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Treasurer's Annual Investment Report for the year ended June 30, 2022MEETING DATE: October 19, 2022 PREPARED BY: Teresa S. McBroome Director of Finance/City Treasurer DEPARTMENT: Finance SUBJECT: AGENDA REPORT DEPT. DIRECTOR: Teresa S. McBroome CITY MANAGER: Pamela Antil Treasurer's Annual Report for the Fiscal Year Ended June 30, 2022 and Investment Policy. RECOMMENDATION: That City Council take the following actions: 1. Receive and file the Treasurer's Report for the Fiscal Year Ended June 30, 2022; and 2. Adopt Resolution No. 2022-99 titled "A Resolution of the City Council of the City of Encinitas Approving the Statement of Investment Policy for the Fiscal Year 2022-23, and Delegating the Authority to Invest City Funds to the Treasurer" (Attachment 1). STRATEGIC PLAN: This agenda item falls within the Organizational Efficiency and Effectiveness focus area of the Strategic Plan by maintaining the City's financial health. FISCAL CONSIDERATIONS: There is no direct fiscal impact associated with this report. Investment earnings in the pooled investment fund for FY 2021-22 were $1,455,618, of which $571,009 were allocated to the General Fund. Investment earnings exceeded the budgeted amount of $1,129,127 by $325,831 or by $171,009, in the General Fund. BACKGROUND: The City's adopted Investment Policy (Section XVI) requires the City Treasurer to report investment positions and results of the Pooled Investment Fund and the Investment of Bond Proceeds to the City Council annually at a public meeting. Section XVII requires that the Investment Policy be reviewed and adopted at least annually, regardless of whether there are any proposed changes to the Policy. Staff is recommending minor and administrative changes to the policy this year. The following information is included in this agenda report and the related attachments: Detailed reports on the Pooled Investment Fund of the City for FY 2021-22 (Attachment 2) Summary report for the investment of bond proceeds (Attachment 3) Investment Policy Redlined (Attachment 4) Investment Policy (Attachment 1; Exhibit A) 2022-10-19 Item #08D Page 1 of 83 ANALYSIS: Pooled Investment Fund Report The Annual Investment Report for the Pooled Investment Fund (Attachment 2) is produced via the City's SymPro investment -tracking software and includes the following separate reports, which together are intended to address all significant aspects of the City's Investment Program. Portfolio Summary Portfolio Details Investments by Issuer Activity Report Interest Earnings Summary Interest Earnings Purchases Report Accrued Interest Realized Gain/Loss Unrealized Gain/Loss Cash and Investments by Fund As of June 30, 2022, the book value (purchase price of securities as recorded on the City's books) of the Pooled Investment Fund was $136.1 million and the average weighted yield to maturity was 1.30 percent. Fiscal year-to-date investment revenue generated by the Pooled Investment Fund as of June 30, 2022, was $1,455,618 for an effective rate of return of 1.28 percent. The current market value of the City's portfolio is $132,281,867 which results in an unrealized loss of $3,791,510 or 2.79 percent, when compared to the book value or purchase value of the City's portfolio of $136,073,377. This is due to the rising interest rate environment that the market is in. Since the City intends to hold all investments until maturity, the unrealized loss will not become a realized loss. The following table compares the Pooled Investment Fund statistics for the last four quarters. FY 2021-22 June 30, 2022 March 31, 2022 Dec. 31, 2021 Sep. 30, 2021 Book Value $ 136,073,377 $ 121,316,026 $ 113,540,519 $ 108,584,422 Market Value $ 132,281,867 $ 118,954,232 $ 113,821,823 $ 109,637,863 Unrealized Gain/(Loss) $ (3,791,510) $ (2,361,794) $ 281,304 $ 1,053,441 Unrealized Gain/Loss as %of Book Value -2.79% -1.95% 0.25% 0.97% Effective Rate of Return 1.28% 1.29% 1.33% 1.32% Average Yield To Maturity 1.30% 1.25% 1.23% 1.31% Average Maturity (Years) 1.37 1.76 1.71 1.90 Investment Earnings Year to Date $ 1,455,618 $ 1,056,642 $ 724,153 $ 388,307 As stated in Section IV of the City's investment policy, the investment objectives for the City's portfolio in priority order are: 1. safety of principal; 2. liquidity of funds; and 3. return on investments. In order to achieve those objectives, the investment policy also defines (a) maximum allocations of the portfolio by security type, (b) liquidity sufficiency and (c) return on investment benchmarks. The charts below provide graphical information about portfolio investment allocation, liquidity and performance compared to various benchmarks. Portfolio Allocation as of June 30, 2022 Cash Federal A Se aed Pool Accounts 2% Market Funds 3% Deposits - U.S. Tre S 2022-10-19 Item #08D Page 2 of 88 Credit Quality of Portfolio as of June 30, 2022 Federal Agency Coupon Securities. SDCO Investment Pool. AA+. 15% U.S Treasury Coupon Securities, CAMP and SDCO Investment Pool- AAA. 43% ■ Not rated ■ AAA AA+, AA-, A+ LAIF. Money Market Funds, Certificates of Deposit and Cash. Not Rated, 42% The U.S. Treasury Coupon Securities are issued by the U.S. Government and carry the full faith and credit of the U.S. Government and are considered to be the safest investments. The Federal Agency Coupon Securities are issued by the Federal National Mortgage Association, Federal Home Loan Bank and Federal Farm Credit. This diversity of issuers provides additional security. Although the Federal Agency securities are rated AA+, they continue to be regarded as among the safest securities in the global market. The remaining funds are in the California Local Agency Investment Fund (LAIF), California Asset Management Program (CAMP), the San Diego County Investment Pool, and Certificates of Deposit and Money Market Funds with US Bank as Trustee and a Union Bank Checking Account. LAIF is a program created by State statute that began in 1977 as an investment alternative for California's local governments and special districts. All securities in LAIF are purchased under the authority of Government Code Sections 16430 and 16480.4. All funds invested in LAIF are essentially available overnight and provide the City with liquidity for City operations. LAIF has not been assigned a rating by Moody's or Standard and Poor's. Portfolio Allocation Compared to Investment Policy Maximum Allocations Federal Agency Coupon Securities U.S. Treasury Coupon Securities Certificate of Deposits -Bank Money Market Funds Managed Pool Accounts Local Agency Investment Fund 0% 10% 20% 30% 40% 50% 60% 70% ■ Policy Maximum ■ As of June 30, 2022 The City's investment portfolio complied with the City's investment policy because it adhered to the required allocations by investment type. 2022-10-19 Item #08113 Page 3 of 83 Portfolio Liquidity as of June 30, 2022 40% 35 % 30% 25% 20% 15% 10•/ 5% IHI 0% Overnight 0-6 Months 7-12 Months 13-24 Months 25-36 Months 37-48 Months 49-60 Months Liquidity is important to the City, and it is critical that funds are available when needed in order to meet the City � day-to-day operations, large CIP program and debt service program. The portfolio is currently very liquid with 34.0 percent available overnight and an additional 10.8 percent of securities available within 180 days. Best management practices recommend that agencies have six months of cash needs of their portfolio liquid. The weighted average maturity of the entire portfolio is 1.37 years. The City utilizes a laddered maturity investment strategy in that as securities mature, new investments are directed to the 49-60-month segment to take advantage of higher rates further out on the yield curve. The Treasury Indexes began to slowly accelerate at the beginning of Fiscal Year 2021-22, then began to increase more steadily towards the end of the fiscal year. One of the primary ways for the Federal Reserve to adjust monetary policy is through changes to the federal funds rate. With rising inflation, the Federal Reserve has been more aggressive in policy rate increases. The City remains consistent with its use of this laddered maturities investment strategy while also considering the City § investments objectives. City Portfolio Yield Compared to Treasury Indexes 3.50% 3.00% 2.50% op do 2.00% 1.50% do 1.00% 0.50% 0.00% f- r� n 00 00 00 00 M M M M a -I ri rl 11� 1� 1- 1l t 1- 1- t O O O O N N N N -4 -4 -4 a 1 N N N N N N N N c a u c Q u c a b c a u c a u c City Portfolio — — — 2 Yr Treasury 1 Yr Treasury — — — 