CITY OF LAGUNA NIGUEL
CITY COUNCIL AGENDA ITEM
To: Honorable Mayor and Council Members
FROM: Tamara S. Letourneau, City Manager
DATE: December 5, 2023
SUBJECT: Investment Report as of October 31, 2023
RECOMMENDATION
Staff recommends that the City Council receive and file the City of Laguna Niguel Investment Report as of October 31, 2023.
BACKGROUND
The City Investment Policy requires the City Manager to submit an Investment Report monthly to the City Council that contains a summary of investment transactions, including investment types, percent of portfolio, yield, purchase date, maturity date, issuer or institution, par and dollar amount invested, market value, source of market valuation, the portfolio's average weighted yield and maturity, and a description of any local agency funds or investments under the management of contracted parties.
Submission of, and the City Council's action of receiving and filing this report, addresses Goal #2, fiscal sustainability, in the City's Strategic Plan.
ANALYSIS
As was anticipated, the Federal Open Market Committee (FOMC) elected not to increase interest rates at the policy meeting on November 1st. The final meeting of the year is scheduled for December 13th. Federal Reserve Chairman Jerome Powell indicated that the Federal Reserve faces nearly equal risks of raising its benchmark too high as it does in not raising rates high enough. He also stated the FOMC will move carefully, a phrase that has widely been interpreted to mean the Federal Reserve will closely monitor economic data but are not leaning towards a hike. Several other Federal Reserve officials made statements generally saying the same thing, cementing the expectations that there will be no additional rate hike in December. As a result, the 5-year Treasury rates have softened since the peak seen on October 19, 2023. The 5-year rate on that date was
4.95%. As of today, the 5-year rates are still attractive at nearly 4.50% but are almost 50 basis points lower. The table on the next page shows the decline in rates since the peak noted on October 19th
FRED -Mates Yield on U.S. Treasury Securites at 5-Year Constant Maturity, Quated an an Investrent Baste 50 40
40 3.2
2022-12 2023-02 2023-05 2023-06 2023-07 2023-08 2023-09 2023-10 2023-11 2023-01 7022-08
Shaded areas indicare US recessons Source Board of Governors of the Federal Reserve System (US) fred stousfedorg The City of Laguna Niguel continues to be in a strong position given the current interest rate environment. Since the City began strategically purchasing securities with a mid to longer term duration in March, the weighted average yield of those investments is 4.70%! And the amounts invested total over $27.6 million, or 48% of the City's portfolio. In October, the City was able to acquire two certificates of deposit with eighteen-month maturities at 5.50% and 5.45%, while also purchasing a 2-year Federal Agency Security yielding 5.18%. City staff will continue to strategically purchase securities along the maturity ladder to benefit the City today, and in the years to come.
The following table compares the portfolio balance as of October 2023 to September 2023.
Portfolio Balance September 2023 October 2023 Difference Balance $59,646,771 $57,729,800 $(1,916,971)
• Over the past month, the City's total cash and investments experienced a net decrease of $1,916,971. Cash receipts remained consistent from month to month, but total outlays outpaced receipts for the month. This is not uncommon for the month of October, as the City typically operates at a net cash deficit for each of the months outside of November, December and April each year. This is because approximately 50% of all receipts for the City are received through property taxes, and those are the three months the City receives most of the allotments from the County.
• The percentage of pooled investments remained at 0.30%. Pooled investments include the Local Agency Investment Fund (LAIF) and the Orange County Investment Pool (OCIP).
• The average weighted maturity of City investments, including investment pools and money market, increased to 528 days. The average weighted maturity of City investments, including investment pools and money market, is calculated as follows: Sum of days left until maturity of each individual investment multiplied by the cost of each individual investment divided by the total portfolio at cost, excluding cash in bank.
• The net yield of LAIF increased from 3.534% to 3.670%. The net yield of OCIP increased from 3.924% to 4.220%. The net yield for the First American money market funds in the City's custodian account remained at 5.230%. Staff anticipates the pooled yields to increase in the short-term as those funds continue to trail the Fed Funds rate, as can be seen below:
Average Monthly Yield Comparison - 10/2018 through 10/2023
6.00%
5.00% →PMIA
4.00% — S&P GIP
3.00% -o• Fed Funds
2.00%
1.00%
October Yields
000% 1 PMIA 3.670%
12019- 12018 12018 SEP GP 5.550%
10/2019 Fed Funds 5.310%
• The average weighted yield of City investments, including investment pools and money market, increased from 2.956% to 2.960%. It is not unusual for the City's weiahted average return to trail the LAIF rate during times of rising interest rates. The City's average weighted yield of City investments, including investment pools and money market, is calculated by taking the total investment earnings divided by the total portfolio at cost, and includes cash in the sweep investments. A comparison of the City's average weighted yield to short-term and long-term benchmarks is presented below.
City Portfolio Benchmark Comparisons
Average 5-Year 1-Year 6-Month OCIP LAIF
Weighted Treasury Treasury Treasury
Yield
2.960% 4.820% 5.440% 5.570% 4.220% 3.670%
The monthly Investment Report as of October 31, 2023, is attached.
