HomeMy WebLinkAboutInvestment Reports - February 2009 CITY OF PALM DESERT
�--��--�
� �
FINANCE DEPARTMENT
INTEROFFICE MEMORANDUM
TO: RACHELLE KLASSEN, CITY CLERK
FROM: NIAMH ORTEGA, RECORDING SECRETARY�,��
DATE: APRIL 28, 2009
SUBJECT: COMPLIANCE ANALYSIS AND INVESTMENT REPORTS
Please find attached the Compliance Analysis and Investment Reports forwere presented
and approved at the March and April meetings of the Audit, Investment and Finance
Committee for the months of February and March 2009. Please include the report on the
upcoming agenda for review and acceptance by City Council.
Please feel free to contact me at Ext. 382 if you have any questions. Thank you.
nmo
Attachment (as noted)
CITY COUNCILACTiON
APPROV[:D� I)P:N1�'D ���
RECEIVED � �i � OTt��:IZ � � �L�1�._ BY ��,�
MF,L�.TING DATE �5-'�I- C%`� �� �-�"�'-�---�--�'�-��--__�--_.___...______.
,
AVFs: �e��,�n Fer,,,�is� i Er�� S `�Er�;;x?�� �Y__�� ��
N O[:S: � on c� -�-____--_
A13SCNT: �� �� �, ,i's
I� ��� rigin �t� Ii�� �';�n �,;�y �'i2r� Cf�ic;�
A}3'�TA1N: �" �
�'I�;I211�I f�:I) I3Y: (�G1
�
Origin�il on File with City Clerk's Oftice
G:\FINANCE\NIAMH ORTEGA\INVESTMENT COMMITTEE\MEMOS\RKLASSENINVREPORT.WPD
��� City af Palm Desert ,,,,_.�7,.,�
� City and RedevelQpment Agency Portfolios �
COMIPLIANGE ANALYSIS AND INYESTMENT REPORT
'February 2009
Paul S. Gibson, C.C.M.T., Treasurer
Thomas W. Jeffrey, J.D., M.B.A., Deputy City Treasurer
Treasurer's Commentary
The next Federal Open Market Committee meeting is scheduled for April 28-29. No action is expected.
The U.S. economy plunged by 6.2% during 4Q2008 -- its worst performance since 1982. NYU Business Professor Nouriel
Roubini, who predicted the current financial crisis, has put the chance of a severe U-shaped recession at 67%, and a more
severe L-shaped recession at 33°/o. Roubini contends that most U.S.financial institutions are insolvent.
A growing number of authorities, including Alan Greenspan, James Baker, and Paul Krugman, believe that the Obama
Administration should formally nationalize large troubled banks. They argue that bank debt guarantees, TARP funding, and
credit wraps constitute"soft nationalization". The Geithner Plan of a public-private buyout of toxic assets is not seen as
being viable. Treasury Secretary Geithner has been slow to respond to the financial crisis because 19 of the 20 top
positions in the U.S. Treasury are still open. In other words, Geithner has no staff.
The U.S. Treasury agreed to exchange up to$25 billion of TARP money that it had provided to Citigroup for as much as a
. 36% equity stake in the bank. This was Citigroup's third bailout in five months, and was done to improve its capital ratios.
The move has been characterized as "a nationalization to avoid a nationalization". Citigroup bond prices fell sharpiy
afterwards.
