CITY OF LAGUNA NIGUEL
CITY CouNcIL AGENDA ITEM
1989
To: Honorable Mayor and Council Members
FROM: Tamara S. Letourneau, City Manager
DATE: February 6, 2024
SUBJECT: Investment Report as of December 31, 2023
RECOMMENDATION
Staff recommends that the City Council receive and file the City of Laguna Niguel Investment Report as of December 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
December was an active and successful month for City investments. The City had $7 million of securities mature during the month and received approximately $6.5 million in property taxes during the month. Staff took advantage of this infusion and invested those funds in various securities and maturities spread throughout the next five years. In total, the City purchased $10.7 million of securities during the month in US Treasuries ($7.9 million), Certificates of Deposit ($0.8 million), and Federal Securities ($2.0 million). The securities mature as early as September 2024 through December 2028, with an average maturity of 3.6 years and an average purchased yield of 4.188%. The City also increased the amount invested in the money market account, currently yielding 5.25%.
The City's portfolio is in a strong position going into the new year. $2.5 million in US Treasuries will be maturing in both January and February, and can be reinvested at these elevated rates, and the other half of the property tax allotments will be received in March and April. Those tax funds will be invested in the most effective manner as well. As of December 31st ', the City's portfolio is well balanced, both for the maturity schedule, as well as the types of investments held, as can be seen from the charts below.
•
Market Percent of
Maturity Value Portfolio
2023 9,576,950 15.47%
2024 9,879,410 15.95%
2025 18,133,595 29.28%
2026 7,107,540 11.48%
2027 6,883,710 11.12%
2028 10,343,583 16.70%
Totals_61,924,788 - 100.00%
Market Percent of
Security Type Value Portfolio
US Treasury Note 21,076,990 34.04%
Federal Home Loan Banks 10,643,684 17.19%
Federal National Mortgage Association 8,133,804 13.13%
Federal Farm Credit Banks 6,901,200 11.14%
Federal Home Loan Mortgage Corporation 4,836,930 7.81%R US Bank Checking & Investment Accounts 4,275,195 6.90%
Certificates of Deposit 3,755,230 6.06%
US Bank Money Market 2,125,704 3.43%
Investment Pools 176,052 0.28%
Totals 61,924,788 100.00%
The Federal Reserve maintained its benchmark interest rate at the January 2024 Committee meeting, leaving the Fed Funds rate in a range of 5.25%-5.50%. In the policy statement issued by the Federal Open Market Committee (FOMC), they stated that "the Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2 percent".
Chairman Jerome Powell also stated that a March rate cut wasn't the "most likely case or what we'd call the base case". '. And "I don't think it's likely the Committee will reach a level of confidence by the time of the March meeting to identify March as the time to [cut rates]".
As of the most recent FOMC dot plot provided in December, the Federal Reserve does anticipate reducing rates this year, with the average member anticipating three rate cuts.
Just prior to the FOMC press release and Chair Powell's comments, data was showing markets suggested a 55% chance the first rate cut would happen in March. After his comments, the odds decreased to 36%, with investors suggesting a 90% chance there will be at least one rate cut in May.
The following table compares the portfolio balance as of December 2023 to November 2023.
Portfolio Balance November 2023 November 2023 Difference Balance $58,503,599 $63,439,817 $4,936,218
• Over the past month, the City's total cash and investments experienced a net increase of $4,936,218. The City received approximately $6.5 million in property taxes County during the month, resulting in the increase noted. • The percentage of pooled investments decreased to 0.28%. 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 732 days. This increase is due to the longer- term purchases made among US Treasuries and Certificates of Deposit during the month. 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 3.843% to 3.929%. The net yield of OCIP increased from 4.334% to 4.428%. The net yield for the First American money market funds in the City's custodian account increased to 5.250%. The PMIA rate still trails the Fed Funds rate by a significant amount, however, the gap is shortening as the FOMC has not raised the Fed Funds rate since July 2023.
Staff expects the pooled yields to continue to increase in the short term as those funds turnover lower earning investments.
Average Monthly Yield Comparison - 12/2018 through 12/2023
6.00%
5.00% - PMIA
4.00% - S&P GIP
200% - - - - Fed Funds
1.00%
0.00% December Yields
PMIA 3.929%
3/2019 9/2019 3/2020 3/2021 6/2021 9/2021 6/2022 9/2022 S&P GIP 5.590% 12/2018 12/2019 12/2020 12022 12/2023 Fed Funds 5.310%
• The average weighted yield of City investments, including investment pools and money market, increased from 2.983% to 3.064%. The increase is mostly due to purchases made during the month, as noted above. 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 shorterm and long-term benchmarks is City Portfolio Benchmark Comparisons
Average 5-Year 1-Year 6-Month OCIP LAIF
Weighted Treasury Treasury Treasury
Yield
3.064% 3.840% 4.790% 5.260% 4.428% 3.929%
The monthly Investment Report as of December 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 December 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.
Jamara S Betaunau
Tamara S. Letourneau Trevor Agrelius
City Manager Finance Director
Attachments:
A. Monthly Investment Report as of December 31, 2023
ATTACHMENT A
Investment Report as of December 31, 2023
CITY OF LAGUNA NIGUEL
INVESTMENT REPORT
as of
December 31, 2023
Tamara S. Letourneau
CITY MANAGER
Trevor Agrelius
FINANCE DIRECTOR
February 6, 2024
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 10-27
PARS Statement 28
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 December 31, 2023, the City was in compliance with the Investment Policy adopted at the August 1, 2023, 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.
