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03-19-2019 - AGENDA ITEM 02 INVESTMENT REPORT FOR THE MONTH ENDED JANUARY 31, 2019AGENDA ITEM NO.2 AGENDA STAFF REPORT City of West Covina I Office of the City Manager DATE: March 19, 2019 TO: Mayor and City Council FROM: Nikole Bresciani Acting City Manager SUBJECT: INVESTMENT REPORT FOR THE MONTH ENDED JANUARY 31, 2019 RECOMMENDATION: It is recommended that the City Council receive and file the Investment Report for the month ended January 31, 2019. DISCUSSION: The Investment Report (Attachment No. 1) presents the City's and the Successor Agency's cash and investments for the month ended January 31, 2019. This report is in compliance with California Government Code Section 53646 regarding the reporting of detailed information on all securities, investments, and monies of the City, as well as, reporting of the market value of the investments held. All of the investments contained within the portfolio are in full compliance with Government Code Section 53601 and the City's Investment Policy as to the types of investments allowed. The City's Investment Policy was last revised and adopted by City Council on June 5, 2018. As stated in the attached report, there are sufficient funds to meet the budgeted expenditures over the next six months. The City's Investment Policy has set primary goals of the portfolio management of safety, liquidity and yield. The City's surplus funds are with the Los Angeles County Investment Pool (LACIP) and Chandler Asset Management. At January 31, 2019, the investment portfolio had a market value of $58,778,927. Bond reserves are held and invested by a Trustee. The investment of these funds is governed by an investment policy approved by the City Council as a part of the governing documents for each specific bond issue. At January 31, 2019, the bond reserves had a market value of $6,838,277. Prepared by: Todd H. Owens, Accounting Manager Additional Approval: Marcie Medina, Finance Director Fiscal Impact FISCAL IMPACT: No Fiscal Impact. Attachments City of West Covina Short Term Holdings Report Account #10479 As of January 31, 2019 US CORPORATE Security Description Par Value/Units Purchase Date Book Yield Cost Value Book Value Mkt Price Mkt YTM Market Value Accrued Int. % of Port. Gain/Loss Moody/S&P DurationCUSIP Fitch Maturity 084664CK5 Berkshire Hathaway Note 205,000.00 08/08/2016 204,801.15 99.28 203,516.21 0.93% Aa2 / AA 0.54 1.3% Due 8/15/2019 1.33% 204,964.59 2.66% 1,228.86 (1,448.38) A+ 0.53 06406HCW7 Bank of New York Callable Note Cont 500,000.00 Various 514,405.00 99.67 498,364.00 2.27% Al/A 0.61 8/11/2019 1.36% 502,800.62 2.84% 4,472.22 (4,436.62) AA- 0.60 2.3% Due 9/11/2019 68389XAX3 Oracle Corp Note 250,000.00 08/09/2016 257,177.50 99.75 249,368.00 1.13% Al/AA- 0.68 2.25% Due 10/8/2019 1.32% 251,551.39 2.62% 1,765.63 (2,183.39) A 0.67 46625HKA7 1P Morgan Chase Callable Note Cont 445,000.00 08/26/2016 451,363.50 99.37 442,190.72 2.00% A2 / A- 0.98 12/23/2019 1.81% 446,826.94 2.91% 222.50 (4,636.22) AA- 0.96 2.25% Due 1/23/2020 94974BGF1 Wells Fargo Corp Note 250,000.00 07/15/2016 254,060.00 99.32 248,295.25 1.12% A2 / A- 1.00 2.15% Due 1/30/2020 1.67% 251,143.35 2.85% 14.93 (2,848.10) A+ 0.98 22160KAGO Costco Wholesale Corp Note 150,000.00 11/01/2016 150,873.00 99.00 148,498.80 0.68% Aa3 / A+ 1.04 1.75% Due 2/15/2020 1.57% 150,276.18 2.73% 1,210.42 (1,777.38) A+ 1.01 747525ADS Qualcomm Inc Note 500,000.00 07/26/2016 513,955.00 99.34 496,707.50 2.25% A2/A- 1.30 2.25% Due 5/20/2020 1.49% 504,755.34 2.77% 2,218.76 (8,047.84) NR 1.27 437076BQ4 Home Depot Note 90,000.00 05/24/2017 89,947.80 98.76 88,885.44 0.40% A2 / A 1.35 1.8% Due 6/5/2020 1.82% 89,976.66 2.74% 252.00 (1,091.22) A 1.31 00440EAT4 Chubb INA