6 Mth Treasury In the chart above the performance of the portfolio is compared to the six-month, one-year and two-year treasury constant maturity rate as of the end of each quarter. The stated performance benchmark for the portfolio is the one-year treasury which averaged a 1.10 percent yield over the 2022-10-19 Item #08D Page 4 of 88 twelve months ended June 30, 2022, as compared to the City's average yield of 1.65 percent over the same twelve-month period. Investment of Bond Proceeds The Annual Investment Report for the Investment of Bond Proceeds (Attachment 3) is subject to minor changes in activity from year-to-year. Total bond proceeds held in trust accounts on June 30, 2022, were $655,263. Earnings on the bond trust accounts were $720 for the year. Bond proceeds held by trustee banks and investments are based upon the bond indenture agreement for each bond issue. Rates on available investment vehicles, which are extremely limited by the bond indentures, are yielding an effective rate of return ranging from 0.84 percent to 1.33 percent. As the City has paid off bond issues or refunded bonds in the past few years, the requirement for bond reserves for these bond issues has been eliminated, reducing the amount of bond proceeds held in trust. The majority of funds held on June 30, 2022, were for the 2007 Water Revenue Bonds reserve funds ($640,239). Investment Policy Update Section XVII of the investment policy requires at least an annual review of the investment policy regardless of whether there are any proposed changes to the policy. The last revisions to the investment policy were made in 2021. There were no approved changes to the local agency investment related codes during the 2021 California State Legislative Session. Therefore, the Local Agency Investment Guidelines provided by the California Debt and Advisory Commission reflect the most current investment statutes. Staff performed a review of the City's current investment policy, which follows these investment guidelines, and is recommending adoption of the City's investment policy for Fiscal Year 2022-23 with minor formatting and grammatical corrections. In Fiscal Year 2020-21, the City adopted Resolution 2021-67, whereby the City Council has directed the City Treasurer not to invest in certain companies as well as to petition the managers of the pooled funds the City is invested in to divest from fossil fuel companies. The City Treasurer has complied with this direction from the City Council. ENVIRONMENTAL CONSIDERATIONS: The action being considered by the City Council is exempt from the California Environmental Quality Act (CEQA) because it is not a "project" under Section 15378(b)(5) of CEQA Guidelines. The action involves an organizational or administrative activity of government that will not result in the direct or indirect physical change in the environment. ATTACHMENTS: 1. Resolution No. 2022-99 titled "A Resolution of the City Council of the City of Encinitas Approving the Statement of Investment Policy for the Fiscal Year 2022-23, and Delegating the Authority to Invest City Funds to the Treasurer 2. Annual Investment Report for the Pooled Investment Fund, June 30, 2022 3. Annual Investment Report for the Investment of Bond Proceeds, June 30, 2022 4. City of Encinitas Investment Policy (F019), amended October 19, 2022, Redlined 2022-10-19 Item #O8D Page 5 of 88 Attachment 1 RESOLUTION 2022-99 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ENCINITAS APPROVING THE STATEMENT OF INVESTMENT POLICY FOR THE FISCAL YEAR 2022-2023, AND DELEGATING THE AUTHORITY TO INVEST CITY FUNDS TO THE TREASURER WHEREAS, Section 53646 of the Government Code provides for the Treasurer of a local agency to present to the legislative body a statement of the agency's investment policy and any changes to the policy for consideration at a public meeting; and WHEREAS, the City Council of the City of Encinitas ("City") last considered and approved the City's Investment Policy ("Policy") on October 20, 2021; and WHEREAS, there were no approved changes to the local agency investment related government codes during the 2021 California Legislative session. Therefore, the Local Agency Investment Guidelines, which the City follows, have the most current investment statutes. WHEREAS it is good practice for the City Council to review the Statement of Investment Policy to ensure its consistency with the overall objectives of preservation of principal, liquidity and return, and its relevance to current laws and financial and economic trends; and WHEREAS, Section 53601 of the Government Code authorizes the City Council to invest City funds, and Section 53607 of the Government Code further authorizes the City Council to delegate said authority to the City Treasurer, and Encinitas Municipal Code Chapter 2.28 designates that the Director of Finance shall serve as the City Treasurer; and WHEREAS, the City Council desires to delegate its authority to invest City funds to the City Treasurer. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Encinitas: 1. That the above recitals are true and correct. 2. That the Investment Policy for Fiscal Year 2022-2023, as contained in Exhibit A to this resolution is hereby approved. 3. That the City Council of the City of Encinitas does hereby authorize the Treasurer to invest City funds. PASSED, APPROVED AND ADOPTED this 1911 day of October 2022 by the City Council of the City of Encinitas, State of California. Catherine S. Blakespear, Mayor 2022-10-19 Item #08D Page 6 of 83 ATTEST: Kathy Hollywood, City Clerk APPROVED AS TO FORM: Tarquin Preziosi, City Attorney CERTIFICATION: I, Kathy Hollywood, City Clerk of the City of Encinitas, California, do hereby certify under penalty of perjury that the foregoing Resolution was duly adopted at a regular meeting of the City Council on the 19th day of October 2022 by the following vote: AYES: NOES: ABSENT: ABSTAI N: Kathy Hollywood, City Clerk 2022-10-19 Item #08D Page 7 of 88 Exhibit A CITY OF ENCINITAS ADMINISTRATIVE MANUAL Policy Title: Investment Policy Section: Finance Responsible Department: Finance Number. Admin Policy F019 Approved By: City Council 1. Philosophy Date Approved. 1994 Last Amended: October 19, 2022 The Investment Policy of the Encinitas City Council for the City of Encinitas represents the financial guidelines for the City's Investment Program. It is the policy of the City of Encinitas to invest excess public funds in a prudent manner that safeguards the public trust, minimizes the risk of loss of capital, and provides assurance that all financial obligations will be met in the regular course of business. The City Council shall provide direction to the City Treasurer as to the goals and specific objectives of the Investment Program. IL Scope This Investment Policy applies to all financial assets under the oversight of the City of Encinitas, except bond proceeds held by outside trustees and funds held by other governmental agencies. The City of Encinitas includes the City and all component units: the Encinitas Housing Authority (EHA), the Encinitas Public Financing Authority (EPFA), and the San Dieguito Water District (SDWD). These funds are accounted for in the City of Encinitas' Annual Comprehensive Financial Report and include: GENERALFUND SPECIAL REVENUE FUNDS CAPITAL PROJECT FUNDS ENTERPRISE FUNDS INTERNAL SERVICE FUNDS This policy also applies to funds that the City manages for other governmental agencies. Currently, the City manages funds for the Encinitas Ranch Golf Authority (ERGA), a legally separate joint powers authority which is not a component unit of the City. The investment of Bond Proceeds held with trustees is directed by the City, but is governed by the restrictions on Permitted Investments in the applicable Bond Indenture agreements. A portion of City funds is held by other governmental agencies. These funds are invested under the guidelines of the investment policies of those agencies. The City retirement plan is with CALPERS, and the City has no authority or oversight over the investments in any of those plans. Further, the City administers several deferred compensation plans. 2022-10-19 Item #081) Page 8 of 88 Assets held in those plans are held in trust for the participants, and are not assets of the City. The City does not have any authority over the investments held in these trusts. 