Tamara S. Letourneau Trevor Agrelius
City Manager Finance Director
Settlement Maturity Coupon Percent of Maximum Allowable Market Description Date Date Rate Portfolio Per Investment Policy Value Petty Cash/Change Drawers $ 0.00% N/A
US Bank Checking & Investment Accounts 6.74% N/A
US Bank Money Market 3.35% 10.00%
Local Agency Investment Fund 0.16% Lesser of $40 million or 55% Orange County Investment Pool 0.12% Lesser of $40 million or 55% US Treasury Note: 33.03% N/A
912828V23 3/28/2023 12/31/2023
9128285Z9 4/10/2023 1/31/2024
9128286G0 5/16/2023 2/29/2024
912828YH7 12/22/2023 9/30/2024
91282CFX4 11/10/2023 11/30/2024
9128283P3 12/22/2023 12/31/2024
912810EV6 6/22/2023 8/15/2025
91282CJK8 11/30/2023 11/15/2026
9128284V9 12/22/2023 8/15/2028
91282CJAO 11/10/2023 9/30/2028
91282CDL2 12/22/2023 11/30/2028
91282CJN2 12/8/2023 11/30/2028
Certificates of Deposit: 5.91%
949764GT5 10/24/2023 4/24/2025
83407DBPO 10/30/2023 4/30/2025
15140RCY3 7/25/2023 7/26/2027
8562834C7 7/31/2023 8/2/2027
15118RM38 12/8/2023 12/8/2027
33610RVD2 12/12/2023 12/10/2027
05580AY24 7/18/2023 4/14/2028
2546733V6 7/18/2023 4/17/2028
20033A412 7/26/2023 7/26/2028
062119CD2 7/28/2023 7/28/2028
02589AF64 11/1/2023 11/1/2028
87165E3V7 11/3/2023 11/3/2028
795451DH3 12/13/2023 12/13/2028
58404DTX9 12/22/2023 12/22/2028
32110YK46 12/28/2023 12/28/2028
Federal Home Loan Mortgage Corporation: 8.18% 25.00%
3134GVSRS 7/15/2020 7/15/2024
3137EAEPO 1/29/2021 2/12/2025
Federal National Mortgage Association: 13.63% 25.00%
3135GO5X7 1/29/2021 8/25/2025
Federal Farm Credit Banks: 11.06% 25.00%
3133EPYW9 10/20/2023 10/20/2025
3133ENVD9 4/26/2022 4/26/2027
3133EPH81 12/8/2023 10/4/2027
Federal Home Loan Banks: 17.82% 25.00%
3130AJTF6 7/14/2020 7/14/2025
3130AJTX7 7/21/2020 7/21/2025
3130AMFS6 8/12/2021 6/12/2026
3130AWLY4 7/25/2023 6/13/2025
3130A8XY4 10/18/2021 9/11/2026
3130AWC24 6/23/2023 6/9/2028
Restricted for Specific Use
PARS 115 Pension Trust $
Average weighted maturity of Investments, excluding Investment Pools: 861 days Average weighted maturity of Investments, including Investment Pools and Money Market: 732 days Average weighted yield of Investments, excluding Investment Pools: 2.754% Average weighted yield of Investments, including Investment Pools and Money Market: 3.054% • Market value of City investments is provided by US Bank NOTE: Market value disclosure is for informational purposes only. City policy is to hold all investments to maturity; therefore, any unrealized gain or loss reflected between the cost and market value of an investment will not be realized. 2 PMIA/LAIF Performance Report
as of 1/17/24 SAT TRUST HAD
Quarterly Performance PMIA Average Monthly
Quarter Ended 12/31/23 Effective Yields(1)
LAIF Apportionment Rate?). 4.00 December 3.929
LAIF Earnings Ratio?). 0.00010932476863589 November 3.843 LAIF Administrative Cost* 0.29 October 3.670
LAIF Fair Value Factor! 0.993543131 September 3.534
PMIA Daily"): 3.96 August 3.434
PMIA Quarter to Date!"). 3.81 July 3.305**
PMIA Average Life: 230
Pooled Money Investment Account
Monthly Portfolio Composition (1)
12/31/23
$158.0 billion
Corporate
Commercial Bonds
Paper 0.36%
Time
5.71% Loans
Deposits .0.21%
3.34%
Certificates of
Deposit/Bank Notes
7.72%
Agencies. Treasuries
21.44% 61.22%
Chart does not include $2,164,000.00 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 tes: The apportionment rate includes interest earned on the CaPERS Supplemental Pension Payment pursuant to Government Code 20 (1) and interest earned on the Wildfire Fund loan pursuant to Public Utility Code 3288 | *The percentage of administrative cost equals the total administrative cost divided by the quarterly interest earnings. The law provides that administrative costs are not to exceed 5% of quarterly EARNINGS of the fund. However, if the 13-week Daily Treasury Bill Rate on the last day of the fiscal year is below 1%, then administrative costs shall not exceed 8% of quarterly EARNINGS of the fund for the subsequent fiscal year. ** Revised
Source:
(1) State of California, Office of the Treasurer
12) State of Calfiornia, Office of the Controller
3 State of California
Pooled Money Investment Account
Market Valuation
12/31/2023
Carrying Cost Plus
