1997 05 14 IABT a 4,4f 4�Q�rw
78-495 CALLE TAMPICO — LA QUINTA, CALIFORNIA 92253 - (619) 777-7000
AGENDA FAX (619) 777-7101
INVESTMENT ADVISORY BOARD
Study Session Room
78-495 Calle Tampico- La Quinta, CA 92253
May 14, 1997 - 5:30 P.M.
I CALL TO ORDER
a. Pledge of Allegiance
b. Roll Call
II CONFIRMATION OF AGENDA
III PUBLIC COMMENT - (This is the time set aside for public comment on any matter not scheduled on the agenda.)
IV CONSENT CALENDAR
A. Approval of Minutes of Meeting on April 9, 1997 for the Investment Advisory
Board.
V BUSINESS SESSION
A. Transmittal of Treasury Report for March 31, 1997
B. Fiscal Year 97/98 Investment Policies
C. FY 97/98 Work Plan
VI CORRESPONDENCE AND WRITTEN MATERIAL
A. Month End Cash Report - April 1997
B. Pooled Money Investment Board Reports - January & February 1997
VII BOARD MEMBER ITEMS
Vill ADJOURNMENT
MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 ��
INVESTMENT ADVISORY BOARD Business Session Item No. A
Meeting Date: May 14, 1997
TITLE:
Transmittal of Treasury Report
for March 31, 1997
3I�i t ;lei II ki19
Attached please find the Treasury Report for March, 1997.
RECOMMENDATION:
Review, Receive and File the Treasury Report of March 31,1997.
J hn M. Falconer, Finance Director
TO:
FROM:
SUBJECT:
DATE:
T a 0
-1itT 4 4 Q"
MEMORANDUM
La Quinta City Council
John Falconer, Finance Director/Treasurer
Treasurer's Report for March 31, 1997
May 6, 1997
Attached is the Treasurer's Report for the month ending March 31, 1997. This report is submitted to the
City Council each month after a reconciliation of accounts is accomplished by the Finance Department.
Cash and Investments:
Increase of $499,816. due to the net effect of revenues in excess of expenditures.
State Pool:
ICMA:
Decrease of $650,000. due to transfers to and from the cash and investment accounts.
Increase of $7,509. due to employee contributions and interest earned.
U.S. Treasury Bills, Notes and Securities:
Decrease of $14,584 due to the net effect of the sale of 1 T-Bill and the purchase of 1
Government Security (FNMA).
Mutual Funds:
Decrease of $1,200,545. due to the net effect of transfers from investments to cash, debt
service payments and interest earned.
Total decrease in cash balances $1,357,804.
certify that this report accurately reflects all pooled investments and is in compliance with the California
Government Code; and is in conformity with the City Investment policy.
As Treasurer of the City of La Quinta, I hereby certify that sufficient investment liquidity and anticipated
revenues are available to meet the pools expenditure requirements for the next six months. The City of La
Quinta used the Wall Street Journal, First Trust of California Monthly Statement and Wells Fargo Monthly
Custodian Report to determine the fair market value of investments at month end.
0 -
J M rn . Falconer Date
finance Director/Treasurer
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CITY OF LA QUINTA
CITY
CITY RDA
RDA FA
BALANCE SHEET 03131/97
FIXED
LONG TERM FIXED
LONG TERM FINANCING LONG TERM
GRAND
CITY ASSETS
DEBT RDA ASSETS
DEBT AUTHORITY DEBT
TOTAL
ASSETS:
POOLED CASH
493,481.67
6,403,952.70
6,897,434.37
LQRP INVESTMENT IN POOLED CASH
290,000.00
290,000.00
INVESTMENT T-BILUNOTES & OTHER
12,925,766.67
12,925,766.67
LQRP CASH
56,991.74
56,991.74
BOND REDEMPTION CASH
643.97
171,881.68
172,525.65
BOND RESERVE CASH
517,126.00
517,126.00
BOND PROJECT CASH
12,395,935.67
730,845.14
13,126,780.81
BOND ESCROW CASH
2,546.90
2,546.90
PETTY CASH
1,000.00
1,000.00
ICMA DEFERRED COMPENSATION
679,068.82
679,068.82
CASH & INVESTMENT TOTAL
14,099,317.16
19,667,196.98
902,726.82
34,669,240.96
INVESTMENT IN LAND HELD FOR RESALE
86,319.85
86,319.85
ACCOUNTS RECEIVABLE
8,608.75
65,100.23
73,708.98
PREMIUM/DISCOUNT ON INVESTMENT
13,348.96
13,348.96
LQRP-ACCOUNTS RECEIVABLE
11,618.76
11,618.76
INTEREST RECEIVABLE
LOAN/NOTES RECEIVABLE
2,531,312.25
2,531,312.25
DUE FROM OTHER AGENCIES
DUE FROM OTHER GOVERNMENTS
DUE FROM OTHER FUNDS
551,038.04
551,038.04
DUE FROM RDA
6,048,957.20
6,048,957.20
INTEREST ADVANCE -DUE FROM RDA
1,058,567.58
1,058,567.58
NSF CHECKS RECEIVABLE
545.31
545.31
ACCRUED REVENUE
TRAVEL ADVANCES
3,083.00
3,083.00
EMPLOYEE ADVANCES
PREPAID EXPENSES
RECEIVABLE TOTAL
7,119,761.84
3,172,418.24
10,292,180.08
WORKER COMPENSATION DEPOSIT
RENT DEPOSITS
UTILITY DEPOSITS
75.00
75.00
MISC. DEPOSITS
2,100.00
2,100.00
DEPOSITS TOTAL
2,175.00
2,175.00
GENERAL FIXED ASSETS
628,720.00 14,868,456.00
11,438,745.05
26,935,921.05
ACCUMULATED DEPRECIATION
(6,259.83)
(6,259.83)
AMOUNT AVAILABLE TO RETIRE LIT DEBT
2,340,653.00
2,340,653.00
AMOUNT TO BE PROVIDED FOR L/T DEBT
298,816.00 90,666,475.74
8,790,000.00 99,755,291.74
TOTAL OTHER ASSETS
622,460.17 14,868,456.00
298,816.00 11,438,745.05 93,007,128.74
8,790,000.00 129,025,605.96
TOTAL ASSETS
21,843,714.17 14,868,456.00
298,816.00 22 925 935.07 11 438 745.05 93,007,128.74
902,726.82 8,790,000.00 174,075,521.85
LIABILITY
ACCOUNTS PAYABLE
DUE TO OTHER AGENCIES
DUE TO OTHER FUNDS
INTEREST ADVANCE -DUE TO CITY
ACCRUED EXPENSES
PAYROLL LIABILITIES
STRONG MOTION INSTRUMENTS
FRINGE TOED LIZARD FEES
SUSPENSE
DUE TO THE CITY OF LA QUINTA
PAYABLES TOTAL
291.64 29,707.69
29,999.33
794.00
794.00
551,038.04
551,038.04
54,676.86
54,676.86
1,352.04
1,352.04
78.40
78.40
(2,706.47)
(2,706.47)
54,486.47
ENGINEERING TRUST DEPOSITS
80,559.02
SO. COAST AIR QUALITY DEPOSITS
ARTS IN PUBLIC PLACES DEPOSITS
143,516.50
LQRP DEPOSITS
DEVELOPER DEPOSITS
251,193.82
MISC. DEPOSITS
87,762.94
AGENCY FUND DEPOSITS
1,024,949.08
ICMA-DEFERRED COMP DEPOSITS
679,068.82
TOTAL DEPOSITS
2,267,050.18
580,745.73
13,665.00
13,665.00
b 35,1:31.1U
80,559.02
143,516.50
13,665.00
251,193.82
87,762.94
1,024,949.08
679,068.82
2,280,715.18
DEFERRED REVENUE
OTHER LIABILITIES TOTAL
COMPENSATED ABSENCES PAYABLE
298,816.00
298,816.00
DUE TO THE CITY OF LA QUINTA
7,107,525.99
7,107,525.99
DUE TO COUNTY OF RIVERSIDE
11,925,575.00
11,925,575.00
DUE TO C.V. UNIFIED SCHOOL DIST.
11,797,367.75
11,797,367.75
DUE TO DESERT SANDS SCHOOL DIST.
1,276,660.00
1,276,660.00
BONDS PAYABLE
60,900,000.00
8,790,000.00 69,690,000.00
TOTAL LONG TERM DEBT
298,816.00 93,007,128.74
8,790,000.00 102,095,944.74
TOTAL LIABILITY 2,321,536.65 298,816.00 594,410.73 93,007,128.74 8,790,000.00 105,011,892.12
EQUITY -FUND BALANCE 19,522,177.52 14,868,456.00 22,331,524.34 11,438,745.05 902,726.82 69,063,629.73
TOTAL LIABILITY & EQUITY 21 843 714.17 14 868 456.00 298 816.00 22 925 935.07 11 438 745.05 93 007 128.74 902 726.82 8,790,000.00 174 075 521.85
IA
INVESTMENT ADVISORY BOARD
Meeting Date:
TITLE:
May 14, 1997
Fiscal Year 1997/98 Investment Policies
GIIRWA
Business Session No. B
Attached please find staff's proposed investment policies for FY 97/98. Staff
intends to present the Investment Policy at the June 24, 1997 City Council meeting
for adoption.
The proposed changes include lowering the LAIF investment percentage from 40%
to 35% and further defining the State and City Investment limitations on surplus
funds. Proposed changes have been redlined.
In addition, at the June 1 1 th meeting and in accordance with Section XX of the
Investment Policies, a joint meeting will be held with the City Manager and City
Attorney.
RECOMMENDATION:
Commence review of the Investment policies for approval by City Council in June
1997. A
n Falconer, Finance Director
CITY OF LA QUINTA
Investment Policy
Table of Contents
Section
Tom
Paae
Executive Summary
2
1
General Purpose
4
II
Investment Policy
4
III
Scope
4
IV
Objectives
5
► Safety
No. Liquidity
► Yield
V
Prudence
6
VI
Delegation of Authority
6
VII
Conflict of Interest
7
Vill
Authorized Financial Dealers and Institutions
7
► Broker/Dealers
► Financial Institutions
IX
Authorized Investments and Diversification
8
X
Investment Pools
11
XI
Collateral ization
12
XII
Safekeeping and Custody
12
XIII
Interest Earning Distribution Policy
12
XIV
Maximum Maturities
13
XV
Internal Controls
13
XVI
Benchmark
15
XVil
Reporting Standards
15
XVlll
Investment of Bond Proceeds
15
XIX
Investment Advisory Board - City of La Quinta
16
XX
Investment Policy Adoption
16
Appendices Authorized Investments and Diversification 17
Municipal Code Ordinance 2.70 - Investment Advisory Board 18
Municipal Code Ordinance 3.08 - Investment of Moneys and Funds 19
Listing of Approved Financial Institutions 21
Broker/Dealer Questionnaire and Certification 22
Investment Pool Questionnaire 26
Segregation of Major Investment Responsibilities 30
Glossary 31
1
City of La Quinta
Investment Policy
Executive Summary
The general purpose of this Investment Policy is to provide the rules and standards
users must follow in investing funds of the City of La Quinta.
It is the policy of the City of La Quinta to invest all public funds in a manner which
will provide a diversified portfolio with maximum security while meeting daily cash
flow demands and the highest investment return in conformity to all state and local
statutes. This Policy applies to all cash and investments of the City of La Quinta,
La Quinta Redevelopment Agency and the La Quinta Financing Authority, hereafter
referred in this document as the "City".
The primary objectives, in order of priority, of the City of La Quinta's investment
activity shall be:
Safety of principal is the foremost objective of the investment program.
Investments of the City of La Quinta shall be undertaken in a manner that
seeks to ensure the preservation of capital in the overall portfolio
The investment portfolio shall remain sufficiently liquid to meet all operating
requirements that may be reasonably anticipated.
The investment portfolio shall be designed with the objective of attaining a
market rate of return or yield throughout budgetary and economic cycles,
taking into account the investment risk constraints and liquidity needs.
Investments shall be made with judgment and care - under circumstances then
prevailing - which persons of prudence discretion, and intelligence exercise in the
management of their own affairs, not for speculation, but for investment,
considering the probable safety of their capital as well as the probable income to be
derived.
Authority to manage the City of La Quinta's investment portfolio is derived from
the City Ordinance. Management responsibility for the investment program is
delegated to the City Treasurer, who shall establish and implement written
procedures for the operation of the City's investment program consistent with the
Investment Policy. The Treasurer shall establish and implement a system of internal
controls to maintain the safety of the portfolio. In addition, the internal control
system will also insure the timely preparation and accurate reporting of the portfolio
financial information. The adequacy of these controls will be reviewed and reported
on annually by an independent auditor.
K
Investment responsibilities carry added duties of insuring that investments are made
without improper influence or the appearance to a reasonable person of
questionable or improper influence.
The City of La Quinta maintains a listing of financial institutions which are approved
for investment purposes. All Broker/Dealers and financial institutions selected by
the Treasurer to provide investment services will be approved by the City Manager
subject to City Council approval.
The Treasurer will be permitted to invest only in City approved investments up to
the maximum allowable percentages and, where applicable, through the bid process
requirements. Authorized investment vehicles and related maximum portfolio
positions are listed in Appendix - Authorized Investments and Diversification At
least two bids will be required of investments in government securities.
Collateralization will be required for Certificates of Deposit in excess of $100,000.
Collateral will always be held by an independent third party with whom the City of
La Quinta has a current custodial agreement. Evidence of ownership must be
supplied to the City and retained by the City Treasurer.
The City of La Quinta shall require that each individual investment have a maximum
maturity of two years unless specific approval is authorized by the City Council. In
addition, the City's investment in the State Local Agency Investment Fund (LAIF) is
allowable as long as the average maturity does not exceed two years, unless
specific approval is authorized by the City Council. The City's investment in Money
Market Mutual funds is allowable as long as the average maturity does not exceed
60 days.
The City of La Quinta will use the six month U.S. Treasury Bill as a benchmark
when measuring the performance of the investment portfolio.
The Investment Policies shall be adopted by resolution of the La Quinta City Council
on an annual basis, The Investment Policies will be adopted before the end of June
of each year.
This Executive Summary is an overall review of the City of La Quinta Investment
Policies. Reading this summary does not constitute a complete review which can
only be accomplished by reviewing all the pages.
3
T a f ihf 4 4a Qum
ra(V
78-495 CALLE TAMPICO — LA QUINTA, CALIFORNIA 92253 - (619) 777-7000
FAX (619) 777-7101
City of La Quinta
Statement of Investment Policy
July 1, 1997 through June 30, 19987
Adopted by the City Council on June 24, 1997.
I GENERAL PURPOSE
The general purpose of this document is to provide the rules and standards users
must follow in administering the City of La Quinta cash investments.
II INVESTMENT POLICY
It is the policy of the City of La Quinta to invest public funds in a manner which will
provide a diversified portfolio with safety of principal while meeting daily cash flow
demands with the highest investment return . In addition, the Investment Policy
will conform to all State and local statutes governing the investment of public
funds.
This Investment Policy applies to all cash and investments of the City of La Quinta,
City of La Quinta Redevelopment Agency and the City of La Quinta Financing
Authority, hereafter referred in this document as the "City' . These funds are
reported in the City of La Quinta Comprehensive Annual financial Report (CAFR)
and include:
All funds within the following fund types:
► General
► Special Revenue
► Capital Project
► Debt Service
► Internal Service
► Trust and Agency
► Any new fund types and fund(s) that may be created.
4
MAILING ADDRESS - P.O. BOX 1504 - LA QUINTA, CALIFORNIA 92253 V�
IV OBJECTIVES
The primary objective, in order of priority, of the City of La Quinta's investment
activity shall be:
1. Safety
Safety of principal is the foremost objective of the investment program.
Investments of the City of La Quinta shall be undertaken in a manner that
seeks to ensure the preservation of capital in the overall portfolio in
accordance with the permitted investments. The objective will be to mitigate
credit risk and interest rate risk.
A. Credit Risk
Credit Risk - is the risk of loss due to the failure of the security issuer
or backer. Credit risk may be mitigated by:
► Limiting investments to the safest types of securities;
► Pre -qualifying the financial institutions, and broker/dealers,
which the City of La Quinta will do business; and
► Diversifying the investment portfolio so that potential losses on
individual securities will be minimized.
B. Interest Rate Risk
Interest Rate risk is the risk that the market value of securities in the
portfolio will fall due to changes in general interest rates. Interest rate
risk may be mitigated by:
► Structuring the investment portfolio so that securities mature to
meet cash requirements for ongoing operations, thereby
avoiding the need to sell securities on the open market prior to
maturity; and
► By investing operating funds primarily in shorter -term securities.
2. Liquidity
The investment portfolio shall remain sufficiently liquid to meet all operating
requirements that may be reasonably anticipated. This is accomplished by
structuring the portfolio so that securities mature concurrent with cash needs
to meet anticipated demands. Furthermore since all possible cash demands
cannot be anticipated the portfolio should consist of securities with active
secondary or resale markets.
A
3. Yield
The investment portfolio shall be designed with the objective of attaining a
market rate of return throughout budgetary and economic cycles, taking into
account the investment risk constraints and liquidity needs. Return on
investment is of least importance compared to the safety and liquidity
objectives described above. The core of investments are limited to relatively
low risk securities in anticipation of earning a fair return relative to the risk
being assumed. Securities shall not be sold prior to maturity with the
following exceptions:
► A declining credit security could be sold early to minimize loss of
principal;
► Liquidity needs of the portfolio require that the security be sold.
V PRUDENCE
The City shall follow the Uniform Prudent Investor Act as adopted by the State of
California in Probate Code Sections 16045 through 16054..
Section 16053 sets forth the terms of a prudent person which are as follows:
Investments shall be made with judgment and care - under circumstances then
prevailing - which persons of prudence, discretion, and intelligence excerise in the
professional management of their own affairs, not for speculation, but for
investment, considering the probable safety of their capital as well as the probable
income to be derived.
VI DELEGATION OF AUTHORITY
Authority to manage the City of La Quinta's investment portfolio is derived from
the City Ordinance. Management responsibility for the investment program is
delegated to the City Treasurer, who shall establish written procedures for the
operation of the investment program consistent with the Investment Policy.
Procedures should include reference to safekeeping, wire transfer agreements,
banking service contracts, and collateral/depository agreements. Such procedures
shall include explicit delegation of authority to persons responsible for investment
transactions. No person may engage in an investment transaction except as
provided under the terms of this Investment Policy and the procedures established
by the City Treasurer. The City Treasurer shall be responsible for all transactions
undertaken and shall establish a system of controls to regulate the activities of
subordinate officials. The City Manager or Assistant City Manager shall approve in
writing all purchases and sales of investments prior to their execution by the City
Treasurer.
0
VII CONFLICT OF INTEREST
Investment responsibilities carry added duties of insuring that investments are made
without improper influence or the appearance of improper influence.
Therefore, the City Manager, Assistant City Manager, and the City Treasurer shall
adhere to the State of California Code of Economic Interest and to the following:
► The City Manager, Assistant City Manager, and the City Treasurer shall not
personally or through a close relative maintain any accounts, interest, or
private dealings with any firm with which the City places investments, with
the exception of regular savings, checking and money market accounts, or
other similar transactions that are offered on a non-negotiable basis to the
general public. Such accounts shall be disclosed annually to the City Clerk in
conjunction with annual disclosure statements of economic interest.
► All persons authorized to place or approve investments shall report to the
City Clerk kinship relations with principal employees of firms with which the
City places investments.
Vlll AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS
The City of La Quinta maintains a listing of financial institutions which are approved
for investment purposes. In addition a list will also be maintained of approved
broker/dealers selected by credit worthiness, who maintain an office in the State of
California.
1 . Broker/Dealers who desire to become bidders for investment transactions
must supply the City of La Quinta with the following:
► Current audited financial statements
► Proof of National Association of Security Dealers Certification
► Trading resolution
► Proof of California registration
► Resume of Financial broker
► Completion of the City of La Quinta Broker/Dealer questionnaire which
contains a certification of having read the City of La Quinta Investment
Policy
The City Treasurer shall evaluate the documentation submitted by the
broker/dealer and independently verify existing reports on file for any firm
and individual conducting investment related business.
7
The City Treasurer will also contact the following agencies during the
verification process:
► National Association of Security Dealer's Public Disclosure Report File -
1-800-289-9999
► State of California Department of Corporations 1-916-445-3062
All Broker/Dealers selected by the City Treasurer to provide investment
services will be approved by the City Manager subject to City Council
approval. The City Attorney will perform a legal review of the trading
resolution/investment contract submitted by each Broker/Dealer.
Each securities dealer shall provide monthly and quarterly reports filed pursuant to
U.S. Treasury Department regulations. Each mutual fund shall provide a prospectus
and statement of additional information.
2. Financial Institutions will be required to meet the following criteria in order to
receive City funds for investment:
A. Insurance - Public Funds shall be deposited only in financial
institutions insured by the Federal Deposit Insurance Corporation
B. Collateral - The amount of City of La Quinta deposits or
investments not insured by agency of the federal government
shall be 1 10% collateralized by securities' or 150% mortgages'
market values of that amount of invested funds plus unpaid
interest earnings.
C. Size - The amount of City of La Quinta deposits or investments
must be collateralized or insured . by an agency of the federal
government.
D. Disclosure - Each financial institution maintaining invested funds
in excess of $100,000 shall furnish corporate authorities a copy
of all statements of resources and liabilities which it is required
to furnish to the State banking or savings and loan
commissioners as required by the California Financial Code.
The City shall not invest in excess of $100,000 in banking
institutions which do not disclose to the city a current listing of
securities pledged for collateralization in public monies.