ALTERNATIVES CONSIDERED
1. The City Council can choose not to receive and file the City of Laguna Niguel Investment Report as of October 31, 2023.
FISCAL REVIEW
There is no fiscal impact as a result of this action.
CONCLUSION
The City Investment Policy requires the submittal of a monthly Investment Report. Staff recommends that the City Council receive and file this Report.
Jamasa detousnau Tw
Tamara S. Letourneau Trevor Agrelius
City Manager Finance Director
Attachments:
A. Monthly Investment Report as of October 31, 2023
ATTACHMENT A
Investment Report as of October 31, 2023
CITY OF LAGUNA NIGUEL
INVESTMENT REPORT
as of
October 31, 2023
Tamara S. Letourneat
ITY MANAGE
Trevor Agrelius
FINANCE DIRECTOR
December 5, 2023
CITY OF LAGUNA NIGUEL
INVESTMENT REPORT
TABLE OF CONTENTS
Statement of Compliance/Non-Compliance 1
Report of Cash and Investments 2
LAIF Investment Reports 3-5
OCIP Investment Reports 6-9
US Bank Statement 10-22
PARS Statement 23
City of Laguna Niguel
Statement of Compliance/Non-Compliance with the City's Investment Policy The undersigned officers of the City of Laguna Niguel hereby certify that:
As of October 31, 2023, the City was in compliance with the Investment Policy adopted at the July 19, 2022, Regular City Council Meeting.
Sufficient investment liquidity from cash and cash equivalents and anticipated revenues are available to meet the City's budgeted expenditure requirements for the next six months.
TwAn
Tamara S. Letourneau Trevor Agrelius
City Manager Finance Director
City of Laguna Niguel
Summary of Cash and Investments
10/31/2023
MONEY Purchased
Description Yield Cost
Petty Cash/Change Drawer: $ 2,500.00 $
US Bank Checking & Investment Account 4.952% 1,775,960.18 US Bank Money Market 5.230% 7,206,843.74
Local Agency Investment Fund 3.670% 100,899.35
Orange County Investment Pool 4.220% 76,181.61
US Treasury Note:
912828U57 5116/2023 11/30/2023 2.125% 4.460% 2,469,100.00 2,493,475.00 912828V23 3/28/2023 12/31/2023 2.250% 4,350% 2,953,290.00 2,984,160,00 912828529 4/10/2023 1/31/2024 2.500% 4.530% 2,460,150.00 2,4B1,925.00 9128286G0 5/16/2023 2/29/2024 2.375% 4.501% 2,459,075.00 2,474,425.00 912810EV6 6/22/2023 8/15/2025 6.875% 4.311% 2,104,000.00 2,058,900.00 Certificates of Deposit: 3.46%
949764GT5 10/24/2023 4/24/2025 5.500% 5.500% 250,000.00 249,337.50 83407DBPO 10/30/2023 4/30/2025 5.450% 5.450% 250,000.00 249,087.50 15140RCY3 7/25/2023 7/26/2027 4.700% 4,700% 250,000.00 244,325.00 8562834C7 7/31/2023 8/2/2027 4.600% 4.600% 250,000.00 243,417,50 05580AY24 7/18/2023 4/14/2028 4.400% 4.408% 249,875.00 240,025.00 2546733V6 7/18/2023 4/17/2028 4.400% 4.408% 249,875,00 240,087.50 20033A412 7/26/2023 7/26/2028 4.450% 4.450% 250,000.00 240,122,50 062119CD2 7/28/2023 7/28/2028 4,500% 4.500% 250,000.00 240,637.50 Federal Home Loan Mortgage Corporation:
3134GVSR5 7/15/2020 7/15/2024 0.570% 0.570% 1,000,000.00 3137EAEPO 1/29/2021 2/12/2025 1.500% 0,337% 4,188,112.71 Federal National Mortgage Association:
3135G05X7 1/29/2021 8/25/2025 0.375% 0.519% 8,645,922,29 Federal Farm Credit Banks:
3133EPYW9 10/20/2023 10/20/2025 5.125% 999,000.00
3133ENVD9 4/26/2022 4/26/2027 2.875% 3,995,360.00
Federal Home Loan Banks': 26.49%
3130ATBLO 9/19/2022 12/8/2023 3.625% 3.810% 3,991,360.00 3130AJTF6 7/14/2020 7/14/2025 0.740% 0.740% 1,000,000.00 3130AJTX7 7/21/2020 7/21/2025 0.720% 0.720% 625,000.00
3130AMFS6 8/12/2021 6/12/2026 0.750% 0.735% 2,001,415.36 3130AWLY4 7/25/2023 6/13/2025 5.125% 4.900% 1,004,010.00 3130A8XY4 10/18/2021 9/11/2026 1.875% 1.100% 4,665,690,00 3130AWC24 6/23/2023 6/9/2028 4.000% 3.930% 2,006,180.00
60.00%
3 57,729,800.24
Restricted for Specific Use
PARS 115 Pension Trust 20.00% $ 1,906,288.73
Average weighted maturity of Investments, excluding Investment Pools: 628 days i Average weighted maturity of Investments, including Investment Pools and Money Market: 528 days Average weighted yield of Investments, excluding Investment Pools:
Averare weiehted vield of Investments, including Investment Pools and Money Market:
• Market value of City investments is provided by US Bank * Investments in FHLB appear high of 10/31/2023 due to market fluctuations and timing of property tax receipts. In accordance with the City's Investment Policy, the FHLB investment will be under the stated limitation within 90 days.