111. Prudence Investments shall be made with reasonable financial 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. The standard of prudence to be used by investment officials shall be the `prudent investor" standard. California Gov't Code 53600.3 states that, "When investing, reinvesting, purchasing, acquiring, exchanging, selling or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the Agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the Agency. The standard shall be applied in the context of managing an overall portfolio. Investment officials acting in accordance with established procedures and exercising due prudence shall be relieved of personal responsibility for an individual security's credit risk or market price changes. IV. Investment Objectives A. Safety of Principal - the first objective of this policy is to ensure the safety of principal. The portfolio shall be planned and managed to minimize the risk of actual loss of principal. Principal is defined as the original purchase price of the security, excluding any purchase of accrued interest, up to the par (face) value of the security. Any purchase amount above par value (premium) is considered to be a purchase of accrued interest, and is excluded from the calculation of principal amount. The City Treasurer shall consider both credit risk and concentration risk (the concept of diversification) when assessing safety, and shall follow the guidelines outlined later in this policy to achieve that objective. B. Li uidi - The second objective is the maintenance of sufficient liquidity to meet all operating and capital spending requirements that can be reasonably anticipated. C. Return on investments - The third objective is yield, specifically, attaining a market rate of return over time, consistent with Council direction as to acceptable levels of risk. Refer to Section XV below for further discussion of performance measurement. V. Delegation of Authority In accordance with the California Government Code, Section 53607, the City Council hereby delegates the authority to invest or reinvest the City's funds, to sell or exchange securities purchased, and to deposit securities for safekeeping to the City Treasurer. Encinitas Municipal Code Chapter 2.28 designates that the Director of Finance shall serve as City Treasurer. The City Treasurer has the option to delegate some, or all, of the duties described in this Policy to other qualified individuals within the organization. Investment Procedures The City Treasurer is responsible for establishing written investment procedures for the management and operation of the Investment Program, consistent with this Policy. Those procedures shall include reference to such items as. custody/safekeeping, repurchase agreements (if applicable), wire transfer agreements, banking service agreements, and explicit delegation of authority to personnel involved in the processing of banking or investment transactions. No person may engage in any investment transaction except as provided under the terms of this Policy and the established procedures. 2022-10-19 Item #081) Page 9 of 88 VI. Ethics, & Conflict of Interest The investment responsibility carries with it the responsibility of ensuring that investments placed are done so without improper influence or the appearance of improper influence. All officers and employees (officials) involved in the investment function shall adhere to the State's Code of Economic Interest and to the following. - Officials shall refrain from personal business activity that could conflict with proper and impartial execution of the Investment Program, or that could impair their ability to make impartial investment decisions. Further, officials 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. Any such relationships shall be disclosed annually to the City Clerk in conjunction with annual disclosure statements of economic interest. VII. Authorized Financial Dealers and Institutions The City Treasurer shall maintain a list of qualified financial institutions authorized to provide financial or investment services to the City. The City shall contract with one institution to provide general banking services, which shall be reviewed at least every five years. City Council shall approve the selected institution and the contract for banking services. The City shall contract with one institution to provide investment custody services, which shall be reviewed at least every five (5) years. City Council shall approve the selected institution and the contract for custody services. The City Treasurer shall maintain a list of qualified security broker -dealers authorized to provide financial or investment services to the City. To be eligible for consideration to become an authorized provider, each Broker/Firm shall meet the following MINIMUM requirements: (1) have a net capital position in excess of $10 million, (2) have been in business for at least five years, (3) are currently licensed as a broker -dealer or investment adviser in California, and (4) Must carry adequate insurance coverage including liability, errors and omissions, and workers compensation (if applicable.) Firms providing only representation of money market funds are exempt for requirement #1, but must still comply with all other requirements, including those listed below. The City Council shall approve the initial authorization of any broker -dealer. Authorized firms shall be notified by the City Treasurer via an engagement letter, which outlines each parties'responsibilities (primarily the continuing compliance requirements discussed directly below). There is no contract for professional services or term to the engagement. The City Treasurer shall periodically evaluate the performance of all qualified broker -dealers, and determine if any changes need to be made. All broker -dealers authorized to do business with the City of Encinitas must also comply with the following requirements. (1) Firms must submit audited financial statements annually, within six months of their fiscal year-end, (2) Firms must provide proof of their Financial Industry Regulatory Authority (FINRA) certification, and must disclose to the City immediately any regulatory actions or complaints against the broker assigned to the City account, 2022-10-19 Item #08D Page 10 of 88 (3) Firms must provide proof of their registration/license to do business in the State of California, and shall immediately disclose to the City any change in that status. (4) Firms must certify in writing that they have received, read, and agree to comply with the City of Encinitas' most recently adopted Investment Policy. Vlll. Authorized & Suitable Investment Instruments As a unit of local government in the State of California, the City of Encinitas is restricting itself to the investments authorized by Government Code, Sections 16429.1, 27133 and Sections 53600 through 53635 (the Gov't "Code') except as otherwise provided herein by specific additional Council actions. SPECIFIC INVESTMENT TYPES AND AMOUNTS - The City Treasurer is authorized to invest in only the following types of investments listed below in Section Vlll. INVESTMENT ALLOCATIONS - The State Law Maximum allocations listed below refer to the percentage of the total portfolio or dollar amount that may be invested in each instrument under the provisions of the Gov't Code. The Investment Policy Maximum allocations refer to maximum allocations the City Treasurer follows, in order to effect proper diversification of the portfolio and limit concentration risk. The City Treasurer is permitted to exceed these maximum allocations for temporary periods. Any asset allocation that exceeds the Investment Policy Maximum allocation for a period of more than three months shall be reported to the City Manager. For purposes of calculating the percentage allocations, the assumption will be applied that the size of the portfolio for any fiscal year shall be determined by the total par value of the portfolio at the beginning of the first day of the fiscal year. Any investment types that exceed the maximum allowable under the Gov't Code shall be reported to the City Council in the quarterly investment report. (1) (2) INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM Repurchase agreements NO LIMIT 20% This type of investment is only authorized in relation to the City's general banking arrangements, in which excess cash balances are "swept' into an interest earning account overnight. Maximum maturity is one year. All balances are required to be properly collateralized at 102% of par value in accordance with State requirements. CA Local Agency Inv Fund (LAIF) STATE LAW MAXIMUM 30% The "STATE LAW MAXIMUM" refers to the LAIF