IX AUTHORIZED INVESTMENTS AND DIVERSIFICATION
The City Treasurer will be permitted to invest in the investments listed in the
Appendix entitled - Authorized Investments and Diversification.
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V
X INVESTMENT POOLS
There are three (3) types of investment pools: 1) state -run pools, 2) pools that are
operated by a political subdivision where allowed by law and the political
subdivision is the trustee i.e. County Pool; and 3) pools that are operated for profit
by third parties.
The City of La Quinta has an investment with the State of California's Treasurers
Office Local Agency Investment Fund commonly referred to as LAIF. LAIF was
organized in 1977 through State Legislation Section 16429.1, 2 and 3. Each LAIF
account is restricted to a maximum investable limit of $20 million. In addition, LAIF
11
will provide quarterly market value information to the City of La Quinta.
On an annual basis the City Treasurer will submit the Investment Pool
Questionnaire to LAIF.
Also, prior to opening any new Investment Pool account, which would require City
Council approval, the City Treasurer will require the completion of the Investment
Pool Questionnaire.
The City does not have an investment with any other Investment Pool - County
Pools or Third Party Pools.
• •
Collateralization will be required for Certificates of Deposits. The type of collateral
is limited to City authorized investments.
1. Certificates of Deposits under $100.000,
The City Treasurer may waive collateralization of a deposit that is federally
insured.
2. Certificates of Deposit over $100.000.
The amount not federally insured shall be 1 10% collateralized by securities
or 150% mortgages market value of that amount of invested funds plus
unpaid interest earnings.
Collateral will always be held by an independent third party with whom. the City of
La Quinta has a current custodial agreement. Evidence of ownership must be
supplied to the City of La Quinta and retained by the City Treasurer.
XII SAFEKEEPING AND CUSTODY
All security transactions of the City of La Quinta shall be conducted on a delivery -
versus - payment (DVP) basis. Securities will be held by a third party custodian
designated by the City Treasurer and evidenced by safekeeping receipts. Deposits
and withdrawals of money market mutual funds and LAIF shall be made directly to
the entity and not to an investment advisor. Money market mutual funds and LAIF
shall also operate on a DVP basis to be considered for investment.
XIII INTEREST EARNING DISTRIBUTION POLICY
Interest earnings is generated from pooled investments and specific investments.
1. fooled Investments - It is the general policy of the City to pool all available
operating cash of the City of La Quinta, La Quinta Redevelopment Agency
12
and La Quinta Financing Authority and allocate interest earnings, in the
following order, as follows:
A. Payment to the General Fund of an amount equal to the total annual
bank service charges as incurred by the general fund for all operating
funds as included in the annual operating budget.
B. Payment to the General Fund of a management fee equal to 5% of the
annual pooled cash fund investment earnings.
C. Payment to each fund of an amount based on the average
computerized daily cash balance included in the common portfolio for
the earning period.
2. Specific Investments - Specific investments purchased by a fund shall incur
all earnings and expenses to that particular fund.
XIV MAXIMUM MATURITIES
The City of La Quinta shall require that each individual investment have a maximum
maturity of two years unless specific approval is authorized by the City Council. In
addition, the City's investment in the State Local Agency Investment Fund (LAIF) is
allowable as long as the average maturity does not exceed two years, unless
specific approval is authorized by the City Council. The City's investment in Money
Market Mutual funds is allowable as long as the average maturity does not exceed
60 days.
XV INTERNAL CONTROLS
The City Treasurer shall establish a system of internal controls to accomplish the
following objectives:
► Safeguard assets;
► The orderly and efficient conduct of its business, including adherence to
management policies;
► Prevention or detection of errors and fraud;
► The accuracy and completeness of accounting records; and,
► Timely preparation of reliable financial information.
While no internal control system, however elaborate, can guarantee absolute
assurance that the City's assets are safeguarded, it is the intent of the City's
internal control to provide a reasonable assurance that management of the
investment function meets the City's objectives.
The internal controls shall address the following:
13
a. Control of collusion. Collusion is a situation where two or more employees
are working in conjunction to defraud their employer.
b. Separation of transaction authority from accounting and record keeping. By
separating the person who authorizes or performs the transaction from the
people who record or otherwise account for the transaction, a separation of
duties is achieved.
C. Custodial safekeeping. Securities purchased from any bank or dealer
including appropriate collateral (as defined by State Law) shall be placed with
an independent third party for custodial safekeeping.
d. Avoidance of physical delivery securities. Book entry securities are much
easier to transfer and account for since actual delivery of a document never
takes place. Delivered securities must be properly safeguarded against loss
or destruction. The potential for fraud and loss increases with physically
delivered securities.
e. Clear delegation of authority to subordinate staff members. Subordinate
staff members must have a clear understanding of their authority and
responsibilities to avoid improper actions. Clear delegation of authority also
preserves the internal control structure that is contingent on the various staff
positions and their respective responsibilities as outlined in the Segregation
of Major Investment Responsibilities appendices.
f. Written confirmation or telephone transactions for investments and wire
transfers. Due to the potential for error and improprieties arising from
telephone transactions, all telephone transactions should be supported by
written communications and approved by the appropriate person. Written
communications may be via fax if on letterhead and the safekeeping
institution has a list of authorized signatures. Fax correspondence must be
supported by evidence of verbal or written follow-up.
g. Development of a wire transfer agreement with the City's bank and third
party custodian. This agreement should outline the various controls, security
provisions, and delineate responsibilities of each party making and receiving
wire transfers.
In addition to the System of Internal Controls developed by the City, the Internal
Controls shall be reviewed annually by the independent auditor.
The independent auditors management letter comments pertaining to cash and
investments, if any, shall be directed to the City Manager who will direct the City
Treasurer to provide a written response to the independent auditors letter. This
response will also be directed to the City's Investment Advisory Board for their
action.
XVI BENCHMARK
The investment portfolio shall be designed with the objective of obtaining a rate of
return throughout budgetary and economic cycles commensurate with the
investment risk constraints and the cash flow needs of the City. Return on
investment is of least importance compared to safety and liquidity objectives.
The City of La Quinta will use the six month U.S. Treasury Bill as a benchmark
when measuring the performance of the investment portfolio.
XVII REPORTING STANDARDS
SB564 section 3 requires a quarterly report to the Legislative Body of Investment
activities. The City of La Quinta has elected to report the investment activities to
the City Council on a monthly basis through the Treasurers Report.
The City Treasurer shall submit a monthly Treasurers Report to the City Council and
the Investment Advisory Board that includes all investments under the authority of
the Treasurer.
The Treasurers Report shall consist of a narrative of significant changes in cash
balances and the following:
► Changes in investments from the previous month;
► A certification statement from the City Treasurer;
► Purchases and sales of investments;
► Cost to market value comparisons of all investments by authorized
investment category, except for LAIF which will be provided quarterly;
► Comparison of actual holdings to Investment Policy maximums;
► Twenty four (24) months history of cash and investments for trend analysis;
► Balance Sheet.
XV111 INVESTMENT OF BOND PROCEEDS
The City's investment policy shall govern bond proceeds and bond reserve fund
investments. California Code Section 5922 (d) governs the investment of bond
15
proceeds and reserve funds in accordance with bond indenture provisions which
shall be structured in accordance with the City's investment policy.
The US Tax Reform Act of 1986 requires the City to perform arbitrage calculations
as required and return excess earnings to the US Treasury from investments of
proceeds of bond issues sold after the effective date of this law. This arbitrage
calculations may be contracted with an outside source to provide the necessary
technical assistance to comply with this regulation. Investable funds subject to the
1986 Tax Reform Act will be kept segregated from other funds and records will be
kept in a fashion to facilitate the calculations. The City's investment position
relative to the new arbitrage restrictions is to continue pursuing the maximum yield
on applicable investments while ensuring the safety of capital and liquidity. It is the
City's position to continue maximization of yield and to rebate excess earnings, if
necessary.
XIX INVESTMENT ADVISORY BOARD - CITY OF LA QUINTA
The Investment Advisory Board (IAB) consists of seven members of the community
that have been appointed by and report to the City Council. The IAB meets on a
monthly basis to 1) review account statements and verifications to ensure accurate
reporting as they relate to an investment activity, 2) monitor compliance with
existing Investment Policy and Procedures, and 3) review and make
recommendations concerning investment policy and procedures£ -=investment
contracts and investment consultants.
The appendices include City of La Quinta Ordinance 2.70 entitled Investment
Advisory Board Provisions.
XX INVESTMENT POLICY ADOPTION
On an annual basis, the Investment policies will be initially reviewed by the
Investment Advisory Board and the City Treasurer. The Investment Advisory Board
will forward the Investment policies, with any revisions, to the City Manager and
City Attorney for their review and comment. A joint meeting will be held with the
Investment Advisory Board, City Manager, City Attorney, and City Treasurer to
review the Investment policies and comments, prior to submission to the City
Council for their consideration.
The Investment Policies shall be adopted by resolution of the City of La Quinta City
Council on an annual basis. The Investment Policies will be adopted before the end
of June of each year.
16
Chapter 2.70
INVESTMENT ADVISORY BOARD PROVISIONS
Sections:
2.70.010 General Rules Regarding Appointment and Terms.
2.70.020 Board meetings and compensation.
2.70.030 Board functions.
2.70.010 General rules regarding appointment and terms.
Except as set out below, see Chapter 2.06 for General Provisions.
The Investment Advisory Board (the "board") is a standing board composed of seven (7)
members from the public that are appointed by city council. La Quinta residency is preferred,
but not a requirement for board members. Recruitment for members may be advertised outside
of the city".
Background in the investment field and/or related experience is preferred. Background
information will be required and potential candidates must agree to a background check and
verification.
On an annual basis, in conjunction with the Political Reform Act disclosure statutes, or at any
time if a change in circumstances warrants, each board member will provide the City Council
with a disclosure statement which identifies any matters on the board. Such matters may
include, but are not limited to, changes in employment, changes in residence, or changes in
clients.
The Board members will serve for two year staggered terms beginning on July 1 of every
other year, commencing July 1, 1993. Initially, two members will be appointed for two year
terms and three members will be appointed for one year terms. These initial appointments will
start their yearly calculations from July 1, 1993.
2.70.020 Board meetings and compensation.
Board members will be reimbursed for meeting and related expenses at an amount of fifty
dollars ($50) per meeting.
Initially, the Board should meet once a month, but this schedule may be extended to
quarterly meetings upon the concurrence of the Board and the City Council. The specific
meeting dates -will be determined by the Board members and meetings may be called for on an
as needed basis.
2.70.030 Board functions.
The Board will annually elect a Chairperson and Vice -chairperson at the first meeting held
after each June 30.
The following are functions of the Board that are to be addressed at each meeting: (1) review
account statements and verifications to ensure accurate reporting as they relate to an
investment activity; (ii) monitor compliance with existing Investment policy and procedures; and
(iii) review and make recommendations concerning investment policy and procedures,
investment contracts, and investment consultants.
The Board will report to City council after each meeting either in person or through
correspondence at a regular City Council meeting.
Chapter 3.08
INVESTMENT OF MONEYS AND FUNDS
Sections:
3.08.010 Investment of city moneys and deposit of securities.
3.08.020 Authorized investments.
3.08.030 Sales of securities.
3.08.040 City bonds.
3.08.050 Reports.
3.08.060 Deposits of securities.
3.08.070 Trust fund administration.
3.08.010 Investment of city moneys and deposit of securities.
Pursuant to, and in accordance with, and to the extent allowed by, Sections 53607
and 53608 of the Government Code, the authority to invest and reinvest moneys of
the city, to sell or exchange securities, and to deposit them and provide for their
safekeeping, is delegated to the city treasurer. (Ord. 2 § 1 (part), 1982)
3.08.020 Authorized investments.
Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is
authorized to purchase, at their original sale or after they have been issued, securities
which are permissible investments under any provision of state law relating to the
investing of general city funds, including but not limited to Sections 53601 and 53635
of the Government Code, as said sections now read or may hereafter be amended,
from moneys in his custody which are not required for the immediate necessities of
the city and as he may deem wise and expedient, and to sell or exchange for other
eligible securities and reinvest the proceeds of the securities so purchased. (Ord. 2 §
1 (part), 1982)
3.08.030 Sales of Securities.
From time to time the city treasurer shall sell the securities in which city moneys
have been invested pursuant to this chapter, so that the proceeds may, as appropriate,
be applied to the purchase for which the original purchase money may have been
designated or placed in the city treasury. (Ord. 2 § I (part),
3.08.040 City bonds.
Bonds issued by the city and purchased pursuant to this chapter may be canceled
either in satisfaction of sinking fund obligations or otherwise if proper and appropriate;
provided, however, that the bonds may be held uncancelled and while so held may be
resold. (Ord. 2 § 1 (part), 1982)
19
3.08.050 Reports.
The city treasurer shall make a monthly report to the city council of all investments
made pursuant to the authority delegated in this chapter. (Ord. 2 § 1 (part), 1982)
3.08.060 Deposits of securities.
Pursuant to the delegation of authority in Section 3.08.010, the city treasurer is
authorized to deposit for safekeeping, the securities in which city moneys have been
invested pursuant to this chapter, in any institution or depository authorized by the
terms of any state law, including but not limited to Section 53608 of the Government
Code as it now reads or may hereafter be amended. In accordance with said section,
the city treasurer shall take from the institution or depository a receipt for the
securities so deposited and shall not be responsible for the securities delivered to and
receipted for by the institution or depository until they are withdrawn therefrom by the
city treasurer. (Ord. 2 § 1 (part), 1982
3.08.070 Trust fund administration.
Any departmental trust fund established by the city council pursuant to Section
36523 of the Government Code shall be administered by the city treasurer in
accordance with Section 36523 and 26524 of the Government code and any other
applicable provisions of law. (Ord. 2 § 1 (part), 1982)
20
LISTING OF APPROVED FINANCIAL INSTITUTIONS
1. Banking Services - Wells Fargo Bank
2. Custodian Services - Wells Fargo Bank Institutional Trust
3. Deferred Compensation -
International City/County Management
Association
Retirement Corporation
4. Broker/Dealer Services -
Merrill Lynch, Indian Wells, CA
Dean Witter, Newport Beach, CA.
Smith Barney, Newport Beach, CA
5. Government Pool
- State of California Local Agency Investment
Fund
City of La Quinta Account
La Quinta Redevelopment Agency
6. Bond Trustees
- 1991 City Hall Revenue Bonds - First Trust
1991 RDA Project Area 1 - First Trust
1992 RDA Project Area 2 - First Trust
1994 RDA Project Area 1 - First Trust
1995 RDA Project Area 1 & 2 - First Trust
No Changes to this listing may be made without City Council approval.
21
BROKER/DEALER QUESTIONNAIRE AND CERTIFICATION
1. Name of Firm:
2. Address:
3. Telephone: (
4. Broker's Representative to the City (attach resume):
Name:
Title:
Telephone: ( )
5. Manager/Partner-in-charge (attach resume):
Name:
Title:
Telephone:
6. List all personnel who will be trading with or quoting securities to City
employees (attach resume)
Name:
Title:
Telephone: ( ) ( )
7. Which of the above personnel have read the City's investment policy?
8. Which instruments are offered regularly by your local office? (Must equal
100%)
% U.S. Treasuries
% BA's
% Commercial Paper
% C D's
% Mutual Funds
% Agencies (specify):
% Repos
% Reverse Repos
% CMO's
% Derivatives
% Stocks/Equities
% Other (specify) :
22
9. References -- Please identify your most directly comparable public sector
clients in our geographical area.
Entity
Contact
Telephone ( )
Client Since
Entity
Contact
Telephone ( )
Client Since
10. Have any of your clients ever sustained a loss on a securities transaction
arising from a misunderstanding or misrepresentation of the risk
characteristics of the instrument? If so, explain.
11. Has your firm or your local office ever been subject to a regulatory or state/
federal agency investigation for alleged improper,. fraudulent, disreputable or
unfair activities related to the sale of securities? Have any of your employees
been so investigated? If so,
explain.
12. Has a client ever claimed in writing that ygu were responsible for an
investment loss? Yes No If yes, please provide
action taken
Has a client ever claimed in writing that your firm was responsible for an
investment loss? Yes No If yes, please provide
action taken
Do M have any current, or pending complaints that are unreported to the
NASD?
Yes No If yes, please provide action taken
23
Does your firm have any current, or pending complaints that are unreported
to the NASD? Yes No If yes, please provide action
taken
13. Explain your clearing and safekeeping procedures, custody and delivery
process.
Who audits these fiduciary responsibilities?
Latest Audit Report Date
14. How many and what percentage of your transactions failed.
Last month? % $
Last year? % $
15. Describe the method your firm would use to establish capital trading limits
for the City of La Quinta.
16.
Is your firm a member in the S.I.P.C. insurance program. Yes
If yes, explain primary and excess coverage and carriers.
[Me
17. What portfolio information, if any, do you require from your clients?
18. What reports and transaction confirmations or any other research
publications will the City receive?
19. Does your firm offer investment training to your clients? Yes No
24
20. Does your firm have professional liability insurance. Yes No
If yes, please provide the insurance carrier, limits and expiration date.
21. Please list your NASD Registration Number
0��
Do you have any relatives who work at the City of La Quinta?
Yes No If yes, Name and Department
23. Do you maintain an office in California. Yes No
24. Do you maintain an office in La Quinta or Riverside County? Yes No
25. Please enclose the following:
• Latest audited financial statements.
• Samples of reports, transaction confirmations and any other
research/publications the City will receive.
• Samples of research reports and/or publications that your firm regularly
provides to clients.
• Complete schedule of fees and charges for various transactions.
* *CERTIFICATION
I hereby certify that I have personally read the Statement of Investment Policy of
the City of La Quinta, and have implemented reasonable procedures and a system
of controls designed to preclude imprudent investment activities arising out of
transactions conducted between our firm and the City of La Quinta. All sales
personnel will be routinely informed of the City's investment objectives, horizons,
outlooks, strategies and risk constraints whenever we are so advised by the City.
We pledge to exercise due diligence in informing the City of La Quinta of all
foreseeable risks associated with financial transactions conducted with our firm.
By signing this document the City of La Quinta is authorized to conduct any and all
background checks.
Under penalties of perjury, the responses to this questionnaire are true and accurate
to the best of my knowledge.
Broker Representative
Date
Title
Sales Manager and/or Managing Partner*
Date Title
25
INVESTMENT POOL QUESTIONNAIRE
Note: This Investment Pool Questionnaire was developed by the Government Finance
Officers Association (GFOA).
Prior to entering a pool, the following questions and issues should be considered.
SECURITIES
Government pools may invest in a broader range of securities than your entity invests
in. It is important that you are aware of, and are comfortable with, the securities the
pool buys.
1. Does the pool provide a written statement of investment policy and objectives?
2. Does the statement contain:
a. A description of eligible investment instruments?
b. The credit standards for investments?
c. The allowable maturity range of investments?
d. The maximum allowable dollar weighted average portfolio maturity?
e. The limits of portfolio concentration permitted for each type of security?
f. The policy on reverse repurchase agreements, options, short sales and futures?
3. Are changes in the policies communicated to the pool participants?
4. Does the pool contain only the types of securities that are permitted by your
investment policy?
INTEREST
Interest is not reported in a standard format, so it is important that you know how
interest is quoted, calculated and distributed so that you can make comparisons with
other investment alternatives.
Interest Calculations
1. Does the pool disclose the following about yield calculations:
a. The methodology used to calculate interest? (Simple maturity, yield to maturity,
etc.)
b. The frequency of interest payments?
c. How interest is paid? (Credited to principal at the end of the month, each
quarter; mailed?)
d. How are gains/losses reported? Factored monthly or only when realized?
26
REPORTING
1. Is the yield reported to participants of the pool monthly? (If not, how often?)
2. Are expenses of the pool deducted before quoting the yield?
3. Is the yield generally in line with the market yields for securities in which you
usually invest?
4. How often does the pool report, and does that report include the market value of
securities?
SECURITY
The following questions are designed to help you safeguard your funds from loss of
principal and loss of market value.
1. Does the pool disclose safekeeping practices?
2. Is the pool subject to audit by an independent auditor?
3. Is a copy of the audit report available to participants?
4. Who makes the portfolio decisions?
5. How does the manager monitor the credit risk of the securities in the pool?
6. Is the pool monitored by someone on the board of a separate neutral party external
to the investment function to ensure compliance with written policies?
7. Does the pool have specific policies with regards to the various investment
vehicles?
a. What are the different investment alternatives?
b. What are the policies for each type of investment?
8. Does the pool mark the portfolio to its market value?
9. Does the pool disclose the following about how portfolio securities are valued:
a. The frequency with which the portfolio securities are valued?
b. The method used to value the portfolio (cost, current value, or some other
method)?
27
OPERA TONS
The answers to these questions will help you determine whether this pool meets your
operational requirements:
1. Does the pool limit eligible participants?
2. What entities are permitted to invest in the pool?
3. Does the pool allow multiple accounts and sub -accounts?
4. Is there a minimum or maximum account size?
5. Does the pool limit the number of transactions each month? What is the number
of transactions permitted each month?
6. Is there a limit on transaction amounts for withdrawals and deposits?
a. What is the minimum and maximum withdrawal amount permitted?
b. What is the minimum and maximum deposit amount permitted?
7. How much notice is required for withdrawals/deposits?
8. What is the cutoff time for deposits and withdrawals?
9. Can withdrawals be denied?
10. Are the funds 100% withdrawable at anytime?
11. What are the procedures for making deposits and withdrawals?
a. What is the paperwork required, if any?
b. What is the wiring process?