Description Accrued Interest Purch. Amortized Cost Fair Value Accrued Interest United States Treasury:
Bills $ 26,992,679,410.54 $ 27,341.582,810.63 $ 27,352,122,000.00 NA Notes $ 68,988,369,285.87$ 68.970,726,643.78 $ 68,066,367,000.00 380,047.413.50 Federal Agency:
SBA $ 273,825,056.61 $ 273,825,056.61 $ 273,117,626.86 $ 1,326,636.53 MBS-REMICS $ 2,164,861.02 $ 2,164,861.02 $ 2,133,161.33 9.501.16 Debentures $ 8,533,332,561.10 $ 8,532,907,561.09 $ 8,460,384,650.00 60,973,579.20 Debentures FR $ $
Debentures CL $ 650,000,000.00 $ 650,000,000.00 $ 639,238,500.00 $ 4,456,111.50 Discount Notes $ 21,584,982,812.45 $ 21,861,271,194.36 $ 21,856,617,000.00 NA Supranational Debentures $ 2,819,756,450.14 $ 2,819,512,700.14 $ 2,788,881,800.00 $ 20,848,175.60 Supranational Debentures FR $ $ $ - $
CDs and YCDs FR $ $ $ $
Bank Notes $ $ - $
CDs and YCDs $ 12,200,000,000.00 $ 12,200,000,000.00 $ 12,207,619,357.44 $ 162,478,416.67 Commercial Paper $ 9,014,594.527.68 $ 9,116,638,444.29 $ 9,117,150,756.95 NA Corporate:
Bonds FR $ $ $ $
Bonds $ 566,929,562.48 $ 566,697,340.26 $ 551,864,240.00 $ 3,944,225.38 Repurchase Agreements $ $ $
Reverse Repurchase $ $ $
Time Deposits $ 5,284,000,000.00 $ 5,284.000,000.00 $ 5,284,000,000.00 NA PMIA & GF Loans $ 325,717,000.00 $ 325,717,000.00 $ 325,717,000.00 NA TOTAL $ 157,236,351,527.89| $ 157,945,043,612.18 156,925,213,092.58 $ 634,084.059.54 Fair Value Including Accrued Interest $ 157,559,297,152.12 Repurchase Agreements, Time Deposits, PMIA & General Fund loans, and Reverse Repurchase agreements are carried at portfolio book value (carrying cost).
The value of each participating dollar equals the fair value divided by the amortized cost (0.993543131).
As an example: if an agency has an account balance of $20,000,000.00, then the agency would report its participation in the LAIF valued at $19,870,862.61 or $20,000,000.00 x 0.993543131. 4 1/9/24, 11:02 AM LAIF Regular Monthly Statement
California State Treasurer
Fiona Ma, cPA
Local Agency Investment Fund January 09, 2024
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 PARK WAY
LAGUNA NIGUEL, CA 92677
Tran Type Definitions
Account Number: 98-30-408
December 2023 Statement
Account Summary
Total Deposit: 0.00 Beginning Balance: 100,899.35
Total Withdrawal: 0.00 Ending Balance: 100,899.35
5 https://laifms.treasurer.ca.gov/RegularStatement.aspx 1/1
COUNTY OF ORANGE
OFFICE OF THE TREASURER-TAX COLLECTOR
Shari L. Freidenrich, CPA, CCT, CPFA, ACPFIM
P. O. BOX 4515
CALIFORNE SANTA ANA, CA 92702-4515 HERE TA COAR
octreasurer.com/publicfunds
December 31, 2023
CITY OF LAGUNA NIGUEL
Fund Number : 9LQ
DECEMBER 2023 STATEMENT
INVESTMENT BALANCE IN OCTP
Transactions
Transaction Transaction Description Authorized Signer Amount Date
12/01/2023 November 2023 Investment Admin Fee $ (3.15)
12/28/2023 September 2023 Interest Paid $ 255.94
Summary
Total Deposit: $ 255.94 Beginning Balance: $ 76,430.26
Total Withdrawal: $ (3.15) Ending Balance: $ 76,683.05
6 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 AND QUARTER ENDED: DECEMBER 31, 2023
OCTP INVESTMENT STATISTICS(2)
DESCRIPTION CURRENT BALANCES Daily Yield as MONTHLY QUARTERLY Current NAV Duration of 12/31/2023 Gross Yield Gross Yiel
MARKET Value $ 16,458,845,898
COST (Capital) $ 16,341,928,871
Orange County Treasurer's Pool (OCT) MONTHLY AVG Balance $ 15,953,786,311 0.76 4.428% 4.398% 4.282% 1.0021 QUARTERLY AVG Balance S 14,637,509,731
BOOK Value S 16,423,717,645
SPECIFIC INVESTMENT ACCOUNTS STATISTICS *)
DESCRIPTION CURRENT BALANCE Fund MONTHLY QUARTERLY Market Value Book Value Current NAV Gross Yield Gross Yield
Pension Prepayment-CEO (PP-CEO) MARKET Value $ 550,454,660 PP-CEO 4.597% 4.598% $ 517,407,462 519,168,462 0.9966 Fountain Valley School District Fund 40 (FVSD) COST (Capital) $ 532,662,559 FVSD 2,464% 2.475% 333,047,198 33,894,830 0.9750 MONTHLY AVG Balance S 532,662,559
QUARTERLY AVG Balance S 532,662,559
BOOK Value S 553,063,292
BOND PROCEEDS ACCOUNT STATISTICS (2)
DESCRIPTION CURRENT BALANCE Fund MONTHLY QUARTERLY Market Value Book Value Current NAV Gross Yield Gross Yield
CCCD Series 2017E Bonds (CCCD) MARKET Value $ 22,403,914 CCCD 3.150% 3.163% $ 22,403,914 23,553,755 0.9512 COST (Capital) S 24,449,634