limit on maximum deposits per local agency, not to the CA gov't code restrictions. The City of Encinitas maintains two accounts with the LAIF, one in the name of the City and the other in the name of the San Dieguito Water District. Each account has a deposit limit of the maximum 2022-10-19 Item #0813 Page 11 of 83 (3) (4) (5) INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM amount allowed by CA state law. Since San Dieguito Water District is a component unit of the City, the City may legally utilize the SDWD account in the operation of the City Pool. Thus, SDWD owns its ratable share of all City Pooled investments, but does not have a direct ownership interest in the LAIF account in its name. Other Gov't Managed Pools NO LIMIT 30% Per Issuer 10% per Pool Investments in individual pools shall be limited to 10% of the total portfolio. Currently approved pools are the San Diego County Investment Pool and the California Asset Management Program (CAMP). The City Council must approve the addition of any other governmental pools. Mutual Funds and Money Market Mutual Funds (Total) 20% 20% Per Issuer 10% 10% (A) Money Market Mutual Funds N/A Per Issuer N/A 20% 10% Qualifying funds must meet one of the following criteria: (1) Attained the highest ranking or the highest letter and numerical rating provided by not less than two nationally recognized statistical rating organizations, OR (2) Retained an Investment Advisor registered or exempt from registration with the SEC with not less than five years' experience managing money market mutual funds with assets under management in excess of $500 million. (8) Mutual Funds WA 10% Per Issuer WA 5% A mutual fund must receive the highest ranking by not less than two nationally recognized rating agencies or the fund must retain an investment advisor who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least five years experience investing in instruments authorized by California Government Code sections 53601 and 53635. Certificates of Deposit (CD's) NO LIMIT 30% Per Issuer NO LIMIT 5% All CD's must be either insured by the FDIC or properly collateralized, pursuant to Section X below. Maturity shall not exceed five years. No more than 5% of the total account value per issuer. To be eligible to receive deposits from the City of Encinitas, each qualified financial institution must have received an overall rating of not less than "satisfactory" in its most recent evaluation by regulators of its record of meeting the credit needs of its community. 2022-10-19 Item #081) Page 12 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM (6) Negotiable Certificates of Deposit 30% 30% Per Issuer 5% All Negotiable CD's must be issued by a provider rated either: (1) Aaa by Moody's, (2) AAA by Standard & Poors, or (3) Aa1 by Moody's and AA+ by Standard & Poor's. Investments of $250,000 or less that are fully insured by the FDIC are exempt from the above credit rating requirements. Maturity shall not exceed five years. No more than 5% of the total account value per issuer. (7) Bankers Acceptances 40% 10% Per Issuer 30% 5% Bankers Acceptances (BA's) represent a time draft drawn on and accepted by a Bank for payment of the shipment or storage of merchandise. They are generally considered a very safe investment since both the credit of the issuer and the Bank is pledged for repayment. They must not exceed 180 days maturity. BA's must have an underlying credit rating ofA1/P1, and are limited to 5% of the total account value per issuer. (6) U.S. Treasury Bills, Notes and Bonds NO LIMIT 50% (9) U.S. Government -Sponsored Agencies NO LIMIT 60% Per Issuer 25% City shall invest primarily in securities issued by Federal Home Loan Bank (FHLB), Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corporation (FHLMC), and Federal Farm Credit Bureau (FFCB). City may invest in Private Equity Funding Corporation (PEFCO) and Tennessee Valley Authority (TVA); however, the overall limit of 60% still applies. City may also invest in the Government National Mortgage Association, but only via authorized Mutual Funds cited in Category 5 above, and subject to those limitations. (10) Commercial Paper 40% Per Issuer 10% 25% 5% Commercial Paper (CP) is a short-term I.O. U. issued by large corporations of high credit standing which is unsecured. Investments are limited to only `prime quality" CP issued with the highest letter and number rating provided by one of the two nationally recognized rating agencies. City limits itself only to CP rated A-1 or better by Standard & Poors and P-1 by Moodys. Issuing corporations must be organized and operating within the United States, have assets in excess of $500 million, and debt other than commercial paper must be in a rating category of "A" or its equivalent or higher by a nationally recognized statistical rating organization or the issuing corporation must be organized within the U.S. as a special purpose corporation, trust, or LLC, have program wide credit enhancements, and have commercial paper that is rated A-1 " or higher or the equivalent, by a nationally recognized statistical rating agency. City may not purchase more than 5% of outstanding commercial paper of any single corporate issuer. The maximum allowable maturity is 270 days or less. 2022-10-19 Item #08D Page 13 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM Per California Code Section 53601(h) beginning January 1, 2021, until January 1, 2026, portfolio limitation maximums are 40% and revert back to 25% after January 1, 2026. The 10% single issue limitation for commercial paper and medium -term notes will remain in effect. (11) Commercial Medium -Term Notes 30% 15% Per Issuer 10% 5% Medium -Term Notes are defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating in the United States or by depository institutions licensed by the United States. State Code requires a credit rating of A" or better by one nationally recognized rating agency. The City is further limiting itself to notes that are rated Aa3 or better (Moody's) and AA- or better (S & P). (12) Guaranteed Investment Contracts None 10% Per Issuer 5% Guaranteed Investment Contracts (GIC's) are corporate obligations similar to medium -term notes, but are issued directly to the Agency by the issuer in the form of an investment contract. They are generally longer term in nature. They are generally utilized for the investment of bond proceeds, but may be utilized for the investment of Pooled funds. Uncollateralized GIC's are permitted only with issuers rated Aaa (Moody's) and/or AAA (Standard & Poors) Collateralized GIC's are permitted with issuers rated Aa2 or better (Moody's) and AA or better (Standard & Poors). No more than $5 million per issuer. (13) Demand Deposits (non -interest bearing) None 0-2% Per Issuer 0-2% Non -interest bearing demand deposits with a financial institution approved to do business with the City shall be an allowable investment for the City Pool. These types of accounts are necessary to carry on the regular day-to-day financial operations of the City, must be collateralized, and are reported as "cash" on the monthly investment reports. When available, the City Treasurer shall execute a "sweep arrangement" with the designated financial institution, to provide for excess overnight balances to earn interest. (14) Demand Deposits (interest bearing) None 20% Per Issuer 10% Interest -bearing demand deposits with a financial institution approved to do business with the City shall be an allowable investment for the City Pool. These types of accounts generally serve as an alternative to bank certificates of deposit, and have a stated minimum balance requirement. These types of accounts require a separate 2022-10-19 Item #081) Page 14 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM agreement with the financial institution and must be fully collateralized as Public Deposits under California law. In addition, some part of the deposit (currently $250,000) may be insured by the Federal Deposit Insurance Corporation (FDIC) in lieu of collateralization. (15) Asset -Backed Securities 20% 10% Per Issuer 5% These securities consist of Traditional Asset -Backed, Mortgage -Backed, Mortgage Pass -Through Securities, and Collateralized Mortgage Obligations. They are permitted given that the securities are rated in a rating category of AA" or its equivalent or better by a NRSRO and have a maximum remaining maturity of five years or less. No more than 10% of the total portfolio may be invested in these securities. No more than 5% of the portfolio may be invested in any single Asset - Backed or Commercial Mortgage security issuer. There is no issuer limitation on any mortgage security where the issuer is the U.S. Treasury or a Federal Agency/GSE. (16) Supranationals 30% 20% Per lssuer 15% Supranational issues are U. S. dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter - American Development Bank. They are permitted if rated in a rating category of AA" or its equivalent or better by a NRSRO. No more than 20% of the total portfolio may be invested in these securities. No more than 15% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five years. 