12. Can an account remain open with a zero balance?
13. Are confirmations sent following each transaction?
STA TEMENTS
It is important for you and the agency's trustee (when applicable), to receive
statements monthly so the pool's records of your activity and holding are reconciled
by you and your trustee.
1. Are statements for each account sent to participants?
a. What are the fees?
b. How often are they passed?
c. How are they paid?
d. Are there additional fees for wiring funds (what is the fee)?
2. Are expenses deducted before quoting the yield?
QUESTIONS TO CONSIDER FOR BOND PROCEEDS
It is important to know (1) whether the pool accepts bond proceeds and (2) whether
the pool qualifies with the U.S. Department of the Treasury as an acceptable
commingled fund for arbitrage purposes.
1. Does the pool accept bond proceeds subject to arbitrage rebate?
2. Does the pool provide accounting and investment records suitable for proceeds of
bond issuance subject to arbitrage rebate?
3. Will the yield calculation reported by the pool be acceptable to the IRS or will it
have to be recalculated?
4. Will the pool accept transaction instructions from a trustee?
5. Are you allowed to have separate accounts for each bond issue so that you do not
commingle the interest earnings of funds subject to rebate with funds not subject
to regulations?
M
SEGREGATION OF MAJOR INVESTMENT RESPONSIBILITIES
Function Responsibilities
Develop formal Investment Policy City Treasurer
Recommend modifications to Investment Policy Investment Advisory Board
Review formal Investment Policy and recommend City Manager and
City Council action City Attorney
Adopt formal Investment Policy City Council
Review Financial Institutions & Select Investments City Treasurer
Approve investments City Manager or
Assistant City Manager
Execute investment transactions City Treasurer
Confirm wires, if applicable City Manager or Accounting
Supervisor
Record investment transactions in City's
accounting records Accounting Supervisor
Investment verification - match broker confirmation
to City investment records Account Technician
Reconcile investment records
- to accounting records and bank statements
- to Treasurers Report
of investments Account Technician
Security of investments at City Vault
Security of investments Outside City Third Party Custodian
Review internal control procedures External Auditor
30
GLOSSARY
The purpose of this glossary is to provide the reader of the City of La Quinta
investment policies with a better understanding of financial terms used in municipal
investing.
AGENCIES: Federal agency securities
ASKED: The price at which securities are
offered.
BANKERS' ACCEPTANCE (BA): Short-term
credit arrangements to enable businesses to
obtain funds to finance commercial
transactions. They are time drafts drawn on
a bank by an exporter or importer to obtain
funds to pay for specific merchandise. By its
acceptance, the bank becomes primarily
liable for the payment of the drafts at its
maturity. An acceptance is a high-grade
negotiable instrument. Acceptances are
purchased in various denominations for 30,
60 or 90 days, but no longer than 270 days.
The interest is calculated on a 360-day
discount basis similar to treasury bills. Local
agencies may not invest more than 40% of
their surplus money in bankers acceptances.
BID: The price offered by a buyer of
securities. (When you are selling securities,
you ask for a bid.) See Offer.
BROKER: A broker brings buyers and sellers
together for a commission.
CERTIFICATE OF DEPOSIT (CD): Time
deposits of a bank or savings and loan. They
are purchased in various denominations with
maturities ranging from 30 to 360 days. The
interest is calculated on a 360-day, actual -
day month basis and is payable monthly.
COLLATERAL: Securities, evidence of
deposit or other property which a borrower
pledges to secure repayment of a loan. Also
refers to securities pledged by a bank to
secure deposits of public monies.
COMMERCIAL PAPER: S h o r t- t e r m
unsecured promissory notes issued by a
corporation to raise working capital. These
negotiable instruments are purchased at a
discount to par value or at par value with
interest bearing. Commercial paper is issued
by corporations such as General Motors
Acceptance Corporation, IBM, Bank America,
etc.
COMPREHENSIVE ANNUAL FINANCIAL
REPORT (CAFR): The official annual report
for the City of La Quinta. It includes five
combined statements for each individual fund
and account group prepared in conformity
with GAAP. It also includes supporting
schedules necessary to demonstrate
compliance with finance -related legal and
contractual provisions, extensive introductory
material, and a detailed Statistical Section.
COUPON: (a) The annual rate of interest that
a bond's issuer promises to pay the
bondholder on the bond's face value. (b) A
certificate attached to a bond evidencing
interest due on a payment date.
DEALER: A dealer, as opposed to a broker,
acts as a principal in all transactions, buying
and selling for his own account.
31
DEBENTURE: A bond secured only by the
general credit of the issuer.
DELIVERY VERSUS PAYMENT: There are
two methods of delivery of securities:
delivery versus payment and delivery versus
receipt. Delivery versus payment is delivery
of securities with an exchange of money for
the securities. Delivery versus receipt is
delivery of securities with an exchange of a
signed receipt for the securities.
DERIVATIVES: (1) Financial instruments
whose return profile is linked to, or derived
from, the movement of one or more
underlying index or security, and may include
a leveraging factor, or (2) financial contracts
based upon notional amounts whose value is
derived from an underlying index or security
(interest rates, foreign exchange rates,
equities or commodities).
DISCOUNT: The difference between the cost
price of a security and its maturity when
quoted at lower than face value. A security
selling below original offering price shortly
after sale also is considered to be at a
discount
DIVERSIFICATION: Dividing investment
funds among a variety of securities offering
independent returns.
FEDERAL CREDIT AGENCIES: Agencies of
the Federal, government set up to supply
credit to various classes of institutions and
individuals, e.g., S&L's, small business firms,
students, farmers, farm cooperatives, and
exporters. The following is a listing:
1. FNMAs (Federal National Mortaaae
Association) - Used to assist the home
mortgage market by purchasing
mortgages insured by the Federal Housing
Administration and the Farmers Home
Administration, as well as those guaranteed
by the Veterans Administration. They are
issued in various maturities and in minimum
denominations of $10,000. Principal and
Interest is paid monthly.
2. FHLBs (Federal Home Loan Bank Notes
and Bonds) - Issued by the Federal Home
Loan Bank System to help finance the
housing industry. The notes and bonds
provide liquidity and home mortgage
credit to savings and loan associations,
mutual savings banks, cooperative banks,
insurance companies, and mortgage -
lending institutions. They are issued
irregularly for various maturities. The
minimum denomination is $5,000. The
notes are issued with maturities of less
than one year and interest is paid at
maturity. The bonds are issued with
various maturities and carry semi-annual
coupons. Interest is calculated on a 360-
day, 30-day month basis.
3. FLBs (Federal Land Bank Bonds) - Long-
term mortgage credit provided to farmers
by Federal Land Banks. These bonds are
issued at irregular times for various
maturities ranging from a few months to
ten years. The minimum denomination is
$1,000. They carry semi-annual
coupons. Interest is calculated on a 360-
day, 30 day month basis.
4. FFCBs (Federal Farm Credit Bank) - Debt
instruments used to finance the short and
intermediate term needs of farmers and
the national agricultural industry. They
are issued monthly with three- and six-
month maturities. The FFCB issues larger
issues (one to ten year) on a periodic
basis. These issues are highly liquid.
M
5. FICBs (Federal Intermediate Credit bank
Debentures) - Loans to lending institutions
used to finance the short-term and
intermediate needs of farmers, such as
seasonal production. They are usually
issued monthly in minimum
denominations of $3,000 with a nine -
month maturity. Interest is payable at
maturity and is calculated on a 360-day,
30-day month basis.
6. FHLMCs (Federal Home Loan Mortaage
Corporation) - a government sponsored
entity established in 1970 to provide a
secondary market for conventional home
mortgages. Mortgages are purchased
solely from the Federal Home Loan Bank
System member lending institutions
whose deposits are insured by agencies
of the United States Government. They
are issued for various maturities and in
minimum denominations of $10,000.
Principal and Interest is paid monthly.
Other federal agency issues are Small
Business Administration notes (SBAs),
Government National Mortgage
Association notes (GNMAs), Tennessee
Valley Authority notes (TVAs), and
Student Loan Association notes (SALLIE-
MAEs).
FEDERAL DEPOSIT INSURANCE
CORPORATION (FDIC): A federal agency that
insures bank deposits, currently up to
$100,000 per deposit.
FEDERAL FUNDS RATE: The rate of interest
at which Fed funds are traded. This rate is
currently pegged by the Federal Reserve
through open -market operations.
FEDERAL HOME LOAN BANKS (FHLB):
Government sponsored wholesale banks
(currently 12 regional banks) which lend
funds and provide correspondent banking
services to member commercial banks, thrift
institutions, credit unions and insurance
companies. The mission of the FHLBs is to
liquefy the housing related assets of its
members who must purchase stock in their
district Bank.
FEDERAL OPEN MARKET COMMITTEE
(FOMC): Consists of seven members of the
Federal Reserve Board and five of the twelve
Federal Reserve Bank Presidents. The
President of the New York Federal Reserve
Bank is a permanent member, while the other
Presidents serve on a rotating basis. The
Committee periodically meets to set Federal
Reserve guidelines regarding purchases and
sales of Government Securities in the open
market as a means of influencing the volume
of bank credit and money.
FEDERAL RESERVE SYSTEM: the central
bank of the United States created by
Congress and consisting of a seven member
Board of Governors in Washington, D.C., 12
regional banks and about 5,700 commercial
banks that are members of the system.
GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION (GNMA or Ginnie Mae):
Securities influencing the volume of bank
credit guaranteed by GNMA and issued by
mortgage bankers, commercial banks,
savings and loan associations, and other
institutions. Security holder is protected by
full faith and credit of the U.S. Government.
Ginnie Mae securities are backed by the FHA,
VA or FMHM mortgages. The term
"passthroughs" is often used to describe
Ginnie Maes.
0c3
LAIF (Local Agency Investment Fund) - A
special fund in the State Treasury which local
agencies may use to deposit funds for
investment. There is no minimum
investment period and the minimum
transaction is $ 5,000, in multiples of $1,000
above that, with a maximum balance of
$20,000,000 for any agency. The City is
restricted to a maximum of ten transactions
per month. It offers high liquidity because
deposits can be converted to cash in 24
hours and no interest is lost. All interest is
distributed to those agencies participating on
a proportionate share basis determined by
the amounts deposited and the length of time
they are deposited. Interest is paid quarterly.
The State retains an amount for reasonable
costs of making the investments, not to
exceed one -quarter of one percent of the
earnings.
LIQUIDITY: A liquid asset is one that can be
converted easily and rapidly into cash
without a substantial loss of value. In the
money market, a security is said to be liquid
if the spread between bid and asked prices is
narrow and. reasonable size can be done. at
those quotes.
LOCAL GOVERNMENT INVESTMENT POOL
(LGIP): The aggregate of all funds from
political subdivisions that are placed in the
custody of the State Treasurer for
investment and reinvestment.
MARKET VALUE: The price at which a
security is trading and could presumably be
purchased or sold.
MASTER REPURCHASE AGREEMENT: A
written contract covering all future
transactions between the parties to
repurchase --reverse repurchase agreements
that establishes each party's rights in the
transactions. A master agreement will often
specify, among other things, the right of the
buyer -lender to liquidate the underlying
securities in the vent of default by the seller -
borrower.
MATURITY: The date upon which the
principal or stated value of an investment
becomes due and payable
MONEY MARKET: The market in which
short-term debt instruments (bills,
commercial paper, banders' acceptances,
etc.) are issued and traded.
OFFER: The price asked by a seller of
securities. (When you are buying securities,
you ask for an offer.) See Asked and Bid.
OPEN MARKET OPERATIONS: Purchases and
sales of government and certain other
securities in the open market by the New
York Federal Reserve Bank as directed by the
FOMC in order to influence the volume of
money and credit in the economy. Purchases
inject reserves into the bank system and
stimulate growth of money and credit; sales
have the opposite effect. Open market
operations are the Federal Reserve's most
important and most flexible monetary policy
tool.
PORTFOLIO: Collection of all cash and
securities under the direction of the City
Treasurer, including Bond Proceeds.
PRIMARY DEALER: A group of government
securities dealers who submit daily reports of
market activity an depositions and monthly
financial statements to the Federal Reserve
Bank of New York and are subject to its
informal oversight. Primary dealers include
Securities and Exchange Commission (SEC) -
registered securities broker -dealers, banks
and a few unregulated firms.
34
RATE OF RETURN: The yield obtainable on a
security based on its purchase price or its
current market price. This may be the
amortized yield to maturity on a bond the
current income return.
REPURCHASE AGREEMENT (RP OR REPO):
A repurchase agreement is a short-term
investment transaction. Banks buy
temporarily idle funds from a customer by
selling U.S. Government or other securities
with a contractual agreement to repurchase
the same securities on a future date.
Repurchase agreements are typically for one
to ten days in maturity. The customer
receives interest from the bank. The interest
rate reflects both the prevailing demand for
Federal funds and the maturity of the repo.
Some banks will execute repurchase
agreements for a minimum of $100,000 to
$500,000, but most banks have a minimum
of $1, 000, 000.
REVERSE REPURCHASE AGREEMENTS - A
reverse repurchase agreement is the opposite
of a repurchase agreement. The City loans a
security to a bank in exchange for cash. The
City agrees to pay off the loan with interest
on a future date.
SAFEKEEPING: A service to customers
rendered by banks for a fee whereby
securities and valuables of all types and
descriptions are held in the bank's vaults for
protection.
SECONDARY MARKET: A market made for
the purchase and sale of outstanding issues
following the initial distribution.
SECURITIES & EXCHANGE COMMISSION:
Agency created by Congress to protect
investors in securities transactions by
administering securities legislation.
SEC RULE 15C3-1: See Uniform Net Capital
Rule.
STRUCTURED NOTES: Notes issued by
Government Sponsored Enterprises (FHLB,
FNMAS, SLMA, etc.) And Corporations
which have imbedded options (e.g., call
features, step-up coupons, floating rate
coupons, derivative -based returns) into their
debt structure, Their market performance is
impacted by the fluctuation of interest rates,
the volatility of the imbedded options and
shifts in the Shape of the yield curve.
SURPLUS FUNDS: Section 53601 of the
California Government Code defines surplus
funds as any money not required for
immediate necessities of the local agency.
The City has defined immediate neccesities
to be payment due within one week.
TREASURY BILLS: Issued weekly with
maturity dates up to one year. They are
issued and traded on a discount basis with
interest figured on a 360-day basis, actual
number of days. They are issued in amounts
of $10,000 and up, in multiples of $5,000.
They are a highly liquid security.
TREASURY BONDS: Long-term coupon -
bearing U.S. Treasury securities issued as
direct obligations of the U.S. Government
and having initial maturities of more than 10
years.
35
TREASURY NOTES: Medium -term coupon -
bearing U.S. Treasury securities issued as
direct obligations of the U.S. Government
and having initial maturities from two to 10
years.
UNIFORM NET CAPITAL RULE: Securities
and Exchange Commission requirement that
member firms as well as nonmember broker -
dealers in securities maintain a maximum
ratio of indebtedness to liquid capital of 15
to 1; also called net capital rule and net
capital ratio.
Indebtedness covers all money owed to a
firm, including margin loans and
commitments to purchase securities, one
reason new public issues are spread among
members of underwriting syndicates. Liquid
capital includes cash and assets easily
converted into cash.
UNIFORM PRUDENT INVESTOR ACT: The
State of California has adopted this Act. The
Act contains the following sections: duty of
care, diversification, review of assets, costs,
compliance determinations, delegation of
investments, terms of prudent investor rule,
and application.
YIELD: The rate of annual income return on
an investment, expressed as a percentage.
(a) INCOME YIELD is obtained by dividing the
current dollar income by the current market
price for the security. (b) NET YIELD or
YIELD TO MATURITY is the current income
yield minus any premium above par of plus
any discount from par in purchase price, with
the adjustment spread over the period from
the date of purchase to the date of maturity
of the bond.
36
INVESTMENT ADVISORY BOARD Business Session Item No. C
Meeting Date: May 14, 1997
TITLE:
FY 97/98 Work Plan
BACKGROUND:
The purpose of this report is to obtain from the Investment Advisory Board issues and
items that Staff should consider in developing a work plan for FY 97/98.
Staff has identified the development of an Investment Strategy based upon past Board
Member comments
RECOMMENDATION:
Provide Staff with further direction.
i
hn M. Falconer, Finance Director
INVESTMENT ADVISORY BOARD
Meeting Date:
TITLE:
May 14,. 1997
Month End Cash Report - April 1997
BACKGROUND:
Correspondence & Written
Material Item A
This cash report is not a complete Treasury Report (exclude petty cash, deferred
compensation and fiscal agent balances, ) but would report in a timely fashion
selected cash balances.
RECOMMENDATION:
Information item only.
hn M. Falconer, Finance Director
City of La Quinta
Month End Cash Report - See Footnote
April 30, 1997
Wells Fargo
Wells Fargo
Wells Fargo
City
RDA
Description
Checking
Housing
Money Market
LAIF
LAIF
Investments
Total
Beginning Balance - 4/29/97
(637,785.50)
19,440.42
269,214.63
3,675,516.22
3,653,9W.47
12,973,618.23
19,953,904.47
Deposits
Daily Deposit
4,899.16
4,899.16
Transfers
0.00
4/30197 Maturing Investment
5,000,000.00
(5,032,226.56)
(32,226.56)
4/30/97 Maturing Investment Interest
162,500.00
162,5W.00
4130/97 Purchased Investment
3,017,659.70)
2,980,781.25
(36,878.45)
4/30/97 Purchased Investment
2,007,568.47)
2,000,781.24
(6,787.23)
P/R Direct Deposit
(54,711.39)
(54,711.39)
P/R Chk # 15824-15900
(20,888.55)
(20,888.55)
Housing Checks 916-925
6,035.79
6,035.79
Ending Balance per books
713,385.44
13,404.63
411,385.62
3,675,516.22
3,653,900.47
12,922,954.16
19,963,775.66
Add Back - Accts Pay Chks - #28851-28991
638,811.77
638,811.77
Adjusted Balance
74,573.67
13,404.63
411,385.62
3,675,516.22
3,653,900.47
12,922,954.16
20,602,587.43
Estimated Interest Accruals
December
15,166.37
15,166.37
January
29,111.83
29,111.83
February
34,577.20
34,577.20
March
38,281.90
38,281.90
April
15,276.00
16,854.00
37,047.00
69,177.00
Adjusted Balances after accruals
74 573.67
13 404.63
411 385.62
3,690,792.22
3,670,754.47
13 077 138.46
20 788 901.73
Investment Class
350,216.58
7,361,546.69
13,077,138.46
20,788,901.73
Percentages
1.6846%
35.4109%
62.9044%
100.00%
The following report is a special purpose report which has been prepared at the request of the Investment
Advisory Board. This report was created because the Finance Department cannot prepare the Treasurers
report for the month end before the 2nd Wednesday of each month (e.g. June report for the July meeting).
As a result, the IAB does not receive the Treasurers Report until approximately 1 1/2 months after the date
of the report (e.g. June report for the August meeting).
The report is prepared on a monthly basis from the Daily Cash Report. The purpose of this report is for
staff to project daily cash needs and invest excess cash. This report does not include all investments of the
City, RDA and Financing Authority.
Specifically excluded from this report are the Petty Cash , Deferred Compensation, and Fiscal Agent
accounts. These accounts are included in the Treasurers Report.
In addition, the percentage numbers in this report are for information only. These percentages should not
be used to compare the maximum allowable percentages allowed in the investment policy because this
report does not include all investments and is not prepared from the reconciled book balances.
INVESTMENT ADVISORY BOARD
Meeting Date:
"it"
May 14, 1997
Pooled Money Investment Board Report -
January 1997 and February 1997
BACKGROUND:
Correspondence & Written
Material Item B
The Pooled Money Investment Board Report for January 1997 and February 1997
is included in the agenda packet.
At the May Investment Advisory Board meeting the Board asked for clarification on
the Federal Agency Coupons and Pooled Loan line items in the December LAIF
report.
At the CMTA conference at Palm Springs, I had the opportunity to speak with Bill
Sherwood, LAIF Chief of Investments about these two accounts.
Federal Agency Coupons - As of January 2, 1997
LAIF had Investments as follows:
Callable Agency
3 Months LIBOR Agency Floater
3 Months LIBOR Corporate Floater
2 Year Constant Maturity Treasury (CMT) Corporate Floater
3 Month T-Bill Agency Floater
3 Month T-Bill Corporate Floater
Pooled Loan - This program was legislatively mandated and allows the State to
borrow funds on a short term basis for the construction of prisons. This is a
temporary program that is necessary before long term bond financing for prison
construction is obtained.
Mr. Sherwood stated that funds loaned for this program are charged the LAIF
interesting earning rate.
He did state based upon my questions that the State had developed an alternative
short term financing method that would use commercial paper and thus would not
require LAIF to loan funds. However, there are legal issues that have delayed its
implementation.
RECOMMENDATION:
Receive & File
hn M. Falconer, Finance Director
L <fr
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Janua _ 1997ry
r
Ot
w
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f'°i{�jg'�' 3 '
' iaw.
AN
V-7
k
i)4ATT FONG
Treasurer
State of California
Pooled Money
divestment Board Report
=1 anuary 1997
LOCAL AGENCY
INVESTMENT FUND
fafflary 1997
Cash Management Division
The Cash Management Division manages the State's cash resources in the Centralized Treasury
System. This includes cash forecasting, processing all state warrants and agency checks, bank
reconciliations, and maintaining the State's vault for the safekeeping of monies and securities.
Centralized Treasury System
The Cash Management Division manages the Centralized Treasury System (CTS), which was statutorily
established in 1949. The goal of the system is to be 100% invested every day. This is accomplished by
accurately forecasting revenue collections and disbursement needs of each State agency, including LAN
participants.