NoT Mare red arts teren testand a cerate a vermen internataly there, any. 2 PMIA/LAIF Performance Report
as of 11/14/23 SET TROT 10О
Quarterly Performance PMIA Average Monthly
Quarter Ended 09/30/23 Effective Yields)
LAIF Apportionment Rate?): 3.59 October 3.670
LAIF Earnings Ratio 2): 0.00009812538629360 September 3.534 LAIF Administrative Cost)* 0.29 August 3.434
LAIF Fair Value Factor (1). 0.986307739 July 3.305**
PMIA Daily). 3.48 June 3.167
PMIA Quarter to Date(), 3.42 May 2.993
PMIA Average Life'"): 256
Pooled Money Investment Account
Monthly Portfolio Composition (2)
10/31/23
$165.7 billion
Corporate
Commercial Bonds
Paper 0.31%
Time
5.32% Loans
Deposits
.0.23%
3.11%
Certificates of
Deposit/Bank Notes
7.81%
Agencies:
21.62% Treasuries
61.60%
Chart does not include $2,300,000.00 in mortgages, which equates to 0.001%. Percentages may not total 100% due to rounding.
Daily rates are now available here. View PMIA Daily Rates otes: The apportionment rate includes interest earned on the CaPERS Supplemental Pension Payment pursuant to Government Code 2082 )(1) and interest earned on the Wildfire Fund loan pursuant to Public Utility Code 3288 (a ** Revised
Source:
(1) State of California, Office of the Treasurer
(2) State of Calfiornia, Office of the Controller
State of California
PMIA Pooled Money Investment Account
Market Valuation
10/31/2023
Carrying Cost Plus
Description Accrued Interest Purch. Fair Value Accrued Interest United States Treasury:
Bills $ 27,362,385,544.60 $ 27.688.866,500.00 NA
Notes $ 74,723,150,217.27 $ 73,067,344,500.00 I$ 379,860,665.50 Federal Agency:
SBA A cA 286,125,786.69 $ 285,460,873.80 $ 1,326,221.82 MBS-REMICS 2,300,832.94 $ 2.226.326.97 $ 10,147.44
Debentures 9,232,490,986.18 $ 9,066,268.750.00 $ 58,738,015.70 Debentures FR 17 6A 67
Debentures CL 800,000,000.00 $ 779,656,000.00 6,377,986.50 Discount Notes $ 22,486,864.618.01 $ 22.789.981,500.00 NA Supranational Debentures $ 3,019,396,107.33 2,952,865,900.00 $ 20,953,731.60 Supranational Debentures FR $ $
CDs and YCDs FR $ $
Bank Notes : $
$
CDs and YCDs 12,950,000,000.00 12,945,802,665.31 $ 134,832,513.87 Commercial Paper 8.823.250.777.72 $ 8,894,888,513.90 NA Corporate:
Bonds FR $ $
Bonds $ 512,632,935.77 $ 488,209,800.00 $ 3.195,764.23
Repurchase Agreements $ $
$ :
Reverse Repurchase $ $
Time Deposits 5,154.000.000.00 5,154,000,000.00 NA
PMIA & GF Loans $ 380,626,000.0 380,626,000.00 NA
TOTAL $ 165.733,223,806.51 | s 164,496,197,329.98 | $ 605,295,046.66 Fair Value Including Accrued Interest $ 165,101,492,376.64 Repurchase Agreements, Time Deposits, PMIA & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost). 4 11/27/23, 1:21 PM LAIF Regular Monthly Statement
California State Treasurer
Fiona Ma, CPA
Local Agency Investment Fund November 27, 2023
P.O. Box 942809
Sacramento, CA 94209-0001 LAIF Home
(916) 653-3001 PMIA Average Monthly.
Yields
CITY OF LAGUNA NIGUEL
TREASURER
30111 CROWN VALLEY PARKWAY
LAGUNA NIGUEL, CA 92677
Iran Type Definitions
Account Number: 98-30-408
October 2023 Statement
Web
Effective Transaction Type Confirm Confirm
Date Number Number Authorized Caller Amount
10/13/2023 10/12/2023 ORD 1741507 N/A SYSTEM 992.12
Account Summary
Total Deposit: 992.12 Beginning Balance: 99,907.23
Total Withdrawal: 0.00 Ending Balance: 100,899.35
1/1
https://laifms.treasurer.ca.gov/RegularStatement.aspx
COUNTY OF ORANGE
OFFICE OF THE TREASURER-TAX COLLECTOR
Shari L. Freidenrich, CPA, CCT, CPFA, ACPFIM
P. O. BOX 4515
CALIFORNI SANTA ANA, CA 92702-4515
octreasurer.com/publicfunds
October 31, 2023
CITY OF LAGUNA NIGUEL
Fund Number : 9LQ
OCTOBER 2023 STATEMENT
INVESTMENT BALANCE IN OCIP
Transactions
Transaction Transaction Description Authorized Signer Amount Date
10/02/2023 September 2023 Investment Admin Fee (3.13)
10/30/2023 July 2023 Interest Paid 453.03
Summary
Total Deposit: 453.03 Beginning Balance: $ 75,731.71
Total Withdrawal: $ (3.13) Ending Balance: $ 76,181.61
ORANGE COUNTY TREASURER-TAX COLLECTOR
ORANGE COUNTY INVESTMENT FUND (OCIF)
ORANGE COUNTY TREASURER'S POOL (OCT), SPECIFIC INVESTMENT AND BOND PROCEEDS ACCOUNTS () FOR THE MONTH ENDED: OCTOBER 31, 2023
OCT INVESTMENT STATISTICS?)
