HomeMy WebLinkAboutAttachment Inv Report (Finance)ATTACHMENT 1
BACKGROUND
California Government Code Section 53646 requires the City Treasurer or the Chief
Financial Officer to submit to the City Council a quarterly report of the City's investment
portfolio consisting of the following information:
v Type of investment or description,
v Issuers (bank or institution),
v Dollar amount,
v Interest rate,
v Current market valuation as of the date of the report,
And the date of maturity.
In addition, the code requires that the report states the City's compliance with it's
investment policy and include a statement on the City's ability to meet it's pool's
expenditure requirements.
OVERVIEW OF CITY INVESTMENTS
The City's pooled investment portfolio as of the quarter ended September 30, 2012 is
summarized below and compared to the quarter ended September 30, 2011.
9/30/2012
9/30/2011
Par Value
53,230,877.11
46,648,557.87
Book Value (1)
53,961,651.33
46,648,807.87
Market Value (2)
53,885,248.71
46,809,864.88
(1) The book value is the actual cost of investments.
(2) The market value is the amount at which the investments could be sold.
The City of National City has 46.98% of the total portfolio invested in the California
Treasurer's Local Agency Investment Fund (LAIF). This is a liquid investment pool,
which allows participants to earn market rate returns of large investments, while
retaining access to funds within 24 hours of a withdrawal request. For the month ended
September 30, 2012, LAIF's monthly average effective yield was 0.348%.
The summary of the City's investment portfolio is illustrated in the following chart.