MONTHLY AVG Balance S 24,416,627
QUARTERLY AVG Balance S 24,358,456
BOOK Value $ 23,553,755
OCIF TOTALS
INVESTMENTS & CASH YEAR-TO-DATE EARNINGS
OCTP $ 16,341,928,871 OCTP $ 297,542,061
OCIP 128,769,525
OCEIP 168,772,536
Specific Investment Accounts 532,662,559 Specific Investment Accounts 11,983,950 Bond Proceeds Account 24,449,634 Bond Proceeds Account 383,356 Cash 12,052,700
Total Assets in the County Treasury 16,911,093,764 | Total OCIF Year-To-Date Earnings 309.909,367
KEY POOL STATISTICS
INTEREST RATE YIELD WEIGHTED AVERAGE MATURITY (WAM)
OCT - YTD NET YIELD 4.059% OCTP 290
90-DAY T-BILL YIELD - TD AVERAGE 5.423% LGIP (Standard & Poors) 44 ) Reported in compliance with Government Code Section 53646 (b)(1), with 2023 IPS requiring at least quarterly reporting per Government Code Section 53646 | ) Due to the longer term nature of PP-CEO, FVSD, and CCCD, they continue to stay below book values. The PP-CEO, FVSD, and CCCD have sufficient liquidity to meet projected cash flow nee 5 ORANGE COUNTY TREASURER-TAX COLLECTOR
SUMMARY OF INVESTMENT DATA
INVESTMENT TRENDS
INCREASE NET CHANGE INCREASE
DECEMBER 2023 NOVEMBER 2023 DECEMBER 2022 NET CHANGE %
(DECREASE) % (DECREASE)
Orange County Investment Pool (OCIP)
End Of Month Market Value? 7,231,597,126 6,481,555,782 $ 750,041,344 11.57% $ 6,780,544,665 $ 451,052,461 6.65% End Of Month Book Value!? $ 7,216,162,668 $ 6,492,964,846 $ 723,197,822 11.14% $ 6,878,820,237 337,342,431 4.90% Monthly Average Balance 7,685,098,182 $ 6,376,044,258 1,309,053,924 20.53% $ 7,455,529,661 229,568,521 3.08% Year-To-Date Average Balance $ 6,171,135,846 $ 5,868,343,379 302,792,467 5.16% 5,989,186,801 $ 181,949,045 3.04% Monthly Accrued Earnings? $ 28,719,098 $ 23,113,656 $ 5,605,442 24.25% 18,094,769 $ 10,624,329 58.71% Orange County Educational Investment Pool (OCEIP)
End Of Month Market Value!? $ 9,227,248,772 $ 7,982, 135,069 $ 1,245,113,703 15.60% $ 8,351,331,628 $ 875,917,144 10.49% End Of Month Book Value!? 5 9,207,554,977 $ 7,996, 185,506 $ 1,211,369,471 15.15% $ 8,473,072,525 $ 734,482,452 8.67% Monthly Average Balance? 8,268,688, 128 7,852, 196,013 $ 416,492, 115 5.30% $ 7,291, 108,209 $ 977,579,919 13.41% Year-To-Date Average Balance 8,063,701,920 $ 8,022,704,679 $ 40,997,242 0.51% $ 6,514,782,972 $ 1,548,918,949 23.78% Monthly Accrued Earnings? $ 31,273,899 $ 27,943,175 $ 3,330,724 11.92% $ 17,600,484 $ 13,673,415 77.69% Orange County Treasurer's Pool (OCTP)
Monthly Net Yield? 4.348% 4.277% 0.071% 1.66% 2.766% 1.582% 57.18% Year-To-Date Net Yield 4.059% 3.992% 0.067% 1.68% 1.699% 2.360% 138.93% Annual Estimated Gross Yield* 4. 050% 4.050% 0.000% 0.00% 2.615% 1.435% 54.86% Weighted Average Maturity (WAM)® 290 286 4 1.48% 200 90 45.25% Market values provided by Bloomberg and Northern Trust
the FOMC raising short-term rates by 3.75% since July 1, 2022, and reinvestment yields that are higher than the current portfolio yield and the maturing securities, respectively. 4 The OCT Annual Estimated Gross Yield is higher than the prior year due to continued higher yields from short-term rate increases. The OCTP Annual Estimated Gross Yield for December 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 to discountinue rate hikes for the next several months and may begin to lower rates afterwards 6 8
ORANGE COUNTY TREASURER - TAX COLLECTOR
OCT INVESTMENT TYPE AND CREDIT QUALITY BY MARKET VALUE PERCENT December 31, 2023
Investment Type Credit Quality
0.01% 0.01%
100% 100%
13.38%
90% 90%
80% 80%
20.12%
70% 70%
Percent 60% in Percent 60%
50% 50% 99.99%
40% 40%
Investment Type G6 4995
30% 30%
20% 20%
10% 10%
0% 0%
In Thousands In Thousands %
U.S. GOVERNMENT AGENCIES $ 10,942,527 66.49% I US GOVERNMENT 16,457,497 99.99% I U.S. TREASURIES 3,312,083 20.12% NR 1,349 0.01%
MONEY MARKET MUTUAL FUNDS 2,202,887 13.38% 16.458.846 100.00% I LOCAL AGENCY INVESTMENT FUND 1,349 0.01%
16.458,846 100.00%
11 9
24902
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0220657-00-04007-04
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CITY OF LAGUNA NIGUEL Page 1 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
MARKET VALUE SUMMARY
Current Period
12/01/23 to 12/31/23
Change: 5,077,699.30
Beginning Market Value $52,395,842.54 $70,000,000