CURRENT BALANCES Average Days to Maturity Daily Yield as of MONTHLY Current NAV DESCRIPTION 10/31/202: Gross Yield
MARKET Value $ 14,150,228,316
COST (Capital) $ 14,152,226,188 4.121% 0.9946
Orange County Treasurer's Pool (OCT) 272 4.220%
MONTHLY AVG Balance $ 13,730,502,612
BOOK Value S 14,227,589,007
SPECIFIC INVESTMENT ACCOUNTS STATISTICS (?)
CURRENT BALANCE Fund MONTHLY Market Value Book Value Current NAV DESCRIPTION Gross Yield
Pension Prepayment-CEO (PP-CEO) MARKET Value $ 544,656,547 PP-CEO 4.597% $ 512,262,112 515,555,668 0.9936 Fountain Valley School District Fund 40 (FVSD) COST (Capital) $ 532,662,559 FVSD 2,463% 32,394,435 33,854,410 0.9569 MONTHLY AVG Balance $ 532,662,559
BOOK Value S 549,410,078
BOND PROCEEDS ACCOUNT STATISTICS
MONTHLY Market Value Book Value Current NAV
DESCRIPTION CURRENT BALANCE Fund Gross Yield
CCCD Series 2017E Bonds (CCCD) MARKET Value $ 21,031,792 CCCD 3.140% $ 21,031,792 23,438,581 0.8973 COST (Capital) $ 24,295,341
MONTHLY AVG Balance $ 24,295,812
BOOK Value $ 23,438,581
OCIF TOTALS
INVESTMENTS YEAR-TO-DATE EARNINGS
OCIP $ 6,523,354,934 OCIP $ 76,936,771
OCEIP 7,628,871,254 OCEIP 109,555,462
Specific Investment Accounts 532,662,559 Specific Investment Accounts 8,010,518 Bond Proceeds Account 24,295,341 Bond Proceeds Account 253,957 Cash 22,692,121
Total Assets in the County Treasury 14,731,876,209 Total OCIF Year-To-Date Earnings 194,756,708
KEY POOL STATISTICS
INTEREST RATE YIELD WEIGHTED AVERAGE MATURITY (WAM)
OCT - TD NET YIELD 3.920% OCTP 272
20-DAY T-BILL YIELD - YTD AVERAGE 5.480% LGIP (Standard & Poors) 37 (1) Reported in compliance with Govemment Code Section 53646(b)(1), with 2023 IPS requiring at least quarterly reporting per Government Code Section 53646 (d). (2) The current NAV for OCTP has increased slightly to 0.9946 from 0.9929. Short-term rates continue to rise, causing the market values on OCTP, PP-CEO, FVSD, and CCCD to continue t stay below book values. The OCTP, PP-CEO, FVSD, and CCCD have sufficient liquidity to meet projected cash flow need:
7 5
ORANGE COUNTY TREASURER-TAX COLLECTOR
SUMMARY OF INVESTMENT DATA
INVESTMENT TRENDS
INCREASE NET CHANGE INCREASE
OCTOBER 2023 SEPTEMBER 2023 OCTOBER 2022 NET CHANGE %
(DECREASE) % (DECREASE)
Orange County Investment Pool (OCIP)
End Of Month Market Value"? 6,522,438,734 $ 5,595,448,141 $ 926,990,593 16.57% $ 6,137,467,732 384,971,002 6.27% End Of Month Book Value 2 $ 6,558,009,582 $ 5,635,023,750 $ 922,985,832 16.38% $ 6,271,160,535 $ 286,849,047 4.57% Monthly Average Balance $ 6,023,913,061 $ 5,572,858,127 $ 451,054,934 8.09% $ 5,861,702,020 $ 162,211,041 2.77% Year-To-Date Average Balance 5,715,756,199 5,613,037,245 102,718,954 1.B3% $ 5,507,636,868 $ 208,119,331 3.78% Monthly Accrued Earnings? $ 21,136,633 18,743,059 $ 2,393,574 12.77% $ 9,380,625 11,756,008 125.32% Orange County Educational Investment Pool (OCEIP)
End Of Month Market Value!? 7,627,789,582 $ 7,883,685,034 $ (255,895,452) -3.25% $ 6,091,068,753 1,536,720,829 25.23% End Of Month Book Value!? $ 7,669,579,425 $ 7,940,117,686 (270,538,261) -3.41% $ 6,223,708,661 $ 1,445,870,764 23.23% Monthly Average Balance? $ 7.706,589,551 $ 7,881,055,914 (174,466,363) -2.21% $ 6,207,201,680 $ 1,499,387,871 24.16% Year-To-Date Average Balance? $ 8,090,993,805 8,219,128,557 (128,134,752) -1.56% 6,190,866,102 $ 1,900,127,703 30.69% Monthly Accrued Earnings? $ 27,356,453 $ 26,748,998 $ 607,454 2.27% 9,685,364 $ 17,671,089 182.45% Orange County Treasurer's Pool (OCTP)
Monthly Net Yield? 4.071% 4.024% 0.047% 1.17% 1.772% 2.299% 129.74% Year-To-Date Net Yield? 3.920% 3.870% 0.050% 1.29% 1.196% 2.724% 227.76% Annual Estimated Gross Yield* 4.050% 4.050% 0.000% 0.00% 2.615% 1.435% 54.88% Weighted Average Maturity (WAM)S 272 269 4 1.33% 241 31 12.93% Market values provided by Bloomberg and Northern Trust, Market values for OCIP and OCEIP are lower than book values. Short-term rates rose sharply in FY 2022-2023 while the increase this fiscal year is less, the market values on these pools remain below book values.
