Loading...
Agenda 11/12/2019 Item #16J 1 (Investments of County Funds as of the quarter ending 9/30/19)11/12/2019 EXECUTIVE SUMMARY Report to the Board regarding the investment of County funds as of the quarter ended September 30, 2019. OBJECTIVE: To provide the Board a report regarding the investment of County funds as of the quarter ended September 30, 2019. CONSIDERATIONS: Florida Statute 28.33 provides for the investment of County surplus funds by the Clerk of Courts. The Clerk manages the investment of Board funds in accordance with Florida Statute and the Board of County Commissioners’ lawful adopted investment policy using best practices and financial advice. The Clerk will continue to provide a monthly summary of investments on the Clerk’s website for public access. Additionally, the Clerk is providing this update as to the status of the Board’s investment portfolio on a quarterly basis at a publicly noticed Board of County Commissioners’ meeting. Attached as exhibits are the investment portfolio inventory, portfolio composition pie chart, along with yield and return graphs as of the end of the fourth quarter of FY-2019. The total managed portfolio at September 30, 2019 was $1.07B, at par value. For September 2019, Collier’s short and long-term yields exceeded their respective benchmarks by .12% and .63%. Short-term yield exceeded the Standard and Poor’s benchmark primarily due to the performance of funds with the Florida Prime Local Government Investment Pool. The Board’s Concentration (Operating) Account has also been included on the chart and bore interest of 1.88% as of September 30, 2019. In order to maximize yield, only funds necessary to meet current obligations are kept in the Concentration Account. Over the same period, the Collier portfolio’s long-term sector total return was .95% lower than the benchmark due to the relative market volatility of the Bank of America 1 to 3 year Treasury index’s total return. Total return measures include the unrealized gains and losses related to changes in the fair value of the investments. The current investment strategy is to focus on the short end of the yield curve as expected actions on the part of the Federal Reserve may steepen the yield curve and subsequently allow the extension of maturities to where higher yields are available. There is no realized gain or loss of principal associated with the performance to benchmark of the long or short-term portfolio. GROWTH MANAGEMENT IMPACT: None. FISCAL IMPACT: None. LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, raises no legal issues, and requires majority vote for acceptance of the report. -JAK RECOMMENDATION: The investment report exhibits are provided to the Board as information only, no action is required. 16.J.1 Packet Pg. 2334 11/12/2019 Prepared by: Derek M. Johnssen, Finance Director, Office of the Clerk of the Circuit Court ATTACHMENT(S) 1. Investment Exhibits QTR4 FY 2019 (PDF) 16.J.1 Packet Pg. 2335 11/12/2019 COLLIER COUNTY Board of County Commissioners Item Number: 16.J.1 Doc ID: 10726 Item Summary: Report to the Board regarding the investment of County funds as of the quarter ended September 30, 2019. Meeting Date: 11/12/2019 Prepared by: Title: – Clerk of the Circuit Court Name: Erin Roxberry 10/31/2019 10:36 AM Submitted by: Title: Senior Staff Assistant – Clerk of the Circuit Court Name: Jennifer Milum 10/31/2019 10:36 AM Approved By: Review: Clerk of the Circuit Court Derek Johnssen Additional Reviewer Completed 10/31/2019 10:55 AM Office of Management and Budget Valerie Fleming Level 3 OMB Gatekeeper Review Completed 10/31/2019 11:03 AM Office of Management and Budget Laura Zautcke Additional Reviewer Completed 10/31/2019 1:57 PM County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 11/01/2019 9:06 AM County Manager's Office Nick Casalanguida Level 4 County Manager Review Completed 11/05/2019 10:36 AM Board of County Commissioners MaryJo Brock Meeting Pending 11/12/2019 9:00 AM 16.J.1 Packet Pg. 2336 0/15/2018 none N/A 25,000,000.00 25,610,350.00 24,942,795.21 10/15/2021 0.06 0.060/29/2018 10/29/2019 quarterly 25,000,000.00 25,022,462.50 25,000,000.00 10/29/2021 0.06 0.0611/1/2018 11/1/2019 quarterly 25,000,000.00 25,028,120.25 25,000,000.00 2/1/2022 0.06 0.001/26/2018 11/26/2019 quarterly 25,000,000.00 25,047,282.00 25,000,000.00 11/26/2021 0.06 0.0012/3/2018 none N/A 9,548,000.00 9,993,924.25 9,555,925.89 3/3/2023 0.04 0.042/10/2018 12/10/2019 continuously 25,000,000.00 