Taxable Interest 122,472.58 $60,000,000
Cash Receipts 4,500,000.00$50,000,000
Long Term Gains/Losses 8,644.06 $40,000,000
Short Term Gains/Losses 0.16 $30,000,000
Change in Investment Value 446,582.50 $20,000,000
Ending Market Value $57,473,541.84 $10,000,000
$0
Beginning Ending
MV MV
$52,395,842.54 $57,473,541.84
24 24902
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ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
ASSET SUMMARY
Current Period % of Estimated
Assets Market Value Total Annual Income
Cash & Equiv
$2,125,704.09
Cash & Equivalents 2,125,704.09 3.70 111,566.41
Taxable Bonds 55,347,837.75 96.30 1,449,975.00
Total Market Value $57,473,541.84 100.00 $1,561,541.41
Taxable Bonds
$55.347.837.75
Fixed Income Summary
Corporate Issues
$3,755,230.00
US Government Issues
$51 592 607 75
24902
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ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
INCOME SUMMARY
Income Received
Current Period
Taxable Interest 122,472.58
Total Current Period Income $122,472.58
24902
00--M -UC-UU -364-04
0220657-00-04007-04
1764
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ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
CASH SUMMARY
Cash
Beginning Cash 12/01/2023 $0.00
Taxable Interest 122,472.58
Cash Receipts 4,500,000.00
Capital Gain Distributions 4.22
Purchases -11,247,547.50
Sales 4,000,000.00
Net Money Market Activity 2,625,070.70
Ending Cash 12/31/2023 $0.00
24902
002205700-00-04
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ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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
2,125,704.090 1.0000 2,125,704.09 2,125,704.09 0.00 3.7 111,566.41 5.25 Total Cash/Money Market $2,125,704.09 $2,125,704.09 $0.00 3.7 $111,566.41 Total Cash & Equivalents $2,125,704.09 $2,125,704.09 $0.00 3.7 $111,566.41 Taxable Bonds
US Government Issues
- HL MC - 3137EAEP(
1.500 02/12/202:
4,000,000.000 96.5410 3,861,640.00 4,188,112.71 -326,472.71 6.7 60,000.00 1.55 F HLMC MTN - 3134GV5R5
0.570 07/15/2024
1,000,000.000 97.5290 975,290.00 1,000,000.00 -24,710.00 1.7 5,700.00 0.58 F N MA - 3135G05X7
).375 08/25/2025
8,700,000.000 93.4920 8,133,804.00 8,645,922.29 -512,118.29 14.2 32,625.00 0.40 Federal Farm Credit Bks - 3133ENVD9
2.875 04/26/2027
4,000,000.000 96.3470 3,853,880.00 3,995,360.00 -141,480.00 6.7 115,000.00 2.98 Federal Farm Credit Bks - 3133ЕPH81
4.500 10/04/2027
2,000,000.000 101.7350 2,034,700.00 2,024,580.00 10,120.00 3.5 90,000.00 4.42 24902
- -M -UC-UU -364-1
20657-00-04007-
usbank
CITY OF LAGUNA NIGUEL Page 6 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 Farm Credit Bks - 3133EPYWS
5.125 10/20/2025
1,000,000.000 101.2620 1,012,620.00 999,000.00 13,620.00 1.8 51,250.00 5.06 Federal Home Loan Bks - 3130AJTX
0.720 07/21/2025
625,000.000 94.5110 590,693.75 625,000.00 -34,306.25 1.0 4,500.00 0.76 Federal Home Loan Bks - 3130AJTF6
0.740 07/14/2025
1,000,000.000 94.6070 946,070.00 1,000,000.00 -53,930.00 1.6 7.400.00 0.78 Federal Home Loan Bks - 3130AMFS6
0.750 06/12/2026
2,000,000.000 92.1070 1,842, 140.00 2,001,415.36 -159,275.36 3.2 15,000.00 0.81 Federal Home Loan Bks - 3130A8XY4
1.875 09/11/2026
4,500,000.000 94.4360 4.249,620.00 4,665,690.00 -416,070.00 7.4 84,375.00 1.98 Federal Home Loan Bks - 3130AWC24
4.000 06/09/2028
2,000,000.000 100.3500 2,007,000.00 2,006, 180.00 820.00 3.5 80,000.00 3.99 Federal Home Loan Bks - 3130AWLY4
5.125 06/13/2025
1,000,000.000 100.8160 1,008,160.00 1,004,010.00 4,150.00 1.8 51,250.00 5.08 U S Treasury Bond - 912810EV6
6.875 08/15/2025
2,000,000.000 103.8950 2,077,900.00 2,104,000.00 -26,100.00 3.6 137,500.00 6.62 U S Treasury Note - 912828YH7
1.500 09/30/2024
1,500,000.000 97.4880 1.462,320.00 1,463,062.50 -742.50 2.5 22,500.00 1.54 US Treasury Note - -91282CDL2
1.500 11/30/2028
1,750,000.000 89.4260 1,564,955.00 1,571,710.00 -6,755.00 2.7 26,250.00 1.68 24902
- -M -UC-UU - 364-
220657-00-04007-
usbank
CITY OF LAGUNA NIGUEL Page 7 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 US Treasury Note - 912828V23
2.250 12/31/2023
3,000,000.000 100.0000 3,000,000.00 2,953,290.00 46,710.00 5.2 67,500.00 2.25 U S Treasury Note - 9128283P3
2.250 12/31/2024
