Agenda 01/28/2020 Item #16J 1 (Report for the Investment of County Funds)01/28/2020
EXECUTIVE SUMMARY
Report to the Board regarding the investment of County funds as of the quarter ended
December 31, 2019.
OBJECTIVE: To provide the Board a report regarding the investment of County funds as of
the quarter ended December 31, 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 first quarter of FY-2020. The total
managed portfolio at December 31, 2019 was $1.37B, at par value. For December 2019,
Collier’s short and long-term yields exceeded their respective benchmarks by .15% and .26%.
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 1.49% as of
December 31, 2019. In order to maximize yield, only funds necessary to meet current
obligations reside in the Concentration Account. Over the same period, the Collier portfolio’s
long-term sector total return was .66% 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 yield curve is flat, with little incentive to extend maturities beyond a short term.
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.
Prepared by: Derek M. Johnssen, Finance Director,
Office of the Clerk of the Circuit Court
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01/28/2020
ATTACHMENT(S)
1. Investment Exhibits QTR1 FY 2020 (PDF)
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COLLIER COUNTY
Board of County Commissioners
Item Number: 16.J.1
Doc ID: 11400
Item Summary: Report to the Board regarding the investment of County funds as of the quarter
ended December 31, 2019.
Meeting Date: 01/28/2020
Prepared by:
Title: – Clerk of the Circuit Court
Name: Erin Roxberry
01/21/2020 11:05 AM
Submitted by:
Title: Senior Staff Assistant – Clerk of the Circuit Court
Name: Jennifer Milum
01/21/2020 11:05 AM
Approved By:
Review:
Clerk of the Circuit Court Derek Johnssen Additional Reviewer Completed 01/21/2020 11:07 AM
Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 01/21/2020 11:46 AM
Budget and Management Office Mark Isackson Additional Reviewer Completed 01/21/2020 1:27 PM
County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 01/21/2020 2:10 PM
County Manager's Office Leo E. Ochs Level 4 County Manager Review Completed 01/22/2020 8:56 AM
Board of County Commissioners MaryJo Brock Meeting Pending 01/28/2020 9:00 AM
16.J.1
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Collier County Investment Portfolio
as of 12/31/2019 A B C D E F G
Weighted Weighted Bond Cont. Rate/Bond Cont. Rate/
FNBB Final Years Years O/N Equiv. /Coupon Equiv. /Weighted
Settlement First Call Market Amortized Maturity to to First Cont.Coupon Weighted Purchased Purchased
Instrument CUSIP Date Call Date Frequency Par Value Value Cost Date Maturity Call/Maturity Rate Rate Yield Yield Yield
FNMA 3136G3XR1 7/27/2016 1/27/2017 quarterly 25,000,000.00$ 24,950,425.00$ 24,992,847.36$ 7/27/2020 0.02 0.02 1.13 0.03 1.18 0.03
FHLB 3130A9JZ5 9/27/2016 12/27/2016 continuously 25,000,000.00 24,920,150.00 25,000,000.00 9/27/2021 0.05 0.05 1.60 0.05 1.60 0.05
FNMA 3136G4BS1 9/30/2016 3/30/2017 quarterly 25,000,000.00 24,926,250.00 25,000,000.00 9/30/2021 0.05 0.05 1.60 0.05 1.60 0.05