2022-10-19 Item #081) Page 15 of 88 SUMMARY TABLE of INVESTMENT ALLOCATIONS STATE LAW INV POLICY (1) REPURCHASE AGREEMENTS NO LIMIT 20% (2) CALIFORNIA LAIF NO LIMIT 30% (3) OTHER GOV'T POOLS NO LIMIT 30% Per Issuer 10% (4) MUTUAL FUNDS TOTAL 20% 20% Per Issuer 10% 10% (4-A) Money Market Mutual Funds N/A 20% Per Issuer N/A 10% (4-B) Mutual Funds N/A 10% Per Issuer N/A 5% (5) CD's NO LIMIT 30% Per Issuer 5% (6) NEGOTIABLE CD's 30% 30 Per Issuer 5% (7) BANKERS ACCEPTANCES 40% 10% Per Issuer 30% 5% (6) U.S. TREASURYS NO LIMIT 50% (9) U.S. FEDERAL AGENCIES NO LIMIT 60% Per Issuer 25% (10) COMMERCIAL PAPER 40% 25 Per Issuer 10% 5% (11) COMMERCIAL MTN NOTES 30% 15% Per Issuer 10% 5% (12) GIC's NO LIMIT 10% Per Issuer 5% (13) Demand Deposits (non -interest bearing) NO LIMIT 0-2% Per Issuer 0-2% (14) Demand Deposits (interest bearing) NO LIMIT 20% Per Issuer 10% (15) Asset -Backed Securities 20% 10 Per Issuer 5% (16) Supranationals 30% 20% Per Issuer 15% The State of California Government Code restricts local agencies from investing in securities with final maturity dates greater than five (5) years, except as specifically authorized by the City Council. This Policy authorizes two specific exceptions to the above restriction. (1) The City may invest in up to $5 million (par value) of securities (at date of purchase) rated AAA or equivalent by either S&P or Moody's with maturities of greater than five (5) years, but not exceeding seven (7) years. (2) The City's General Contingency Reserve is not a part of normal operating reserves, and the related funds are not expected to be utilized in the foreseeable future, thus, 2022-10-19 Item #08D Page 16 of 88 the likelihood of liquidation is very small. The objective(s) of investment in this area are to maximize earnings with safety, while recognizing that liquidity is less of an issue than with operating or capital funds. Consistent with these objectives, the City Treasurer is authorized to invest contingency funds in securities rated AAA or equivalent with maturities greater than seven (7) years that have a ready market should the need arise to liquidate the investment. The City Council has directed the City Treasurer not to invest in securities of companies involved in the production of tobacco, alcohol related products, or fossil fuel companies. Furthermore, Encinitas' City Council directs the City Treasurer to annually, if not more often, petition the managers of the pooled funds the City is invested in to divest from fossil fuel companies. The City recognizes that, due to the extreme complexity of today's corporate structures, it is possible that investments may be placed in good faith in corporations that have an interest in tobacco, alcohol related products or fossil fuel companies that is not widely known or properly disclosed by those corporations. The City Treasurer shall make his/her best efforts, including notice to broker/dealers, to assure that any corporate investments are placed with companies who are not in the tobacco, alcohol, or fossil fuel business. This policy applies at the time of purchase only. Certain investments are specifically prohibited by the State Code. Local Agencies may not invest in the following. Inverse floating-rate notes, range notes, or mortgage -derived interest -only strips. The Code also states that 'A local Agency shall not invest in any security that could result in zero interest accrual if held to maturity." The City's interpretation of this Code section is that it does not prohibit investment in U.S. Treasury or Federal Agency securities which carry a variable rate of interest; because the chance that such notes could result in zero interest accrual to maturity is remote. California SB 998 added Government Code Section 53601.6(b)2), which allows a local agency to invest in securities issued by, or backed by, the United States government that could result in zero - or negative -interest accrual if held to maturity, in the event of, and for the duration of a period of negative market interest rates. This is applicable from January 1, 2021 until January 1, 2026. IX. Due Diligence Requirements for Investment Pools, Mutual Funds, and CD's Investments of these types are authorized in Section V111. above. Before investing any funds in pools or mutual funds, the City Treasurer shall perform a thorough investigation of the fund(s) to determine the suitability of the investment for the City of Encinitas Pooled Investment Fund. This investigation shall include, at a minimum: review of the Funds investment policy and/or prospectus, a review of the performance history of the Fund, review of ratings (where applicable), review of the latest published portfolio composition, review of fees and charges, and references from other agencies who invest in the Fund. The City Treasurer shall monitor placement of Certificates of Deposit with financial institutions on a regular basis. Compliance with collateral requirements shall be monitored (if applicable). X. Collateralization of Public Deposits Collateralization will be required on two types of investments: demand and timed deposits (which are not fully insured by FDIC) and repurchase agreements. The City Treasurer has agreed to waive collateral requirements on the first $250, 000 of CD's from each institution, which are insured by FDIC. In order to anticipate market changes and provide a level of security for all invested funds, the required collateralization levels will be.- (1) Overnight repurchases 102% of market value (2) Timed Deposits in accordance with CA law regarding Public Deposits 2022-10-19 Item #0813 Page 17 of 88 (3) Demand Deposits in accordance with CA law regarding Public Deposits Collateral must be held by an independent third party with whom the entity has a current custodial agreement. Collateral for overnight repurchases (sweep agreements) may be held by the Trust Department of the institution providing such sweep services. Sweep contracts shall provide for a perfected security interest for the City in collateralized securities. Collateral shall be provided by the issuing institution in accordance and compliance with the California Gov't Code Sections 53630 et al. Issuing institution is responsible for compliance with all collateral requirements, and must provide the City periodic evidence of that compliance, in a form acceptable to the City. XI. Safekeeping and Custody All security transactions entered into by the City shall be conducted on a delivery -versus -payment (DVP) basis. Securities shall be held by an independent third -party custodian approved by the City Council. All broker -dealers shall send a transaction confirmation to the City Treasurer, and all security transactions confirmations shall be treated as a "Vital Record" by City personnel and kept safe per the requirements of City policy on Vital Records. Broker -dealers shall also send a monthly activity statement to the City showing all transactions entered into in the period. No City securities or cash will be held by any broker -dealer. The custodian sends a monthly statement to the City Treasurer covering all investment activity handled by that institution. XII. Diversification The City will diversify its investments by security type and institution, to avoid incurring unreasonable risks inherent in over -investing in specific instruments or individual financial institutions. This Policy sets limits on maximum allocations by investment type and by issuer. Refer to Section VIII. above for a listing of authorized investments and the maximum allocation by type of investment. Section Vlll. also details specific limitations per issuer. For purposes of this Policy, those limits each apply to the overall portfolio. XIII. Maximum Maturities To the extent possible, the City of Encinitas will attempt to match its investments with anticipated cash flow requirements, after taking into consideration interest rate (market) risk and the potential benefits of extending investment maturities. The City conforms to the California Gov't Code requirements limiting investments in notes to five (5) years, subject to the exceptions cited in Section VIII. This relates principally to funds classified as reserves, which may be invested in specified instruments with maturities greater than five (5) years. XIV. Intemal Control The City Treasurer shall establish a system of internal controls over all cash management and investment transactions, designed to provide reasonable assurance that assets are safeguarded and that all transactions are properly and timely recorded. The City's independent auditor shall annually review the system of internal controls and report any deficiencies and/or suggestions for improvements to the Director of Finance/City Treasurer. Any confirmed significant deficiencies shall be reported to the City Manager and City Council in writing, along with the City's response to the audit findings. 