1,500,000.000 97.5330 1,462,995.00 1,464,600.00 -1,605.00 2.5 33,750.00 2.31 US Treasury Note - 9128286GO
2.375 02/29/2024
2,500,000.000 99.5290 2,488,225.00 2,459,075.00 29,150.00 4.3 59,375.00 2.39 US Treasury Note - 912828529
2.500 01/31/2024
2,500,000.000 99.7700 2,494,250.00 2,460,150.00 34,100.00 4.3 62,500.00 2.51 U S Treasury Note - 9128284V9
2.875 08/15/2028
1,500,000.000 95.6990 1,435,485.00 1,441,875.00 -6,390.00 2.5 43,125.00 3.00 US Treasury Note - 91282CJ2
4.375 11/30/2028
2,000,000.000 102.3280 2,046,560.00 2,031,720.00 14,840.00 3.6 87,500.00 4.27 US Treasury Note - 91282CFX4
4.500 11/30/2024
1,000,000.000 99.6330 996,330.00 992,812.50 3,517.50 1.7 45,000.00 4.52 US Treasury Note - 91282CJAO
4.625 09/30/2028
1,000,000.000 103.2190 1,032, 190.00 1,005,380.00 26,810.00 1.8 46,250.00 4.48 U S Treasury Note - 91282CJK8
4.625 11/15/2026
1,000,000.000 101.5780 1,015,780.00 1,008,640.00 7,140.00 1.8 46,250.00 4.55 Total US Government Issues $51,592,607.75 $53,111,585.36 -$1,518,977.61 89.8 $1,274,600.00 24902
10- -M -UC-UU -364-0
0220657-00-04007-0
usbank
CITY OF LAGUNA NIGUEL Page 8 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 Corporate Issues
Cmerican Express Nall BK - 02589AF64
5.000 11/01/2028
250,000.000 102.5420 256,355.00 250,000.00 6,355.00 0.4 12,500.00 4.88 ipk Five Nine Oconomowoc Wis - 062119CD2
4.500 07/28/2028
250,000.000 100.0050 250,012.50 250,000.00 12.50 0.4 11,250.00 4.50 Bmw Bk North Amer Salt Lake City - 05580AY24
4.400 04/14/2028
250,000.000 99.1990 247,997.50 249,875.00 -1,877.50 0.4 11,000.00 4.44 Celtic Bk Salt Lake City Utah - 15118RM38
4.600 12/08/2027
250,000.000 99.5880 248,970.00 250,000.00 -1,030.00 0.4 11,500.00 4.62 Centier Bk Whitting Ind - 15140RCY3
4.700 07/26/2027
250,000.000 99.6790 249,197.50 250,000.00 -802.50 0.4 11,750.00 4.71 Comenity Cap Bk Draper - 20033A4J2
4.450 07/26/2028
250,000.000 99.7910 249,477.50 250,000.00 -522.50 0.4 11,125.00 4.46 Discover Bk Greenwood Del - 2546733V6
4.400 04/17/2028
250,000.000 99.2390 248,097.50 249,875.00 -1,777.50 0.4 11,000.00 4.43 First Natl Bk Amer East Lans - 32110YK46
4.300 12/28/2028
250,000.000 99.7610 249,402.50 250,000.00 -597.50 0.4 10,750.00 4.31 24902
00-1057.0-00.04
usbank
CITY OF LAGUNA NIGUEL Page 9 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 Fi Bt Premier B Sioux Falls - 33610RVD2
4.550 12/10/2027
250,000.000 99.4210 248,552.50 250,000.00 -1,447.50 0.4 11,375.00 4.58 Medallion Bk Utah - 58404DTX9
4.300 12/22/2028
250,000.000 99.7430 249,357.50 250,000.00 -642.50 0.4 10,750.00 4.31 Sallie Mae Bk Salt Lake City - 795451DH3
4.400 12/13/2028
250,000.000 100.1230 250,307.50 250,000.00 307.50 0.4 11,000.00 4.39 Sofi Bk Natl Assn Cottonwood H - 83407DBP0
5.450 04/30/2025
250,000.000 100.4960 251,240.00 250,000.00 1,240.00 0.4 13,625.00 5.42 State Bk India Chicago III - 8562834C7
4.600 08/02/2027
250,000.000 99.3640 248,410.00 250,000.00 -1,590.00 0.4 11,500.00 4.63 Synchrony Bank CD - 87165E3V7
5.000 11/03/2028
250,000.000 102.5540 256,385.00 250,000.00 6,385.00 0.4 12,500.00 4.88 24902
usbank
CITY OF LAGUNA NIGUEL Page 10 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 Wells Fargo Bank Natl Assn - 949764GT5
5.500 04/24/2025
250,000.000 100.5870 251,467.50 250,000.00 1,467.50 0.4 13,750.00 5.47 Total Corporate Issues $3,755,230.00 $3,749,750.00 $5,480.00 6.5 $175,375.00 Total Taxable Bonds $55,347,837.75 $56,861,335.36 -$1,513,497.61 96.3 $1,449,975.00 Total Assets $57,473,541.84 $58,987,039.45 -$1,513,497.61 100.0 $1,561,541.41 Estimated Current Yield 2.71
ASSET DETAIL MESSAGES
Time of trade execution and trading party (if not disclosed) will be provided upon request. may not resent heat at and your mesmens and hey roden ane a are nay an ere fran nesten rang or a cases nestine., 24902
022u000-00-04
usbank
CITY OF LAGUNA NIGUEL Page 11 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
TRANSACTION DETAIL
Date
Posted Activity Description Cash Tax Cost
Beginning Balance 12/01/2023 $0.00 $54,355,922.65
12/01/23 Asset Income Interest Earned On 16,704.05
terest From 1/23 To 11/30/23
12/08/23 Purchase -250,000.00 250,000.00
12/08/23 Purchase P Treasury 0 30 1 13028T -2,031,720.00 2,031,720.00
2.00,00 Par Value A 101586 al & Co.