Holdings Inc Callable Note 390,000.00 02/06/2017 391,836.90 99.16 386,708.40 1.76% A3 / A 1.76 Cont 10/3/2020 2.17% 390,863.87 2.79% 2,192.67 (4,155.47) A 1.70 2.3% Due 11/3/2020 44932HAG8 IBM Credit Corp Note 250,000.00 02/14/2018 248,662.50 99.50 248,746.50 1.14% Al/A 2.02 2.65% Due 2/5/2021 2.84% 249,093.95 2.91% 3,238.89 (347.45) A 1.92 037833BS8 Apple Inc Callable Note Cont 1/23/2021 250,000.00 08/19/2016 257,375.00 99.20 248,011.25 1.13% Aal/AA+ 2.07 2.25% Due 2/23/2021 1.57% 253,377.97 2.65% 2,468.75 (5,366.72) NR 1.98 30231GAV4 Exxon Mobil Corp Callable Note Cont 250,000.00 07/11/2016 258,810.00 99.20 247,993.00 1.13% Aaa / AA+ 2.08 2/1/2021 1.43% 253,954.34 2.62% 2,314.58 (5,961.34) NR 2.00 2.222% Due 3/1/2021 166764BG4 Chevron Corp Callable Note Cont 250,000.00 08/16/2016 255,022.50 98.73 246,833.50 1.12% Aa2 / AA 2.29 4/15/2021 1.66% 252,422.75 2.67% 1,093.75 (5,589.25) NR 2.21 2.1% Due 5/16/2021 857477AV5 State Street Bank Note 250,000.00 08/26/2016 252,750.00 97.71 244,278.25 1.11% Al / A 2.30 1.95% Due 5/19/2021 1.71% 251,338.27 2.99% 975.00 (7,060.02) AA- 2.22 Chandler Asset Management - CONFIDENTIAL Page 6 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Holdings Report Account #10479 As of January 31, 2019 US CORPORATE Security Description Par Value/Units Purchase Date Book Yield Cost Value Book Value Mkt Price Mkt YTM Market Value Accrued Int. % of Port. Gain/Loss Moody/S&P DurationCUSIP Fitch Maturity 594918BPS Microsoft Callable Note Cont 7/8/21 200,000.00 08/26/2016 199,536.00 97.50 194,996.00 0.89% Aaa / AAA 2.52 1.55% Due 8/8/2021 1.60% 199,763.50 2.58% 1,489.72 (4,767.50) AA+ 2.43 69371RN44 Paccar Financial Corp Note 225,000.00 01/25/2017 216,153.00 96.57 217,279.35 0.99% Al / A+ 2.53 1.65% Due 8/11/2021 2.57% 220,068.36 3.07% 1,753.13 (2,789.01) NR 2.43 69353RFE3 PNC Bank Callable Note Cont 6/28/2022 250,000.00 07/25/2017 249,977.50 97.58 243,953.00 1.10% A2/A 3.49 2.45%Due 7/28/2022 2.45% 249,984.31 3.19% 51.04 (6,031.31) A+ 3.31 6,197,609.05 6,060,559.10 27.55% Al/A+ 1.29 Total US Corporate 6,115,000.00 1.64% 6,134,506.31 2.78% 35,746.84 (73,947.21) A+ 1.24 US TREASURY . 912828WS5 US Treasury Note 375,000.00 07/20/2016 383,497.35 99.66 373,740.38 1.69% Aaa /AA+ 0.41 1.625% Due 6/30/2019 0.84% 376,178.87 2.44% 538.67 (2,438.49) AAA 0.41 91282SG95 US Treasury Note 750,000.00 07/25/2016 766,848.22 99.15 743,613.00 3.36% Aaa /AA+ 0.92 1.625% Due 12/31/2019 0.96% 754,477.62 2.57% 1,077.34 (10,864.62) AAA 0.90 912828UL2 US Treasury Note 375,000.00 08/05/2016 380,992.47 98.85 370,693.50 1.68% Aaa /AA+ 1.00 1.375% Due 1/31/2020 0.91% 376,716.18 2.55% 14.24 (6,022.68) AAA 0.98 912828UVO US Treasury Note 375,000.00 08/05/2016 377,799.11 98.40 368,994.00 1.67% Aaa /AA+ 1.16 1.125%Due 3/31/2020 0.92% 375,891.68 2.53% 1,437.16 (6,897.68) AAA 1.14 9128281(58 US Treasury Note 225,000.00 06/27/2017 224,113.06 98.62 221,888.70 1.01% Aaa /AA+ 1.25 1.375% Due 4/30/2020 1.52% 224,611.70 2.51% 794.80 (2,723.00) AAA 1.22 912828VF4 US Treasury Note 375,000.00 08/05/2016 380,391.88 98.52 369,448.13 1.67% Aaa / AA+ 1.33 1.375% Due 5/31/2020 0.99% 376,878.64 2.51% 892.43 (7,430.51) AAA 1.30 9128281-99 US Treasury Note 250,000.00 12/14/2016 246,319.20 98.09 245,234.50 1.11% Aaa /AA+ 1.75 1.375% Due 10/31/2020 1.77% 248,341.56 2.50% 883.11 (3,107.06) AAA 1.70 91282SN48 US Treasury Note 250,000.00 01/24/2018 246,796.88 98.68 246,709.00 1.12% Aaa / AA+ 1.92 1.75% Due 12/31/2020 2.20% 247,909.45 2.46% 386.74 (1,200.45) AAA 1.87 91282SN89 US Treasury Note 375,000.00 08/11/2016 380,054.97 97.87 367,002.00 1.66% Aaa /AA+ 2.00 1.375% Due 1/31/2021 1.07% 377,259.72 2.47% 14.24 (10,257.72) AAA 1.96 91282SP87 US Treasury Note 350,000.00 06/27/2017 343,397.66 97.29 340,525.50 1.55% Aaa /AA+ 2.08 