Forecasting
The three types of forecasts prepared are Long Term (at minimum six months), Ten Weeks (presented to
the Pooled Money Investment Board), and Five Day. The daily cash flow analysis provides the Invest-
ment Division agency cash needs or cash availability on a daily basis.
Bang Relationship for Cal iforrria
The Cash Management Division maintains the banking relationships. Currently, Treasurer Fong has
designated four banks as State Depository Banks: Bank of America, Sanwa Bank, Union Bank, and
U.S. Bank. Over $432 billion flowed into and out of the depository banks last fiscal year.
Centralized Banking Services
Over 120 million items passed through the Item Processing (IP) Section last fiscal year. The section is
responsible for redeeming, processing, and validating all state warrants and agency checks issued within
the CTS. The Bank Reconciliation Section reconciles the State Depository Banks records and, like the
Item Processing Section, it also provides forecasting information to the Cash Management program.
Vault Services
The State's vault provides the safekeeping of monies and securities and provides security in the handling
and processing of negotiable securities. About $4 billion worth in assets are now in physical custody of
the vault.
STATE OF CALIFORNIA
STATE TREASURER'S OFFICE
POOLED MONEY INVESTMENT BOARD REPORT
JANUARY 1997
Table of Contents
STJNIlVIARY...............................................................:............................................1
SELECTED INVESTMENT DATA....................................................................2
PORTFOLIO COMPOSITION...........................................................................3
INVESTMENT TRANSACTIONS ......................................................................4
TIMEDEPOSITS................................................................................................18
DEMAND BANK DEPOSITS............................................................................20
POOLED MONEY INVESTMENT BOARD DESIGNATION .....................19
POOLED MONEY INVESTMENT ACCOUNT
SUMMARY OF INVESTMENT DATA
A COMPARISON OF JANUARY 1997 WITH JANUARY 1996
(Dollars in Thousands)
7aauary 1�97 January' I996 t,7�Bo
Average Daily Portfolio
$29,553,019
$26,642,349
+ $2,910,670
Accrued Earnings
$140,142
$128,586
+ $11,556
Effective Yield
5.583
5.698
- .115
Average Life —Month End (in days)
241
233
+ 8
Total Security Transactions
Amount
$19,022,037
$16,502,815
+ $2,519,222
Number
417
389
+ 28
Total Time Deposit Transactions
Amount
$261,500
$375,190
- $113,690
Number
32
20
+ 12
Average Workday Investment Activity
$918,264
$803,715
+ $114,549
Prescribed Demand Account Balances
For Services
$132,412
$142,484
- $10,072
For Uncollected Funds
$223,103
$164,959
+ $58,144
—1—
MATT FONG
STATE TREASURER
STATE OF CALIFORNIA
INVESTMENT DIVISION
SELECTED DIVESTMENT DATA
ANALYSIS OF THE POOLED MONEY INVESTMENT ACCOUNT PORTFOLIO (000 OMITTED)
Change in
January 31,1997 Percent From
Type of Security Amount Percent Previous Month
Governments
Bills
2,1619898
730
+
.29
Bonds
0
0
0
Notes
5,749,184
19A2
+
1.78
Strips
2389813
.81
- .
.02
Total Governments
891499895
2753
+
2.05
Federal Agency Coupons
1,2519893
4.23
-
1.60
Certificates of Deposit
8t0579231
27.22
+
3.98
Bank Notes
635,000
2.15
+
A7
Bankers Acceptances
187,051
.63
-
.69
Repurchases
0
0
-
.17
Federal Agency Discount Notes
4971,128
1.68
-
.56
Time Deposits
386,595
131
+
.02
GNMA's
3,434
.01
0
Commercial Paper
6,816,900
23.03
-
4.10
FHLMC
31,337
.10
-
.02
Corporate Bonds
29343,035
7.92
+
.99
Pooled Loans
1,684,693
5.69
-
.24
GF Loans
0
0
0
Reversed Repurchases
-4449425
-1.50
+
.13
Total, All Types
29,599,767
100
INVESTMENT ACTIVITY
January 1997
December 19%
Number
Amount
Number
Amount
Pooled Money
417
$ 19,0229037
379
$ 169,123493
Other
3
$ 99468
39
$ 161A33
Time Deposits
32
$ 2619500
23
$ 1319900
TOTALS
452
$ 19,293,005
441
$ 1694169726
PMIA Monthly Average
Effective Yield
5583
5.574
Year to Date Yield for
Last Day of Month
5.597
5588
—2—
Pooled Money Investment Account
Portfolio Composition
$29.6 Billion
Corporate Loans
Bonds 5.69%
Commercial 7.92%
E
B
Acc
C D's/B N's
29.37%
;uries
13%
Time Deposits
1.31%
Mortgages
0.11%
gencies
5.91 %
1 /31 /97
® Treasuries
El Time Deposits
■ Mortgages
® Agencies
■ CD's/BN's
E Bankers Acceptances
■ Commercial Paper
0 Corporate Bonds
® Loans
0 Reverses
-3-
.FOOLED 1YEt3 It�V IENi_�cCO iNT
dl .. ._
W. MATURITY TRANS , RAM DAYS AMOUNT EFFECTIVE
:: DESt1t1PT1ON DATE 1f LIM HELD EARNED
01/02/97 SALE c/
CD Soc Gen 5.740% 10/27/97 5.800 $50,000 7 55,895.49 5.880
REDEMPTION
CD
CIBC
5.380%
01/02/97
5.380
50,000
90
672,500.00
5.454
CD
CIBC
5.380%
01/02/97
5.380
50,000
90
672,500.00
5.454
CD
Nova Scotia
5.370%
01/02/97
5.370
60,000
90
805,500.00
5.444
CD
Barclays
5.680%
01/02/97
5.670
27,000
119
506,063.92
5.748
CP
GMAC
01/02/97
7.050
50,000
2
19,583.33
7.150
CP
GMAC
01/02/97
7.050
50,000
2
19,583.33
7.150
CP
GMAC
01/02/97
7.050
50,000
2
19,583.33
7.150
CP
Salomon
01/02/97
7.000
25,000
3
14,583.33
7.101
CP
CIT
01/02/97
7.020
50,000
3
29,250.00
7.121
CP
CIT
01/02/97
7.020
50,000
3
29,250.00
7.121
CP
GMAC
01/02/97
6.030
50,000
6
50,250.00
6.119
CP
GMAC
01/02/97
6.030
50,000
6
50,250.00
6.119
CP
Household
01/02/97
5.920
5,000
7
5,755.55
6.009
CP
Household
01/02/97
5.920
50,000
7
57,555.55
6.009
CP
Household
01/02/97
5.920
50,000
7
57,555.55
6.009
CP
Heller
01/02/97
5.480
20,000
92
280,088.89
5.635
CP
Heller
01/02/97
5.480
50,000
92
700,222.22
5.635
CP
GECC
01/02/97
5.340
50,000
148
1,097,666.67
5.535
CP
GECC
01/02/97
5.340
50,000
148
1,097,666.67
5.535
CP
SRAC
01/02/97
5.340
50,000
148
1,097,666.67
5.535
CP
Chase
01/02/97'
5.390
50,000
149
1,115,430.55
5.589
CP
FMCC
01/02/97
5.340
50,000
150
1,112,500.00
5.537
PURCHASE
CP
GMAC
01/30/97
5.370
50,000
CP
GMAC
01/30/97
5.370
50,000
CP
GMAC
01/30/97
5.370
40,000
CP
Salomon
01/29/97
5.500
25,000
CD
Svensck H
5.380%
02/28/97
5.380
10,000
CD
Montreal
5.380%
02/28/97
5.380
50,000
CD
Montreal
5.380%
02/28/97
5.380
50,000
CD
Nova Scotia
5.390%
02/27/97
5.390
85,000
CD
CIBC
5.400%
02/27/97
5.400
50,000
CD
CIBC
5.400%
02/27/97.
5.400
50,000
01/03/97 REDEMPTION
FR FHLB 5.503% 01/03/97 5.400 50,000 346 2,562,625.00 5.410
FR FHLB 5.503% 01/03/97 5.400 50,000 346 2,562,625.00 5.410
—4—
OGLED.
-
d►
$t
MATURflY.
TRANS:
PAR DAYS AMOUNT EEFE4i'lVa
...........
01/03/97 PURCHASE
CP
Enron
02/20/97
5.470
50,000
CP
GMAC
02/20/97
5.380
25,000
CP
GECC
03/03/97
5.350
50,000
CP
GECC
03/03/97
5.350
40,000
CD
RB Canada
5.410%
04/02/97
5.400
25,000
CD
Montreal
5.410%
04/01 /97
5.410
50,000
CD
Montreal
5.410%
04/01 /97
5.410
10,000
CD
Bayrsche L
5.370%
04/10/97
5.370
50,000
CD
Bayrsche L
5.370%
04/10/97
5.370
50,000
CD
Bayrsche V
5.400%
04/10/97
5.390
50,000
CD
Bayrsche V
5.400%
04/10/97
5.390
50,000
01/06/97 REDEMPTION
CP
SRAC
01 /06/97
PURCHASECI
CD
CommerzBk
5.370%
02/07/97
CD
CommerzBk
5.370%
02/07/97
PURCHASE
CP
FMCC
01 /27/97
CP
FMCC
01 /27/97
CP
Baxter
02/10/97
CP
GMAC
02/11/97
CP
Baxter
02/13/97
Treas
Note
5.750%
12/31 /98
Treas
Note
5.750%
12/31 /98
Treas
Note
5.750%
12/31 /98
Treas
Note
5.750%
12/31 /98
01/07/97 SALE c/
CD
CommerzBk
5.370%
02/07/97
CD
CommerzBk
5.370%
02/07/97
PURCHASE
c/
CD
Soc Gen
5.720%
10/20/97
CD
Soc Gen
5.600%
11 /14/97
CD
ABN Amro
5.650%
12/23/97
PURCHASE
CD
Stand Chart
5.430%
04/14/97
CP
Merrill
04/09/97
CP
Merrill
04/09/97
5.950 50,000
5.300 50,000
5.300 50,000
5.330
50,000
5.330
50,000
5.370
28,000
5.370
40,000
5.370
35,000
5.948
50,000
5.948
50,000
5.948
50,000
5.948
50,000
10
5.300 50,000 1
5.300 50,000 1
5.200 41,000
5.200 29,000
5.200 30,000
5.420 75,000
5.350 50,000
5.350 50,000
82,638.89 6.042
7,213.89 5.373
7,213.89 5.373
—5-
...
MATURRY
TRANS
_,.
- PAR.
DAYS
tiOtiE1T.
EFFE VE'
DA'��..'.... __.. !:................
'DERTSNt
DATE
1(IE
HELD
EARNED
l(fELD
01/08/97 SALE c/
CD
Soc Gen
5.720%
10/20/97
5.200
41,000
1
5,874.56
5.272
CD
Soc Gen
5.600%
11 /14/97
5.200
29,000
1
4,135.44
5.272
CD
ABN Amro
5.650%
12/23/97
5.200
30,000
1
4,253.74
5.272
REDEMPTION
CD
Soc Gen
5.400%
01/08/97
5.350
25,000
63
234,326.25
5.430
CID
Conagra
01/08/97
5.720
50,000
23
182,722.22
5.820
CID
Conagra
01/08/97
5.630
10,000
26
40,661.11
5.731
CID
Conagra
01/08/97
5.630
50,000
26
203,305.56
5.731
CID
Bear
01/08/97
5.330
20,000
92
272,422.22
5.478
CID
Bear
01/08/97
5.330
50,000
92
681,055.55
5.478
PURCHASE
c/
CD
Svenska
5.390%
02/03/97
5.250
50,000
CD
Svenska
5.400%
02/06/97
5.250
50,000
CD
Tokyo-Mits
5.510%
03/24/97
5.250
50,000
PURCHASE
CD
ABN Amro
5.400%
04/08/97
5.390
11,500
CD
U/B Calif
5.400%
04/08/97
5.400
50,000
CD
Soc Gen
5.400%
04/10/97
5.400
25,000
CD
Bkrs Trst
5.420%
04/10/97
5.410
50,000
CID
Conagra
04/01 /97
5.470
22,695
CID
GECC
04/10/97
5.310
45,000
01/09/97 SALE c/
CD
Svenska
5.390%
02/03/97
CD
Svenska
5.400%
02/06/97
CD
Tokyo-Mits
5.510%
03/24/97
REDEMPTION
CD
CommerzBk
5.370%
01 /09/97
CD
Montreal
5.370%
01 /09/97
CD
Deutsche
5.460%
01 /09/97
CD
Deutsche
5.460%
01 /09/97
CID
GECC
01/09/97
CID
GMAC
01 /09/97
CID
GMAC
01 /09/97
PURCHASE c/
CD
Svenska
5.390%
02/03/97
CD
Svenska
5.400%
02/06/97
CD
Tokyo-Mits
5.510%
03/24/97
5.250 50,000 1 7,145.83 5.322
5.250 60,000 1 7,145.83 5.322
5.250 50,000 1 7,145.83 5.322
5.350
10,000
62
92,169.28
5.425
5.350
50,000
62
460,710.17
5.425
5.440
50,000
153
1,156,096.04
5.515
5.440
50,000
153
1,156,096.04
5.515
5.310
50,000
50
368,750.00
5.424
5.570
50,000
125
967,013.89
5.758
5.570
26,000
125
502,847.22
5.758
5.250 50,000
5.250 50,000
5.250 50,000
—6—
V-QO .M-, 3i Y II ENT ACCoti r
01/10/97 SALE c/
CD
Svenska
5.390%
02/03/97
5.250
50,000
1
7,145.83
5.322
CD
Svenska
5.400%
02/06/97
5.250
50,000
1
7,145.83
5.322
CD
Tokyo-Mits
5.510%
03/24/97
5.250
50,000
1
7,145.83
5.322
REDEMPTION
BA
Montreal
01/10/97
5.320
10,000
154
227,577.78
5.519
CD
RaboBank
5.370%
01/10/97
5.350
25,000
63
234,070.62
5.424
CD
Soc Gen
5.630%
01/10/97
5.630
24,000
123
461,660.00
5.708
CD
Soc Gen
5.630%
01/10/97
5.630
50,000
123
961,791.67
5.708
CID
Country
01/10/97
6.050
32,000
15
80,666.67
6.149
CID
Salomon
01/10/97
5.620
20,000
28
87,422.22
5.723
CID
GECC
01/10/97
5.370
50,000
154
1,148,583.33
5.572
CP
GECC
01/10/97
5.370
3,000
154
68,915.00
5.572
PURCHASE c/
CD
Svenska
5.390%
02/03/97
5.230
50,000
CD
Svenska
5.400%
02/06/97
5.230
50,000
CD
Tokyo-Mits -
5.510%
03/24/97
5.230
50,000
01/13/97 RRS
Treas
Note
5.750%
12/31/98
4.890
50,000
Treas
Note
5.750%
12/31/98
4.890
50,000
Treas
Note
5.750%
12/31/98
4.890
50,000
Treas
Note
5.750%
12/31/98
4.890
50,000
SALE c/
CD
Svenska
5.390%
02/03/97
5.230
50,000
3
21,355.83
5.302
CD
Svenska
5.400%
02/06/97
5.230
50,000
3
21,355.83
5.302
CD
Tokyo-Mits
5.510%
03/24/97
5.230
50,000
3
21,355.83
5.302
REDEMPTION
CD
Deutsche
5.480%
01 /13/97
5.470
6,000
151
137,667.31'
5.545
CD
Deutsche
5.480%
01 /13/97
5.470
50,000
151
1,147,227.60
5.545
CD
Deutsche
5.480%
01 /13/97
5.470
50,000
151
1,147,227.60
5.545
CD
Deutsche
5.480%
01 /13/97
5.460
50,000
152
1,152,761.81
5.535
CID
Hertz
01 /13/97
5.650
25,000
17
66,701.39
5.743
CID
GMAC
01 /13/97
5.400
25,000
153
573,750.00
5.603
—7—
iPooLiEa M�)![�tE' 'ACCOUNT
OUNT
df
TEIR[FY
MA
TRANS
PARDAYS AIY WNT EFFECTIVE
�A TYPE .
DESCRIPTION
D
�E,
2 HEW IF. �!MYE
01/13/97 PURCHASE
r/
CD
Svenska
5.390%
02/03/97
5.320
50,000
CD
Svenska
5.400%
02/06/97
5.320
50,000
CD
Tokyo-Mits
5.510%
03/24/97
5.320
50,000
PURCHASE
g/
Disc Note
FHLB
01/31/97
5.180
50,000
Disc Note
FHLB
01/31/97
5.180
50,000
Disc Note
FHLB
01/31/97
5.180
50,000
Disc Note
FHLB
01/31/97.
5.180
50,000
PURCHASE
MTN
GMAC
8.250%
01/20/98
5.830
24,000
CD
ABN Amro
5.530%
07/29/97
5.520
30,000
CD
Deutsche
5.530%
07/29/97
5.510
50,000
CD
Deutsche
5.530%
07/29/97
5.510
50,000
CD
Bayrsche L
5.510%
07/29/97
5.500
50,000
CD
Bayrsche L
5.510%
07/29/97
5.500
50,000
Treas
Bill
01/08/98
5.335
50,000
Treas
Bill
01 /08/98
5.335
50,000
01 /14197 RRS
Treas
Note
Treas
Note
SALE
Treas
Note
Treas
Note
SALE c/
CD
Svenska
CD
Svenska
CD
Tokyo-Mits
REDEMPTION
CD
Montreal
CID
FMCC
CP
FMCC
CID
Union
Disc.Note
FNMA
5.750% . 12/31 /98 4.650 50,000
5.750% 12/31 /98 4.650 50,000
4.750%
02/15/97
5.809
50,000
1002
980,978.26
5.986
4.750%
02/15/97
5.809
50,000
1002
980,978.75
5.986
5.390%
02/03/97
5.320
50,000
1
7,241.11
5.393
5.400%
02/06/97
5.320
50,000
1
7,241.11
5.393
5.510%
03/24/97
5.320
50,000
1
7,241.11
5.393
5.360%
01 /14/97
5.350
40,000
62
368,616.22
5.425
01 /14/97
5.650
50,000
18
141,250.00
5.744
01 /14/97
5.650
50,000
18
141,250.00
5.744
01 /14/97
5.380
35,000
155
810,736.11
5.584
01 /14/97
5.400
50,000
25
187,500.00
5.495
—8—
POOL I3 MONEY INVESTMENT -ACCOUNT
g/
a/
MATURITY
TRANS
PAR DAYS _.AMOUNT. EFFECTIVE
DATE TYPE
DESMPT10N
DACE
YIELD
i00� HELD EARNED YIELD
01/14/97 PURCHASE
CP
Bear
01 /31 /97
5.300
50,000
CID
Bear
01 /31 /97
5.300
50,000
Treas
Bill
01/08/98
5.340
50,000
Treas
Note 5.750%
12/31/98
6.056
50,000
r
01 /15197 SALE
Treas Note.
Treas Note
REDEMPTION
CD WestDeut
Disc Note TVA
NO PURCHASES
01/16/97 NO REDEMPTIONS
PURCHASE c/
CD
Soc Gen
CD
Soc Gen
PURCHASE
CD
WestDeut
CD
Nat W.Mstr
CD
RaboBank
CD
Soc Gen
CD
Soc Gen
CD
Nat W.Mstr
CD
Deutsche
CD
Deutsche
CD
Deutsche
CP
Country
CID
Hertz
CID
GMAC
01/17/97 RRS
4.750% 02/15/97 5.745 50,000 1034 987,432.07 5.806
4.750% 02/15/97 5.745 50,000 1034 987,432.07 5.806
5.760% 01 /15/97 5.480 25,000 156 596,968.21 5.580
6.000% 01/15/97 6.470 12,175 959 2,052,502.08 6.489
5.740%
10/27/97
5.300
50,000
5.600%
11 /14/97
5.300
50,000
5.380%
03/10/97
5.350
20,000
5.510%
07/01 /97
5.500
50,000
5.560%
07/15/97
5.500
15,000
5.500%
07/29/97
5.500
25,000
5.500%
07/29/97
5.500
50,000
5.510%
07/31 /97
5.500
50,000
5.500%
07/31 /97
5.500
50,000
5.500%
07/31/97
5.500
50,000
5.500%
07/31 /97
5.500
50,000
02/28/97
5.320
43,000
03/10/97
5.320
50,000
07/15/97
5.410
50,000
Treas
Note
5.750%
12/31/98
4.650
50,000
Treas
Note
5.750%
12/31/98
4.650
50,000
Treas
Note
5.750%
12/31/98
4.650
50,000
Treas
Note
5.750%
12/31/98
4.650
50,000
Treas
Note
5.750%
12/31/98
4.700
50,000
Treas
Note
5.750%
12/31/98
4.700
50,000
—9—
PLED MONEX iN ' NE �►CCOUNT .
_.
...
.
a/ ;;
IIAI4TtIREiY
TRANS .
PAR
DAYS
AMOUNT
EFFECTIVE
O,IITE 'iXPE
. DESttIPTiON ..