12/08/23 Purchase Accrued Interest Paid Accrued Interest On Purchase Of -1,912.57 U S Treasury Nt 4.375% 11/30/28
Income Debit 1,912.57- USD
12/08/23 Purchase -2,024,580.00 2,024,580.00
Trade Date 12/7/23
2.000 Far Vale A 1022 al 8 Co.
12/08/23 Purchase Accrued Interest Paid Accrued Interest On Purchase Of -1,000.00 FF CB Deb 4.500% 10/04/27
Income Debit 1,000.00- USD
12/08/23 Sale Matured 4,000,000 Par Value O 4,000,000.00 -3,991,360.00 H L B Deb 3.625% 12/08/2
Trade Date 12/8/23
4,000,000 Par Value At 100%
12/08/23 Asset Income Interest Earned On 72,500.00
F H L B Deb 3.625% 12/08/23
0.018125 USD/$1 Pv On 4,000,000 Par Value Due 12/8/23
12/11/23 Asset Income Interest Earned On 41,777.78
F H L B Deb 4.000% 6/09/28
0.020889 USD/$1 Pv On 2,000,000 Par Value Due 12/9/23
24902
022057-004004
usbank
CITY OF LAGUNA NIGUEL Page 12 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023 TRANSACTION DETAIL (continued)
Date
Posted Activity Description Cash Tax Cost
12/12/23 Purchase Pust Premier k CD 4550% 12/10/27 -250,000.00 250,000.00 12/12/23 Asset Income Interest Earned On 7,500.00
F H L B Deb 0.750% 6/12/26
0.00375 USD/$1 Pv On 2,000,000 Par Value Due 12/12/23
12/13/23 Purchase Purchased 250,000 Par Value Of -250,000.00 250,000.00 Sallie Mae Bk C D 4.400% 12/13/28
Trade Date 12/6/23
Purchased Through Cantor Fitzgerald & Co.
Purchased On The OTC Bulletin Board
250,000 Par Value At 100%
12/13/23 Asset Income Interest Earned On 21,781.25
F HL B Deb 5.125% 6/13/25
0.021781 USD/$1 Pv On 1,000,000 Par Value Due 12/13/23
12/21/23 Cash Receipt Cash Receipt 4.06
Short-Term Capital Gain Div
First Am Treas Ob Fd CIZ
Sta Pavable 12/21/23
12/21/23 Cash Receipt Cash Receipt 0.16
12/21/23 Cash Receipt Cash Receipt 4,500,000.00
Recd From City Of Laguna Niguel
Received In Account Via ACH
Due 10/26/21
Transfer Of Fiunds To Custody Account
12/22/23 Purchase -250,000.00 250,000.00
Purchased On The OTC Bulletin Board
250,000 Par Value At 100%
24902
002205-000400-04
usbank
CITY OF LAGUNA NIGUEL Page 13 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023 TRANSACTION DETAIL (continued)
Date
Posted Activity Description Cash Tax Cost
12/22/23 Purchase -1,441,875.00 1,441,875.00
rade Date 12/21/23
13000 a Vale A 0.259 ral 8 Co.
12/22/23 Purchase Accrued Interest -15,117.19
Income Debit 15,117.19- USD
12/22/23 Purchase Purchased 1,750,000 Par Value Of -1,571,710.00 1,571,710.00 J S Treasury Nt 1.500% 11/30/28
Trade Date 12/21/23
urchased Through Cantor Fitzgerald & C
750,000 Par Value At 89.812
12/22/23 Purchase Accrued Interest Paid Accrued Interest On Purchase Of -1,577.87 U S Treasury Nt 1.500% 11/30/28
Income Debit 1,577.87-USD
12/22/23 Purchase Purchased 1,500,000 Par Value Of -1,464,600.00 1,464,600.00 U S Treasury Nt 2.250% 12/31/24
Trade Date 12/21/23
12/22/23 Purchase Accrued Interest Paid Accrued Interest On Purchase Of - 16,049.59 US Treasury Nt 2.250% 12/31/24
Income Debit 16,049.59- USD
12/22/23 Purchase Purchased 1,500,000 Par Value Of -1,463,062.50 1,463,062.50 U S Treasury Nt 1.500% 9/30/24