��zs ����� c.c.�r
City Treasurer
PORTFOLIO STATISTICS
Dollars in Thousands
FEB-09 JAN-09 DEC-08 NOV-08 OCT-08 SEP-08
CITY
Month-End Book Value"" $ 209,948 $ 212,738 $ 199,053 $ 213,607 $ 217,630 $ 211,223
Month-End Market Value""`* $ 208,721 $ 213,002 $ 199,922 $ 213,168 $ 216,626 $ 224,865
Paper Gain (Loss) $ (1,227) $ 264 $ 869 $ (439) $ (1,004) $ 13,642
Prior Year Book Variance $ (27,297) $ (18,677) $ (38,071) $ (27,138) $ (26,483) $ (23,021)
Interest Earnings $ 408 $ 430 $ 471 $ 529 $ 575 $ 647
Yield-To-Maturity 2.36% 2.55% 2.87% 3.04% 3.27% 3.70%
Weighted Maturity(Days) 438 454 490 463 470 489
Effective Duration 0.40 0.47 0.54 0.53 0.55 0.58
RDA
Month-End Book Value""` $ 270,416 $ 281,273 $ 251,852 $ 244,674 $ 245,100 $ 257,385
Month-End Market Value"** $ 271,497 $ 282,566 $ 253,288 $ 245,564 $ 245,429 $ 257,654
Paper Gain(Loss) $ 1,081 $ 1,293 $ 1,436 $ 890 $ 329 $ 269
Prior Year Book Variance $ (9,283) $ (4,674) $ 877 $ (5,516) $ (5,663) $ (16,289)
Interest Earnings $ 283 $ 268 $ 287 $ 304 $ 325 $ 718
Yield-To-Maturity 1.29% 125% 1.40% 1.51% 1.60% 3.18%
Weighted Maturity(Days) 235 226 256 272 272 259
Effective Duration 0.18 0.19 0.24 0.26 0.28 0.29
"""` Omits SLGSs.
City of Palm Desert-- Portfolio Characteristics
February 28, 2009
Dollars in Thousands
Apeina Interval Market Value � _. __ _... ......
_-
< 1 M $ 70,703 General Fund Ageing
<2M -
<3M - 100 �
<6M 7,172 80
< 1YR 31,580 �
<2YR 31,997 0 60 47
<3YR 7,449 � 40 2� 21
<4YR - a 20
<5YR - 0 0 5 5 0 0 0
>5YR - �
< 1M <2M <3M <6M < < < < < >
Total: $ 148,901 1YR 2YR 3YR 4YR 5YR 5YR
_ - _ ___
Ratin s* Market Value �Credit Quality
AAA $ 108,820 '�'
AA 50,232 ' 53% I�
A 2,074 , Unrated*'`
Unrated"'* 41,752 21%
A �`
Total: $ 202,878 �o�0 25%
�� __
_ ___.__ . _
� _ - _ _ __ __ ,
Sector Market Value Asset Allocation MTNs
- MMF $ 34,467 26% '
Agencies 25,891 ' I�
MTNs 52,306 Agencies CAM P �I
CAMP 48,462 ' 13% 23%
RDA Loan 22,655 i
GMRA 19,083 MMF
LAIF 14 �7��a
CP - GMRA RDA Loan
0
Total: $ 202,878 go�o 11/o �I
`� _ .
� - _
Month Citv Yield LAIF Yield Variance Performance
Mar08 4.05 3.78 0.27 I
Apr 3.98 3.40 0.58
May 3.88 3.07 0.81 �' 4.2 �
Jun 3.75 2.89 0.86 3.6
Jul 3.69 2.88 0.82 � '
Aug 3.65 2.78 0.87 �-�, 3A '
Sep 3.70 2.77 0.93 �'
2.4
Oct 3.27 2.71 0.56
Nov 3.04 2.57 0.47 � 1,g I
Dec 2.87 2.35 0.52 Mar08 Apr May Jun Jul Aug Sep Oct Nov Dec Jan09 Feb
Jan09 2.55 2.05 0.51
Feb 2.36 1.87 0.50 �i � •.,1}� ' . ■`.�"„ ti .:� li ��
\ ,
" Standard and Poors
"`" LAIF, and City Loan to RDA Page 2
City of Palm Desert
Portfolio Holdings
February 28, 2009
Market Ratings
Par Value Issuer Coupon Maturity Cost YTM Price Value Moody's S&P
Medium-Term Notes
$ 3,795,000 BANK OF AMERICA 5.38 8/15/11 $ 3,909,106 4.05 90.42 $ 3,431,295 Aa2 AA-
$ 3,000,000 BANK OF AMERICA 4.25 10/1/10 $ 3,047,463 3.20 94.18 $ 2,825,334 Aa2 AA-
$ 15,270,000 CITIGROUP 4.13 2/22/10 $ 15,161,234 4.91 96.07 $ 14,287,757 Aa1 AA
$ 2,035,000 CITIGROUP 4.13 2/22/10 $ 2,020,505 4.91 96.07 $ 1,904,099 Aa1 AA
$ 1,000,000 CITIGROUP 4.63 8/3/10 $ 992,617 5.10 96.75 $ 917,676 Aa1 AA
$ 4,000,000 CITIGROUP 4.63 8/3/10 $ 3,970,469 5.10 96.75 $ 3,670,704 Aa1 AA
$ 2,035,000 GENERAL ELECTRIC 4.88 10/21/10 $ 2,012,835 5.63 100.89 $ 2,053,142 Aaa AAA
$ 1,891,000 GENERAL ELECTRIC 6.88 11/15/10 $ 1,925,528 5.65 103.49 $ 1,957,085 Aaa AAA
$ 2,000,000 GENERAL ELECTRIC 6.13 2/22/11 $ 2,015,727 5.67 102.36 $ 2,047,138 Aaa AAA
$ 3,965,000 GENERAL ELECTRIC 4.88 10/21/10 $ 4,066,578 3.23 100.89 $ 4,000,348 Aaa AAA
$ 2,000,000 WACHOVIA 7.80 8/18/10 $ 2,074,703 5.02 103.69 $ 2,073,730 Aa3 A+
$ 2,000,000 WAL-MART 6.88 8/10/09 $ 2,015,605 4.93 102.23 $ 2,044,560 Aa2 AA
$ 3,000,000 WAL-MART 6.88 8/10/09 $ 3,051,194 2.90 102.23 $ 3,066,840 Aa2 AA
$ 4,000,000 WELLS FARGO BANK 6.38 8/1/11 $ 4,106,282 5.13 100.44 $ 4,017,672 Aa1 AA-
$ 2,000,000 WELLS FARGO BANK 4.63 8/9/10 $ 1,987,876 5.09 99.55 $ 1,991,080 Aa1 AA-
$ 2,020,000 WELLS FARGO BANK 4.20 1/15/10 $ 2,007,359 4.96 99.87 $ 2,017,457 Aa1 AA-
$ 54,011,000 Subtotal $ 54,365,080 4.65 $ 52,305,916
Federal Agencies--Coupon
$ 3,000,000 FED FARM CREDIT BANK 4.78 5/3/10 $ 3,005,476 4.61 104.00 $ 3,120,000 Aaa AAA
$ 3,000,000 FED FARM CREDIT BANK 4.78 5/3/10 $ 3,005,476 4.61 104.00 $ 3,120,000 Aaa AAA
$ 3,000,000 FED HOME LOAN BANK 4.38 9/11/09 $ 2,992,863 5.59 101.84 $ 3,055,314 Aaa AAA
$ 2,000,000 FED HOME LOAN BANK 3.50 11/3/09 $ 1,969,309 5.96 101.66 $ 2,033,126 Aaa AAA
$ 2,033,000 FED HOME LOAN MTG CORP 4.25 7/15/09 $ 2,028,728 4.87 101.34 $ 2,060,319 Aaa AAA
$ 2,049,000 FED HOME LOAN MTG CORP 4.00 12/15/09 $ 2,036,347 4.87 102.31 $ 2,096,383 Aaa AAA
$ 2,000,000 FED HOME LOAN MTG CORP 4.13 11/18/09 $ 1,990,238 4.88 102.17 $ 2,043,424 Aaa AAA
$ 2,062,000 FED HOME LOAN MTG CORP 4.13 7/12/10 $ 2,039,704 5.47 103.88 $ 2,141,903 Aaa AAA
$ 2,049,000 FED HOME LOAN MTG CORP 4.00 12/15/09 $ 2,026,365 5.50 102.31 $ 2,096,383 Aaa AAA