1.125%Due 2/28/2021 1.66% 346,268.03 2.47% 1,675.07 (5,742.53) AAA 2.02 912828WN6 US Treasury Note 750,000.00 Various 766,555.25 98.95 742,119.00 3.37% Aaa /AA+ 2.33 2% Due 5/31/2021 1.51% 758,238.23 2.47% 2,596.16 (16,119.23) AAA 2.25 Chandler Asset Management - CONFIDENTIAL Paee 7 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Holdings Report Account #10479 As of January 31, 2019 CUSIP Security Description US TREASURY Par Value/Units Purchase Date Book Yield Cost Value Book Value Mkt Price Mkt YTM Market Value Accrued Int. % of Port. Gain/Loss Moody/S&P Fitch Maturity Duration 91282SS76 US Treasury Note 250,000.00 05/30/2017 244,366.07 96.79 241,963.00 1.09% Aaa /AA+ 2.50 1.125% Due 7/31/2021 1.69% 246,627.79 2.46% 7.77 (4,664.79) AAA 2.44 912828G87 US Treasury Note 165,000.00 06/29/2017 167,307.98 99.14 163,581.99 0.74% Aaa / AA+ 2.92 2.125% Due 12/31/2021 1.80% 166,492.82 2.43% 309.94 (2,910.83) AAA 2.80 91282SV72 US Treasury Note 200,000.00 07/25/2017 200,492.86 98.37 196,734.40 0.89% Aaa / AA+ 3.00 1.875% Due 1/31/2022 1.82% 200,327.08 2.44% 10.36 (3,592.68) AAA 2.90 91282BJ43 US Treasury Note 355,000.00 03/13/2017 348,580.68 97.97 347,803.09 1.58% Aaa /AA+ 3.08 1.75% Due 2/28/2022 2.14% 351,019.38 2.44% 2,642.89 (3,216.29) AAA 2.95 912828XGO US Treasury Note 365,000.00 08/15/2017 370,176.81 98.99 361,307.30 1.64% Aaa /AA+ 3.41 2.125% Due 6/30/2022 1.82% 368,624.93 2.44% 685.64 (7,317.63) AAA 3.27 5,827,690.45 5,701,357.49 25.83% Aaa / AA+ 1.83 Total US Treasury 5,785,000.00 1.39% 5,795,863.68 2.49% 13,966.56 (94,506.19) AAA 1.78 22,513,172.77 22,049,195.92 100.00% Aal/AA 1.58 TOTAL PORTFOLIO 22,322,551.89 1.47% 22,372,500.30 2.59% 81,583.90 (323,304.38) AAA 1.49 TOTAL MARKET VALUE PLUS ACCRUED 22,130,779.82 Chandler Asset Management - CONFIDENTIAL Page 8 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Transaction Ledger OR Account #10479 As of January 31, 2019 Transaction Type ACQUISITIONS Settlement Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/Sold Total Amount Gain/Loss Purchase 01/02/2019 31846V203 89.44 First American Govt Obligation Fund 1.000 2.05% 89.44 0.00 89.44 0.00 Class Y Purchase 01/05/2019 31846V203 7,250.00 First American Govt Obligation Fund 1.000 2.05% 7,250.00 0.00 7,250.00 0.00 Class Y Purchase 01/14/2019 31846V203 1,968.75 First American Govt Obligation Fund 1.000 2.05% 1,968.75 0.00 1,968.75 0.00 Class Y Purchase 01/15/2019 31846V203 154.00 First American Govt Obligation Fund 1.000 2.05% 154.00 0.00 154.00 0.00 Class Y Purchase 01/15/2019 31846V203 9,452.69 First American Govt Obligation Fund 1.000 2.05% 9,452.69 0.00 9,452.69 0.00 Class Y Purchase 01/15/2019 31846V203 53.08 First American Govt Obligation Fund 1.000 2.05% 53.08 0.00 53.08 0.00 Class Y Purchase 01/15/2019 31846V203 17,092.86 First American Govt Obligation Fund 1.000 2.05% 17,092.86 0.00 17,092.86 0.00 Class Y Purchase 01/15/2019 31846V203 110.83 First American Govt Obligation Fund 1.000 2.05% 110.83 0.00 110.83 0.00 Class Y Purchase 01/15/2019 31846V203 8,590.10 First American Govt Obligation Fund 1.000 2.05% 8,590.10 0.00 8,590.10 0.00 Class Y Purchase 01/15/2019 31846V203 21,428.50 First American Govt Obligation Fund 1.000 2.05% 21,428.50 0.00 21,428.50 0.00 Class Y Purchase 01/15/2019 31846V203 14,660.92 First American Govt Obligation Fund 1.000 2.05% 14,660.92 0.00 14,660.92 0.00 Class Y Purchase 01/17/2019 31846V203 2,625.00 First American Govt Obligation Fund 1.000 2.05% 2,625.00 0.00 2,625.00 0.00 Class Y Purchase 01/18/2019 31846V203 3,665.63 First American Govt Obligation Fund 1.000 2.05% 3,665.63 0.00 3,665.63 0.00 Class Y Purchase 01/20/2019 31846V203 1,548.25 First American Govt Obligation Fund 1.000 2.05% 1,548.25 0.00 1,548.25 0.00 Class Y Purchase 01/21/2019 31846V203 