2022-10-19 Item #0813 Page 18 of 88 XV. Performance Standards: The City has determined that periodic quantitative measurement of investment portfolio performance is an important component of the overall monitoring of the investment program. As stated in Section IV(C) above, the performance objective of the Program is attaining a market rate of return over time consistent with the overall risk tolerance of the organization. The City Treasurer is charged with determining an appropriate benchmark by which to measure periodic performance. The chosen benchmark shall be designed to match as closely as practicable the City's tolerance for investment risk. Utilization of the benchmark and analysis of actual performance vs. the benchmark represent an important risk management tool, and analysis of significant variations shall be reported to the City Council in a timely manner. At the same time, it is recognized that the benchmark represents a guideline only, and that performance may vary, especially over relatively short time periods. A timeframe of 2-3 years is considered to be the minimum time period necessary for judging overall performance, due to changing market conditions, cash flow requirements and the fact that no chosen performance benchmark will exactly mirror the City's portfolio. Attaining a market rate of return over time shall be measured and reported to the City Council, at least quarterly, via the utilization of the following benchmark to measure performance. The one u year constant matu►ity Treasury index Any change to the above performance benchmark shall be reported to the City Council during the City Treasurer's quarterly investment report. The City Treasurer shall report performance on a quarterly basis based on the book yield (standard income) approach. Book yield calculates the earnings on an investment based on actual interest earned during any reporting period, including the accretion of purchase discounts and/or the amortization of purchase premiums. The City Treasurer shall also report the estimated market value of investments held (as provided by a third -party data provider) with each periodic report. The City no longer reports investment income on a total return basis each fiscal year (the alternative method presented in Gov't Actg. Standards Board (GASB) Statement No. 31) as the results over time are roughly comparable. "I. Investment Accounting and Reporting The City Treasurer shall prepare (or have prepared) monthly investment reports sufficient to properly track and record all investment transactions and activity. The City Treasurer shall report investment positions and results of the Pooled Investment Fund to the City Council at least quarterly, in a form acceptable to the City Council. These reports shall either be presented as an Agenda Report or as a memo report to the City Council members, at the discretion of the City Manager. The City Treasurer shall report positions and results of the Pooled Investment Fund and the Investment of Bond Proceeds annually to the City Council at a Public Meeting. Detailed annual reports of the Pooled Investment Fund shall be made available on the City's website for public review. The City shall publicly report on the results of the annual petitions to the managers of the pooled funds the City is invested in to define and divest from fossil fuel companies. "11. Investment Policy Adoption: The Investment Policy shall be reviewed and adopted by the City Council at a Public Meeting at least annually, regardless of whether there are any proposed changes to the Policy. The Policy shall be posted for public review on the City's website (www.encinitasca.gov) under Departments/Finance. 2022-10-19 Item #081) Page 19 of 88 Any typographical errors of other minor errors or inconsistencies shall be investigated and interpreted by the City Treasurer, who shall then seek the concurrence of the City Manager before making any changes to policies or procedures. "//I. Glossary of Investment Terms AGENCIES. Shorthand market terminology for any obligation issued by a government -sponsored entity (GSE), or a federally related institution. Most obligations of GSEs are not guaranteed by the full faith and credit of the US government. Examples are. FFCB. The Federal Farm Credit Bank System provides credit and liquidity in the agricultural industry. FFCB issues discount notes and bonds. FHLB. The Federal Home Loan Bank provides credit and liquidity in the housing market. FHLB issues discount notes and bonds. FHLMC. Like FHLB, the Federal Home Loan Mortgage Corporation provides credit and liquidity in the housing market. FHLMC, also called "FreddieMac" issues discount notes, bonds and mortgage pass -through securities. FNMA. Like FHLB and FreddieMac, the Federal National Mortgage Association was established to provide credit and liquidity in the housing market. FNMA, also known as "FannieMae," issues discount notes, bonds and mortgage pass -through securities. GNMA. The Government National Mortgage Association, known as "GinnieMae,"issues mortgage pass -through securities, which are guaranteed by the full faith and credit of the US Government. PEFCO. The Private Export Funding Corporation assists exporters. Obligations of PEFCO are not guaranteed by the full faith and credit of the US government. TVA. The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds. ASKED. The price at which a seller offers to sell a security. ASSET BACKED SECURITIES. Securities supported by pools of installment loans or leases or by pools of revolving lines of credit. AVERAGE LIFE. In mortgage -related investments, including CMOs, the average time to expected receipt of principal payments, weighted by the amount of principal expected. BANKER'S ACCEPTANCE. A money market instrument Created to facilitate international trade transactions. It is highly liquid and safe because the risk of the trade transaction is transferred to the bank which "accepts" the obligation to pay the investor. BENCHMARK. A comparison security or portfolio. A performance benchmark is a partial market index, which reflects the mix of securities allowed under a specific investment policy. BID. The price at which a buyer offers to buy a security. BROKER. A broker brings buyers and sellers together for a transaction for which the broker receives a commission. A broker does not sell securities from his own position. CALLABLE. A callable security gives the issuer the option to call it from the investor prior to its maturity. The main cause of a call is a decline in interest rates. If interest rates decline since an issuer issues securities, it will likely call its current securities and reissue them at a lower rate of interest. Callable securities have reinvestment risk as the investor may receive its principal back when interest rates are lower than when the investment was initially made. CERTIFICATE of DEPOSIT (CD). A time deposit with a specific maturity evidenced by a certificate. Large denomination CDs may be marketable. CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SYSTEM (CDARS). A private placement service that allows local agencies to purchase more than $250,000 in CDs from a single financial institution (must be a participating institution of CDARS) while still maintaining FDIC insurance coverage. CDARS is currently the only entity providing this service. CDARS facilitates the trading of deposits between 2022-10-19 Item #081) Page 20 of 88 the California institution and other participating institutions in amounts that are less than $250, 000 each, so that FDIC coverage is maintained. COLLATERAL. Securities or cash pledged by a borrower to secure repayment of a loan or repurchase agreement. Also, securities pledged by a financial institution to secure deposits of public monies. COLLATERALIZED MORTGAGE OBLIGATIONS (CMO). Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities. COMMERCIAL PAPER. The short-term unsecured debt of corporations. COST YIELD. The annual income from an investment divided by the purchase cost. Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return. COUPON. The rate of return at which interest is paid on a bond. CREDIT RISK. The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer. CURRENT YIELD. The annual income from an investment divided by the current market value. Since the mathematical calculation relies on the current market value rather than the investor's cost, current yield is unrelated to the actual return the investor will earn if the security is held to maturity. DEALER. A dealer acts as a principal in security transactions, selling securities from and buying securities for his own position. DEBENTURE. A bond secured only by the general credit of the issuer. DELIVERY VS. PAYMENT (DVP). A securities industry procedure whereby payment for a security must be made at the time the security is delivered to the purchaser's agent. DERIVATIVE. Any security that has principal and/or interest payments which are subject to uncertainty (but not for reasons of default or credit risk) as to timing and/or amount, or any security which represents a component of another security which has been separated from other components ("Stripped" coupons and principal). A derivative is also defined as a financial instrument the value of which is totally or partially derived from the value of another instrument, interest rate, or index. DISCOUNT. The difference between the par value of a bond and the cost of the bond, when the cost is below par. Some short-term securities, such as T-bills and banker's acceptances, are known as discount securities. They sell at a discount from par, and return the par value to the investor at maturity without additional interest. Other securities, which have fixed coupons, trade at a discount when the coupon rate is lower than the current market rate for securities of that maturity and/or quality. DIVERSIFICATION. Dividing investment funds among a variety of investments to avoid excessive exposure to any one source of risk. DURATION. The weighted average time to maturity of a bond where the weights are the present values of the future cash flows. Duration measures the price sensitivity of a bond to changes in interest rates. (See modified duration). FEDERAL FUNDS RATE. The rate of interest charged by banks for short-term loans to other banks. The Federal Reserve Bank through open -market operations establishes it. FEDERAL OPEN MARKET COMMITTEE. A committee of the Federal Reserve Board that establishes monetary policy and executes it through temporary and permanent changes to the supply of bank reserves. LEVERAGE. Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing. LIQUIDITY. The speed and ease with which an asset can be converted to cash. LOCAL AGENCY INVESTMENT FUND (LAIF). A voluntary investment fund open to government entities and certain non-profit organizations in California that is managed by the State Treasurer's Office. LOCAL GOVERNMENT INVESTMENT POOL. Investment pools that range from the State Treasurer's Office Local Agency Investment Fund (LAIF) to county pools, to Joint Powers Authorities (JPAs). These funds are not subject to the same SEC rules applicable to money market mutual funds. MAKE WHOLE CALL. A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole." 2022-10-19 Item #081) Page 21 of 88 MARGIN. The difference between the market value of a security and the loan a broker makes using that security as collateral. MARKET RISK. The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates. MARKET VALUE. The price at which a security can be traded. MARKING TO MARKET. The process of posting current market values for securities in a portfolio. MATURITY. The final date upon which the principal of a security becomes due and payable. MEDIUM TERM NOTES. Unsecured, investment -grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences. MODIFIED DURATION. The percent change in price for a 100 basis point change in yields. Modified duration is the best single measure of a portfolio's or security's exposure to market risk. MONEY MARKET. The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker's acceptances) are issued and traded. MORTGAGE Pass -THROUGH SECURITIES. A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security. MUNICIPAL SECURITIES. Securities issued by state and local agencies to finance capital and operating expenses. MUTUAL FUND. An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund's prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund's prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio. NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO). A credit rating agency that the Securities and Exchange Commission in the United States uses for regulatory purposes. Credit rating agencies provide assessments of an investment's risk. The issuers of investments, especially debt securities, pay credit rating agencies to provide them with ratings. The three most prominent NRSROs are Fitch, S&P, and Moody's. NEGOTIABLE CD. A short-term debt instrument that pays interest and is issued by a bank, savings or federal association, state or federal credit union, or state -licensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor). PREMIUM. The difference between the par value of a bond and the cost of the bond, when the cost is above par. PREPAYMENT SPEED. A measure of how quickly principal is repaid to investors in mortgage securities. PREPAYMENT WINDOW. The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed. PRIMARY DEALER. A financial institution (1) that is a trading counterparty with the Federal Reserve in its execution of market operations to carry out U.S. monetary policy, and (2) that participates for statistical reporting purposes in compiling data on activity in the U. S. Government securities market. PRUDENT PERSON (PRUDENT INVESTOR) RULE. A standard of responsibility which applies to fiduciaries. In California, the rule is stated as "Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes." REALIZED YIELD. The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio. REGIONAL DEALER. A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer. 2022-10-19 Item #0813 Page 22 of 83 REPURCHASE AGREEMENT. Short-term purchases of securities with a simultaneous agreement to sell the securities back at a higher price. From the seller's point of view, the same transaction is a reverse repurchase agreement. SAFEKEEPING. A service to bank customers whereby securities are held by the bank in the customer's name. STRUCTURED NOTE. A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters," which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements. SUPRANATIONAL. A Supranational is a multi -national organization whereby member states transcend national boundaries or interests to share in the decision making to promote economic development in the member countries. TOTAL RATE OF RETURN. A measure of a portfolio's performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value, it includes interest earnings, realized and unrealized gains, and losses in the portfolio. U.S. TREASURY OBLIGATIONS. Securities issued by the U.S. Treasury and backed by the full faith and credit of the United States. Treasuries are considered to have no credit risk, and are the benchmark for interest rates on all other securities in the US and overseas. The Treasury issues both discounted securities and fixed coupon notes and bonds. TREASURY BILLS. All securities issued with initial maturities of one year or less are issued as discounted instruments, and are called Treasury bills. The Treasury currently issues three- and six-month T- bills at regular weekly auctions. It also issues "cash management" bills as needed to smooth out cash flows. TREASURY NOTES. All securities issued with initial maturities of two to ten years are called Treasury notes, and pay interest semi-annually. TREASURY BONDS. All securities issued with initial maturities greater than ten years are called Treasury bonds. Like Treasury notes, they pay interest semi-annually. VOLATILITY. The rate at which security prices