1.50.00 Par Value A 97-575 9ald 8 Co.
12/22/23 Purchase Accrued Interest Paid Accrued Interest On Purchase Of -5,102.46 U S Treasury Nt 1.500% 9/30/24
Income Debit 5,102.46-USD
12/26/23 Asset Income Interest Earned On 1,130.14
Wells Fargo C D 5.500% 4/24/25
0.004521 USD/$1 Pv On 250,000 Par Value Due 12/24/23
24902
D- -M -UC-UU -364-
220657-00-04007-0
usbank
CITY OF LAGUNA NIGUEL Page 14 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023 TRANSACTION DETAIL (continued)
Date
Posted Activity Description Cash Tax Cost
12/26/23 Asset Income heresity Cap BK CD 4 450% 7126/2 914.38 003658 USD/$1 Pv On 250,000 Par Value Due 12/26/2
12/28/23 Asset Income Bank Sive Nine CD 4.500% 1728122 924.66 .003699 USD/$1 Pv On 250,000 Par Value Due 12/28/2:
12/28/23 Purchase -250,000.00 250,000.00
Purchase Cos in treas a ra Co The Period 12 123-12312301 -4,561,455.23 4,561,455.23 Sale ombined Sales For The Period 12/ 1/23 - 12/31/23 C 7,186,525.93 -7,186,525.93 irst Am Treas Ob Fd Cl
Ending Balance 12/31/2023 $0.00 $58,987,039.45
24902
02200000-04
usbank
CITY OF LAGUNA NIGUEL Page 15 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
SALE/MATURITY SUMMARY
Settlement Estimated
Date Description Tax Cost Proceeds Gain/Loss
Cash and Equivalents
First American Treasury Oblig
Fd CIZ
#3678
FUZXX
12/21/23 Cash Receipt 4.06 4.06
Short-Term Capital Gain Div
Stca Payable 12/21/23
12/21/23 Cash Receipt 0.16 0.16
Long-Term Capital Gain Div
_tog Payable 12/21/23
Total First American Treasury Oblig Fd CI $0.00 $4.22 $4.22 Total Cash and Equivalents $0.00 $4.22 $4.22
Taxable Bonds
Federal Home Loan Bk:
.625 12/08/202:
3130ATBLO
12/08/23 Matured 4,000,000 -3,991,360.00 4,000,000.00 8,640.00 Par Value
Trade Date 12/8/23
4,000,000 Par Value At 100 %
Total Taxable Bonds -$3,991,360.00 $4,000,000.00 $8,640.00 Total Sales & Maturities -$3,991,360.00 $4,000,004.22 $8,644.22 38 24902
00--M -UC-UU -364-04
0220657-00-04007-04
usbank
CITY OF LAGUNA NIGUEL Page 16 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023
SALE/MATURITY SUMMARY MESSAGES
Estimated Year-To-Date Short-Term Gain (Loss): $187,380.62 Estimated Year-To-Date Long-Term Gain (Loss): $8,640.00 Estimates should not be used for tax purposes
24902
00- -M -UC-UU -364-04
0220657-00-04007-04
usbank
CITY OF LAGUNA NIGUEL Page 17 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 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 3,000,000.00 5.43
2024 9,879,410.00 17.85
2025 18,133,595.25 32.77
2026 7,107,540.00 12.84
2027 6,883,710.00 12.43
2028 10,500,000.00 10,343,582.50 18.68
Total of Category $56,825,000.00 $55,347,837.75 100.00
MOODY'S RATING
Aaa 52,075,000.00 50,617,317.75 91.45
N/A 2,250,000.0 2,221,585.00 4.01
NOT RATED 2,500,000.00 2,508,935.00 4.54
Total of Category $56,825,000.00 $55,347,837.75 100.00
24902
0220000400-04
usbank.
CITY OF LAGUNA NIGUEL Page 18 of 18
ACCOUNT NUMBER: 6736304200 December 1, 2023 to December 31, 2023 BOND SUMMARY (continued)
Percentage of
Par Value Market Value Category
S&P RATING
AA+ 30,825,000.00 29,540,327.75 53.37
N/A 22,250,000.00 22,052,280.00 39.84
NOT RATED 3,750,000.00 3,755,230.00 6.79
Total of Category $56,825,000.00 $55,347,837.75 100.00
BOND SUMMARY MESSAGES
Data contained within this section excluded Mutual Funds, Exchange Traded Funds, and Closed-Ended Funds. 41 PUBLIC
AGENCY
RETIREMENT PARS
SERVICES
CITY OF LAGUNA NIGUEL Account Report for the Period
PARS Post-Employment Benefits Trust 12/1/2023 to 12/31/2023 Tamara Letourneau
City Manager
City of Laguna Niguel
30111 Crown Valley Parkway
Laguna Niguel, CA 92677
Account Summary
Balance as of Balance as o
Source 12/1/2023 Contributions Earnings Expenses Distributions Transfers 12/31/202:
PENSION $2,016,709.69 $0.00 $88,205.07 $954.19 $0.00 $0.00 S2,103,960.57 Totals 52,016,709.69 S0.00 S88,205.07 $954.19 $0.00 S0.00 $2,103,960.57 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
1-Month 3-Months 1-Year 3-Years Annualized Retura 10 Years Plan's Inception Date Source
PENSION 4.37% 8.26% 11.24% 0.54% 5/26/2020
Information as provided by US Bank, Trustee for PARS; Not FDIC Insured; No Bank Guarantee; May Lose Value Past performance does not guarantee future results. Performance returns may not reflect the deduction of applicable fees, which could reduce returns. Information is deemed reliable but may be subject to change.
Investment Retur: Annualized rate of return is the return on an investment over a period other than one year multiplied or divided to give a comparable one-year return.
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 28