2,843.75 First American Govt Obligation Fund 1.000 2.05% 2,843.75 0.00 2,843.75 0.00 Class Y Purchase 01/23/2019 31846V203 5,006.25 First American Govt Obligation Fund 1.000 2.05% 5,006.25 0.00 5,006.25 0.00 Class Y Chandler Asset Management - CONFIDENTIAL Page 9 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Transaction Ledger OR Account #10479 As of January 31, 2019 Transaction Type ACQUISITIONS Settlement Date CUSIP Quantity Security Description Price Acq/Disp Yield Amount Interest Pur/Sold Total Amount Gain/Loss Purchase 01/25/2019 31846V203 2,418.75 First American Govt Obligation Fund 1.000 2.05% 2,418.75 0.00 2,418.75 0.00 Class Y Purchase 01/25/2019 31846V203 373.88 First American Govt Obligation Fund 1.000 2.05% 373.88 0.00 373.88 0.00 Class Y Purchase 01/28/2019 31846V203 3,062.50 First American Govt Obligation Fund 1.000 2.05% 3,062.50 0.00 3,062.50 0.00 Class Y Purchase 01/30/2019 31846V203 2,687.50 First American Govt Obligation Fund 1.000 2.05% 2,687.50 0.00 2,687.50 0.00 Class Y Purchase 01/31/2019 31846V203 8,437.51 First American Govt Obligation Fund 1.000 2.01% 8,437.51 0.00 8,437.51 0.00 Class Y Subtotal 113,520.19 113,520.19 0.00 113,520.19 0.00 TOTAL ACQUISITIONS 113,520.19 113,520.19 0.00 113,520.19 0.00 DISPOSITIONS Paydown 01/15/2019 43811BACS 0.00 Honda Auto Receivables 2017-2 A3 100.000 0.00 154.00 154.00 0.00 1.68% Due 8/16/2021 Paydown 01/15/2019 47788BABO 9,398.29 John Deere Owner Trust 2017-B A2A 100.000 9,398.29 54.40 9,452.69 0.00 1.59% Due 4/15/2020 Paydown 01/15/2019 47788BAD6 0.00 John Deere Owner Trust 2017-B A3 100.000 0.00 53.08 53.08 0.00 1.82% Due 10/15/2021 Paydown 01/15/2019 4778SCABS 16,791.04 John Deere Owner Trust 2018-A A2 100.000 16,791.04 301.82 17,092.86 0.00 2.42% Due 10/15/2020 Paydown 01/15/2019 47788CAC6 0.00 John Deere Owner Trust 2016-B A4 100.000 0.00 110.83 110.83 0.00 2.66% Due 4/18/2022 Paydown 01/15/2019 654747ABO 8,579.58 Nissan Auto Receivables 2017-A A2A 100.000 8,579.58 10.52 8,590.10 0.00 1.47% Due 1/15/2020 Paydown 01/15/2019 89237RAB4 21,215.06 Toyota Auto Receivable 2017-C A2A 100.000 21,215.06 213.44 21,428.50 0.00 1.58% Due 7/15/2020 Paydown 01/15/2019 89238BAB8 14,398.65 Toyota Auto Receivables Owner 2018-A 100.000 14,398.65 262.27 14,660.92 0.00 A2A 2.1% Due 10/15/2020 Chandler Asset Management - CONFIDENTIAL Page 10 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Transaction Ledger Account #10479 As of January 31, 2019 Transaction Settlement CUSIP Quantity Security Description Price Type Date DISPOSITIONS Paydown 01/25/2019 3137BFDQ1 0.00 FHLMC K717 A2 100.000 2.991% Due 9/25/2021 aunt Interest Total Amount Gain/Loss Pur/Sold 0.00 373.88 373.88 0.00 Subtotal 70,382.62 70,382.62 1,534.24 71,916.86 0.00 Security 01/04/2019 31846V203 1,703.79 First American Govt Obligation Fund 1.000 1,703.79 0.00 1,703.79 0.00 Withdrawal Class Y Security 01/28/2019 31846V203 183.01 First American Govt Obligation Fund 1.000 183.01 0.00 183.01 0.00 Withdrawal Class Subtotal 1,886.80 1,886.80 0.00 1,886.80 0.00 TOTAL DISPOSITIONS 72,269.42 72,269.42 1,534.24 73,803.66 0.00 OTHER TRANSACTIONS Interest 01/05/2019 3135GOS38 725,000.00 FNMA Note 0.000 7,250.00 0.00 7,250.00 0.00 2% Due 1/5/2022 Interest 01/14/2019 313OA8QS5 350,000.00 FHLB Note 0.000 1,968.75 0.00 1,968.75 0.00 1.125% Due 7/14/2021 Interest 01/17/2019 3137EAEE5 350,000.00 FHLMC Note 0.000 2,625.00 0.00 2,625.00 0.00 1.5% Due 1/17/2020 Interest 01/18/2019 4581XOCW6 345,000.00 Inter -American Dev Bank Note 0.000 3,665.63 0.00 3,665.63 0.00 2.125% Due 1/18/2022 Interest 01/20/2019 45950KC17 275,000.00 International Finance Corp Note 0.000 1,548.25 0.00 1,548.25 0.00 1.125% Due 7/20/2021 Interest 01/21/2019 3135GOA78 350,000.00 FNMA Note 0.000 2,843.75 0.00 2,843.75 