US Treasury Note 9128285F3 10/15/2018 none N/A 25,000,000.00 25,530,275.00 24,949,849.96 10/15/2021 0.05 0.05 2.88 0.08 2.99 0.09
FFCB 3133EJY60 12/3/2018 none N/A 9,548,000.00 9,931,724.57 9,555,342.54 3/3/2023 0.03 0.03 3.02 0.03 2.99 0.03
US Treasury Bill 912796RY7-1 2/25/2019 none N/A 85,000,000.00 84,873,180.00 84,826,104.17 1/30/2020 0.01 0.01 2.53 0.25 2.53 0.25
US Treasury Bill 912796SZ3-1 7/25/2019 none N/A 25,000,000.00 24,783,025.00 24,739,437.50 7/16/2020 0.02 0.02 1.95 0.06 1.95 0.06
US Treasury Bill 912796SZ3-2 7/26/2019 none N/A 25,000,000.00 24,783,025.00 24,736,687.50 7/16/2020 0.02 0.02 1.98 0.06 1.98 0.06
US Treasury Bill 912796SZ3-3 7/26/2019 none N/A 25,000,000.00 24,783,025.00 24,735,862.50 7/16/2020 0.02 0.02 1.98 0.06 1.98 0.06
FHLMC 3137EADR7 8/2/2019 none N/A 7,031,000.00 7,024,932.25 7,016,515.11 5/1/2020 0.00 0.00 1.38 0.01 2.00 0.02
US Treasury Bill 912796RY7-2 8/2/2019 none N/A 50,000,000.00 49,925,400.00 49,915,208.31 1/30/2020 0.00 0.00 2.09 0.12 2.09 0.12
US Treasury Bill 912796TF6 8/15/2019 none N/A 50,000,000.00 49,894,100.00 49,884,347.22 2/13/2020 0.01 0.01 1.94 0.11 1.94 0.11
US Treasury Bill 912796TD1 9/9/2019 none N/A 25,000,000.00 24,753,925.00 24,737,510.42 8/13/2020 0.02 0.02 1.72 0.05 1.72 0.05
US Treasury Bill 912796TJ8 9/12/2019 none N/A 50,000,000.00 49,453,450.00 49,387,930.55 9/10/2020 0.04 0.04 1.79 0.10 1.79 0.10
FHLB 3130AH7J6-1 10/1/2019 none N/A 10,000,000.00 10,003,490.00 9,994,687.84 10/1/2020 0.01 0.01 1.75 0.02 1.82 0.02
FHLB 3130AH7J6-2 10/1/2019 none N/A 10,000,000.00 10,003,490.00 9,994,740.44 10/1/2020 0.01 0.01 1.75 0.02 1.82 0.02
FHLB 3130AH7J6-3 10/2/2019 none N/A 25,000,000.00 25,008,725.00 24,990,582.19 10/1/2020 0.02 0.02 1.75 0.05 1.80 0.05
FFCB 3133EK6Y7-1 11/13/2019 2/13/2020 continuously 25,000,000.00 24,963,475.00 24,988,043.48 5/13/2021 0.04 0.04 1.67 0.05 1.74 0.05
FFCB 3133EK6Y7-2 11/13/2019 2/13/2020 continuously 25,000,000.00 24,963,475.00 24,994,021.74 5/13/2021 0.04 0.00 1.67 0.05 1.70 0.05
FFCB 3133EK7L4 11/19/2019 5/19/2020 continuously 25,000,000.00 25,001,450.00 25,000,000.00 11/19/2020 0.03 0.01 1.66 0.05 1.66 0.05
US Treasury Bill 912796SR1-1 11/21/2019 none N/A 50,000,000.00 49,687,550.00 49,697,263.80 5/21/2020 0.02 0.02 1.57 0.09 1.57 0.09
US Treasury Bill 912796SR1-2 11/21/2019 none N/A 50,000,000.00 49,687,550.00 49,698,250.00 5/21/2020 0.02 0.02 1.57 0.09 1.57 0.09
US Treasury Bill 912796TX7 12/5/2019 none N/A 100,000,000.00 99,308,500.00 99,319,666.86 6/4/2020 0.05 0.05 1.61 0.18 1.61 0.18
US Treasury Note 912828YZ7-1 12/31/2019 none N/A 50,000,000.00 49,980,450.00 49,997,998.53 12/31/2021 0.11 0.11 1.63 0.09 1.63 0.09
US Treasury Note 912828YZ7-2 12/31/2019 none N/A 50,000,000.00 49,980,450.00 49,998,040.02 12/31/2021 0.11 0.11 1.63 0.09 1.63 0.09
Total long term investments 871,579,000.00$ 869,121,491.82$ 868,150,938.04$ 0.80 0.74 1.84 1.86
Balance
BoCC FFIB Concentration Account 45,275,522.03$ 1.49
BoCC SBA Florida LGIP Account 448,680,498.09$ 1.86
Total Funds on Deposit 493,956,020.12$
Total managed portfolio 1,365,535,020.12$
A-Weighted Years to Maturity calculation is based on individual par value divided by total long term investment par value multiplied by the remaining number of year(s) to full maturity.