DATE:::,YIELD::
HELD
EARNED
YIELD `
01/17/97 SALE c/
CD
Soc Gen
5.740%
10/27/97
5.300
50,000
1
7,302.22
5.373
CD
Soc Gen
5.600%
11 /14/97
5.300
50,000
1
7,272.78
5.373
REDEMPTION
CID
Morg Stan
01/17/97
5.340
50,000
74
548,833.35
5.474
CP
Morg Stan
01/17/97
5.340
50,000
74
548,833.35
5.474
CID
Morg Stan
01/17/97
5.340
50,000
74
548,833.35
5.474
CP
Morg Stan
01/17/97
5.340
50,000
74
548,833.35
5.474
CP
Morg Stan
01/17/97
5.340
50,000
74
548,833.35
5.474
RRP
Treas
Note
5.250%
01/31/01
5.200
50,000
74
(524,824.44)
-5.272
Treas
Note
5.250%
01/31/01
5.200
50,000
74
(524,824.44)
-5.272
Treas
Note
5.250%
01/31/01
5.200
50,000
74
(524,824.44)
-5.272
Treas
Note
5.250%
01/31/01
5.200
50,000
74
(524,824.44)
-5.272
Treas
Note
5.250%
01/31/01
5.200
50,000
74
(524,824.44)
-5.272
PURCHASE g/
CP
Morg Stan
01/31/97
5.280
50,000
CP
Morg Stan
01/31/97
5.280
50,000
CP
Morg Stan
01/31/97
5.280
50,000
CP
Morg Stan
01/31/97
5.280
50,000
CP .
Disney
01/31/97
5.200
50,000
CP
Disney
01/31/97
5.200
50,000
PURCHASE
BN
Nations
6.100%
01/19/99
6.100
50,000
CD
Montreal
5.480%
07/21 /97
5.480
35,000
CP
GECC
07/01/97
5.350
50,000
CP
GECC
07/01/97
5.350
50,000
CP
GECC
07/01/97
5.350
50,000
CP
GECC
07/01/97
5.350
50,000
CP
Bkrs Trst
07/09/97
5.370
50,000
CP
Bkrs Trst
07/09/97
5.370
50,000
CP
GMAC
07/14/97
5.360
50,000
CP
GMAC
07/14/97
5.360
50,000
02/21/97 NO SALES
PURCHASE c/
CD ABN Amro 5.650% 12/23/97 5.300 50,000
—10—
9001E'It' 1 i ESQ' AFNT ACCOUNT
_
.
dl
at .
MA'I'E1RI1'1(
TRANS
:PAR:DAYS411lOUt�i' - EFFECTNE
DESCMPT�QN
�.
HELD, EI► N _YIELD
02121/97 PURCHASE
CP
GECC
01/22/97
5.280
50,000
CP
Household
04/10/97
5.320
50,000
CP
Household
04/10/97
5.320
25,000
CP
Hertz
04/07/97
5.330
50,000
CP
GMAC
06/30/97
5.370
50,000
CP
GMAC
06/30/97
5.370
5,000
CD
Deutsche 5.500%
07/25/97
5.500
30,000
CD
Montreal 5.480%
06/30/97
5.480
20,000
01/22/97 SALE c/
CD ABN Amro
REDEMPTION
CP
Lehman
CP
GECC
PURCHASE
c/
CD
ABN Amro
CD
ABN Amro
PURCHASE
CD
RB Canada
CD
RB Canada
01/23/97 SALE c/
CD
ABN Amro
CD
ABN AMro
PURCHASE
CP
GECC
CP
GECC
CP
GECC
CP
GECC
CD
Mellon
CD
Cr Swiss
CP
Bear
CP
B/A
5.650% 12/23/97 5.300 50,000
1 7,228.61 5.373
01/22/97 6.080 13,926 27 63,502.56 6.192
01/22/97 5.280 50,000 1 7,333.33 5.354
5.650% 12/23/97 5.250 50,000
5.650% 12/23/97 5.250 50,000
5.510%
07/29/97
5.500
50,000
5.510%
07/29/97
5.500
25,000
5.650%
12/23/97
5.250
50,000 1 7,160.42 5.322
5.650%
12/23/97
5.250
50,000 1 7,160.42 5.322
06/30/97
5.340
50,000
06/30/97
5.340
50,000
06/30/97
5.340
50,000
06/30/97
5.340
50,000
5.400%
06/30/97
5.400
50,000
5.480%
07/31/97
5.480
45,000
06/30/97
5.380
35,000
06/30/97
5.340
50,000
—11—
D MirtiFS'IIIEI I�OOt?tNT
.
l
fMTURr Y
TRANS
PAR
'DAYS _
ALMNT
EFFECTNE
......._ ........
....... ... . QESCR1PT�o%i
DA
YIELD
000
HELD
EARNED
YIELD
01/24/97 REDEMPTION
CD Montreal
5.430%
01/24/97
5.430
40,000
49
295,633.33
5.505
CD Montreal
5.430%
01/24/97
5.430
50,000
49
369,541.67
5.505
CD Cr Swiss
5.340%
01/24/97
5.320
38,000
71
398,720.00
5.393
CID GMAC
01/24/97
5.400
50,000
165
1,237,500.00
5.613
BA U/B
01/24/97
5.400
12,000
114
205,200.00
5.570
PURCHASE g/
CD Svenska
5.330%
02/24/97
5.200
50,000
PURCHASE
Treas Note
6.875%
08/31/99
6.106
50,000
01/27/97 SALE c/
CD Svenska
REDEMPTION
CID
GECC
CID
GECC
CID
GECC
CID
FMCC
CID
FMCC
PURCHASE
CD
RB Canada
CD
Montreal
CD
Montreal
CID
GMAC
CID
GMAC
Treas
Note
Treas
Note
01/28/97 REDEMPTION
BA
Duetsche
BA
Tokyo-Mits
BA
Tokyo-Mits
BA
Chase
CID
GMAC
CID
GMAC
5.330% 02/24/97 5.200 50,000 3 21,233.33 5.272
01/27/97
5.500
25,000
31
118,402.78
5.602
01/27/97
5.500
50,000
31
236,805.56
5.602
01/27/97
5.500
50,000
31
236,805.56
5.602
01/27/97
5.330
50,000
21
155,458.33
5.420
01/27/97
5.330
50,000
21
155,458.33
5.420
5.510%
07/29/97
5.500
42,000
5.500%
07/31 /97
5.500
30,000
5.500%
07/31 /97
5.500
50,000
01/28/97
5.330
50,000
01/28/97
5.330
50,000
6.875%
08/31/99
6.130
50,000
6.875%
08/31/99
6.130
50,000
01/28/97
5.320
10,000
118
174,377.78
5.489
01/28/97
5.640
48,350
139
1,052,901.83
5.845
01/28/97
5.640
60,000
140
1,316,000.00
.5.846
01/28/97
5.320
18,900
172
483,105.00
5.566
01/28/97
5.330
50,000
1
7,402.78
5.404
01/28/97
5.330
50,000
1
7,402.78
5.404
—12—
1AOME-Y II VESMENT ACCOUNT
'af
_:. MATURITY TRANS PAR DAYS AMOUNT EFFEC7NE
DATE . ..... DA:...0 HELD EARNED YIELD
01/28/97 PURCHASE c/
CD ABN Amro 5.650% 12/23/97 5.330 50,000
CD ABN Amro 5.650% 12/23/97 5.330 50,000
PURCHASE
Treas Note 6.875% 08/31 /99 6.130 50,000
CD CommerzBk 5.480% 07/29/97 5.470 50,000
CD CommerzBk 5.480% 07/29/97 5.470 50,000
01/29/97 SALE c/
CD ABN Amro 5.650% 12/23/97 5.330 50,000 1 7,291.74 5.404
CD ABN Amro 5.650% 12/23/97 5.330 50,000 1 7,291.74 5.404
REDEMPTION
BA
Tokyo-Mits
01/29/97
5.700
19,550
41
126,912.08
5.816
BA
B/A
01/29/97
5.370
31,000
176
813,853.32
5.590
CD
Stand Chart
5.580%
01/29/97
5.560 .
100,000
34
525,120.98
5.637
CD
Bayrsche L
5.500%
01/29/97
5.490
50,000
36
274,502.73
5.566
CD
Bayrsche L
5.500%
01/29/97
5.490
50,000
36
274,502.73
5.566
CD
Stand Chart
5.580%
01/29/97
5.560
100,000
36
556,011.06
5.637
CD
Bkrs Trst
5.545%
01/29/97
5.540
50,000
135
1,038,769.08
5.616
CD
Nova Scotia
5.540%
01/29/97
5.540
100,000
135
2,077,500.00
5.616
CD
RaboBank
5.500%
01/29/97
5.480
25,000
166
631,779.05
5.556
CD
RaboBank
5.500%
01/29/97
5.480
50,000
166
1,263,558.09
5.556
CD
Hong Kong
5.550%
01/29/97
5.550
15,000
180
416,250.00
5.627
CD
Hong Kong
5.550%
01/29/97
5.550
50,000
180
1,387,500.00
5.627
CD
Hong Kong
5.550%
01/29/97
5.550
50,000
180
1,387,500.00
5.627
CP
Salomon
01/29/97
5.500
25,000
27
103,125.00
5.599
CP
GMAC
01/29/97
5.530
50,000
33
253,458.33
5.635
CP
GMAC
01/29/97
5.530
50,000
33
253,458.33
5.635
CP
Assoc
01/29/97
5.480
50,000
41
312,055.56
5.591
CP
Assoc
01/29/97
5.480
50,000
41
312,055.56
5.591
CP
GECC
01/29/97
5.500
25,000
41
156,597.22
5.611
CP
GECC
01/29/97
5.500
50,000
41
313,194.44
5.611
CP
GECC
01/29/97
5.500
50,000
41
313,194.44
5.611
CP
Dean
01/29/97
5.500
50,000
41
313,194.44
5.611
CP
GMAC
01/29/97
5.530
50,000
41
314,902.78
5.642
CP
GMAC
01/29/97
5.530
50,000
41
314,902.78
5.642
CP
Lehman
01/29/97
5.650
50,000
41
321,736.11
5.765
CP
Lehman
01/29/97
5.650
50,000
41
321,736.11
5.765
CP
Morg Stan
01/29/97
5.320
50,000
91
672,388.90
5.467
CP
Morg Stan
01/29/97
5.320
50,000
91
672,388.90
5.467
CP
Lehman
01/29/97
5.560
50,000
142
1,096,555.56
5.763
CP
GECC
01/29/97
5.370
25,000
167
622,770.83
5.583
CP
GECC
01/29/97
5.370
50,000
167
1,245,541.67
5.583
CP
GECC
01/29/97
5.370
50,000
167
1,245,541.67
5.583
—13—
#OtEL MON .INVES 1� mm!! i=ACC�JNT
....
at MATURITY TRANS PAR .:DAYS AIYtOUNT fFFECTlYE
QATE TX E ! aESCR1RTION DATE YIELD (000) HELD EARNED YIELD
01/29/97 REDEMPTION
CP
Bear
01/29/97
5.400
50,000
167
1,252,500.00
5.615
CP
Bear
01/29/97
5.400
50,000
173
1,297,500.00
5.620
CP
GECC
01/29/97
5.390
50,000
174
1,302,583.33
5.611
CP
GECC
01/29/97
5.390
50,000
174
1,302,583.33
5.611
CP
GMAC
01/29/97
5.390
50,000
176
1,317,555.56
5.612
CP
GMAC
01/29/97
5.390
50,000
176
1,317,555.56
5.612
CP
GMAC
01/29/97
5.390
50,000
176
1,317,555.56
5.612
CP
GMAC
01/29/97
5.390
50,000
176
1,317,555.56
5.612
CP
Union
01/29/97
5.410
50,000
176
1,322,444.45
5.634
Disc Note
FNMA
01/29/97
5.390
50,000
40
299,444.44
5.497
Disc Note
FNMA
01/29/97
5.390
50,000
40
299,444.44
5.497
PURCHASE c/
CD
ABN Amro
5.650%
12/23/97
5.570
50,000
CD
ABN Amro
5.650%
12/23/97
5.570
50,000
Disc Note
FHLMC
04/29/97
5.550
3,360
Disc Note
FHLMC
04/29/97
5.550
50,000
Disc Note
FHLMC
04/29/97
5.550
50,000
Treas
Note
5.750%
12/31 /98
5.500
4,128
Treas
Note
5.750%
12/31/98
5.500
50,000
Treas
Note
5.750%
12/31 /98
5.500
50,000
Treas
Note
5.750%
12/31 /98
5.500
50,000
Treas
Note
5.750%
12/31198
5.500
50,000
PURCHASE
CD
Hong Kong
5.510%
07/29/97
5.510
50,000
CD
Chase
5.530%
07/31/97
5.500
50,000
CP
Assoc
01 /30/97
5.500
50,000
CP
Assoc
01 /30/97
5.500
50,000
CP
GECC
02/13/97
5.300
50,000
CP
GECC
02/13/97
5.300
50,000
CP
GECC
02/13/97
5.300
50,000
CP
GECC
02/13/97
5.300
50,000
CP
GMAC
02/19/97
5.340
50,000
CP
GMAC
02/19/97
5.340
50,000
CP
GMAC
02/19/97
5.340
50,000
CP
GMAC
02/19/97
5.340
50,000
CP
GMAC
02/19/97
5.340
50,000
CP
GMAC
02/19/97
5.340
50,000
Treas
Note
6.875%
07/31/99
6.114
50,000
Treas
Note
6.875%
07/31 /99
6.114
50,000
01/30/97 SALE c/
CD ABN Amro 5.650% 12/23/97 5.570 50,000 1 7,620.07 5.647
CD ABN Amro 5.650% 12/23/97 5.570 50,000 1 7,620.07 5.647
Disc Note FHLMC 04/29/97 5.550 3,360 1 501.35 5.627
—14—
PQO Q Ii1 YIN T�.... ACCOUNT ;
,, _... _
.
dl
;. _. MATURFTY TRANS PAR DAYS AMOt1NT EFFECTIVE
DATE XIELU : HELD EARNED
01/30/97 SALE c/
Disc Note
FHLMC
04/29/97
5.550
50,000
1
7,457.66
5.627
Disc Note
FHLMC
04/29/97
5.550
50,000
1
7,457.66
5.627
Treas
Note
5.750%
12/31/98
5.500
4,128
1
617.83
5.576
Treas
Note
5.750%
12/31/98
5.500
50,000
1
7,484.43
5.576
Treas
Note
5.750%
12/31/98
5.500
50,000
1
7,484.43
5.576
Treas
Note
5.750%
12/31/98
5.500
50,000
1
7,484.43
5.576
Treas
Note
5.750%
12/31/98
5.500
50,000
1
7,484.43
5.576
REDEMPTION
CD
Bkrs Trst
5.480% 01/30/97
5.470
35,000
167
888,155.46
5.545
CP
Assoc
01/30/97
5.500
50,000
1
7,638.89
5.577
CP
Assoc
01/30/97
5.500
50,000
1
7,638.89
5.577
CP
GMAC
01/30/97
5.370
50,000
28
208,833.33
5.467
CP
GMAC
01/30/97
5.370
50,000
28
208,833.33
5.467
CP
GMAC
01/30/97
5.370
40,000
28
167,066.67
5.467
CP
Assoc
01/30/97
5.300
50,000
84
618,333.33
5.440
CP
Assoc
01/30/97
5.300
50,000
84
618,333.33
5.440
CP
Merrill
01/30/97
5.320,
50,000
92
679,777.78
5.468
PURCHASE
SBA (FR)
5.875%
01/25/22
5.875
8,183
CD
Chase
5.530%
07/31/97
5.500
50,000
CD
Chase
5.530%
07/31/97
5.500
50,000
BN
B/A
5.490%
08/04/97
5.490
50,000
BN
B/A
5.490%
08/04/97
5.490
50,000
CD
Nova Scotia
5.410%
06/30/97
5.410
50,000
CD
Nova Scotia
5.410%
06/30/97
5.410
50,000
CD
Bkrs Trst
5.540%
07/29/97
5.530
50,000
CD
Bkrs Trst
5.540%
07/29/97
5.530
50,000
CD
Hong Kong
5.500%
07/31/97
5.500
15,000
CD
Hong Kong
5.500%
07/31/97
5.500
50,000
CD
U/B Calif
5.560%
07/31/97
5.560
50,000
CD
Bayrsche V
5.490%
08/04/97
5.470
50,000
CD
Bayrsche V
5.490%
08/04/97
5.470
50,000
CD
Bayrsche V
5.490%
08/04/97
5.470
50,000
CP
Hertz
07/01/97
5.350
30,000
CP
FMCC
07/02/97
5.340
50,000
CP
FMCC
07/02/97
5.340
50,000
01/31/97 RRS
Treas
Note
5.250%
01/31/01
5.060
50,000
Treas
Note
5.250%
01 /31 /01
5.060
50,000
Treas
Note
5.750%
12/31/98
4.950
50,000
Treas
Note
5.750%
12/31/98
4.950
50,000
Treas
Note
5.750%
12/31/98
4.950
50,000
Treas
Note
5.750%
12/31/98
4.950
50,000
—15—
_.
PO ii Ti ZONE' flri S'T EI iACC�O►ifNT
MIAT TRANS PAR SAYS : AM013NT EFFECTIVE
DATE . TYKE ....
DATE YIELD 1 _.. HELD YiE
01/31/97 REDEMPTION
CP
Morg Stan
01/31/97
5.280
50,000
14
102,666.65
5.364
CP
Morg Stan
01/31/97
5.280
50,000
14
102,666.65
5.364
CP
Morg Stan
01/31/97
5.280
50,000
14
102,666.65
5.364
CP
Morg Stan
01/31/97
5.280
50,000
14
102,666.65
5.364
CP
Disney
01/31/97
5.200
50,000
14
101,111.11
5.364
CP
Disney
01/31/97
5.200
50,000
14
101,111.11
5.364
CP
Bear
01/31/97
5.300
50,000
17
125,138.90
5.387
CP
Bear
01/31/97
5.300
50,000
17
125,138.90
5.387
Disc Note
FHLB
01/31/97
5.180
50,000
18
129,500.00
5.265
Disc Note
FHLB
01/31/97
5.180
50,000
18
129,500.00
5.265
Disc Note
FHLB
01/31/97
5.180
50,000
18
129,500.00
5.265
Disc Note
FHLB
01/31/97
5.180
50,000
18
129,500.00
5.265
RRP
Treas
Note
5.750%
12/31/98
- 4.890
50,000
18
(121,822.13)
-4.957
Treas
Note
5.750%
12131 /98
4.890
50,000
18
(121,822.13)
-4.957
Treas
Note
5.750%
12/31/98
4.890
50,000
18
(121,822.13)
-4.957
Treas
Note
5.750%
12/31/98
4.890
50,000
18
(121,822.13)
-4.957
Treas
Note
5.750%
12/31/98
4.650
50,000
17
(109,791.67)
-4.714
Treas
Note
5.750%
12/31/98
4.650
50,000
17
(109,791.67)
-4.714
Treas
Note
5.750%
12/31/98
4.650
50,000
14
(90,190.62)
-4.714
Treas
Note
5.750%
12/31/98
4.650
50,000
14
(90,190.62)
-4.714
Treas
Note
5.750%
12/31/98
4.650
50,000
14
(91,260.94)
-4.765
Treas
Note
5.750%
12/31/98
4.650
50,000
14
(91,260.94)
-4.765
PURCHASE g/
CD
Stand Chart
5.330% 02/28/97
5.320
100,000
CP
Morg Stan
02/13/97
5.320
50,000
CP
Morg Stan
02/13/97
5.320
50,000
CP
Morg Stan
02/13/97
5.320
50,000
CP
Morg Stan
02/13/97
5.320
50,000
PURCHASE
Treas Note 5.875% 01 /31 /99 6.000 50,000
Treas Note 5.875% 01 /31 /99 6.000 50,000
—16—
a/ The abbreviations indicate the type of security purchased or sold;
i.e., (U.S.) Bills, Bonds, Notes, Debentures, Discount Notes,
and Participation Certificates: Federal National Mortgage Association
(FNMA), Farmers Home Administration Notes (FHA), Student Loan
Marketing Association (SLMA), Small Business Association (SBA),
Negotiable Certificates of Deposit (CD), Negotiable Certificates of
Deposit Floating Rate (CD FR), Export Import Notes (EXII11)9
Bankers Acceptances (BA), Commercial Paper (CP), Government
National Mortgage Association (GNMA), Federal Home Loan Bank.
Notes MMB), Federal Land Bank Bonds (FLB), Federal Home Loan
Mortgage Corporation Obligation (FHLMC PC) & (FHLMC GMC),
Federal Farm Credit Bank Bonds (FFCB), Federal Farm Credit Discount
Notes (FTC), Corporate Securities (CB), U.S. Ship Financing Bonds
(TITLE XI'S), International Bank of Redevelopment (ORD), Tennessee
Valley Authority (TVA) Medium Term Notes (MTN).
b/ Purchase or sale yield based on 360 day calculation for discount
obligations and Repurchase Agreements.
c/ Repurchase Agreement.
d/ Par amount of securites purchased, sold, or redeemed.
e/ Securities were purchased and sold as of the same date.
f/ Repurchase Agreement against Reverse Repurchase Agreement.
g/ Outright purchase against Reverse Repurchase Agreement.
h/ Security "SWAP" transactions.
i/ Buy back agreement.
RRS Reverse Repurchase Agreement.
RRP Termination of Reverse Repurchase Agreement.