0.00 1.625% Due 1/21/2020 Interest 01/23/2019 46625HKA7 445,000.00 JP Morgan Chase Callable Note Cont 0.000 5,006.25 0.00 5,006.25 0.00 12/23/2019 2.25% Due 1/23/2020 Interest 01/25/2019 45950KCMO 215,000.00 International Finance Corp Note 0.000 2,418.75 0.00 2,418.75 0.00 2.25% Due 1/25/2021 Chandler Asset Management - CONFIDENTIAL Paee 11 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Transaction Ledger Account #10479 As of January 31, 2019 OR Transaction Settlement Acq/Disp Interest Type Date CUSIP Quantity Security Description Price Yield Amount Pur/Sold Total Amount Gain/Loss OTHER TRANSACTIONS Interest 01/28/2019 69353RFE3 250,000.00 PNC Bank Callable Note Cont 6/28/2022 0.000 3,062.50 0.00 3,062.50 0.00 2.45% Due 7/28/2022 Interest 01/30/2019 94974BGF1 250,000.00 Wells Fargo Corp Note 0.000 2,687.50 0.00 2,687.50 0.00 2.15% Due 1/30/2020 Interest 01/31/2019 912828N89 375,000.00 US Treasury Note 0.000 2,578.13 0.00 2,578.13 0.00 1.375% Due 1/31/2021 Interest 01/31/2019 912828S76 250,000.00 US Treasury Note 0.000 1,406.25 0.00 1,406.25 0.00 1.125% Due 7/31/2021 Interest 01/31/2019 912828UL2 375,000.00 US Treasury Note 0.000 2,578.13 0.00 2,578.13 0.00 1.375% Due 1/31/2020 Interest 01/31/2019 912828V72 200,000.00 US Treasury Note 0.000 1,875.00 0.00 1,875.00 0.00 1.875% Due 1/31/2022 Subtotal 4,755,000.00 41,513.89 0.00 41,513.89 0.00 Dividend 01/02/2019 31846V203 105,022.12 First American Govt Obligation Fund 0.000 89.44 0.00 89.44 0.00 Class Y Subtotal 105,022.12 89.44 0.00 89.44 0.00 TOTAL OTHER TRANSACTIONS 4,860,022.12 41,603.33 0.00 41,603.33 0.00 Chandler Asset Management - CONFIDENTIAL Page 12 Execution Time: 2/3/2019 3:06:34 PM Attachment No. 1 - Investment Report January 2019 Chandler Report - January 2019 ATTACHMENT NO. 1 City of West Covina Investment Report For the Month Ended January 31, 2019 Interest/ Yield to Maturity % of Description Book Value Market Value Maturity Data Portfolio Cash and Cash Equivalents Wells Fargo Checking Account $ 13,267,997 $ 13,267,997 0.00% n/a 20.32% Pacific Western Bank Checking - HPP (CDBG) 8,568 8,568 0.00% n/a 0.01% Pacific Western Bank Checking- HPP (LMIHF) 12,256 12,256 0.00% n/a 0.02% Los Angeles County Investment Pool (LACIP) 19,356,160 19,356,160 2.13% n/a 29.67% Money Market Fund - Bank of the West 504,513 504,513 0.63% n/a 0.77% Wells Fargo Checking Account - Successor Agency 524,371 524,371 0.00% n/a 0.80% Wells Fargo Checking Account -CFD 1,170,743 1,170,743 0.00% n/a 1.79% Los Angeles County Investment Pool(LACIP)- Successor Agency 1,561,819 1,561,819 2.13% n/a 2.39% Investments - Chandler Asset Management Asset -Backed Securities 634,474 633,338 2.85% See attached 0.97% Federal Agencies 7,259,671 7,136,746 2.51% See attached 10.93% Collateralized Mortgage Obligation 152,024 150,541 2.91% See attached 0.23% Money Markel Funds 216,656 216,656 2.01% See attached 0.33% Supranationals 2,179,306 2,149,999 2.58% See attached 3.29% US Corporate 6,134,506 6,060,559 2.78% See attached 9.28% US Treasury 5,795,863 5,701,357 2.49% See attached 8.73% Total Cash and Investments $ 58,778,927 $ 58,456,623 Bond Reserves Lease Revenue Bonds, 2006 Series A & 2006 Series B (Taxable) First American Treasury Obligations Fund Class D $ 1,071,000 $ 1,071,000 1.83% n/a 1.64% First American Treasury Obligations Fund Class D 585,372 685,372 1.83% n/a 0.90% 1996 Special Tax Refunding Bonds - Successor Agency Westdeutsche Landesbank Girozentrale Investment Agmt 5,002,670 5,002,670 7.01% 9/1/2022 7.66% First American Treasury Obligations Fund Class D 179,235 179,235 1.83% n/a 0.27% Total Bond Reserves $ 6,838,277 $ 6,838,277 Total Investment Portfolio $ 65,617,204 $ 65,293,900 100.00% Blended Yield of Cash and Investments • 2.35% Benchmarks: LAIF 