HomeMy WebLinkAboutInvestment Report - October 2014 (4)STATEMENT OF COMPLIANCE
October 2014
The investment of the City of Palm Desert securities portfolio is governed by California Government Code Section 53601 and by the Palm
Desert Statement of Investment Policy. The City investment policy is more conservative than State law. The Palm Desert Audit, Finance, and
Investment Committee, and the Palm Desert City Council review the City investment policy annually.
For the month ended October 31, 2014, the City investment portfolio was in compliance with all applicable state and local laws and
regulations. The City Treasurer's Office continued to pursue conservative and prudent investment strategies, based upon the stated objectives
of safety, liquidity, and yield. Barring unforeseen events, the City Treasury should have sufficient cash to finance City expenditures for the next
six months. In addition, portions of the City investment portfolio could be liquidated in order to meet any significant, unexpected cash
requirements.
Interactive Data Services provided the market value prices for securities in the City investment portfolio. All balances are bank balances.
Respectfully submitted,
.9"aufs iiaa,
City Treasurer
SUMMARY OF AUTHORIZED INVESTMENTS
California Government Code
City Investment Policy
CA Govt Maximum
Code Investment Category Maturity
53601(a) Palm Desert Bonds 5 Years
53633 Demand Deposits No Limit
53601(b) U.S. Treasuries 5 Years
53601(c)
53601(d)
53601(e) Federal Agencies 5 Years
53601(f) Bankers's Acceptances 180 Days
53601(g) Commercial Paper 270 Days
53601(h) Negotiable CDs 5 Years
53601(i) Repos 1 Year
53601(1) Reverse Repos 92 Days
53601(j) Medium -Term Notes 5 Years
53601(k) Money Market Funds 90 Days
53601(1)
53601(m)
53601(k) Local Government
Investment Pools 90 Days
53601(n)
CA State Debt
CA Local Agency Debt
5 Years
5 Years
Trust Indenture Debt
Secured Bank Deposits
5 Years
Mortgage -Backed
Securities
16429.1(b) L.A.I.F.
5 Years
Maximum
Limit
No Limit
No Limit
No Limit
No Limit
No Limit
No Limit
40%
25%
30%
No Limit
20%
30%
20%
No Limit
Minimum Maximum
Quality Maturity
A-1/P-1
A
AAA & Aaa
No Limit
5 Years
Maximum Minimum % of City
Limit Quality Portfolio
No Limit
No Limit
Not Authorized
Not Authorized
5 Years
180 Days
270 Days
5 Years
30 Days
No Limit
40%
25%
30%
20%
A-1 or P-1
A-1 or P-1
AA- or Aa3
5.1%
5 Years
90 Days
Not Authorized
30% I A
20% AAA &Aaa
2.3%
Not Authorized
Not Authorized
AAA & Aaa
No Limit or Advisor 90 Days 50% (1)
A (Issuer) &
AA (Security)
No Limit $50MM/Acct No Limit I $50MM/Acct
20%
AAA & Aaa I
or Advisor 41.0%
Not Authorized
(2)
Footnotes:
(1) Maximum concentration limit for local agency investment pools, excluding bond proceeds.
(2) Total does not include the cash, City Loan to RDA, and Loan Receivable - EIP.
38.7%
87.0%
CITY OF PALM DESERT TREASURER'S OFFICE PAGE 3 OF 3