--17-
TIME DEPOSIT
NAME DEPOSIT DATE YIELD PAR AMOUNT ($I MATURITY DATE
ALHAMBRA
East West Federal Bank 01/15/97 5.190 2,000,000.00 04/16/97
BEVERLY HILLS
City National Bank
08/21/96
5.350
20,000,000.00
02/19/97
City National Bank
11 /05/96
5.320
10,000,000.00
05/06/97
City National Bank
01/28/97
5.350
10,000,000.00
07/29/97
CHICO
North State National Bank
08/22/96
5.350
500,000.00
02/20/97
Tri - Counties Bank
01 /07/97
5.060
15,000,000.00
02/10/97
North State National Bank
01 /07/97
5.190
2,000,000.00
04/08/97
FRESNO
United Security Bank
10/24/96
5.180
3,000,000.00
02/20/97
United Security Bank
12/03/96
5.140
1,300,000.00
03/04/97
United Security Bank
12/27/96
5.100
1,500,000.00
03/27/97
INGLEWOOD
Imperial Bank
11/04/96
5.210
10,000,000.00
02/04/97
Imperial Bank
11 /06/96
5.210
20,000,000.00
02/06/97
Imperial Bank
11 /13/96
5.210
20,000,000.00
02/13/97
Imperial Bank
12/10/96
5.070
10,000,000.00
03/11/97
Imperial Bank
12/11/96
5.070
15,000,000.00
03/12/97
Imperial Bank
12/18/96
4.970
11,000,000.00
03/19/97
Imperial Bank
12/31 /96
5.150
11,000,000.00
04/02/97
Imperial Bank
01/15/97
5.210
15,000,000.00
04/16/97
Imperial Bank
01/16/97
5.220
10,000,000.00
04/16/97
Imperial Bank
01/28/97
5.220
5,000,000.00
04/29/97
LA MIRADA
Southern California Bank
01/03/97
5.260
5,000,000.00
04/03/97
Southern California Bank
01/15/97
5.230
5,000,000.00
04/16/97
LOS ANGELES
Preferred Bank
11 /22/96
5.180
4,000,000.00
02/20/97
Preferred Bank
11/26/96
5.180
2,000,000.00
02/26/97
South Bay Bank
12/04/96
5.210
500,000.00
03/05/97
Preferred Bank
12/18/96
4.930
5,000,000.00
03/19/97
Preferred Bank
12/20/96
5.020
4,000,000.00
03/20/97
Western Sierra National Bank
01/15/97
5.150
2,500,000.00
02/25/97
Western Sierra National Bank
01/28/97
5.150
1,000,000.00
02/25/97
Preferred Bank
01/04/97
5.170
3,000,000.00
04/15/97
MANTECA
Delta National Bank 11/1.8/96 5.180 1,000,000.00 02/19/97
-18-
TIME DEPOSIT
NAME DEPOSIT DATE YIELD PAR AMOUNT ($) MATURITY DATE
OAKDALE
Oak Valley Community Bank 9/25/96 5.52 500,000.00 3/25/97
PLACER
Sierra West Bank
12/05/96
5.270
2,800,000.00
06/06/97
PETALUMA
Bank of Petaluma
11 /12/96
5.180
1,000,000.00
02/11 /97
REDDING
North Valley Bank
09/23/96
5.500
3,000,000.00
03/25/97
SACRAMENTO
Sanwa Bank of California
08/20/96
5.310
50,000,000.00
02/19/97
Sanwa Bank of California
08/26/96
5.350
10,000,000.00
02/25/97
Sanwa Bank of California
01 /28/97
5.370
5,000,000.00
07/29/97
SAN FRANCISCO
Trans Pacific National Bank
09/18/96
5.700
800,000.00
03/18/97
Bank of Canton California
11/05/96
5.180
5,000,000.00
02/05/97
Bank of Canton California
11/13/96
5.180
5,000,000.00
02/13/97
Bank of Canton California
12/03/96
5.180
5,000,000.00
03/04/97
Bank of Canton California
12/09/96
5.250
5,000,000.00
06/10/97
Bank of Canton California
01/22/97
5.170
5,000,000.00
04/22/97
SAN LEANDRO
Bay Bank of Commerce
01/06/97
5.200
2,000,000.00
04/07/97
SAN LUIS OBISPO
First Bank of San Luis Obispo
08/06/96
5.440
2,600,000.00
02/04/97
First Bank of San Luis Obispo
11/13/96
5.190
2,000,000.00
02/13/97
First Bank of San Luis Obispo
11 /26/96
5.200
1,500,000.00
02/26/97
First Bank of San Luis Obispo
01 /07/97
5.200
1,000,000.00
04/08/97
SAN RAFAEL
West America Bank
01 /23/97
5.180
25,000,000.00
04/23/97
West America Bank
01/30/97
5.200
25,000,000.00
04/30/97
SANTA ANA
Grand National Bank
10/01/96
5.300
95,000.00
04/01/97
Grand National Bank
12/12/96
4.960
1,500,000.00
03/13/97
Grand National Bank
12/12/96
5.220
1,500,000.00
06/10/97
VACAVILLE
Continental Pacific Bank
12/03/96
5.160
1,000,000.00
03/04/97
TOTAL TIME DEPOSITS AS OF
JANUARY 31, 1997
$ 386,595,000.00
19—
DEMAND BANK DEPOSITS
JANUARY
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.
23.
24.
25.
26.
27.
28.
29.
30.
31.
AVERAGE DOLLAR DAYS
(000 omitted)
DAILY BALANCES
PER BANK
$235,297
417,747
556,183
5569183
556,183
270,938
344,100
199,786
429,929
302,301
302,301
302,301
104,940
188,916
450,415
242,692
257,351
257,351
257,351
257,351
227,103
343,418
145,012
315,916
315,916
315,916
163,164
257,067
443,953
245,212
428,316
a/
$3129600
WARRANTS
OUTSTANDING
$2,177,849
1,460,467
1,621,874
1,621,874
1,621,874
1,335,880
1,435,770
1,112,836
1,2929621
1,269,982
1,269,982
1,269,982
1,183,979
1,125,392
2,375,927
2,507,396
2,585,327
2,585,327
2,585,327
2,585,327
2,511,940
2,472,834
2,263,374
2,614,735
2,614,735
2,614,735
2,549,092
2,514,491
2,669,033
2,633,268
2,978,771
a/ The prescribed bank balance for January was $355,515,000.00.
This consisted of $132,412,000.00 in compensating balances for
services, $229,577,000.00 uncollected funds and a deduction of
$6,474,000.00 for September delayed deposit credit.
-20-
DESIGNATION BY POOLED MONEY INVESTMENT BOARD
OF TREASURY POOLED MONEY INVESTMENTS AND DEPOSITS
No. 1571
In accordance with sections 16480 through 16480.8 of the Government Code, the Pooled Money Investment Board, at its
meeting on January 15, 1997, has determined and designated the amount of money available for deposit and investment
under said sections. In accordance with sections 16480.1 and 16480.2 of the Government Code, it is the intent that the
money available for deposit or investment be deposited in bank accounts and savings and loan associations or invested in
securities in such a manner so as to realize the maximum return consistent with safe and prudent treasury management,
and the Board does hereby designate the amount of money available for deposit in bank accounts, savings and loan associ-
ations, and for investment in securities and the type of such deposits and investments as follows:
1. In accordance with law, for deposit in demand
bank accounts as Compensating Balance for Services $ 188,668,000
The active noninterest-bearing bank accounts designation constitutes a calendar -month average balance. For purposes
of computing the compensating balances, the Treasurer shall exclude from the daily balances any amounts contained therein
as a result of nondelivery of securities purchased for "cash" for the Pooled Money Investment Account and shall adjust for
any deposits not credited by the bank as of the date of deposit. The balances in such accounts may fall below the above
amount provided that the balances computed by dividing the sum of daily balances of that calendar month by the number
of days in the calendar month reasonably approximates that amount. The balances may exceed this amount during heavy
collection periods or in anticipation of large impending warrant presentations to the Treasury, but the balances are to be
maintained in such a manner as to realize the maximum return consistent with safe and prudent treasury management.
2. In accordance with law, for investment in securities authorized by section 16430, Government Code, or in term interest -
bearing deposits in banks and savings and loan associations as follows:
From
To
( 1)
01 /13/97
01 /17/97
(2)
01 /20/97
01 /24197
(3)
01 /27/97
01 /31 /97
(4)
02/03/97
02/07/97
(5)
02/10/97
02/14/97
(6)
02/17/97
02/21/97
Transactions
$ 1,139,300,000
$ 66,000,000
$ (1,459,400,000)
$ 1,083,200,000
$ 169,300,000
$ 266,900,000
Time Deposits in
various Financial
Institutions
In Securities
(sections 16503a
(section 16430)'
and 16602)'
$ 29,230,605,000
$
375,595,000
$ 29,296,605,000
$
375,595,000
$ 27,837,205,000
$
375,595,000
$ 28,920,405,000
$
375,595,000
$ 29,089,705,000
$
375,595,000
$ 29,356,605,000
$
375,595,000
Estimated
Total
$ 29,606,200,000
$ 29,672,200,000
$ 28,212,800,000
$ 29,296,000,000
$ 29,465,300,000
$ 29,732,200,000
From any of the amounts specifically designated above, not more than 30 percent in the aggregate may be invested in
prime commercial paper under section 16430(e), Government Code.
Additional amounts available in treasury trust account and in the Treasury from time to time, in excess of the
amounts and for the same types of investments as specifically designated above.
Provided, that the availability of the amounts shown under paragraph 2 is subject to reduction in the amount by
which the bank accounts under paragraph 1 would otherwise be reduced below the calendar month average balance
of $188,668,000.
POOLED MONEY INVESTMENT BOARD:
Chairperion
Member
Dated: January 15, 1997
*Government Code Member
-21-
February-1997
iN,IATT FONG
Treasurer
dateort,amorma
Pooled Money
Tni. estment Board Report
February 1,997
v
LOCAL AGENCY
INVESTMENT FUND
Fe6ruary 1997
PUBLIC FINANCE DIVISION
The Public Finance Division administers programs that carry out the fiduciary
responsibilities of the State Treasurer. This includes (1) issuing, managing,
and servicing of State debt; and (2) accounting for State investments and
collateral securities held by the State. These activities are performed by: the
Debt Issuance Section, Interim Finance Section, Investor Relations Program,
Bondholder Services Section, and Securities Clearance Section.
Debt Issuance Suction. This Section is responsible for the sale of $5-6 billion
of State bonds each year to finance capital projects. An innovative master
refunding program, which consolidates much of the preparatory work for each
of the bond sales, allows the Treasurer's Office to sell individual issues when
market conditions yield greater savings for taxpayers. Since August 1996, the
master refunding program has saved taxpayers nearly $48 million. The Section
also serves as trustee for approximately $ 30 billion in bonds and $ 3 billion in
notes.
Interim Finance Section. This Section is responsible for interim financing
programs administered by the State Treasurer's Office. These. programs
include: (1) the tax-exempt commercial paper (TXCP) program for the
Department of Water Resources; (2) the State's Pooled Money Investment
Account (PMIA) loan program; and (3) a new TXCP program for the State's
general obligation bond program. This new program enables the State to take
advantage of the interest rate differential between short-term TXCP rates and
the higher bond rates available to the State. Since its inception in May 1996,
the general obligation TXCP program has saved taxpayers $9.1 million.
Investor Relations Program. This Program provides continuing disclosure to
bondholders. Information to bondholders and the investment community is
disseminated through the monthly newsletter " The Treasury Note," the
Treasurer's website on the Internet (www.treasurerca.gov), and the
Bloomberg site. The Internet and Bloomberg sites contain information about
current offerings, California's finances, credit ratings, and special issues.
Bondholder Services Section. This Section is responsible for providing
transfer agent services for over $29 billion of State of California bond issues
for which the Treasurer is a trustee and/or registrar. Annual payments to
bondholders are in excess of $1.7 billion.
Sercurlties Clearance SwHon. This Section carries out the safekeeping of
securities and other personal property owned by or pledged to the State with
an average monthly balance of over $4 5 billion. This includes: (1)
accounting for an average of nearly $500 million of daily investment
transactions; (2) accountability for $5.2 billion of assets pledged to the State as
collateral; (3) accountability of $14 billion assets of State investments; and (4)
accountability of approximately $28.2 billion investments for the State Pool.
In addition, this Section clears and settles approximately 15,000 security trade
transactions and completes approximately 10,000 safekeeping and pledge
transactions per year.
STATE OF CALIFORNIA
STATE TREASURER'S OFFICE
POOLED MONEY INVESTMENT BOARD REPORT
FEBRUARY 1997
Table of Contents
SUMMARY............................................................................................................1
SELECTED INVESTMENT DATA....................................................................2
PORTFOLIO COMPOSITION...........................................................................3
INVESTMENT TRANSACTIONS......................................................................4
TIMEDEPOSITS.................................................................................................19
DEMANDBANK DEPOSITS............................................................................21
POOLED MONEY INVESTMENT BOARD DESIGNATION .....................22
POOLED MONEY INVESTMENT ACCOUNT
SUMMARY OF INVESTMENT DATA
A COMPARISON OF FEBRUARY 1997 WITH FEBRUARY 1996
(Dollars in Thousands)
Average Daily Portfolio
$30,379,056
$28,484,590
+ $1,894,466
Accrued Earnings
$129,929
$127,371
+ $2,558
Effective Yield
5.575
5.643
- .068
Average Life —Month End (in days)
260
263
- 3
Total Security Transactions
Amount
$21,643,428
$19,469,454
+ $2,173,974
Number
502
468
+ 34
Total Time Deposit Transactions
Amount
$450,700
$242,400
+ $208,300
Number
38
23
+ 15
Average Workday Investment Activity
$1,227,451
$1,037,466
+ $189,985
Prescribed Demand Account Balances
For Services
$139,307
$129,388
+ $9,919
For Uncollected Funds
$194,631
$152,210
+ $42,421
—1—
MATT FONG
STATE TREASURER
STATE OF CALIFORNIA
INVESTMENT DIVISION
SELECTED INVESTMENT DATA
ANALYSIS OF THE POOLED MONEY INVESTMENT ACCOUNT PORTFOLIO (000 OIVIITTED)
Change in
February 28,1997 Percent From
Tyne of Security Amount Percent Previous Month
Governments
Bills
$2,0669058
7.16
-
.14
Bonds
0
0
0
Notes
5,839,577
20.24
+
.82
Strips
1219604
.42
-
39
Total Governments
$8,027,239
27.82
+
.29
Federal Agency Coupons
19,2689,168
439
+
.16
Certificates of Deposit
7,5829669
26.28
-
.94
Bank Notes
5669002
1.96
-
.19
Bankers Acceptances
403,197
1.40
+
.77
Repurchases
0
0
0
Federal Agency Discount Notes
584,314
2.02
+
.34
Time Deposits
485,095
1.68
+
37
GNMA's
39365
.01
0
Commercial Paper
69,1889687
21.44
-
1.59
FHLMC
309757
.11
+
.01
Corporate Bonds
2,3629289
8.19
+
.27
Pooled Loans
1,751,229
6.07
+
38
GF Loans
0
0
0
Reversed Repurchases
-3949500
-1.37
-
.13
Total, All Types
$28,8589511
100
INVESTMENT ACTIVITY
February 1997
January
1997
Number
ount
Number
Amount
Pooled Money 502
$ 21,6439,428
417
$ 19,022,037
Other 13
529,964
3
99468
Time Deposits 38
450,700
32
2619500
TOTALS 553
$ 2291479092
452
$ 1992939005
PMIA Monthly Average
Effective Yield 5.575 5.583
Year to Date Yield for
Last Day of Month 5.586 5.587
—2—
Pooled Money Investment Account
Portfolio Composition
$28.9 Billion
Loans Reverses
Coroorate 6.07% -1.37%
Commercial
Paper
21.44%
CD's/BN's
28.24%
Furies
12%
Time Deposits
1.68%
Mortgages
0.12%
)encies
).41 %
2/28/97
■ Treasuries
® Time Deposits
■ Mortgages
® Agencies
■ CD's1BN's
■ Bankers Acceptances'
■ Repo
Cl Commercial Paper
® Corporate Bonds
Moans
i
0 Reverses
-3-
02103/97 RRS
Treas
Note
5.750%
12/31/98
4.900
50,000
Treas
Note
5.750%
12/31/98
4.900
50,000
Treas
Note
5.750%
12/31/98
4.900
50,000
Treas
Note
5.750%
12/31/98
4.900
50,000
Treas
Note
5.750°%
12/31/98
4.900
50,000
Treas
Note
5.750%
12/31/98
4.900
50,000
REDEMPTION
CD
Nat W.Mstr
5.370%
02/03/97
5.360
50,000
60
446,872.16
5.436
CD
CIBC
5.340%
02/03/97
5.340
20,000
89
660,083.33
5.414
CD
CIBC
5.340%
02/03/97
5.340
50,000
89
660,083.33
5.414
CD
CIBC
5.340%
02/03/97
5.340
50,000
89
660,083.33
5.414
CD
CommerzBk
5.410%
02/03/97
5.370
40,000
96
572,945.10
5.445
CD
Soc Gen
5.630%
02/03/97
5.610
50,000
138
1,075,330.70
5.687
CD
Soc Gen
5.630%
02/03/97
5.610
50,000
138
1,075,330.70
5.687
CP
FMCC
02/03/97
5.290
50,000
88
646,555.56
5.433
CP
FMCC
02/03/97
5.290
50,000
88
646,555.56
5.433
CP
FMCC
02/03/97
5.290
50,000
88
646,555.56
5.433
CP
FMCC
02/03/97
5.290
50,000
88
646,555.56
5.433
CP
FMCC
02/03/97
5.290
50,000
88
646,555.56
5.433
CP
Merrill
02/03/97
5.300
50,000
88
647,777.78
5.444
CP
Merrill
02/03/97
5.300
50,000
88
647,777.78
5.444
CP
Merrill
02/03/97
5.300
50,000
88
647,777.78
5.444
CP
SRAC
02/03/97
5.310
50,000
90
663,750.00
5.456
CP
Bear
02/03/97
5.310
50,000
90
663,750.00
5.456
CP
Bear
02/03/97
5.310
50,000
90
663,750.00
5.456
CP
Bear
02/03/97
5.310
50,000
90
663,750.00
.5.456
CP
FMCC
02/03/97
5.390
15,000
123
276,237.50
5.567
CP
FMCC
02/03/97
5.390
50,000
123
920,791.67
5.567
PURCHASE g/
Treas
Note
5.625%
11/30/98
5.200
8,300
Treas
Note
5.625%
11/30/98
5.200
50,000
Treas
Note
5.625%
11/30/98
5.200
50,000
Treas
Note
5.625%
11/30/98
5.200
50,000
Treas
Note
5.625%
11/30/98
5.200
50,000
Treas
Note
5.625°%
11/30/98
5.200
50,000
Treas
Note
5.625%
11/30/98
5.200
50,000
PURCHASE c/
CD ABN Amro 5.650% 12/23/97 5.380 50,000
—4—
02/03/97 PURCHASE
BA
Bk of NYC
07/21/97
5.300
15,000
BA
UB Calif
07/22/97
5.320
8,000
BN
B/A
5.500%
98/04/97
5.490
34,000
CD
Bayrsche L
5.440%
07/09/97
5.440
50,000
CD
Bayrsche L
5.440%
07/09/97
5.440
50,000
CP
GECC
02/04/97
5.310
20,000
CP
GECC
02/04/97
5.310
50,000
CP
GECC
02/04/97
5.310
50,000
CP
Salomon
02/14/97
5.350
25,000
CP
Salomon
02/14/97
5.350
50,000
CP
SRAC
07/09/97
5.330
50,000
CP
FMCC
07/14/97
5.340
50,000
CP
FMCC
07/14/97
5.340
50,000
CP
GECC
07/23/97
5.330
50,000
CP
GECC
07/23/97
5.330
50,000
CP
Merrill
07/25/97
5.370
50,000
CP
Merrill
07/25/97
5.370
50,000
CP
Merrill
07/25/97
5.370
50,000
CP
Merrill
07/25/97
5.370
50,000
CP
Bear
08/01/97
5.370
50,000
CP
Bear
08/01/97
5.370
50,000
CP
Amer Exp
06/30/97
5.310
50,000
CP
Amer Exp
06/30/97
5.310
50,000
CP
Amer Exp
06/30/97
5.310
50,000
CP
Amer Exp
06/30/97
5.310
50,000
02/04/97 SALE c/
CD
ABN Amro
5.650%
12/23/97
5.380
50,000
1
7,366.12 5.454
REDEMPTION
CP
GECC
02/04/97
5.310
20,000
1
2,950.00 5.384
CP
GECC
02/04/97
5.310
50,000
1
7,375.00 5.384
CP
GECC
02/04/97
5.310
50,000
1
7,375.00 5.384
CP
Textron
02/04/97
5.600
27,000
55
231,000.00 5.726
MTN
AT&T
4.750%
02/04/97
6.760
10,000
867
1,559,286.11 6.974
PURCHASE c/
CD
ABN Amro
5.650%
12/23/97
5.250
26,000
CD
ABN Amro
5.650%
12/23/97
5.250
50,000
—5—
02104/97 PURCHASE
MTN
IBM Corp
5.650%
01/22/98 .