The OCIP and OCEIP have sufficient liquidity to meet projected cash flow needs. 2 The OCIP End of Month Market Value and End of Month Book Value are higher than the prior month due to property tax collections for FY 23-24 as tax bills were mailed and available in September, 2023. The OCEIP End of Month Market Value, End of Month Book Value, To Cia Moin Aced Earing higher an the pre re let a gher find atro, and he l and cr only car are a Many at ed and Year-To Date Not Yed are higher than ployer due o inher interest ras with the FOMC raising short-term rates by 3.75% since July 1. 2022 4 The OCTP Annual Estimated Gross Yield is higher than the prior year due to continued higher yields from short-term rale increases. The OCTP Annual Estimated Gross Yield for October 2022 is reported at the actual annual gross yields for FY 22-23 5 The OCT WAM is higher than the prior year due to longer term pruchases as the FMOC is expected lo discountinue rate hikes for the next several months and may begin to lower rates afterwards. 8 6
ORANGE COUNTY TREASURER - TAX COLLECTOR
OCTP INVESTMENT TYPE AND CREDIT QUALITY BY MARKET VALUE PERCENT October 31, 2023
Investment Type Credit Quality
100% 0.01% 100% 0.01%
8.63%
90% 90%
15.01%
80% 80%
70% 70%
60%
50% 99.99%
Investment Type in Percent 40% 40%
30%
20% 20%
10% 10%
0% 0%
mUS. GOVERNMENT AGENCIES • U.S. TREASURIES
• US Government I NR
MONEY MARKET MUTUAL FUNDS • LOCAL AGENCY INVESTMENT FUND Orange County Treasurer's Pool Orange County Treasurer's Pool Investment Type by Market Value - (%) Credity Quality by Market Value (%) In Thousands InThousands %
I U.S. GOVERNMENT AGENCIES $ 10,804,051 76.35% I US GOVERNMENT $ 14,148,879 99.99% U.S. TREASURES 2,124,184 15.01% NR 1.349 0.01%
MONEY MARKET MUTUAL FUNDS 1,220,644 8.63% 14.150.228 100.00% LOCAL AGENCY INVESTMENT FUND 1,349 0.01%
14.150.228 100.00%
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CITY OF LAGUNA NIGUEL Page 1 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
MARKET VALUE SUMMARY
Current Period
10/01/23 to 10/31/23
Change: -839,999.30
Beginning Market Value $54,300,217.04 $60,000,000
Taxable Interest 129,837.20 $50,000,000
Cash Disbursements -1,000,000.00
$40,000,000
Short Term Gains/Losses 84,320.00
Change in Investment Value -54,156.50 $30,000,000
$20,000,000
Ending Market Value $53,460,217.74
$10,000,000
$0
Beginning Ending
MV MV
$54,300,217.04 $53,460,217.74
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ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
ASSET SUMMARY
Current Period % of Estimated
Assets Market Value Total Annual Income
Cash & Equiv
Cash & Equivalents 7,206,843.74 13.50 377,310.77 $7,206,843.74 Taxable Bonds 46,253,374.00 86.50 1,127,100.00
Total Market Value $53,460,217.74 100.00 $1,504,410.77
Taxable Bonds
$46,253,374.00
Fixed Income Summary
Corporate Issues
$1,947,040.00
US Government Issues
$44,306,334.00
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ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
INCOME SUMMARY
Income Received
Current Period
Taxable Interest 129,837.20
Total Current Period Income $129,837.20
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ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
CASH SUMMARY
Cash
Beginning Cash 10/01/2023 $0.00
Taxable Interest 129,837.20
Cash Disbursements -1,000,000.00
Purchases -1,499,000.00
Sales 5,500,000.00
Net Money Market Activity -3,130,837.20
Ending Cash 10/31/2023 $0.00
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ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
ASSET DETAIL
Security Description Percent
Unrealized of Total Estimated Estimated
Shares/Face Amt Price Market Value Tax Cost Gain/Loss Portfolio Annual Income Current Yield Cash & Equivalents
Cash/Money Market
First American Treasury Oblig - 31846V542
Fd CIZ
#3678