25,049,132.75 25,000,000.00 12/10/2021 0.06 0.012/24/2018 12/24/2019 annually 25,000,000.00 25,066,546.25 25,000,000.00 12/24/2021 0.06 0.012/27/2018 12/27/2019 quarterly 25,000,000.00 25,068,930.00 25,000,000.00 12/27/2023 0.12 0.012/27/2018 12/27/2019 quarterly 25,000,000.00 25,068,830.75 25,000,000.00 12/27/2023 0.12 0.012/25/2019 none N/A 85,000,000.00 84,491,445.00 84,292,823.61 1/30/2020 0.03 0.034/30/2019 10/11/2019 quarterly 50,000,000.00 50,006,022.50 50,000,000.00 1/11/2021 0.07 0.007/25/2019 none N/A 25,000,000.00 24,645,525.00 24,618,368.06 7/16/2020 0.02 0.027/26/2019 none N/A 25,000,000.00 24,645,525.00 24,614,340.27 7/16/2020 0.02 0.027/26/2019 none N/A 25,000,000.00 24,645,525.00 24,613,131.94 7/16/2020 0.02 0.028/2/2019 none N/A 7,031,000.00 7,010,320.00 7,005,592.08 5/1/2020 0.00 0.008/2/2019 none N/A 50,000,000.00 49,700,850.00 49,655,180.48 1/30/2020 0.02 0.028/5/2019 11/5/2019 quarterly 25,000,000.00 24,990,849.50 25,000,000.00 8/5/2021 0.05 0.008/8/2019 11/8/2019 continuously 25,000,000.00 24,964,202.50 25,000,000.00 2/8/2021 0.04 0.008/8/2019 11/8/2019 quarterly 50,000,000.00 49,931,922.00 50,000,000.00 2/8/2021 0.07 0.018/15/2019 11/15/2019 quarterly 25,000,000.00 25,000,768.75 25,000,000.00 9/11/2020 0.03 0.008/15/2019 none N/A 50,000,000.00 49,667,200.00 49,642,527.78 2/13/2020 0.02 0.028/28/2019 11/27/2019 quarterly 25,000,000.00 24,974,504.75 25,000,000.00 8/27/2021 0.05 0.008/28/2019 11/27/2019 quarterly 35,000,000.00 34,996,714.55 35,000,000.00 8/27/2020 0.03 0.019/9/2019 none N/A 25,000,000.00 24,620,525.00 24,630,656.25 8/13/2020 0.02 0.029/12/2019 none N/A 50,000,000.00 49,180,600.00 49,166,236.11 9/10/2020 0.05 0.05911,579,000.00$ 909,126,614.55$ 907,727,114.21$ 1.36 0.54 Balance60,332,480.81$ 1.88 102,365,770.66$ 2.31 162,698,251.47$ 1,074,277,251.47$ alue divided by total long term investment par value multiplied by the remaining number of year(s) to full maturity.dual par value divided by total long term investment par value multiplied by the remaining number of year(s) to full maturity, or to the first call date if applicable. usted based on date of final maturity.ts (BoCC Concentration Account) pursuant to a contract with First Florida Integrity Bank. Concentration Account Rate is indexed at 95% of the daily Effective Federal Funds Rate warticipant Yield as published on the SBA Florida Prime website. US Treasuries Notes & T-Bills $385,000,000.00 35.8%BoCC Deposit Account $60,332,480.81 5.6%Federal Agencies / GSE (FHLB,FNMA,FHLMC,FFCB)$526,579,000.0049.1%BoCC SBA Florida LGIP$102,365,770.66 9.5%Collier County Portfolio Composition as of September 30, 2019 (At Par Value) $1,074,277,251.47SectorAllowed (%)Current (%)Sector MaximumTotal Cash Based Interest & Gains Fiscal Year to Date$21,636,872Bank Deposit Account 100% 5.6% U.S. Treasury Notes & T-Bills 100% 35.8% Federal Agency / GSE 80% 49.1% SBA Florida LGIP 50% 9.5% 16.J.1.aPacket Pg. 2338Attachment: Investment Exhibits QTR4 FY 2019 (10726 : Investments QTR4 FY 2019) 1.88%2.31%2.19%1.50%1.75%2.00%2.25%2.50%2.75%Oct. 2018 Nov. 2018 Dec. 2018 Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019Collier County Short Term Sector YieldsCollier Short Term Portfolio Yield vs.S&P Rated GIP Government Index Concentration Account (FFIB)Collier Short Term Portfolio YieldS&P Rated GIP Government IndexCombined Yield on SBA Florida PrimeLGIP Account & Synovus Bank CD16.J.1.aPacket Pg. 2339Attachment: Investment Exhibits QTR4 FY 2019 (10726 : Investments QTR4 FY 2019) 2.31%1.68%1.00%1.25%1.50%1.75%2.00%2.25%2.50%2.75%3.00%Oct. 2018 Nov. 2018 Dec. 2018 Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019Collier County Long Term Sector YieldsCollier Long Term Portfolio Yieldvs.B of A 1-3 Yr. Treas. Note BenchmarkCollier Long Term Portfolio YieldBank of America 1-3 Yr Treasury Note Benchmark16.J.1.aPacket Pg. 2340Attachment: Investment Exhibits QTR4 FY 2019 (10726 : Investments QTR4 FY 2019) 4.36%3.41%0.00%0.50%1.00%1.50%2.00%2.50%3.00%3.50%4.00%4.50%5.00%Oct. 2018 Nov. 2018 Dec. 2018 Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019Collier County Long Term Sector12 Month Total Returnvs.B of A 1-3 US T Index 12 Month Total Return IndexBank of America 12 Month Return IndexCollier County 12 Month ReturnNote: Total return includes both interest earnings and changes in the market value of the underlying securities.16.J.1.aPacket Pg. 2341Attachment: Investment Exhibits QTR4 FY 2019 (10726 : Investments QTR4 FY 2019)