$ 2,000,000 FED NATIONAL MTG ASSOC 4.63 10/28/09 $ 1,996,937 4.88 102.28 $ 2,045,626 Aaa AAA
$ 2,000,000 FED NATIONAL MTG ASSOC 4.25 8/15/10 $ 1,967,036 5.47 103.94 $ 2,078,750 Aaa AAA
$ 25,193,000 Subtotal $ 25,058,478 5.13 $ 25,891,228
Local Agency Investment Pool
$ 14,246 L.A.I.F. 0.00 3/1/09 $ 14,246 1.87 100.00 $ 14,246 U U
$ 14,246 Subtotal $ 14,246 1.87 $ 14,246
Local Agency Investment Pool
$ 48,404,614 C.A.M.P. 0.00 3/1/09 $ 48,404,614 1.02 100.00 $ 48,404,614 U AAA
$ 57,118 C.A.M.P.(DESERT WILLOW) 0.00 3/1/09 $ 57,118 1.02 100.00 $ 57,118 U AAA
$ 48,461,733 Subtotal $ 48,461,733 1.02 $ 48,461,733
"U"= Unrated Page 3
City of Palm Desert
Portfolio Holdings
February 28, 2009
Market Ratings
Par Value Issuer Coupon Maturity Cost YTM Price Value Moody's S&P
Money Market Fund
$ 34,466,519 WF TREASURY PLUS 0.00 3/1/09 $ 34,466,519 0.12 100.00 $ 34,466,519 Aaa AAA
$ 34,466,519 Subtotal $ 34,466,519 0.12 $ 34,466,519
Government Managed Rate Account
$ 19,082,946 UNION BANK 0.00 3/1/09 $ 19,082,946 0.27 100.00 $ 19,082,946 U U
$ 19,082,946 Subtotal $ 19,082,946 0.27 $ 19,082,946
City of Palm Desert
$ 22,655,000 CITY OF PALM DESERT 0.00 3/1/39 $ 22,655,000 1.87 100.00 $ 22,655,000 U U
$ 22,655,000 Subtotal $ 22,655,000 1.87 $ 22,655,000
Total Investments
$ 203,884,443 $ 204,104,001 2.36 $ 202,877,587
. Cash
$ 4,587,042 CITY MAIN CHKG 0.00 3/1/09 $ 4,587,042 0.00 100.00 $ 4,587,042 U U
$ 946,726 DESERT WILLOW CHKG 0.00 3/1/09 $ 946,726 0.00 100.00 $ 946,726 U U
$ 309,731 RECREATIONAL FAC CHKG 0.00 3/1/09 $ 309,731 0.00 100.00 $ 309,731 U U
$ - ART, FOOD&WINE CHKG 0.00 3/1/09 $ - 0.00 100.00 $ - U U
$ - MONTEREY 170 CHKG 0.00 3/1/09 $ - 0.00 100.00 $ - U U
$ 5,843,499 Subtotal $ 5,843,499 $ 5,843,499
Total Investments and Cash
$ 209,727,942 $ 209,947,500 $ 208,721,087
"U"= Unrated Page 4
City of Palm Desert
Portfolio Holdings
February 28, 2009
Market Ratings
Par Value Issuer Coupon Maturity Cost YTM Price Value Moody's S&P
%of Portfolio
Corporate Issuers (Market Value)
BANK OF AMERICA 3.00%
CITIGROUP 9.96%
GENERAL ELECTRIC 4.82%
WACHOVIA 0.99%
WAL-MART 2.45%
WELLS FARGO BANK 3.85%
%of Portfolio
Agency Issuers (Market Value)
FED FARM CREDIT BANK 2.99%
FED HOME LOAN BANK 2.44%
FED HOME LOAN MTG CORP 5.00°/a
FED NATIONAL MTG ASSOC 1.98%
"U"= Unrated Page 5
Palm Desert Redevelopment Agency-- Portfolio Characteristics
� February 28, 2009
Dollars in Thousands
