Agenda 02/09/2021 Item #16J2 (Investment of County Funds Quarter Ending 12-31-20)02/09/2021
EXECUTIVE SUMMARY
Report to the Board regarding the investment of County funds as of the quarter ended
December 31, 2020.
OBJECTIVE: To provide the Board a report regarding the investment of County funds as of
the quarter ended December 31, 2020.
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-2021. The total
managed portfolio at December 31, 2020 was $1.54B, at par value. For September 2020,
Collier’s short and long-term yields exceeded their respective benchmarks by .03% and .77%.
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, FLCLASS and Florida
PALM (LGIPs). The Board’s Concentration (Operating) Account has also been included on the
chart and bore interest of .25%, .11% over the short-term benchmark, as of December 31, 2020.
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 1.61% 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 utilize our
overnight LGIPs thus maintaining the flexibility to take advantage of anticipated yield increases
with strategic purchases. 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 to accept 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 and Comptroller
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ATTACHMENT(S)
1. 12.31.20 Investment Exhibits (PDF)
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COLLIER COUNTY
Board of County Commissioners
Item Number: 16.J.2
Doc ID: 14911
Item Summary: Report to the Board regarding the investment of County funds as of the quarter
ended December 31, 2020.
Meeting Date: 02/09/2021
Prepared by:
Title: – Clerk of the Circuit Court
Name: Erin Roxberry
02/02/2021 12:15 PM
Submitted by:
Title: Senior Staff Assistant – Clerk of the Circuit Court
Name: Jennifer Milum
02/02/2021 12:15 PM
Approved By:
Review:
Clerk of the Circuit Court Derek Johnssen Additional Reviewer Completed 02/02/2021 1:12 PM
Office of Management and Budget Debra Windsor Level 3 OMB Gatekeeper Review Completed 02/02/2021 1:15 PM
Budget and Management Office Mark Isackson Additional Reviewer Completed 02/02/2021 2:37 PM
County Attorney's Office Jeffrey A. Klatzkow Level 3 County Attorney's Office Review Completed 02/02/2021 4:16 PM
County Manager's Office Dan Rodriguez Level 4 County Manager Review Completed 02/02/2021 4:28 PM
Board of County Commissioners MaryJo Brock Meeting Pending 02/09/2021 9:00 AM
16.J.2
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Collier County Investment Portfolio
as of 12/31/2020 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
US Treasury Note 9128285F3 10/15/2018 none N/A 25,000,000.00$ 25,551,750.00$ 24,977,915.58$ 10/15/2021 0.04 0.04 2.88 0.15 2.99 0.15
FFCB 3133EJY60 12/3/2018 none N/A 9,548,000.00 10,136,863.35 9,553,021.84 3/3/2023 0.04 0.04 3.02 0.06 2.99 0.06
US Treasury Note 912828YZ7-1 12/31/2019 none N/A 50,000,000.00 50,757,800.00 49,999,000.63 12/31/2021 0.10 0.10 1.63 0.17 1.63 0.17
US Treasury Note 912828YZ7-2 12/31/2019 none N/A 50,000,000.00 50,757,800.00 49,999,021.35 12/31/2021 0.10 0.10 1.63 0.17 1.63 0.17
FFCB 3133ELKR4 2/3/2020 2/3/2021 continuously 25,000,000.00 25,028,950.00 24,998,838.80 2/3/2022 0.06 0.00 1.54 0.08 1.57 0.08
FHLMC 3134GW6E1 11/13/2020 11/2/2021 continuously 25,000,000.00 25,009,075.00 25,000,000.00 11/2/2023 0.15 0.04 0.32 0.02 0.32 0.02
FHLMC 3134GXAY0 11/13/2020 5/13/2022 continuously 25,000,000.00 25,009,300.00 24,993,159.34 11/13/2023 0.15 0.07 0.30 0.02 0.31 0.02
FHLB 3130AKFU5 11/24/2020 none N/A 25,000,000.00 24,994,600.00 24,975,724.35 5/24/2024 0.17 0.17 0.35 0.02 0.38 0.02
FHLMC 3134GXCA0 11/24/2020 none N/A 25,000,000.00 25,001,150.00 25,000,000.00 11/24/2023 0.15 0.15 0.32 0.02 0.32 0.02
FHLMC 3134GXDT8 11/24/2020 none N/A 25,000,000.00 25,010,925.00 25,000,000.00 11/24/2023 0.15 0.15 0.35 0.02 0.35 0.02
