0 != a, 1 S 2 0' 4 z 9 z -0 C c 3 2 I= N, 2 a, S 0 0 .- I E 0 0 nJ n a 0 m 0- a 0 UJ 0- s z 5 U K 3 c 2 2 8 F S 0 N I 0 E 0 0 m .- L a 0 : 7 0- hl m a 0 2 r 0- hl m a s z 4 Z 3 v) ._ 0 - a, LL 0 0 8 a a 0 8 a a 4 z 4 z 3 v) 0 - 0 a, LL 0 z m 7 0 : m 7 s z 4 z 3 0 .- 0 - a, LL 0 00 00 CI .. 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