7,206,843.740 1.0000 7.206,843.74 7,206,843.74 0.00 13.5 377,310.77 5.23 Total Cash/Money Market $7,206,843.74 $7,206,843.74 $0.00 13.5 $377,310.77 Total Cash & Equivalents $7,206,843.74 $7,206,843.74 $0.00 13.5 $377,310.77 Taxable Bonds
US Government Issues
F HLMC - 3137EAEPO
1.500 02/12/2025
4,000,000.000 95.3100 3,812,400.00 4,188,112.71 -375,712.71 7.1 60,000.00 1.57 FHLMC MTN - 3134GV5R5
0.570 07/15/2024
1,000,000.000 96.5430 965,430.00 1,000,000.00 -34,570.00 1.8 5,700.00 0.59 FNMA - 3135G05X7
0.375 08/25/2025
8,700,000.000 91.7470 7,981,989.00 8,645,922.29 663,933.29 14.9 32,625.00 0.41 Federal Farm Credit Bks - 3133ENVD9
2.875 04/26/2027
4,000,000.000 93.1420 3,725,680.00 3,995,360.00 -269,680.00 7.0 115,000.00 3.09 Federal Farm Credit Bks - 3133EPYW9
5.125 10/20/2025
1,000,000.000 99.9290 999,290.00 999,000.00 290.00 1.9 51,250.00 5.13 14 19419
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CITY OF LAGUNA NIGUEL Page 6 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023 ASSET DETAIL (continued)
Security Description Percent
Unrealized of Total Estimated Estimated
Shares/Face Amt Price Market Value Tax Cost Gain/Loss Portfolio Annual Income Current Yield Federal Home Loan Bks - 3130AJTX7
0.720 07/21/2025
625,000.000 92.5120 578,200.00 625,000.00 -46,800.00 1.1 4,500.00 0.78 Federal Home Loan Bks - 3130AJTF6
0.740 07/14/2025
1,000,000.000 92.6090 926,090.00 1,000,000.00 -73,910.00 1.7 7,400.00 0.80 Federal Home Loan Bks - 3130AMFS6
0.750 06/12/2026
2,000,000.000 89.6080 1,792, 160.00 2,001,415.36 -209,255.36 3.4 15,000.00 0.84 Federal Home Loan Bks - 3130A8XY4
1.875 09/11/2026
4,500,000.000 91.5480 4,119,660.00 4,665,690.00 -546,030.00 7.7 84,375.00 2.05 Federal Home Loan Bks - 3130ATBLO
3.625 12/08/2023
4,000,000.000 99.8070 3,992,280.00 3,991,360.00 920.00 7.5 145,000.00 3.63 Federal Home Loan Bks - 3130AWC24
4.000 06/09/2028
2,000,000.000 96.1110 1,922,220.00 2,006,180.00 -83,960.00 3.6 80,000.00 4.16 Federal Home Loan Bks - 3130AWLY4
5.125 06/13/2025
1,000,000.000 99.8050 998,050.00 1,004,010.00 -5,960.00 1.9 51,250.00 5.13 U S Treasury Bond - 912810EV6
6.875 08/15/2025
2,000,000.000 102.9450 2,058,900.00 2,104,000.00 -45,100.00 3.9 137,500.00 6.68 U S Treasury Note - 912828U57
2.125 11/30/2023
2,500,000.000 99,7390 2,493,475.00 2,469,100.00 24,375.00 4.7 53,125.00 2.13 U S Treasury Note - 912828V23
2.250 12/31/2023
3,000,000.000 99.4720 2,984, 160.00 2,953,290.00 30,870.00 5.6 67,500.00 2.26 15 19419
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220657-00-04007-0
usbank
CITY OF LAGUNA NIGUEL Page 7 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023 ASSET DETAIL (continued)
Security Description Percent
Unrealized of Total Estimated Estimated
Shares/Face Amt Price Market Value Tax Cost Gain/Loss Portfolio Annual Income Current Yield U S Treasury Note - 9128286G0
2.375 02/29/2024
2,500,000.000 98.9770 2,474,425.00 2,459,075.00 15,350.00 4.6 59,375.00 2.40 U S Treasury Note - 9128285Z9
2.500 01/31/2024
2,500,000.000 99.2770 2,481,925.00 2,460,150.00 21,775.00 4.6 62,500.00 2.52 Total US Government Issues $44,306,334.00 $46,567,665.36 -$2,261,331.36 82.9 $1,032, 100.00 Corporate Issues
Bank Five Nine Oconomowoc Wis - 062119CD2
4.500 07/28/2028
250,000.000 96.2550 240,637.50 250,000.00 -9,362.50 0.5 11,250.00 4.67 Bmw Bk North Amer Salt Lake City - 05580AY24
4.400 04/14/2028
250,000.000 96.0100 240,025.00 249,875.00 -9,850.00 0.4 11,000.00 4.58 Centier Bk Whitting Ind - 15140RCY3
4.700 07/26/2027
250,000.000 97.7300 244,325.00 250,000.00 -5,675.00 0.5 11,750.00 4.81 Comenity Cap Bk Draper - 20033A4J2
4.450 07/26/2028
250,000.000 96.0490 240,122.50 250,000.00 -9,877.50 0.4 11,125.00 4.63 Discover Bk Greenwood Del - 2546733V6
4.400 04/17/2028
250,000.000 96.0350 240,087.50 249,875.00 -9,787.50 0.4 11,000.00 4.58 16 19419
