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HomeMy WebLinkAboutNew Invstmnt Broker-Dealers for the City of Palm DesertCITY OF PALM DESERT OFFICE OF THE CITY TREASURER STAFF REPORT REQUEST: RECOMMEND APPROVAL OF WELLS FARGO SECURITIES, JEFFERIES, PIPER JAFFRAY, AND STIFEL, NICOLAUS; AND CONDITIONAL APPROVAL OF J.P. MORGAN SECURITIES, AS BROKER -DEALERS FOR THE CITY OF PALM DESERT. SUBMITTED BY: Paul S. Gibson, CCMT, City Treasurer CONTRACTOR: Not Applicable DATE: April 28, 2016 CONTENTS: Staff Report Recommendation By Minute Motion, approve Wells Fargo Securities LLC, Jefferies LLC, Piper Jaff ray & Company, and Stifel, Nicolaus & Company; and conditionally approve J.P. Morgan Securities LLC, as broker -dealers for the City of Palm Desert. Committee Recommendation This item is being presented to the Audit, Finance & Investment Committee for review at its April 26, 2016 meeting. Strateqic Plan Obiective Not Applicable. Executive Summary Over the last two years, the City of Palm Desert has lost three of its four investment brokers through industry restructurings, asset sales, and reductions -in -force. Staff posted and distributed a Request for Information for Broker -Dealer Services. Wells Fargo Securities; Jefferies; Piper Jaff ray & Company; and Stifel, Nicolaus & Company responded. J.P. Morgan Securities, which is under heavy federal oversight, is in the process of responding. Staff recommends that the City Council approve Wells Fargo, Jefferies, PiperJaffray, and Stifel, Nicolaus; and conditionally approve J.P. Morgan, as broker -dealers for the City of Palm Desert. Staff Report Approval of New Broker -Dealers April 28, 2016 Page 5 of 5 Submitted By: n� Thomas J. Metz, Ofiputy City Veasurer Approved By: . 4A� us n McCarthy, Interim Ci manager tjm Reviewed y: Pau S. Gibson, City Treasurer HAMORD 2007\CORRESPONDENCE\INTERNAL\CITY COUNCIL\2016 NEW BROKER DEALERS.doc