Aqeinq lnterval Market Value ,
< 1 M $ 63,103 I Portfolio Ageing w/o SLGSs�
<2M -
<3M - 100 --- --
<6M 7,133 ,,,, gp
< 1YR 24,537 0 60 56
<2YR 14,394 '0 50
< 3YR 4,253 0 30 22
<4YR - a 20 13
<5YR - 10 0 0 6 4 0 0 0
0
>5YR ' < 1 M <2M <3M <6M < < < < < >
Total: $ 113,420 1YR 2YR 3YR 4YR 5YR 5YR
/ _ _ __
Quality* Market Value 'Credit Quality
AAA $ 238,379 qqq
AA 23,752 88% ,
A 7,126 '
Unrated"`* 1,096 A
Total: $ 270,353 3% �
9%
�
-- __ __._
Sector Market Value i Asset Allocation i,
- MMF $ 154,810 ' I
Agencies 30,563 i
MTNs 30,878 MMF Agencies �
0
CAMP 53,006 58% 1 �
G M RA 1,064 ,
LAIF 32 MTNs �
CP - CAMP ��% '
Treasuries - , 20%
Total: $ 270,353 I
�
_ __ _
__
� __-
Month RDA Yield LAIF Yield Variance �I Performance �
Mar08 3.36 3.78 -0.42
Apr 3.35 3.40 -0.05 ----- ''
May 3.14 3.07 0.06 4.2
Jun 3.09 2.89 0.20 ^ 3.4 I�
Jul 3.08 2.79 0.29 = I
Aug 3.05 2.78 0.27 � 2.6 '
Sep 3.18 2.77 0.41 }
1.8
Oct 1.60 2.71 -1.11 , '
Nov 1.51 2.57 -1.06 1.0 I
Dec 1.40 2.35 -0.95 Mar08 Apr May Jun Jul Aug Sep Oct Nov Dec Jan09 Feb �
Jan09 1.26 2.05 -0.79 ------ - 'I
Feb 1.29 1.87 -0.58 ■LAIF Yield ■RDA Yield
" Standard and Poors
` "" LAIF Page 6
Palm Desert Redevelopment Agency
Portfolio Holdings
February 28, 2009
Market Ratings
Par Value Issuer Coupon Maturity Cost YTM Price Value Moody's S&P
Medium-Term Notes
$ 4,000,000 CITIGROUP 6.20 3/15/09 $ 4,001,554 5.13 99.98 $ 3,999,188 Aa1 AA-
$ 4,070,000 JP MORGAN CHASE 3.50 3/15/09 $ 4,067,595 5.12 100.01 $ 4,070,383 Aa3 A+
$ 3,055,000 JP MORGAN CHASE 3.50 3/15/09 $ 3,053,195 5.12 100.01 $ 3,055,287 Aa3 A+
$ 3,000,000 WAL-MART 6.88 8/10/09 $ 3,026,431 4.76 102.23 $ 3,066,840 Aa2 AA
$ 3,000,000 WAL-MART 4.13 7/1/10 $ 3,046,606 2.91 102.61 $ 3,078,399 Aa2 AA
$ 13,625,000 WELLS FARGO BANK 4.20 1/15/10 $ 13,762,496 3.00 99.87 $ 13,607,846 Aa1 AA-
$ 30,750,000 Subtotal $ 30,957,878 3.93 $ 30,877,943
Federal Agencies--Coupon
$ 2,000,000 FED FARM CREDIT BANK 6.45 10/7/09 $ 2,017,031 4.88 103.30 $ 2,066,096 Aaa AAA
$ 2,000,000 FED FARM CREDIT BANK 4.75 8/3/09 $ 1,999,075 4.87 101.75 $ 2,035,000 Aaa AAA
$ 4,900,000 FED FARM CREDIT BANK 4.90 9/22/10 $ 4,918,282 4.65 105.06 $ 5,148,063 Aaa AAA
$ 4,500,000 FED HOME LOAN BANK 4.38 9/11/09 $ 4,489,294 5.59 101.84 $ 4,582,971 Aaa AAA
$ 2,005,000 FED HOME LOAN BANK 3.88 7/24/09 $ 1,997,648 4.89 101.28 $ 2,030,690 Aaa AAA
$ 2,000,000 FED HOME LOAN BANK 4.88 3/11/11 $ 1,976,591 5.49 106.31 $ 2,126,250 Aaa AAA