5.730
33,340
MTN
Transam
8.375%
02/15/98
5.800
14,350
BA
B/A
04/03/97
5.280
10,000
BA
Montreal
07/31 /97
5.280
10,000
CD
CIBC
5.400%
06/30/97
5.400
45,000
CD
RaboBank
5.520%
08/04/97
5.480
40,000
CID
GECC
02/05/97
5.200
50,000
CID
GECC
02/05/97
5.200
50,000
CID
Heller
05/28/97
5.390
50,000
CID
Heller
05/28/97
5.390
50,000
CID
SRAC
07/21/97
5.310
50,000
CID
UB Calif
07/22/97
5.340
25,000
CID
UB Calif
07/22/97
5.340
50,000
CID
SRAC
07=97
5.310
50,000
CID
GMAC
07/23/97
5.340
50,000
CID
Bkrs Trst
08/01 /97
5.350
50,000
CID
Bkrs Trst
08101 /97
5.350
50,000
Treas
Note
5.875%
01 /31199
5.895
50,000
Treas
Note
5.875%
01131 /99
5.895
50,000
02/05/97 SALE
Treas
Note
5.875%
04/30/98
5.673
50,000
257
787,120.17
7.101
Treas
Note
5.875%
04/30/98
5.673
50,000
279
787,120.17
6.843
Treas
Note
5.875%
04/30/98
5.673
50,000
279
787,120.17
6.843
Treas
Note
6.000%
12/31 /97
5.523
50,000
1493
298,342.54
6.177
Treas
Note
6.000%
12/31 /97
5.523
50,000
1493
298,342.54
6.177
Strip Cpns
05/15/98
5.650
26,000
1121
3,206,320.00
4.968
Strip Cpns
08/15/98
5.717
15,000
1318
2,260,200.00
5.441
Strip Cpns
08/15/98
5.717
50,000
1318
7,534,000.00
5.441
SALE c/
CD ABN Amro 5.650% 12/23/97 5.250
CD ABN Amro 5.650% 12/23/97 5.250
REDEMPTION
CID GECC
CID GECC
PURCHASE
BA
B/A
BA
Montreal
BA
Chase
CD
Nat W.Mstr
CD
Soc Gen
CD
Soc Gen
CD
US Oregon
02/05/97 5.200
02/05/97 5.200
05/05/97
05/05/97
07/23/97
5.520%
07/01 /97
5.530%
07/22/97
5.530%
07/22/97
5.430%
07/29/97
5.280
5.280
5.300
5.450
5.480
5.480
5.430
26,000
50,000
50,000
50,000
10,000
10,000
9,500 -
9,500
29,000
50,000
50,000
1 3,733.33
5.322
1 7,189.58
5.322
1 7,222.22
5.272
1 7,222.22
5.272
02105/97 PURCHASE
CD
CD
CD
CP
CP
CP
CP
CP
02106/97 SALE
Treas
Treas
Treas
Treas
SALE c/
-EFFEC97NE-
YIELD
US Oregon
5.430%
07/29/97
5.430
50,000
US Wash
5.430%
07/29/97
5.430
50,000
US Wash
5.430%
07/29/97
5.430
50,000
Enron
03/27/97
5.440
10,000
FMCC
06/30/97
5.300
25,000
FMCC
-06/30/97
5.300
50,000
FMCC
06/30/97
5.300
50,000
Lehman
08/04/97
5.370
50,000
Note
5.750%
12/31 /98
5.856
50,000
23
293,853.59
11.690
Note
5.750%
12/31/98
5.856
50,000
26
293,853.59
11.127
Note
6.875%
07/31 /99
5.973
50,000
8
56,975.14
20.595
Note
6.875%
07/31 /99
5.973
50,000
8
56,975.14
20.595
Strip Cpns
05/15/98
5.685
24,000
1122
2,953,680.00
4.953
Strip Cpns
05/15/98
5.688
25,000
1361
4,051,750.00
5.651
Strip Cpns
05/15/98
5.688
10,000
1368
1,585,200.00
5.473
CP JC Penney
REDEMPTION
Treas
Bill
Treas
Bill
Treas
Bill
Treas
Bill
RRP
Treas
Bill
Treas
Bill
Treas
Bill
PURCHASE _q/
CD
Swiss Bk
CD
Swiss Bk
PURCHASE
02/06/97 .5.390 50,000 58 434,194.45 5.512
02/06/97
4.820
50,000
351
2,349,750.00
5.127
02/06/97
4.820
50,000
351
2,349,750.00
5.127
02/06/97
4.645
50,000
352
2,270,888.90
4.933
02/06/97
4.645
50,000
352
2,270,888.90
4.933
02/06/97
4.800
50,000
58
(382,606.67)
-4.866
02/06/97
4.800
50,000
58
(382,606.67)
-4.866
02/06/97
4.810
50,000
58
(383,403.76)
-4.876
5.410% 04/23/97 5.260
5.410% 04/23/97 5.260
BA
Chase
07/28/97
5.300
CD
CommerzBk
5.440%
08/01 /97
5.440
CD
CommerzBk
5.440%
08/01 /97
5.440
CD
Cr Swiss
5.440%
08/05/97
5.420
CD
ABN Amro
5.450%
08/06/97
5.450
CP
Conagra
03/26/97
5.420
CP
GMAC
06/30/97
5.300
50,000
50,000
5,900
25,000
50,000
55,000
45,000
25,000
50,000
—7—
02/06/97 PURCHASE
CP
GMAC
CP
FMCC
CP
FMCC
CP
FMCC
CP
FMCC
02/07/97 SALE c/
CD Swiss Bk
CD Swiss Bk
REDEMPTION
CD
BN Paris
CD
BN Paris
CD
US Oregon
CD
US Oregon
PURCHASE c/
CD
Swiss Bk
CD
Swiss Bk
CP
Merrill
02/10/97 SALE c/
CD Swiss Bk
CD Swiss Bk
CP Merrill
REDEMPTION
CD
Bkrs Trst
CP
Baxter
CP
Conagra
CP
Conagra
CP
Textron
CP
GMAC
CP
GMAC
CP
GMAC
CP
GMAC
Disc Note
FNMA
NO PURCHASES
06/30/97
5.300
50,000
06/30/97
5.300
50,000
06/30/97
5.300
50,000
06/30/97
5.300
50,000
06/30/97
5.300
50,000
5.410%
04/23/97
5.260
50,000
1
7,174.06
5.333
5.410%
04/23/97
5.260
50,000
1
7,174.06
5.333
5.370%
02/07/97
5.360
48,000
85
608,107.04
5.440
5.370%
02/07/97
5.360
45,000
91
609,804.75
5.435
5.330%
02/07/97
5.330
50,000
93
688,458.33
5.404
5.330%
02/07/97
5.330
50,000
93
688,458.33
5.404
5.410% 04/23/97 5.200 45,000
5.410% 04123/97 5.200 50,000
03/31/97 5.200 7,000
5.410% 04/23/97 5.200 45,000 3 19,149.00 5.272
5.410% 04/23/97 5.200 50,000 3 21,276.67 5.272
03/31 /97 5.200 7,000 3 2,946.67 5.272
5.400% 02/10/97
5.400
50,000
124
930,000.00
5.475
02/10/97
5.370
28,b00
35
146,183.33
5.473
02/10/97
5.580
20,000
60
186,000.00
5.710
02/10/97
5.540
50,000
61
469,361.11
5.670
02/10/97
5.560
30,000
67
310,433.33
5.696
02/10/97
5.320
45,000
68
452,200.00
5.448
02/10/97
5.320
50,000
68
502,444.44
5.448
02/10/97
5.590
10,000
152
236,022.22
5.804
02/10/97
5.590
50,000
152
1,180,111.11
5.804
02/10/97
5.210
25,000
94
340,097.22
5.355
—8—
02/11/97 RRS
Treas
Note
Treas
Note
Treas
Note
Treas
Note
REDEMPTION g/
CP
JC Penney
CP
JC Penney
41143Lal l
CD
Midland
CD
Midland
CP
Conagra
CP
Morgan
CP
Morgan
CP
GMAC
CP
Textron
PURCHASE
g/
Disc Note
FNMA
Disc Note
FNMA
Disc Note
FNMA
Disc Note
FNMA
PURCHASE
c/
Treas
Bill
Treas
Bill
Treas
Bill
Treas
Bill
Treas
Bill
PURCHASE
BA
Barclays
CP
Country
BA
B/A
02/13/97 RRS
Treas
Note
Treas
Note
Treas
Note
Treas
Note
5.250%
01 /31 /01
5.250%
01 /31 /01
5.250%
01/31/01
5.250%
01 /31 /01
r
Rai DAB �I�NT EFFECTIVE
. ._....�.__... _ .. ._ .:; �. .imn
...
4.890
50,000
4.890
50,000
4.890
50,000
4.890
50,000
02/11/97 5.380 50,000 63 470,750.00 5.506
02/11/97 5.380 50,000 63 470,750.00 5.506
5.430% 02/11/97
5.430
50,000
125
942,708.33
5.505
5.430% 02/11/97
5.430
50,000
125
942,708.33
5.505
02/11/97
5.540
19,300
69
204,933.83
5.677
02/11/97
5.320
50,000
69
509,833.35
5.449
02/11/97
5.320
50,000
69
509,833.35
5.449
02/11/97
5.370
40,000
36
214,800.00
5.473
02/11/97
5.620
20,000.
60
187,333.33
5.751
03/13/97
5.170
50,000
03/13/97
5.170
50,000
03/13/97
5.170
50,000
03/13/97
5.170
50,000
02/05/98
5.200
50,000
02/05/98
5.200
50,000
02/05/98.
5.200
50,000
02/05/98
5.200
50,000
02/05/98
5.200
15,323
08/11 /97 5.260 11,000
02/14/97 5.270 18,000
05/09/97 5.250 8,000
5.750%
12/31 /98
4.950
50,000
5.750%
12/31 /98
4.950
50,000
5.750%
12/31 /98
4.950
50,000
5.750%
12/31 /98
4.950
50,000
=m
02/13/97 SALE a/
CP
Morgan
02/13/97.
5.320
50,000
13
96,055.55
5.404
CP
Morgan
02/13/97
5.320
50,000
13
96,055.55
5.404
CP
Morgan
02/13/97
5.320
50,000
13
96,055.55
5.404
CP
Morgan
02/13/97
5.320
50,000
13
96,055.55
5.404
SALE cl
Treas
Bill
02/05/98
5.200
50,000
2
13,416.58
5.272
Treas
Bill
02/05/98
5.200
50,000
.2
13,416.58
5.272
Treas
Bill
02/05/98
5.200
50,000
2
13,416.58
5.272
Treas
Bill
02/05/98
5.200
50,000
2
13,416.58
5.272
REDEMPTION
CP
GECC
02/13/97
5.300
50,000
15
110,416.67
5.385
CP
GECC
02/13/97
5.300
50,000
15
110,416.67
5.385
CP
GECC
02/13/97
5.300
50,000
15
110,416.67
5.385
CP
GECC
02/13/97
5.300
50,000
15
110,416.67
5.385
CP
Baxter
02/13/97
5.370
35,000
38
198,391.67
5.475
RRP
Treas
Note
12/31 /98
4.950
50,000
13
(89,263.28)
-5.018
Treas
Note
12/31 /98
4.950
50,000
13
(89,263.28)
-5.018
Treas
Note
12/31 /98
4.950
50,000
13
(89,263.28)
-5.018
Treas
Note
12/31 /98
4.950
50,000
13
(89,263.28)
-5.018
PURCHASE
S/
CP
Morg Stan
03/13/97
5.270
50,000
CP
Morg Stan
03/13/97
5.270
50,000
CP
Morg Stan
03/13/97
. 5.270
50,000
CP
Morg Stan
03/13/97
5.270
50,000
PURCHASE
MTN (FR)
Citicorp
5.543% 02/15/00
5.554
25,000
02/14/97 REDEMPTION
CP
Country
02/14/97
5.270
18,000
3
7,905.00
5.345
CP
Salomon
02/14/97
5.350
25,000
11
40,868.06
5.433
CP
Salomon
02/14/97
5.350
50,000
11
81,736.11
5.433
—10—
EFFECMVE
. , YIELD
02/14/97 PURCHASE
MTN (FR)
Citcorp
5.563%
08/13/01 .
6.105
25,000
BA
Montreal
05/02/97
5.240
10,000
BA
Montreal
05/07/97
5.240
10,000
CD
Midland
5.375%
06/30/97
5.375
50,000
CD
Midland
5.375%
06/30/97
5.375
50,000
CD
Soc Gen
5.470%
07/11 /97
5.400
20,000
CD
RaboBank
5.430%
07/14/97
5.370
15,000
CD
Bayrsche V
5.380%
08/28/97
5.370
50,000
CD
Bayrsche V
5.380%
08/28/97
5.370
50,000
CID
FMCC
06/27/97
. 5.260
50,000
02-18-97 SALE c/
Treas
Note
5.625%
11/30/98
5.200
8,300
15
171555.33
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
Treas
Note
5.625%
11/30/98
5.200
50,000
15
105,755.00
5.272
REDEMPTION
CD
Nat W.Mstr
5.430%
02/18/97
5.425
50,000
64
482,226.47
5.500
CD
Nat W.Mstr
5.430%
02/18/97
5.425
50,000
64
482,226.47
5.500
CD
Nat W.Mstr
5.430%
02/18/97
5.425
50,000
64
482,226.47
5.500
CD
Mellon
5.550%
02/18/97
5.500
10,000
139
213,779.76
5.613
CID
Bear
02/18/97
5.300
31,000
74
337,727.76
5.432
MTN
World
7.625%
02/18/97
5.689
12,000
271
509,981.67
5.689
MTN (FR)
FMCC
3.713%
02/18/97
3.713
30,000
1076
5,038,917.52
5.697
MTN (FR)
FMCC
3.713%
02/18/97
3.408
25,000
1091
4,220,269.81
5.643
RRP
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
Treas
Note
5.750%
12/31/98
4.900
50,000
15
(102,410.00)
-4.968
PURCHASE c/
CD
Soc Gen
5.490%
08/11 /97
5.500
34,000
CD
Soc Gen
5.600%
11 /14/97
5.500
24,000
CD
Soc Gen
5.600%
11/14/97
5.500
50,000
CD
Barclays
5.770%
01 /16/98
5.500
28,000
CD
Barclays
5.770%
01/26/98
5.500
15,000
Treas
Note
6.250%
10/31 /01
5.420
49,680
-11-
02/18/97 PURCHASE
CD
BN Paris
5.430%
08/20/97
5.420
25,000
CD
US Oregon
5.375%
08/20/97
5.380
50,000
CD
US Oregon
5.375%
08/20/97
5.380
50,000
CD
US Wash
5.375%
08/20/97
5.380
50,000
02/19/97 SALE
BN NabonsBk
SALE c/
CD
Soc Gen
CD
Soc Gen
CD
Soc Gen
CD
Barclays
CD
Barclays
Treas
Note
REDEMPTION
CP
GMAC
CP
GMAC
CP
GMAC
CP
GMAC
CP
GMAC
CP
GMAC
PURCHASE
CD
Svenska
CD
Morg Guar
CD
Morg Guar
CP
Conagra
CP
B/A
02/20/97 REDEMPTION
6.100% 01 /19/99 6.040 50,000 33 33,888.89 7.225
5.490%
08/11/97
5.500
34,000
1
5,095.14
5.576
5.600%
11/14/97
5.500
24,000
1
3,594.82
5.576
5.600%
11 /14/97
5.500
50,000
1
7,489.21
5.576
5.770%
01 /16/98
5.500
28,000
1
4,300.69
5.576
5.770%
01 /26/98
5.500
15,000
1
2,329.86
5.576
6.250%
10/31/01
5.420
49,680
1
7,527.78
5.495
02/19/97
5.340
50,000
21
155,750.00
5.431
02/19/97
5.340
50,000
21
155,750.00
5.431
02/19/97
5.340
50,000
21
155,750.00
5.431
02/19/97
5.340
50,000
21
155,750.00
5.431
02/19/97
5.340
50,000
21
155,750.00
5.431
02/19/97
5.340
50,000
21
155,750.00
5.431
5.430% 08/20/97
5.420
5.360% 08/27/97
5.360
5.360% 08/27/97
5.360
03/27/97
5.380
06/30/97.
5.250
CD
Union
5.420%
02/20/97
5.405
CD
Union
5.420%
02/20/97
5.405
CD
Union
5.420%
02/20/97
5.405
CD
Union
5.420%
02/20/97
5.405
CD
Union
5.400%
02/20/97
5.400
CD
Union
5.400%
02/20/97
5.400
CD
Nova Scotia
5.630%
02/20/97
5.610
CP
Enron
02/20/97
5.470
CP
GMAC
02/20/97
5.380
CP
GMAC
02/20/97
5.340
CP
GMAC
02/20/97
5.340
60,000
35,000
50,000
15,000
25,000
50,000
65
487,964.48
5.480
50,000
65
487,964.48
5.480
50,000
65
487,964.48
5.480
50,000
65
487,WA.48
5.480
50,000
133
997,500.00
5.475
50,000
133
997,500.00
5.475
115,000
154
2,760,038.91
5.687
50,000
48
364,666.67
5.586
25,000
48
179,333.33
5.494
50,000
126
934,500.00
5.517
50,000.
126
934,500.00
5.517
—12—
- VE
... - a/AI4T.ZRf TRANS BAR i�i4YS ARot�NT EIVF
..-
02/20/97 PURCHASE
BA
Deutsche
08/06/97
5.230
10,000
BA
RNB NYC
08/08/97
5.230
5,000
BA
BK of NYC
08/13/97
5.230
10,000
CD
BN Paris
5.340%
05/28/97
5.330
50,000
CD
BN Paris
5.340%
05/28/97
5.330
50,000
CD
Nova Scotia
5.340%
06/27/97
5.340
115,000
CD
Barclays
5.330%
06/30/97
5.330
50,000
CD
Union
5.380%
08/06/97
5.380
50,000
CD
Union
5.380%
08/06/97
5.380
50,000
CP
FMCC
07/01 /97
5.250
50,000
CP
FMCC
07/01/97
5.250
50,000
CP
FMCC
07/03/97
5.250
50,000
CP
GECC
08/06/97
5.250
50,000
CP
GECC
08/08/97
5.280
50,000
CP
GMAC
08/08/97
5.280
50,000
CP
SRAC
08/11/97
5.240
50,000
CP
GMAC
MI1/97
5.280
50,000
CP
GMAC
08/11/97
5.280
50,000
CP
Heller
08/12/97
5.350
20,000
CP
Heller
08/12/97
5.350
50,000
CP
GECC
08/13/97
5.250
50,000
CP
GECC
08/13/97
5.250
50,000
02/21/97 RRS
Trees
Note
5.750%
12/31/98
4.850
50,000
Trees
Note
5.750%
12/31/98
4.850
50,000
Trees
Note
5.750%
12/31/98
4.850
50,000
Trees
Note
5.750%,
12/31/98
4.850
50,000
Trees
Note
5.750%
12/31/98
4.850
50,000
Trees
Note
5.750%
12/31/98
4.850
50,000
PURCHASE g/
Trees
Note
6.000%
08/15/99.
5.150
10,230
Trees
Note
6.000%
08/15/99
5.150
50,000
Trees
Note
6.000%
08/15/99
5.150
50,000
Trees
Note
6.000%
08/15/99
5.150
50,000
Trees
Note
6.000%
08/15/99
5.150
50,000
Trees
Note
6.000%
08/15/99
5.150
50,000
Trees
Note
6.000%
08/15/99
5.150
50,000
—13—
02/21197 PURCHASE
BN
MTN
BA
BN
CD
CD
CP
CP
CP
FNB Chicago 5.410% 08/21/97
Assoc
7.300%
03/15/98
Tokyo-Mits
03/27/97
B/A
5.400%
08/28/97
Bkrs Trst
5.420%
08/27/97
Bkrs Trst
5.420%
08/27/97
Salomon
03/24/97
Bear
06/10/97
Bear
06/10/97
5.400
5.604
5.330
5.400
5.410
5.410
5.420
5.270
5.270
02/24/97 REDEMPTION
MTN (FR) FMCC 3.750% . 02/24/97 3.750
PURCHASE
40,000
22,425
37,000
50,000
50,000
50,000
50,000
50,000
50,000
25,000 1096 4,163,162.29 5.548
CD
Nat W.Mstr
5.320%
05/28/97
5.310
50,000
CD
Nat W.Mstr
5.320%
05/28/97
5.310
50,000
CD
Nat W.Mstr
5.320%-
05/28/97
5.310
50,000
CD
RaboBank
5.380%
08/27/97
5.360
50,000
CD
RaboBank
5.380%
08/27/97
5.360
50,000
CP
Country
02/27/97
5.270
38,300
CP
GECC
M08/97
5.260
50,000
CP
GECC
08/08/97
5.260
50,000
CP
Bear
08/20/97
5.280
45,000
02/25/97 NO SALES
PURCHASE
CP
GECC
07/01/97
5.260
50,000
CP
GECC
07/01/97
5.260
30,000
CP
FMCC
05/16/97
5.260
50,000
CD
Wachovia
5.320%
06/30/97
5.320
50,000
CD
US Wash
5.290%
06/02/97
5.300
50,000
CD
CIBC
5.420%
08/27/97
5.420
50,000
CD
CIBC
5.420%
08/27/97
5.420
30,000
CD
Nat. W.Mstr
5.400%
08/27/97
5.380
40,000
02126/97 NO SALES
PURCHASE
cl
Treas
Note
6.125%
08/31/98
5.370
41,073
Treas
Note
7.750%
11/30/99
5.370
50,000
Treas
Note
7.750%
11 /30/99
5.370
6,005
—14—
02/27/97 SALE c/
Treas
Note
6.125%
08/31 /98 .
