Title
Report: Investment Portfolio Reports for the quarters ended September 30, 2025 and December 31, 2025.
Body
Issue/Request:
Report
Key Issues:
This report provides updated information relating to the Investment Portfolio and notes all purchases and maturities over the previous two quarters.
As of December 31, 2025, the portfolio was approximately 66.4% US Treasuries and 7.1% Government Agencies, with the remainder in demand deposits and debt-related funds.
Demand deposits are collateralized to protect City funds.
A "Mark to Market" adjustment is required at each quarter end to recognize any change in the market value of the portfolio in the event that securities would need to be liquidated. Fair values are determined by our custodial bank.
Background:
Our primary investment objectives in order of priority are 1) safety, 2) liquidity and 3) yield.
Securities are laddered over a period not to exceed 5 years. When the yield spread between shorter maturities and longer maturities is minimal, staff does not extend to the longer-term maturities.
To protect City funds, the City's depository banking agreement requires the bank to provide collateral equal to the City's funds in excess of FDIC coverage.
Presenter
Susan Brockhaus, Cash Management Officer