B-Weighted Years To First Call/Maturity calculation is based on individual 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.
When an investment passes the first call date the calculation is adjusted based on date of final maturity.
C-An Overnight Contractual Rate is provided for overnight investments (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 with a floor
(minimum) rate of .25%. The SBA Florida LGIP rate is the current Participant Yield as published on the SBA Florida Prime website.
D-Coupon Rate is taken from the respective investment trade tickets. Step coupons, if any, are shown at their current rate.
E-Coupon Weighted Yield calculation is based on individual par value divided by total long term investment par value multiplied by the coupon rate.
F-Bond Equivalent / Purchased Yield is taken from the respective investment trade tickets.
G-Weighted Purchased Yield calculation is based on individual par value divided by total long term investment par value multiplied by the Purchased Yield.
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Packet Pg. 2095 Attachment: Investment Exhibits QTR1 FY 2020 (11400 : Investment Reports)
US Treasuries
Notes & T-Bills
$660,000,000.00
48.3%
BoCC Deposit Account
$45,275,522.03
3.3%
Federal Agencies / GSE
(FHLB,FNMA,FHLMC,FFCB)
$211,579,000.00
15.5%
BoCC SBA Florida LGIP
$448,680,498.09
32.9%
Collier County Portfolio Composition
as of December 31, 2019 (At Par Value)
$1,365,535,020.12
Sector Allowed (%)Current (%)
Sector Maximum
Total Cash Based Interest & Gains
Fiscal Year to Date
$6,380,137
Bank Deposit Account 100% 3.3%
U.S. Treasury Notes & T-Bills 100% 48.3%
Federal Agency / GSE 80% 15.5%
SBA Florida LGIP 50% 32.9%
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Packet Pg. 2096 Attachment: Investment Exhibits QTR1 FY 2020 (11400 : Investment Reports)
1.49%
1.83%
1.68%
1.25%
1.50%
1.75%
2.00%
2.25%
2.50%
2.75%
Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019 Oct. 2019 Nov. 2019 Dec. 2019
Collier County Short Term Sector Yields
Collier Short Term Portfolio Yield
vs.
S&P Rated GIP Government Index
Concentration Account (FFIB)Collier Short Term Portfolio Yield S&P Rated GIP Government Index
Yield on SBA Florida Prime LGIP Account
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Packet Pg. 2097 Attachment: Investment Exhibits QTR1 FY 2020 (11400 : Investment Reports)
1.86%
1.60%
1.00%
1.25%
1.50%
1.75%
2.00%
2.25%
2.50%
2.75%
3.00%
Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019 Oct. 2019 Nov. 2019 Dec. 2019
Collier County Long Term Sector Yields
Collier Long Term Portfolio Yield
vs.
B of A 1-3 Yr. Treas. Note Benchmark
Collier Long Term Portfolio Yield Bank of America 1-3 Yr Treasury Note Benchmark
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Packet Pg. 2098 Attachment: Investment Exhibits QTR1 FY 2020 (11400 : Investment Reports)
3.55%
2.89%
0.00%
0.50%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
Jan. 2019 Feb. 2019 Mar. 2019 Apr. 2019 May. 2019 June. 2019 July. 2019 Aug. 2019 Sept. 2019 Oct. 2019 Nov. 2019 Dec. 2019
Collier County Long Term Sector
12 Month Total Return
vs.
B of A 1-3 US T Index 12 Month Total Return Index
Bank of America 12 Month Return Index Collier County 12 Month Return
Note: Total return includes both interest earnings and changes in the market value of the underlying securities.
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Packet Pg. 2099 Attachment: Investment Exhibits QTR1 FY 2020 (11400 : Investment Reports)