5.370
41,073
1
6,215.92
5.444
Treas
Note
7.750%
11/30/99
5.370
50,000
1
7,746.97
5.444
Treas
Note
7.750%
11 /30/99
5.370
6,005
1
930.05
5.444
REDEMPTION
CP
GECC
02/27/97
5.350
50,000
1
7,430.56
5.425
CP
GECC
02/27/97
5.350
50,000
1
7,430.56
5.425
CP
GECC
02/27/97
5.350
50,000
1
7,430.56
5.425
CP
GECC
02/27/97
5.350
50,000
1
7,430.56
5.425
CD
Nova Scotia
5.390%
02/27/97
5.390
85,000
56
712,677.78
5.464
CD
CIBC
5.400%
02/27/97
5.400
50,000
56
420,000.00
5.475
CD
CIBC
5.400%
02/27/97
5.400
50,000
56
420,000.00
5.475
CD
Barclays
5.360%
02/27/97
5.360
50,000
93
692,333.33
5.434
CD
Barclays
5.360%
02/27/97
5.360
50,000
93
692,333.33
5.434
CP
Country
02/27/97
5.270
38,300
3
16,820.08
5.345
CP
GMAC
02/27/97
5.340
35,000
79
410,141.67
5.478
CP
GMAC
02/27/97
5.340
50,000
79
585,916.67
5.478
CP
Assoc
02/27/97
5.320
50,000
79
583,722.22
5.457
CP
Assoc
02/27/97
5.320
50,000
79
583,722.22
5.457
CP
GMAC
02/27/97
5.300
5,000
93
68,458.33
5.448
CP
GMAC
02/27/97
5.300
50,000
93
684,583.33
5.448
CP
Merrill
02/27/97
5.310
50,000
113
833,375.00
5.475
CP
Morgan
02/27/97
5.300
50,000
118
868,611.10
5.468
CP
Morgan
02/27/97
5.300
50,000
118
868,611.10
5.468
CP
Bkrs Trst
02/27/97
5.550
10,000
162
249,750.00
5.771
CP
Bkrs Trst
02/27/97
5.550
50,000
162
1,248,750.00
5.771
CP
GECC
02/27/97
5.510
50,000
162
1,239,750.00
5.728
CP
GECC
02/27/97
5.510
50,000
162
1,239,750.00
5.728
Disc Note
FHLB
02/27/97
5.270
15,000
205
450,145.83
5.508
PURCHASE
CD
CIBC
5.420%
08/27/97
5.420
30,000
CD
CIBC
5.420%
08/27/97
5.420
50,000
SBA (FR)
5.875%
02/25/22
5.875
12,239
SBA (FR)
5.875%
02/25/22
5.875
5,910
CP
Assoc
02/28/97
5.240
50,000
CP
Assoc
02/28/97
5.240
50,000
CP
Assoc
02/28/97
5.240
50,000
CP
Assoc
02/28/97
5.240
50,000
Treas
Bill
02/05/98
5.332
50,000
Treas
Bill
02/05/98
5.332
50,000
Treas
Note
06/30/97
5.370
32,000
—15—
`OOZED If...... 11i EST MENT AO i�1T
_.
at MATURrrY TRANS : ..PAR ` DAYS ,! Ai1ROilNT EFFECTIVE
DAB .. _� DE5tT10N QATE ` .. ;l43.. 1�ELD EARNED'. T YIELD
02/28/97 SALE g/
Treas
Note
6.000%
08/15/99
5.150
10,230
7
9,980.62
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
Treas
Note
6.000%
08/15/99
5.150
50,000
7
48,781.16
5.221
REDEMPTION g/
CD
Stand Chart
5.330%
02/28/97
5.320
100,000
28
413,780.99
5.393
REDEMPTION
CP
Assoc
02/28/97
5.240
50,000
1
7,277.78
5.313
CP
Assoc
02/28/97
5.240
50,000
1
7,277.78
5.313
CP
Assoc
02/28/97
5.240
50,000
1
7,277.78
5.313
CP
Assoc
02/28/97
5.240
50,000
1
7,277.78
5.313
BA
Tokyo-Mits
02/28/97
5.350
7,500
107
119,260.42
5.511
BN
B/A
5.670%
02/28/97
5.670
50,000
169
1,220,875.00
5.748
BN
B/A
5.670%
02/28/97
5.670
50,000
169
1,220,875.00
5.748
BN
B/A
5.510%
02/28/97
5.510
50,000
205
1,568,819.44
5.586
CD
Montreal
5.380%
02/28/97
5.380
50,000
57
425,916.67
5.454
CD
Montreal
5.380%
02/28/97
5.380
50,000
57
425,916.67
5.454
CD
Svenska
5.380%
02/28/97
5.380
100,000
57
851,833.33
5.454
CD
Barclays
5.360%
02/28/97
5.360
50,000
108
804,000.00
5.434
CD
Barclays
5.360%
02/28/97
5.360
50,000
108
804,000.00
5.434
CD
BN Paris
5.370%
02/28/97
5.360
50,000
108
804,024.00
5.434
CD
Mellon
5.438%
02/28/97
5.438
45,000
141
958,359.37
5.513
CD
CommerzBk
5.410%
02/28/97
5.390
50,000
141
1,055,622.64
5.464
CD
CommerzBk
5.410%
02/28/97
5.390
50,000
141
1,055,622.64
5.464
CD
RaboBank
5.390%
02/28/97
5.370
50,000
142
1,059,165.15
5.444
CD
RaboBank
5.390%
02/28/97
5.380
50,000
142
1,059,165.15
5.444
CD
Deutsche
5.460%
02/28/97
5.440
25,000
148
559,156.08
5.515
CD
Deutsche
5.460%
02/28/97
5.440
50,000
148
1,118,312.15
5.515
CD
Cr Agricole
5.450%
02/28/97
5.450
25,000
148
560,138.89
5.525
CD
Cr Agricole
5.450%
02/28/97
5.450
50,000
148
1,120,277.78
5.525
CD
BN Paris
5.480%
02/28/97
5.460
25,000
148
561,211.79
5.535
CD
BN Paris
5.480%
02/28/97
5.460
50,000
148
1,122,423.58
5.535
CD
Cr Swiss
5.470%
02/28/97
5.460
100,000
148
2,244,756.92
5.535
CD
CommerzBk
5.640%
02/28/97
5.620
25,000
161
628,402.04
5.698
CD
ABN Amro
5.650%
02/28/97
5.640
10,000
161
252,244.34
5.718
CD
ABN Amro
5.650%
02/28/97
5.640
50,000
161
1,261,221.68
5.718
CD
Bkrs Trst
5.620%
02/28/97
5.610
50,000
161
1,254,513.06
5.687
CD
West Deut
5.640%
02/28/97
5.640
50,000
161
1,261,166.67
5.718
CD
West Deut
5.640%
02/28/97
5.640
50,000
161
1,261,166.67
5.718
CD
Soc Gen
5.730%
02/28/97
5.730
50,000
170
1,352,916.67
5.809
CD
Soc Gen
5.730%
02/28/97
5.730
50,000
170
1,352,916.67
5.809
CD
Union
5.620%
02/28/97
5.620
50,000
206
1,607,944.44
5.698
CD
Union
5.620%
02/28/97
5.620
50,000
206
1,607,944.44
5.698
CP
Country
02/28/97
5.320
43,000
43
273,241.09
5.428
-16-
'; �-�.r _.M14 .Tt1f` 'TRANS - ;DIIY$ AIR�NT = EFEF�C?lVE
_ _... ._ _ .. ......: ...__ .
02/28/97 REDEMPTION
CP
J.C. Penney
02/28/97
5.420
19,138
78
224,743.91
5.560
CP
Bear
02/28/97
5.330
50,000
78
577,416.65
5.467
CP
Bear
02/28/97
5.330
50,000
78
577,416.65
5.467
CP
Salomon
02/28/97
5.520
25,000
79
302,833.33
5.665
CP
Salomon
02/28/97
5.520
50,000
79
605,666.67
5.665
CP
B/A
02/28/97
5.320
50,000
133
982,722.20
5-502
CP
B/A
02/28/97
5.320
50,000
133
982,722.20
5.502
CP
Assoc
02/28/97
5.300
10,000
144
212,000.00
5.489
CP
Assoc
02/28/97
5.300
50,000
144
1,060,000.00
5.489
CP
GMAC
02/28/97
5.310
50,000
144
1,062,000.00
5.500
CP
GMAC
02/28/97
5.310
50,000
144
1,062,000.00
5.500
CP
GMAC
02/28/97
5.420
50,000
149
1,121,638.89
5.621
CP
GMAC
02/28/97
5.420
50,000
149
1,121,638.89
5.621
CP
GMAC
02/28/97
5.420
50,000
149
1,121,638.89
5.621
CP
GMAC
02/28/97
5.420
50,000
149
1,121,638.89
5.621
CP
GMAC
02/28/97
5.420
50,000
149
1,121,638.89
5.621
CP
TransAm
02/28/97
5.530
35,000
161
865,598.61
5.748
CP
GECC
02/28/97
5.510
50,000
163
1,247,402.78
5.729
CP
GECC
02/28/97
5.510
50,000
163
1,247,402.78
5.729
CP
GECC
02/28/97
5.410
50,000
168
1,262,333.33
5.627
CP
GECC
02/28/97
5.410
50,000
168
1,262,333.33
5.627
CP
GECC
02/28/97
5.410
25,000
168
631,166.67
5.627
CP
Merrill
02/28/97
5.580
50,000
169
1,309,750.00
5.809
CP
Merrill
02/28/97
5.580
25,000
169
654,875.00
5.809
CP
SRAC
02/28/97
5.600
50,000
170
1,322,222.22
5.832
Disc Note
FNMA
02/28/97
5.260
25,000
206
752,472.22
5.498
Disc Note
FNMA
02/28/97
5.260
50,000
206
1,504,944.44
5.498
RRP
Treas
Note
5.250%
01 /31 /01
5.060
50,000
28
(189,398.61)
-5.130
Treas
Note
5.250%
01/31/01
5.060
50,000
28
(189,398.61)
-5.130
Treas
Note
5.750%
12/31/98
4.850
50,000
7
(47,506.42)
-4.917
Treas
Note
5.750%
12/31/98
4.850
50,000
7
(47,506.42)
-4.917
Treas
Note
5.750%
12/31/98
4.850
50,000
7
(47,506.42)
-4.917
Treas
Note
5.750%-
12/31/98
4.850
50,000
7
(47,506.42)
-4.917-
Treas
Note
5.750%
12/31/98
4.850
50,000
7
(47,506.42)
-4.917
Treas
Note
5.750%
12/31/98
4.850
50,000
7
(47,506.42)
-4.917
PURCHASE
Treas
Note
5.750%
10/31/00
6.259
50,000
Treas
Note
5.875%
02/15100
6.202
50,000
Treas
Note
5.875%
02/15/00
6.202
50,000
Treas
Note
5.875%
02/28/99
6.001
50,000
Treas
Note
5.875%
02/28/99
6.001
50,000
Treas
Note
5.875%
02/28/99
6.064
50,000
Treas
Note
5.875%
02/28/99
6.064
50,000
Treas
Note
6.750%
06/30/99
6.126
50,000
Treas
Note
6.750%
06/30/99
6.126
50,000
CP
Bear
03/03/97
5.450
50,000
—17—
a_/ The abbreviations indicate the type of security purchased or sold;
i.e., (U.S.) Bills, Bonds, Notes, Debentures, Discount Notes,
and Participation Certificates: Federal National Mortgage Association
(FNMA), Farmers Home Administration Notes (FSA), Student Loan
Marketing Association (SLMA), Small Business Association (SBA),
Negotiable Certificates of Deposit (CD), Negotiable Certificates of
Deposit Floating Rate (CD FR), Export Import Notes (EXMO,
Bankers Acceptances (BA), Commercial Paper (CP), Government
National Mortgage Association (GNMA), Federal Home Loan Bank.
Notes (F RX), Federal Land Bank Bonds (FLB), Federal Home Loan
Mortgage Corporation Obligation MMMC PC) & (FHLMC GMC),
Federal Farm Credit Bank Bonds (FFCB), Federal Farm Credit Discount
Notes (FFC), Corporate Securities (CB), U.S. Ship Financing Bonds
('TITLE 3WS), International Bank of Redevelopment (IBRD), Tennessee
Valley Authority (TVA) Medium Term Notes (MTN).
b/ Purchase or sale yield based on 360 day calculation for discount
obligations and Repurchase Agreements.
c/ Repurchase Agreement.
d! Par amount of securites purchased, sold, or redeemed.
_el Securities were purchased and sold as of the same date.
f/ Repurchase Agreement against Reverse Repurchase Agreement.
g/ Outright purchase against Reverse Repurchase Agreement.
h/ Security "SWAP" transactions.
i/ Buy back agreement.
RRS Reverse Repurchase Agreement.
RRP Termination of Reverse Repurchase Agreement.
18—
NAME
ALHAMBRA
East West Federal Bank
BEVERLY_HILLS
City National Bank
City National Bank
City National Bank
City National Bank
CHICO
North State National Bank
North State National Bank
FRESNO
United Security Bank
United Security Bank
INGLEWOOD
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
Imperial Bank
LA MIRADA
Southern California Bank
Southern California Bank
LOS ANGELES
South Bay Bank
Preferred Bank
Preferred Bank
Preferred Bank
Preferred Bank
Preferred Bank
Oak Valley Community Bank
PLACER
Sierra West Bank
TIME DEPOSIT
DEPOSIT DATE YIELD PAR AMOUNT ($) MATURITY DATE
01 /15/97 5.190 2,000,000.00 04/16/97
11 /05/96
5.320
10,000,000.00
05/06/97
01/28/97
5.350
10,000,000.00
07/29/97
02/19/97
5.200
20,000,000.00
08/19/97
02/21/97
5.390
20,000,000.00
12/18/97
01/07/97 5.190 2,000,000.00 04/08/97
02/25/97 5.270 500,000.00 08/26/97
12/03/96 5.140 1,300,000.00 03/04/97
12/27/96 5.100 1,500,000.00 03/27/97
12/10/96
5.070
10,000,000.00
03/11/97
12/11/96
5.070
15,000,000.00
03/12/97
12/18/96
4.970
11,000,000.00
03/19/97
12/31/96
5.150
11,000,000.00
04/02/97
01/15/97
5.210
15,000,000.00
04/16/97
01 /16/97
5.220
10,000,000.00
04/16/97
01 /28/97
5.220
5,000,000.00
04/29/97
02/04/97
5.200
10,000,000.00
05/06/97
02/06/97
5.200
20,000,000.00
05/08/97
02/13/97
5.180
20,000,000.00
05/14/97
01/03/97 5.260 5,000,000.00 04/03/97
01 /15/97 5.230 5,000,000.00 04/16/97
12/04/96
5.210
500,000.00
03/05/97
12/18/96
4.930
5,000,000.00
03/18/97
12/20/96
5.020
4,000,000.00
03/20/97
01 /14/97
5.170
3,000,000.00
04/15/97
02/20/97
5.120
4,000,000.00
05/21 /97
02/26/97
5.120
2,000,000.00
05/27/97
9/25/96 5.52
12/05/96 5.270
—19-
500,000.00 3/25/97
2,800,000.00 06/06/97
NAME
PETALUMA
Bank of Petaluma
REDDING
North Valley Bank
SACRAMENTO
Sanwa Bank of California
Union Bank of California
Sanwa Bank of California
Sanwa Bank of California
SAN FRANCISCO
Trans Pacific National Bank
Bank of Canton California
Bank of Canton California
Bank of Canton California
Bank of Canton California
Bank of Canton California
SAN LEANDRO
Bay Bank of Commerce
SAN LUIS OBISPO
First Bank of San Luis Obispo
First Bank of San Luis Obispo
First Bank of San Luis Obispo
First Bank of San Luis Obispo
First Bank of San Luis Obispo
SAN RAFAEL
West America Bank
West America Bank
SANTA ANA
Grand National Bank
Grand National Bank
Grand National Bank
VACAVILLE
Continental Pacific Bank
TIME DEPOSIT
DEPOSIT DATE YIELD PAR AMOUNT (S) MATURITY DATE
02/11 /97 5.290 1,000,000.00 08/12/97
09/23/96 5.500 3,000,000.00 03/25/97
01 /28/97
5.370
5,000,000.00
07/29/97
02/05/97
5.150
100,000,000.00
05/07/97
02/19/97
5.250
50,000,000.00
08/19/97
02/25/97
5.280
10,000,000.00
08/26/97
09/18/96
5.700
800,000.00
03/18/97
12/03/96
5.180
5,000,000.00
03/04/97
12/09/96
5.250
5,000,000.00
06/10/97
01/22/97
5.170
5,000,000.00
04/22/97
02/05/97
5.130
5,000,000.00
05/07/97
02/13/97
5.300
5,000,000.00
08/13/97
01/06/97 5.200 2,000,000.00 04/07/97
01/07/97
5.200
1,000,000.00
04/08/97
02/04/97
5.180
2,600,000.00
05/06/97
02/13/97
5.160
2,000,000.00
05/14/97
02/24/97
5.110
1,000,000.00
05/28/97
02/26/97
5.110
1,500,000.00
05/28/97
01/23/97 5.180 25,000,000.00 04/23/97
01/30/97 5.200 25,000,000.00 04/30/97
10/01 /96 5.300 95,000.00 04/01 /97
12/12/96 4.960 1,500,000.00 03/13/97
12/12/96 5.220 1,500,000.00 06/10/97
12/03/96 5.160
TOTAL TIME DEPOSITS AS OF FEBRUARY 28, 1997
1,000,000.00 03/04/97
$485,095,000.00
—20—
DEMAND BANK DEPOSITS
(000 omitted)
DAILY BALANCES
WARRANTS
FEBRUARY
PER BANKS
OUTSTANDING
1.
$428,316
$395649969
2.
4289,316
39564,969
3.
7679978
2,796,925
4.
3769644
2,521,930
5.
34%492
2,734,375
6.
3979349
5,736,245
7.
1749419
299009201
8.
1749419
2,900401
9.
174,419
29900401
10.
1629582
29,6299071
11.
1189,563
29469,917
12.
2089166
294699917
13.
3239080
29,3229031
14.
251,352
294789478
15.
251,352
294789478
16.
2519352
294859820
17.
2519352
294859820
18.
3179088
24959484
19.
560,574
29341,362
20.
5229705
292899823
21.
2539238
295049,347
22.
253,238
29504,347
23.
253438
2,504,347
24.
4359227
294089557
25.
509,715
1,0849521
26.
2739757
191289090
27.
3439094
192819028
28.
558,364
193709003
a/
AVERAGE DOLLAR DAYS $3349300
a/ The prescribed bank balance for February was $333,939,000.00. This
consisted of $139,308,000.00 in compensating balances for services,
$200,573,000.00 uncollected funds and a deduction of $5,942,000.00 for
October delayed deposit credit.
—21—
DESIGNATION BY POOLED MONEY INVESTMENT BOARD
OF TREASURY POOLED MONEY INVESTMENTS AND DEPOSITS
No. 1572
In accordance with sections 16480 through 16480.8 of the Government Code, the Pooled Money Investment Board, at its
meeting on February 19, 1997, has determined and designated the amount of money available for deposit and investment
under said sections. In accordance with sections 16480.1 and 16480.2 of the Government Code, it is the intent that the
money available for deposit or investment be deposited in bank accounts and savings and loan associations or invested in
securities in such a manner so as to realize the maximum return consistent with safe and prudent treasury management,
and the Board does hereby designate the amount of money available for deposit in bank accounts, savings and loan associ-
ations, and for investment in securities and the type of such deposits and investments as follows:
1. In accordance with law, for deposit in demand
bank accounts as Compensating Balance for Services $132,412,000
The active noninterest-bearing bank accounts designation constitutes a calendar -month average balance. For purposes
of computing the compensating balances, the Treasurer shall exclude from the daily balances any amounts contained therein
as a result of nondelivery of securities purchased for "cash" for the Pooled Money Investment Account and shall adjust for
any deposits not credited by the bank as of the date of deposit. The balances in such accounts may fall below the above
amount provided that the balances computed by dividing the sum of daily balances of that calendar month by the number
of days in the calendar month reasonably approximates that amount. The balances may exceed this amount during heavy
collection periods or in anticipation of large impending warrant presentations to the Treasury, but the balances are to be
maintained in such a manner as to realize the maximum return consistent with safe and prudent treasury management.
2. In accordance with law, for investment in securities authorized by section 16430, Government Code, or in term interest -
bearing deposits in banks and savings and loan associations as follows:
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8)
(9)
From
02/17/97
02/24/97
03/03/97
03/10/97
03/17/97
03/24/97
03/31 /97
04/07/97
04/14/97
To
02/21 /97
02/28/97
03/07/97
03/14/97
03/21 /97
03/28/97
04/04/97
04/11 /97
04/18/97
Transactions
145,100,000
(849,000,000)
(1,000,400,000)
(314,500,000)
687,300,000
13,200,000
(1,180,100,000)
(508,000,000)
2,323,800,000
Time Deposits in
various Financial
Institutions
In Securities
(sections 16503a
(section 16430)'
and 16602)'
$ 29,676,505,000
$
470,595,000
$ 28,827,505,000
$
470,595,000
$ 27,827,105,000
$
470,595,000
$ 27,512,605,000
$
470,595,000
$ 28,199,905,000
$
470,595,000
$ 28,213,105,000
$
470,595,000
$ 27,033,005,000
$
470,595,000
$ 26,525,005,000
$
470,595,000
$ 28,848,805,000
$
470,595,000
Estimated
Total
$ 30,147,100,000
$ 29,298,100,000
$ 28,297,700,000
$ 27,983,200,000
$ 28,670,500,000
$ 28,683,700,000
$ 27,503,600,000
$ 26,995,600,000
$ 29,319,400,000
From any of the amounts specifically designated above, not more than 30 percent in the aggregate may be invested in
prime commercial paper under section 16430(e), Government Code.
Additional amounts available in treasury trust account and in the Treasury from time to time, in excess of the
amounts and for the same types of investments as specifically designated above.
Provided, that the availability of the amounts shown under paragraph 2 is subject to reduction in the amount by
which the bank accounts under paragraph 1 would otherwise be reduced below the calendar month average balance
of $132,412,000.
POOLED MONEY INVESTMENT BOARD:
Chairpers n
Member
Dated: February 19, 1997
*Government Code Member
-22-