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CITY OF LAGUNA NIGUEL Page 8 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023 ASSET DETAIL (continued)
Security Description Percent
Unrealized of Total Estimated Estimated
Shares/Face Amt Price Market Value Tax Cost Gain/Loss Portfolio Annual Income Current Yield Sofi Bk Natl Assn Cottonwood H - 83407DBP0
5.450 04/30/2025
250,000.000 99.6350 249,087.50 250,000.00 -912.50 0.5 13,625.00 5.47 State Bk India Chicago III - 8562834C7
4.600 08/02/2027
250,000.000 97.3670 243,417.50 250,000.00 -6,582.50 0.5 11,500.00 4.72 Wells Fargo Bank Natl Assn - 949764GT5
5.500 04/24/2025
250,000.000 99.7350 249,337.50 250,000.00 -662.50 0.5 13,750.00 5.51 Total Corporate Issues $1,947,040.00 $1,999,750.00 -$52,710.00 3.6 $95,000.00 Total Taxable Bonds $46,253,374.00 $48,567,415.36 -$2,314,041.36 86.5 $1,127,100.00 Total Assets $53,460,217.74 $55,774,259.10 -$2,314,041.36 100.0 $1,504,410.77 Estimated Current Yield 2.81
ASSET DETAIL MESSAGES
Time of trade execution and trading party (if not. disclosed) will be provided upon request. blicly traded assets are valued in accordance with market quotations or valuation methodologies from financial industry services believed by us to be reliable. Assets that are not publicly traded may t or necesary refect prices at which assets so ud be bought or sold. Values are uptated based on hernat police and may be updated less frequenty than salemen generation, value. Values shown d stimated Current Yield and Estimated Annual Income are estimates provided for informational purposes only and should not be relied on for making investment, trading, or tax decisions. The estimate ay not represent the actual value earned by your investments and they provide no guarantee of what your investments may earn in the futur 19419
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220657-00-04007-1
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CITY OF LAGUNA NIGUEL Page 9 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
TRANSACTION DETAIL
Date
Posted Activity Description Cash Tax Cost
Beginning Balance 10/01/2023 $0.00 $56,560,101.90
10/02/23 Sale Matured 3,000,000 Par Value Of 3,000,000.00 -2,954,430.00 U S Treasury Nt 1.375% 9/30/23
3,00.00 Par Value A 100 %
10/02/23 Asset Income Interest Earned On 20,625.00
J S Treasury Nt 1.375% 9/30/2:
.006875 USD/$1 Pv On 3,000,000 Par Value Due 9/30/2
10/02/23 Asset Income Interest Earned On 18,530.52
First Am Treas Ob Fd CIZ
Interest From 9/1/23 To 9/30/23
10/06/23 Cash Disbursement Cash Disbursement -1,000,000.00 Paid To City Of Laguna Nigue
ACH Transfer To Checking
10/16/23 Asset Income Interest Earned On 5,515.07
nw Bk North C D 4.400% 4/14/2
02206 USD/$1 Pv On 250,000 Par Value Due 10/14/:
10/19/23 Asset Income Interest Earned On 5,515.07
Discover Bk C D 4.400% 4/17/28
0.02206 USD/$1 Pv On 250,000 Par Value Due 10/19/23
10/20/23 Purchase Purchased 1,000,000 Par Value Of -999,000.00 999,000.00 FF C B Deb 5.125% 10/20/25
Trade Date 10/17/23
urchased Through Cantor Fitzgerald & C
000,000 Par Value At 99.9
10/24/23 Purchase 'urchased 250,000 Par Value C -250,000.00 250,000.00 Vells Fargo C D 5.500% 4/24/2
10/26/23 Asset Income Interest Earned On 914.38
Comenity Cap Bk C D 4.450% 7/26/28
0.003658 USD/$1 Pv On 250,000 Par Value Due 10/26/23
18 19419
20225.00-07-04
usbank
CITY OF LAGUNA NIGUEL Page 10 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023 TRANSACTION DETAIL (continued)
Date
Posted Activity Description Cash Tax Cost
10/26/23 Asset Income FF C8 2875% 4126/27 57,500.00
0.014375 USD/$1 Pv On 4,000,000 Par Value Due 10/26/23
10/30/23 Purchase -250,000.00 250,000.00
10/30/23 Asset Income Interest Earned On 924.66
Bank Five Nine C D 4.500% 7/28/28
0.003699 USD/$1 Pv On 250,000 Par Value Due 10/28/23
10/31/23 Sale Matured 2,500,000 Par Value Of 2,500,000.00 -2,461,250.00 US Treasury Nt 1.625% 10/31/23