2.36% LACIP2.13% 6mo U.S. Treasury 2.46% 2yr U.S. Treasury 2.45% 5vr U.S. Treasury 2.43% • To ensure timely submission of the Investment Report, the prior month's LACIP percentage yield is used I hereby certify that the investments are in compliance with the investment policy adopted by the City Council. The investment portfolio provides sufficient funds to meet the budgeted expenditures over the next six months. This report meets the requirements of Government Code Section 53646. PREPARED BY: REVIEWED BY: Todd H. Owens -Accounting Manager Colleen B. Rozatti - City Treasu APPROVED BY: ✓/ e4l��' Mar&6 Medi -Fi eDirector CA. City of West Covina Short Term - Account #10479 MONTHLY ACCOUNT STATEMENT JANUARY 1, 2019 THROUGH JANUARY 31, 2019 Chandler Team: For questions about your account, please call (800) 317-4747, or contact operations@chandlerasset.com Custodian US Bank Christopher Isles (503)464-3685 CHANDLER ASSET MANAGEMENT chandlerasset.com Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures. City of West Covina Short Term Portfolio Summary C11% Account #10479 As of January 31, 2019 PORTFOLIO CHARACTERISTICS ACCOUNT SUMMARY TOP ISSUERS Average Modified Duration 1.49 Beg. Values End Values Government of United States 25.8% as of 12/31/18 as of 1/31/19 Federal National Mortgage Assoc 15.8% Average Coupon 1.72% Market Value 21,961,369 22,049,196 Federal Home Loan Mortgage Corp 11.1% Average Purchase YTM 1.47% Accrued Interest 92769 , 81584 , Federal Home Loan Bank 6.2% Total Market Value 22,054,139 22,130,780 Average Market YTM 2.59% Income Earned 27,729 27,345 International Finance Corp 5.3% Average S&P/Moody Rating AA/Aa1 Cont/WD -1 887 Inter -American Dev Bank 4.4% Par 22,281,301 22,322,552 Microsoft 2.7% Average Final Maturity 1.58 yrs Book Value 22,335,857 22,372,500 Eli Lilly & Co 2.3% Average Life 1.54yrs Cost Value 22,471,902 22,513,173 Total 73.6% SECTOR ALLOCATION Abe 32.4% us corn 27.5% us Treasury 25.8% s.Rraz_ 9.8% ABS, 2.9% Money Mkt Fd 11.0% cMol 0,7% PERFORMANCE REVIEW MATURITY DISTRIBUTION 0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5 5+ Maturity (Yrs) CREDIT QUALITY (S&P) AA (65.9%) A (17-1%) NR (3.3%) AAA (13.7%) Annualized TOTAL RATE OF RETURN 1M _9W 3M YTD 1YR 2YRS 3YRS SYRS 10YRS 7/31/2016 City of West Covina Short Term 0.36% 1.35% 0.36% 2.25% 1.42% N/A N/A N/A 1.04% ICE BAML 1-3 Yr US Treasury/Agency Index 0.27% 1.41% 0.27% 2.16% 1.09% N/A N/A N/A 0.73% Chandler Asset Management -CONFIDENTIAL Page 1 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Reconciliation Summary Account #10479 As of January 31, 2019 OR BEGINNING BOOK VALUE Acquisition +Security Purchases + Money Market Fund Purchases + Money Market Contributions +Security Contributions + Security Transfers Total Acquisitions Dispositions - Security Sales - Money Market Fund Sales - MMF Withdrawals - Security Withdrawals - Security Transfers - Other Dispositions - Maturites Calls - Principal Paydowns Total Dispositions Amortization/Accretion +/- Net Accretion Gain/Loss on Dispositions +/- Realized Gain/Loss ENDING BOOK VALUE Chandler Asset Management - CONFIDENTIAL I $0.00 $113,520.19 $0.00 $0.00 $0.00 $0.00 $0.00 $1,886.80 $0.00 $0.00 $0.00 $0.00 $0.00 $70,382.62 $22,335,856.84 BEGINNING BALANCE Acquisition Contributions Security Sale Proceeds Accrued Interest Received Interest Received Dividend Received $113,520.19 Principal on Maturities Interest on Maturities Calls/Redemption (Principal) Interest from Calls/Redemption Principal Paydown Total Acquisitions Dispositions Withdrawals Security Purchase Accrued Interest Paid Total Dispositions $72,269.42 ENDING BOOK VALUE ($4,607.31) ($4,607.31) $0.00 $0.00 $22,372,500.30 Page 2 $43,048. $113,520. $105,022.12 $216,655.51 Execution Time: 2/3/2019 