$ 2,000,000 FED HOME LOAN BANK 4.88 3/11/11 $ 1,976,279 5.50 106.31 $ 2,126,250 Aaa AAA
$ 2,000,000 FED HOME LOAN MTG CORP 6.88 9/15/10 $ 2,036,172 5.54 107.56 $ 2,151,250 Aaa AAA
$ 3,734,000 FED HOME LOAN MTG CORP 6.88 9/15/10 $ 3,801,656 5.54 107.56 $ 4,016,384 Aaa AAA
$ 4,155,000 FED NATIONAL MTG ASSOC 6.63 9/15/09 $ 4,190,164 4.89 103.00 $ 4,279,650 Aaa AAA
$ 29,294,000 Subtotal $ 29,402,193 5.16 $ 30,562,603
Local Government Investment Pool
$ 21,791 L.A.I.F. 0.00 3/1/09 $ 21,791 1.87 100.00 $ 21,791 U U
$ 9,956 L.A.I.F.(HOUSING) 0.00 3/1/09 $ 9,956 1.87 100.00 $ 9,956 U U
$ 31,747 Subtotal $ 31,747 1.87 $ 31,747
Local Government Investment Pool
$ 50,903,558 C.A.M.P. 0.00 3/1/09 $ 50,903,558 1.02 100.00 $ 50,903,558 U AAA
$ 2,102,182 C.A.M.P. (HOUSING) 0.00 3/1/09 $ 2,102,182 1.02 100.00 $ 2,102,182 U AAA
$ 53,005,740 Subtotal $ 53,005,740 1.02 $ 53,005,740
Government Managed Rate Account
$ 1,064,209 UNION BANK 0.00 3/1/09 $ 1,064,209 027 100.00 $ 1,064,209 U U
$ 1,064,209 Subtotal $ 1,064,209 0.27 $ 1,064,209
Money Market Fund
$ 154,811,073 WF TREASURY PLUS 0.00 3/1/09 $ 154,811,073 0.12 100.00 $ 154,811,073 Aaa AAA
$ 154,811,073 Subtotal $ 154,811,073 0.12 $ 154,811,073
"U"= Unrated Page 7
Palm Desert Redevelopment Agency
Portfolio Holdings
February 28, 2009
Market Ratings
Par Value Issuer Coupon Maturity Cost YTM Price Value Moody's S&P
Total Investments
$ 268,956,769 $ 269,272,840 1.29 $ 270,353,316
Cash
$ 749,390 HOUSING AUTH CHKG 0.00 3/1/09 $ 749,390 0.00 100.00 $ 749,390 U U
$ 394,164 HOUSING AUTH TRUST 0.00 3/1/09 $ 394,164 0.00 100.00 $ 394,164 U U
$ 1,143,554 Subtotal $ 1,143,554 $ 1,143,554
Total Investments and Cash
$ 270,100,323 $ 270,416,394 $ 271,496,870
%of Portfolio
Corporate Issuers (Market Value)
CITIGROUP 1.47%
JP MORGAN CHASE 2.62%
WAL-MART 2.26%
WELLS FARGO BANK 5.01%
%of Portfolio
Agency Issuers (Market Value)
FED FARM CREDIT BANK 3.41%
FED HOME LOAN BANK 4.00%
FED HOME LOAN MTG CORP 2.27%
FED NATIONAL MTG ASSOC 1.58%
"U"= Unrated Page 8
� STATEMENT OF COMPLIANCE
The investment portfolios of the City of Palm Desert("City")and the Palm Desert Redevelopment Agency("RDA")are
governed by federal, state, and local law. The City Treasurer's"Statement of Investment Policy"is more restrictive than the
California Government Code. The Palm Desert Audit, Investment,and Finance Committee and the Palm Desert City
Council review the Statement of Investment Policy annually.