2,500,000 Par Value At 100 %
10/31/23 Asset Income Interest Earned On 20,312.50
U.ST125 US /S P2 n 20,20 Par Value Due 10/3123
Purchase Frat An Treas 0b Fa Coho Period 101 123 - 10/31/23 0f -5,628,912.54 5,628,912.54 Sale Combined Sales For The Period 10/ 1/23 - 10/31/23 C 2,498,075.34 -2,498,075.34 irst Am Treas Ob Fd CI:
Ending Balance 10/31/2023 $0.00 $55,774,259.10
19 19419
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CITY OF LAGUNA NIGUEL Page 11 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
SALE/MATURITY SUMMARY
Settlement Estimated
Date Description Tax Cost Proceeds Gain/Loss
Taxable Bonds
U S Treasury Note
1.375 09/30/2023
912828T26
10/02/23 Matured 3,000,000 -2,954,430.00 3,000,000.00 45,570.00 Par Value
Trade Date 9/30/23
3,000,000 Par Value At 100 %
U S Treasury Note
1.625 10/31/2023
912828T91
10/31/23 Matured 2,500,000 -2,461,250.00 2,500,000.00 38,750.00 Par Value
Trade Date 10/31/23
2,500,000 Par Value At 100 %
Total Taxable Bonds -$5,415,680.00 $5,500,000.00 $84,320.00 Total Sales & Maturities -$5,415,680.00 $5,500,000.00 $84,320.00
SALE/MATURITY SUMMARY MESSAGES
Estimated Year-To-Date Short-Term Gain (Loss): $156,480.62 Estimates should not be used for tax purposes
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CITY OF LAGUNA NIGUEL Page 12 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023
BOND SUMMARY
50%;
40%
30%
20%
10%
0%
2023 2024 2025 2026 2027 2028
Percentage of
Par Value Market Value Category
MATURITY
2023 9,500,000.00 9,469,915.00 20.48
2024 6,000,000.00 5,921,780.00 12.81
2025 18,825,000.00 17,853,344.00 38.60
2026 6,500,000.00 5,911,820.00 12.78
2027 4,500,000.00 4,213,422.50 9.10
2028 3,000,000.00 2,883,092.50 6.23
Total of Category $48,325,000.00 $46,253,374.00 100.00
MOODY'S RATING
Aaa 45,325,000.00 43,340,904.00 93.70
N/A 1,250,000.00 1,206,067.50 2.61
NOT RATED 1,750,000.00 1,706,402.50 3.69
Total of Category $48,325,000.00 $46,253,374.00 100.00
21 19419
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CITY OF LAGUNA NIGUEL Page 13 of 13
ACCOUNT NUMBER: 6736304200 October 1, 2023 to October 31, 2023 BOND SUMMARY (continued)
Percentage of
Par Value Market Value Category
S&P RATING
AA+ 32,825,000.00 30,848,019.00 66.69
N/A 13,500,000.00 13,458,315.00 29.10
NOT RATED 2,000,000.00 1,947,040.00 4.21
Total of Category $48,325,000.00 $46,253,374.00 100.00
BOND SUMMARY MESSAGES
Data contained within this section excluded Mutual Funds, Exchange Traded Funds, and Closed-Ended Funds. 22 PUBLIC
AGENCY PARS
RETIREMENT
SERVICES
CITY OF LAGUNA NIGUEL Account Report for the Period
PARS Post-Employment Benefits Trust 10/1/2023 to 10/31/2023 Tamara Letourneau
City Manager
City of Laguna Niguel
30111 Crown Valley Parkway
Laguna Niguel, CA 92677
Account Summary
Balance as of Balance as of
Source 10/1/2023 Contributions Earnings Expenses Distributions Transfers 10/31/2023 PENSION $1,946,235,05 $0,00 -$38,990.97 $955,35 $0.00 50,00 $1,906,288.73 Totals $1,946,235.05 $0.00 -$38,990.97 S955.35 $0.00 $0.00 $1,906,288.73 Investment Selection
Source
PENSION Moderately Conservative HighMark PLUS
Investment Objective
Source
he dual goals of the Moderately Conservative Strategy are current income and moderate capital appreciation. The major portion of the assets PENSION ommitted to income-producing securities. Market fluctuations should be expecte Investment Return
Annualized Return
Source 1-Month 3-Months 1-Year 3-Years 5-Years 10-Years Plan's Inception Date PENSION -2.00% -5.95% 2.96% -0.58% 5/26/2020
Information as provided by US Bank, Trustee for PARS; Not FDIC Insured; No Bank Guarantee: May Lose Value Account balances are inclusive of Trust Administration, Trustee and Investment Management fees Headquarters - 4350 Von Karman Ave, Suite 100, Newport Beach, CA 92660 800 540 6369 Fax 949.250 1250 www.pars org 23