3:06:34 PM City of West Covina short Term Holdings Report Account #10479 As of January Purchase Date 31, 2019 Cost Value Mkt Price Market Value % of Port. Moody/S&P Maturity 47788BABO Security Description John Deere Owner Trust 2017-B A2A Par Value/Units 31,660.06 Book Yield 07/11/2017 Book Value 31,657.31 Mkt YTM 99.87 Accrued Int. 31,617.46 Gain/Loss 0.14% Fitch Aaa / NR DurationCUSIP 1.21 1.59% Due 4/15/2020 1.60% 31,658.86 2.81% 22.38 (41.40) AAA 0.11 89237RAB4 Toyota Auto Receivable 2017-C A2A 140,891.00 07/25/2017 140,889.64 99.69 140,459.44 0.64% Aaa / AAA 1.45 1.58% Due 7/15/2020 1.59% 140,890.34 2.81% 98.94 (430.90) NR 0.25 89238BAB8 Toyota Auto Receivables Owner 2018-A 135,471.90 01/23/2018 135,458.05 99.69 135,049.07 0.61% Aaa / AAA 1.71 A2A 2.12% 135,463.18 2.96% 126.44 (414.11) NR 0.38 2.1% Due 10/15/2020 47788CAB8 John Deere Owner Trust 2018-A A2 132,873.42 Various 132,735.58 99.86 132,686.98 0.60% Aaa / NR 1.71 2.42% Due 10/15/2020 2.51% 132,782.25 2.82% 142.92 (95.27) AAA 0.36 43811BAC8 Honda Auto Receivables 2017-2 A3 110,000.00 04/27/2018 108,289.84 99.18 109,099.21 0.49% Aaa / AAA 2.54 1.68% Due 8/16/2021 2.62% 108,683.29 2.76% 82.13 415.92 NR 0.76 47788BAD6 John Deere Owner Trust 2017-B A3 35,000.00 07/11/2017 34,997.44 99.02 34,655.46 0.16% Aaa / NR 2.71 1.82% Due 10/15/2021 1.83% 34,998.37 2.89% 28.31 (342.91) AAA 0.92 47788CAC6 John Deere Owner Trust 2016-B A4 50,000.00 02/21/2018 49,996.41 99.54 49,770.30 0.23% Aaa / NR 3.21 2.66% Due 4/18/2022 2.68% 49,997.21 3.01% 59.11 (226.91) AAA 1.37 634,024.27 633,337.92 2.86% Aaa/AAA 1.94 Total ABS 635,896.38 2.17% 634,473.50 2.85% 560.23 (1,135.58) AAA 0.51 AGENCY 3137EADK2 FHLMC Note 565,000.00 07/29/2016 570,938.15 99.38 561,500.39 2.55% Aaa /AA+ 0.50 1.25% Due 8/1/2019 0.89% 565,978.87 2.50% 3,531.25 (4,478.48) AAA 0.49 3135GOP49 FNMA Note 700,000.00 09/02/2016 698,782.00 99.14 693,956.90 3.15% Aaa /AA+ 0.57 1% Due 8/28/2019 1.06% 699,766.72 2.54% 2,975.00 (5,809.82) AAA 0.57 3137EADM8 FHLMC Note 700,000.00 08/05/2016 706,153.00 99.16 694,086.40 3.15% Aaa /AA+ 0.67 1.25% Due 10/2/2019 0.97% 701,300.16 2.53% 2,892.36 (7,213.76) AAA 0.66 3137EAEE5 FHLMC Note 350,000.00 01/12/2017 349,622.00 99.00 346,504.90 1.57% Aaa / AA+ 0.96 1.5% Due 1/17/2020 1.54% 349,879.18 2.56% 204.17 (3,374.28) AAA 0.95 3135GOA78 FNMA Note 350,000.00 10/14/2016 355,204.50 99.11 346,881.85 1.57% Aaa /AA+ 0.97 1.625% Due 1/21/2020 1.16% 351,546.93 2.56% 157.99 (4,665.08) AAA 0.96 3137EADR7 FHLMC Note 350,000.00 06/29/2017 348,015.50 98.55 344,918.70 1.56% Aaa / AA+ 1.25 1.375%Due 5/1/2020 1.58% 349,128.43 2.56% 1,203.13 (4,209.73) AAA 1.22 3133831-11J8 FHLB Note 350,000.00 Various 358,197.50 99.00 346,491.95 1.57% Aaa /AA+ 1.36 1.75% Due 6/12/2020 1.12% 352,937.62 2.50% 833.68 (6,445.67) NR 1.33 Chandler Asset Management - CONFIDENTIAL Paee 3 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Holdings Report Account #10479 As of January 31, 2019 CUSIP AGENCY Security Description Par Value/Units Purchase Date Book Yield Cost Value Book Value Mkt Price Mkt YTM Market Value Accrued Int. % of Port. Gain/Loss Moody/S&P Fitch Maturity Duration 3135GOD75 FNMA Note 700,000.00 07/29/2016 712,474.00 98.60 690,213.30 3.12% Aaa /AA+ 1.39 1.5% Due 6/22/2020 1.03% 704,441.24 2.53% 1,137.50 (14,227.94) AAA 1.36 3135GOF73 FNMA Note 350,000.00 07/29/2016 355,939.50 98.22 343,754.60 1.56% Aaa /AA+ 1.83 1.5% Due 11/30/2020 1.10% 352,503.21 2.50% 889.58 (8,748.61) AAA 1.79 313OA7CV5 FHLB Note 350,000.00 07/29/2016 353,846.50 97.82 342,375.60 1.56% Aaa / AA+ 2.05 1.375% Due 2/18/2021 1.13% 351,728.04 2.47% 2,178.99 (9,352.44) AAA 1.99 3135GOK69 FNMA Note 350,000.00 07/22/2016 349,744.50 97.34 340,697.00 1.54% Aaa /AA+ 2.26 1.25% Due 5/6/2021 1.27% 349,879.20 2.46% 1,032.99 (9,182.20) AAA 2.21 313379RB7 FHLB Note 350,000.00 08/15/2017 351,802.50 98.41 344,450.05 1.56% Aaa / AA+ 2.36 1.875% Due 6/11/2021 1.73% 351,112.51 2.57% 911.46 (6,662.46) AAA 2.29 313OA8QS5 FHLB Note 350,000.00 08/19/2016 347,452.00 96.90 339,155.25 1.53% Aaa /AA+ 2.45 1.125%Due 7/14/2021 1.28% 348,725.29 2.43% 185.94 (9,570.04) AAA 2.40 3137EAEC9 FHLMC Note 350,000.00 08/19/2016 346,720.50 96.86 339,003.70 1.54% Aaa / AA+ 2.53 1.125%Due 8/12/2021 1.32% 348,333.16 2.41% 1,848.44 (9,329.46) AAA 2.46 3135GOS38 FNMA Note 725,000.00 Various 728,871.25 98.58 714,739.08 3.23% Aaa /AA+ 2.93 2% Due 1/5/2022 1.88% 727,446.03 2.50% 1,047.23 (12,706.95) AAA 2.82 3135GOT45 FNMA Note 355,000.00 06/19/2017 354,946.40 98.03 348,016.09 1.58% Aaa /AA+ 3.18 1.875% Due 4/5/2022 1.88% 354,964.50 2.52% 2,144.79 (6,948.41) AAA 3.04 7,288,709.80 7,136,745.76 32.35% Aaa / AA+ 1.61 Total Agency 7,245,000.00 1.28% 7,259,671.09 2.51% 23,174.50 (122,925.33) AAA 1.56 CIVIC, 3137BFDQ1 FHLMC K717 A2 150,000.00 01/04/2018 152,835.94 100.36 150,541.35 0.68% NR/NR 2.65 2.991% Due 9/25/2021 2.37% 152,023.88 2.91% 373.88 (1,482.53) AAA 2.34 152,835.94 150,541.35 0.68% NR/NR 2.65 Total CMO 150,000.00 2.37% 152,023.88 2.91% 373.88 (1,482.53) AAA 2.34 Chandler Asset Management - CONFIDENTIAL Page 4 Execution Time: 2/3/2019 3:06:34 PM City of West Covina Short Term Holdings Report Account #10479 As of January 31, 2019 Security Description MONEY MARKET FUND FI Par Value/Units Purchase Date Book Yield Cost Value Book Value Mkt Price Mkt YTIVI Market Value Accrued Int. % of Port. Gain/Loss Moody/S&P Fitch Maturity DurationCUSIP 31846V203 First American Govt Obligation Fund 216,655.51 Various 216,655.51 1.00 216,655.51 0.98% Aaa / AAA 0.00 Class Y 2.01% 216,655.51 2.01% 0.00 0.00 AAA 0.00 216,655.51 216,655.51 0.98% Aaa / AAA 0.00 Total Money Market Fund FI 216,655.51 2.01% 216,655.51 2.01% 0.00 0.00 AAA 0.00 SUPRANATIONAL 1 45950KCDO International Finance Corp Note 700,000.00 08/05/2016 715,554.00 99.48 696,325.70 3.17% Aaa / AAA 0.62 1.75% Due 9/16/2019 1.02% 703,113.54 2.60% 4,593.76 (6,787.84) NR 0.61 4581XOCX4 Inter -American Dev Bank Note 290,000.00 04/05/2017 289,312.70 98.84 286,639.77 1.30% Aaa/AAA 1.28 1.625% Due 5/12/2020 1.70% 289,715.56 2.55% 1,034.13 (3,075.79) AAA 1.25 4581XOCD8 Inter -American Dev Bank Note 350,000.00 08/05/2016 363,261.50 99.18 347,116.35 1.58% Aaa/AAA 1.78 2.125% Due 11/9/2020 1.21% 355,521.36 2.60% 1,694.10 (8,405.01) AAA 1.72 45950KCMO International Finance Corp Note 215,000.00 01/18/2018 214,367.90 99.36 213,626.37 0.97% Aaa / AAA 1.99 2.25% Due 1/25/2021 2.35% 214,582.45 2.58% 80.63 (956.08) NR 1.93 45950KCI7 International Finance Corp Note 275,000.00 11/09/2016 268,576.00 96.60 265,644.50 1.20% Aaa / AAA 2.47 1.125%Due 7/20/2021 1.64% 271,624.87 2.56% 94.53 (5,980.37) NR 2.41 4581XOCW6 Inter -American Dev Bank Note 345,000.00 01/10/2017 344,575.65 98.74 340,646.10 1.54% Aaa / NR 2.97 2.125% Due 1/18/2022 2.15% 344,748.55 2.57% 264.74 (4,102.45) AAA 2.85 2,195,647.75 2,149,998.79 9.75% Aaa/AAA 1.63 Total Supranational 2,175,000.00 1.53% 2,179,306.33 2.58% 7,761.89 (29,307.54) AAA 1.58 US CORPORATE 53245781`4 Eli Lilly & Co Note 500,000.00 09/08/2016 509,180.00 99.89 499,438.50 2.27% A2 / AA- 0.12 1.95% Due 3/15/2019 1.20% 500,422.30 2.85% 3,683.34 (983.80) A 0.12 91159HHH6 US Bancorp Callable Note Cont 500,000.00 07/12/2016 512,145.00 99.90 499,479.00 2.27% Al/A+ 0.23 3/25/2019 1.31% 500,994.12 2.63% 2,933.34 (1,515.12) AA- 0.23 2.2% Due 4/25/2019 594918BN3 Microsoft Note 410,000.00 08/01/2016 409,577.70 99.27 407,016.43 1.85% Aaa/AAA 0.52 1.1% Due 8/8/2019 1.14% 409,927.50 2.52% 2,167.31 (2,911.07) AA+ 0.51 Chandler Asset Management - CONFIDENTIAL Paee 5 Execution Time: 2/3/2019 3:06:34 PM