For the month ended February 28,2009,the City and the RDA investment portfolios were in compliance with all applicable
federal, state, and local laws and regulations. The City Treasury continued to pursue conservative and prudent investment
strategies, based upon the stated objectives of safety, liquidity, and yield(in order of priority).
Barring unforeseen events,the City Treasury should have sufficient cash to finance the operations of the City of Palm Desert
and the Palm Desert Redevelopment Agency over the next six months. In addition, portions of either the City or the RDA
portfolio could be liquidated in order to meet any significant, unexpected cash requirements.
Bloomberg L.P. and Interactive Data Corporation provided the data and the analytical tools that were used to calculate the
market value of all securities in the City and the RDA investment portfolios. State and Local Government Series securities
are held in escrow accounts, and are therefore not included in this report as assets. All balances are bank balances.
Respectfully Submitted on March 24,2009,
,�"auLS �i'r�'�o�w, c.c.�>,r *
City Treasurer
SUMMARY OF AUTHORIZED INVESTMENTS
California Government Code City Investment Policy
CA Govt Maximum Maximum Quality Maximum Maximum Quality %of City %of RDA
Code Investment Category Maturity Limit S&P/Mdys Maturity Limit S&P/Mdys Portfolio Portfolio
53601(a) Palm Desert Bonds 5 Years No Limit Not Authorized(1)
53632(c) Savings Accounts No Limit No Limit No Limit No Limit 9.4% 0.4%
53601(b) U.S.Treasuries 5 Years No Limit 5 Years No Limit 0.0% 0.0%
53601(c) CA State Debt 5 Years No Limit Not Authorized
53601(d) CA Local Agency Debt 5 Years No Limit NotAuthorized
53601 e) Federal Agencies 5 Years No Limit 5 Years 30% 6% 12.3% 10.9%
53601(fl Bankers's Acceptances 180 Days 40% 180 Days 40% A-1 &P-1 - -
53601(g) Commercial Paper 270 Da s 25% A-1+or P-1 270 Days 25% A-1+or P-1 0.0% 0.0%
53601(h) Negotiable CDs 5 Years 30% 5 Years 30% AA-or Aa3 - -
53601(i) Repos 1 Year No Limit 30 Days 20% AAA 8�Aaa - -
53601(i) Reverse Repos 92 Days 20% NotAuthorized
53601(j) Medium-Term Notes 5 Years 30% A 5 Years 30% A 26.6% 11.5%
53601(k) Mutual Funds 90 Da s 20% AAA&Aaa 90 Days 20% (2) AAA&Aaa 16.9% 57.5%
53601(1) Trust Indenture Debt Not Authorized
53601(m) Secured Bank Deposits 5 Years No Limit NotAuthorized
53601(k) Local Government AAA&Aaa AAA&Aaa
Investment Pools 90 Days 20% or Advisor 90 Days 20% (2) or Advisor 23.7% 19.7%
53601(n) Mortgage-Backed 5 Years 20% A(Issuer)& NotAufhorized
Securities AA(Security
16429.1 b) LAIF No Limit No Limit 0.0% 0.0%
" (1) The City loan to RDA,which is not a bond, has been approved by the Palm Desert City Council. 88.9% 100.0%
(2) Maximum limit for mutual funds and local government investment pools,excluding bond proceeds.
` Certified California Municipa/Treasurer Page 9