CITY OF HUNTINGTON BEACH
QUARTERLY INVESTMENT REPORT
CITY TREASURER, ALISA BACKSTROM, MBA, CCMT, CPFIM
QUARTER ENDED: MARCH 31, 2022
INVESTMENT PORTFOLIO – SUMMARY:
AS OF: March 31, 2022
Investment Type
$ in 000's
Market
Value Book Value
Federal Agency Issues 127,387$ 132,224$
Local Agency Investment Fund (LAIF) 5,684$ 5,684$ Treasury Securities 63,898$ 66,100$
Medium Term Notes - Supranationals 33,914$ 35,177$ Corporate Bonds 46,412$ 46,924$
Commercial Paper 2,994$ 2,993$
OC Investment Pool 10,575$ 10,575$
TOTAL 290,864$ 299,677$
INVESTMENT PORTFOLIO – INVESTMENTS BY TYPE:
44% 3% 16% 22% 12% 2% 1%
Federal Agencies OC Investment Pool Corporate Bonds Treasuries MTN-Supras LAIF Commercial Paper
INVESTMENT PORTFOLIO – QUARTERLY ACTIVITY (JAN-MARCH):
Purchases:
(In 000's)
Federal Agency Issues 9,575$
Corporate Bonds 5,000$
Treasury Securities 29,000$
Commercial Paper 3,000$
TOTAL 46,575$
Maturities/Calls/Withdrawals:
(In 000's)
Corporate Bonds 5,000$
LAIF 3,000$
OC Investment Pool 40,000$
TOTAL 48,000$
Current Year - Month
Mar 2022: $324,815
vs. budget: $100,000
Current Fiscal Year-to-date Through 03/31: $2,483,158 vs. budget: $900,000
Effective Rate of Return
Mar 2022: 1.26%
Fiscal Year-to-date: 1.17%
Benchmark Mar 2022: 0.50%
12-month moving average 1.5-year Treasury
INVESTMENT PORTFOLIO – EARNINGS:
INTEREST RATES – US TREASURY RATES
JANUARY 3, 2022 – MARCH 31, 2022
5-year US Treasury
2.42%
at 3/31
2-year US Treasury
2.28%
at 3/31
SELECTED INVESTMENT POLICY COMPLIANCE REQUIREMENTS:
INVESTMENT TYPE MAXIMUM
MATURITY
MAXIMUM SPECIFIED
% OF PORTFOLIO/
MAXIMUM PER
ISSUER
MINIMUM QUALITY
REQUIREMENTS
IN
COMPLIANCE?
U.S. Treasury
Obligations 5 years None None YES
U.S. Government
Agency Obligations 5 years None None YES
Supranationals 5 years 10% "AA" Rating YES
Corporate Notes 5 years 30%/10% "A" Rating YES
Local Agency
Investment Fund
(LAIF)
N/A Up to $75,000,000 None
YES
Orange County
Investment Pool
(OCIP)
N/A Up to $75,000,000 None
YES
Maximum Maturities No more than 50% of portfolio maturing over 4 years. YES (Requirements are at purchase)
SUMMARY:
Safety – No principal losses
Liquidity – Sufficient funds for operations
Market rate of return – 1.26% March, 1.17% Fiscal Year-to-date (upward trend)
Prudently managed – No compliance issues
Positive contributor to City – Earnings of $2,483,158 fiscal year- to-date to be utilized for operating and other expenses