FHLMC 3134GXDM3 12/1/2020 none N/A 25,000,000.00 25,003,550.00 25,000,000.00 12/1/2025 0.25 0.25 0.62 0.03 0.62 0.03
FHLMC 3134GXEX8 12/4/2020 12/1/2021 quarterly 27,200,000.00 27,204,161.60 27,194,231.59 6/1/2023 0.14 0.05 0.25 0.01 0.26 0.01
FNMA 3135G06J7 12/10/2020 none N/A 25,000,000.00 25,018,475.00 25,000,000.00 12/10/2025 0.25 0.25 0.65 0.03 0.65 0.03
FHLMC 3134GXGR9 12/11/2020 none N/A 50,000,000.00 50,004,800.00 50,000,000.00 12/11/2023 0.30 0.30 0.35 0.04 0.35 0.04
FNMA 3135G06M0 12/16/2020 none N/A 25,000,000.00 25,002,850.00 25,000,000.00 12/16/2024 0.20 0.20 0.50 0.03 0.50 0.03
FHLMC 3134GXFV1 12/17/2020 none N/A 25,000,000.00 25,022,000.00 25,000,000.00 12/17/2025 0.25 0.25 0.63 0.03 0.63 0.03
Bank of America Corp Note 06048WK74 12/21/2020 12/21/2021 quarterly 25,000,000.00 24,879,225.00 25,000,000.00 6/21/2023 0.13 0.05 0.40 0.02 0.40 0.02
Total long term investments 486,748,000.00 489,393,274.95 486,690,913.48 2.63 2.21 0.92 0.92
Deposit / LGIP Accounts Balance
BoCC FFIB Concentration Account 51,587,216.53$ 0.25%
BoCC SBA Florida LGIP Account 577,628,324.54$ 0.18%
BoCC FLCLASS LGIP Account 260,201,361.26$ 0.19%
BoCC FL PALM LGIP Account 110,130,583.30$ 0.10%
BoCC FL PALM LGIP Account - Term Investment 55,000,000.00$ 0.17%
Total Funds on Deposit 1,054,547,485.63$
Total managed portfolio 1,541,295,485.63$
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, FLCLASS, and FL PALM LGIP rates are the current 7-Day Participant Yield as published on the respective LGIP websites.
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. 1287 Attachment: 12.31.20 Investment Exhibits (14911 : Investment Report)
US Treasuries
Notes & T-Bills
$125,000,000.00
8.1%
Bank Deposit Account
$51,587,216.53
3.4%
Federal Agencies / GSE
(FHLB,FNMA,FHLMC,FFCB)
$336,748,000.00
21.8%
Corporates
25,000,000.00
1.6%
SBA Florida LGIP
$577,628,324.54
37.5%
FLCLASS LGIP
$260,201,361.26
16.9%
FL PALM LGIP,
$165,130,583.30
10.7%
Collier County Portfolio Composition
as of December 31, 2020 (At Par Value)
$1,541,295,485.63
Sector Allowed (%)Current (%)
Sector Maximum
Total Cash Based Interest &
Gains Fiscal Year to Date
$ 2,191,917
Bank Deposit Account 100% 3.4%
U.S. Treasury Notes & T-Bills 100% 8.1%
Federal Agency / GSE 80% 21.8%
SBA Florida LGIP 50% 37.5%
Corporates 25% 1.6%
FLCLASS LGIP 25% 16.9%
FL PALM LGIP 25% 10.7%
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Packet Pg. 1288 Attachment: 12.31.20 Investment Exhibits (14911 : Investment Report)
0.25%
0.17%
0.14%
0.00%
0.25%
0.50%
0.75%
1.00%
1.25%
1.50%
1.75%
2.00%
Jan. 2020 Feb. 2020 Mar. 2020 Apr. 2020 May. 2020 June. 2020 July. 2020 Aug. 2020 Sept. 2020 Oct. 2020 Nov. 2020 Dec. 2020
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
Combined Yield of SBA Florida Prime,
FLCLASS, & FL PALM LGIP Accounts
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Packet Pg. 1289 Attachment: 12.31.20 Investment Exhibits (14911 : Investment Report)
0.92%
0.15%
0.00%
0.25%
0.50%
0.75%
1.00%
1.25%
1.50%
1.75%
2.00%
2.25%
2.50%
Jan. 2020 Feb. 2020 Mar. 2020 Apr. 2020 May. 2020 June. 2020 July. 2020 Aug. 2020 Sept. 2020 Oct. 2020 Nov. 2020 Dec. 2020
Collier County Long Term Sector Yields
Collier Long Term Portfolio Yield
vs.
B of A 1-3 Yr. Treas. Note Yield Benchmark
Collier Long Term Portfolio Yield Bank of America 1-3 Yr Treasury Note Benchmark
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Packet Pg. 1290 Attachment: 12.31.20 Investment Exhibits (14911 : Investment Report)
3.01%
1.40%
1.00%
1.50%
2.00%
2.50%
3.00%
3.50%
4.00%
4.50%
5.00%
5.50%
Jan. 2020 Feb. 2020 Mar. 2020 Apr. 2020 May. 2020 June. 2020 July. 2020 Aug. 2020 Sept. 2020 Oct. 2020 Nov. 2020 Dec. 2020
Collier County Long Term Sector
12 Month Total Return
vs.
B of A 1-3 US T Index 12 Month Total Return
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. 1291 Attachment: 12.31.20 Investment Exhibits (14911 : Investment Report)