change with changes in general economic conditions or the general level of interest rates. YIELD TO MATURITY. The annualized internal rate of return on an investment which equates the expected cash flows from the investment to its cost. 2022-10-19 Item #0813 Page 23 of 83 Attachment 2 City of Encinitas - YTD Report Portfolio Management Portfolio Summary June 30, 2022 CITY OF ENCINITAS 505 S. VULCAN Encinitas, CA 92024 (760)633-2641 Investments Par value Market Value Book Value % of Portfolio YTM Term Days to Maturity Local Agency Investment Funds 34,266,457.21 33,825,290.76 34,266,457.21 26.26 0.990 1 1 Managed Pool Accounts 2,301,189.02 2,268,998.87 2,301,189.02 1.76 1.135 1 1 Money Market Funds 4,081,904.25 4,081,904.25 4,081,904.25 3.13 1.370 1 1 Certificates of Deposit - Bank 12,644,000.00 12,178,198.10 12,644,000.00 9.69 1.762 1,761 762 Negotiable CDs 498,000.00 485,181A8 498,000.00 0.38 1.727 1,643 667 U.S. Treasury Coupon Securities 57,000,000.00 54,193,674.31 56,709,084.76 43.46 1.180 1,356 818 Federal Agency Coupon Securities 20.000.000.00 19,671,460.00 19,995,582.47 15.32 1.885 1,494 444 130,791,550.48 126,704,707.77 130,496,217.71 100.00% 1.302 995 500 Investments Cash Passbook/Checking 5,577,158.84 5,577,158.84 5,577,158.84 0.000 1 1 (not included in yield calculations) Total Cash and Investments 136,368,709.32 132,281,866.61 136,073,376.55 1.302 995 500 Total Earnings June 30 Period Ending Fiscal Year Ending_ Current Year 1,455,618.16 1,455,618.16 Average Daily Balance 113,960,743.36 Effective Rate of Return 1.28% 1 certify the accuracy of the attached report on the City of Encinitas' Pooled Investment Fund. All funds for which the City has oversight responsibility are reflected in this report. All investments are in compliance with the City's adopted Investment Policy., which is available through the City Clerk's office. The City's Investment Program provides sufficient liquidity to meet the next six (6) months enditure requireme ts. Thf ourcg f e market values of investme sown d is US Bank Custody Services, 0 / 'a Ter Ia McBroome, Finance birecto r\Treasurer Reporting period 07/01/2021-06130/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/1512022 - 15:08 2022-10-19 No fiscal year history available Item #08D Portfolio ENCI AC PM (PRF_PM1) 7.3.0 Report Ver. 7.3.6.1 Page 24 of 88 City of Encinitas - YTD Report Portfolio Management Portfolio Details - Investments June 30, 2022 Page 1 Average Purchase Stated YTM Maturity CUSIP Investment # Issuer Balance Date Par Value Market Value Book Value Rate S&P Moody's Date Local Agency Investment Funds SYS1012 1012 CA LAIF 34,266,457.21 33,825,290.76 34,266,457.21 0.990 0.990 NR Subtotal and Average 17,465,405.28 34,266,457.21 33,825,290.76 34,266,457.21 0.990 Managed Pool Accounts SYS1003 1003 SYS1584 1584 Money Market Funds SYS1004 1004 Certificates of Deposit - Bank 14042RGN5 1552 1404203Q1 1553 87270LAD5 1554 58404DBL4 1561 05580AMB7 1562 17312QH69 1563 29278TAU4 1568 45581 EASO 1564 501798LT7 1566 61747MR37 1565 33646CJPO 1569 249398BT4 1596 02589AAM4 1580 79545OS89 1570 20033AZK5 1571 D20080BUO 1619 33640VDE5 1609 59013KAR7 1597 06251AW48 1585 34969RCS5 1616 654062JRD 1625 219255AK2 1623 61760AG52 1593 CA Asset Management Program SD County Investment Pool Subtotal and Average 3,329,134.99 US BANK Subtotal and Average 2,154,865.92 1,072,561.71 1,228,627.31 2,301,189.02 4,081,904.25 1,072,561.71 1,196,437.16 2,268,998.87 4,081,904.25 4,081,904.25 4,081,904.25 1,072,561.71 1.140 1,228,627.31 1.130 2,301,189.02 1.140 AAA 1.130 AAA 1.135 4,081,904.25 1.370 1.370 AAA 4,081,904.25 1.370 Capital One NA 07/19/2017 245,000.00 245,075.95 245,000.00 2.300 2.300 NR 07/19/2022 Capital One Bank USA, NA 07/19/2017 245,000.00 245,075.95 245,000.00 2.300 2.300 07/19/2022 TIAA FSB 07/19/2017 245,000.00 245,056.35 245,000.00 2.150 2.150 NR NR 07/19/2022 Medallion Bank UT 03/28/2018 249,000.00 249,883.95 249,000.00 2.900 2.900 03/28/2023 BMW Bank North America 03/29/2018 246,000.00 246,865.92 246,000.00 2.900 2.900 03/29/2023 Citi Bank NA 03/29/2018 246,000.00 246,774.90 246,000.00 2.850 2.850 03/29/2023 Enerbank USA 03/29/2018 246,000.00 246,774.90 246,000.00 2.850 2.850 03/29/2023 Industrial & Comm Bank China 03/29/2018 249,000.00 249,878.97 249,000.00 2.900 2.900 03/29/2023 LCA Bank Corp 03/29/2018 246,000.00 246,683.88 246,000.00 2.800 2.800 03/29/2023 Morgan Stanley Bank 03/29/2018 246,000.00 246,865.92 246,000.00 2.900 2.900 03/29/2023 First Source Bank 04/11/2018 246,000.00 246,691.26 246,000.00 2.850 2.850 04/11/2023 Denver Savings Bank 06/21/2019 249,000.00 247,630.50 249,000.00 2.250 2.250 06/21/2023 American Express National Bank 06/26/2018 245,000.00 246,085.35 245,000.00 3.300 3.300 NR NR 06/26/2023 Sallie Mae Bank/Murray 06/27/2018 245,000.00 246,078.00 245,000.00 3.300 3.300 NR NR 06/27/2023 Comenity Capital Bank 06/29/2018 245,000.00 246,058.40 245,000.00 3.300 3.300 NR NR 06/29/2023 ALMA BANK 03/30/2020 249,000.00 242,672.91 249,000.00 0.900 0.900 09/29/2023 FIRST SERVICE BANK 11/15/2019 249,000.00 244,547.88 249,000.00 1.700 1.700 11/15/2023 Merrick Bank 06/28/2019 249,000.00 246,527.43 249,000.00 2.400 2.400 12/28/2023 BANK HAPOALIM BM NY 03/25/2019 246,000.00 244,814.28 246,000.00 2.900 2.900 03/25/2024 FORTUNE BANK ARNOLD 03/27/2020 249,000.00 239,784.51 249,000.00 1.000 1.000 03/27/2024 NICOLET NATIONAL BANK 03/31/2020 249,000.00 240,397.05 249,000.00 1.150 1.150 03/28/2024 CORNHUSKER BANK 03/30/2020 249,000.00 240,167.97 249,000.00 1.100 1.100 03/29/2024 MORGAN STANLEY PRIVATE BANK 06/13/2019 246,000.00 242,846.28 246,000.00 2.600 2.600 06/13/2024 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date:08/15/2022 -15:08 Portfolio ENCI AC PM (PRF_PM2) 7.3.0 2022-10-19 Item #08D Page 25 afepli 7.3.6.1 City of Encinitas - YTD Report Portfolio Management Portfolio Details - Investments June 30, 2022 Page 2 Average Purchase Stated YTM Maturity CUSIP Investment # Issuer Balance Date Par Value Market Value Book Value Rate S&P Moody's Date Certificates of Deposit - Bank 27002YEQ5 1594 EAGLEBANK 06/20/2019 249,000.00 244,308.84 249,000.00 2.300 2.300 06/20/2024 200056QRZ8 1595 COMMERCE BANK GENEVA MN 06/26/2019 249,000.00 244,236.63 249,000.00 2.300 2.300 06/26/2024 336460CQ1 1598 First State Bank Dequeen 06/28/2019 249,000.00 244,211.73 249,000.00 2.300 2.300 06/28/2024 761400BY1 1599 REVERE BANK 06/28/2019 247,000.00 242,262.54 247,000.00 2.300 2.300 06/28/2024 33847E4E4 1626 FLAGSTAR BANK FSB 09/30/2020 249,000.00 233,295.57 249,000.00 0.400 0.400 09/30/2024 52465JHT7 1618 LEGENDS BANK 03/30/2020 249,000.00 236,450.40 249,000.00 1.000 1.000 09/30/2024 710673AC8 1624 PEOPLES BANK/SARDIS TN 03/31/2020 249,000.00 236,450.40 249,000.00 1.000 1.000 09/30/2024 73319FAD1 1611 POPPY BANK 11/04/2019 249,000.00 239,552.94 249,000.00 1.650 1.650 11/04/2024 203522AT4 1610 COMMUNITY BANK 11/08/2019 249,000.00 239,503.14 249,000.00 1.650 1.650 11/08/2024 29367SJQ8 1607 ENTERPRISE BANK AND TRUST 11/08/2019 249,000.00 240,347.25 249,000.00 1.800 1.800 11/08/2024 695292FP2 1613 PADUCAH BANK AND TRUST 11/08/2019 249,000.00 239,503.14 249,000.00 1.650 1.650 11/08/2024 89579NCB7 1612 TRIAD BANK FRONTENAC MO 11/08/2019 249,000.00 240,347.25 249,000.00 1.800 1.800 11/08/2024 300185JF3 1615 EVERGREEN BANK GROUP 03/26/2020 249,000.00 233,557.02 249,000.00 1.000 1.000 03/26/2025 59565QCS2 1617 MIDCOUNTRY BANK 03/27/2020 249,000.00 233,542.08 249,000.00 1.000 1.000 03/27/2025 152010CJ4 1620 CENTERSTATE BANK NA 03/30/2020 248,000.00 232,621.52 248,000.00 1.000 1.000 03/31/2025 538036KU7 1622 LIVE OAK BANKING COMPANY 03/31/2020 249,000.00 234,127.23 249,000.00 1.100 1.100 03/31/2025 694231AD3 1621 PACIFIC ENTERPRISE BANK 03/30/2020 249,000.00 234,455.91 249,000.00 1.150 1.150 03/31/2025 549104SS7 1627 LUANA SAVINGS BANK 10/02/2020 249,000.00 226,223.97 249,000.00 0.400 0.400 10/02/2025 33625CDV8 1629 1ST SECURITY BK OF WASH 11/13/2020 249,000.00 225,885.33 249,000.00 0.400 0.400 10/15/2025 51507LBZ6 1628 LANDMARK COMMUNITY BANK 10/29/2020 249,000.00 225,641.31 249,000.00 0.400 0.400 10/29/2025 33744AAW9 1630 FIRST US BANK 11/18/2020 249,000.00 225,315.12 249,000.00 0.400 0.400 11/18/2025 50116CCP2 1631 KS STATEBANK 11/30/2020 249,000.00 225,526.77 249,000.00 0.450 0.450 11/28/2025 90348JN48 1632 UBS BANK USA 06/23/2021 249,000.00 224,931.66 249,000.00 0.750 0.750 06/23/2026 649447UZO 1633 NEW YORK COMMUNITY BANK 06/30/2021 249,000.00 224,458.56 249,000.00 0.700 0.700 07/01/2026 856285C41 1650 STATE BANK OF INDIA 01/13/2022 248,000.00 227,289.52 248,000.00 1.400 1.400 NR NR 01/13/2027 89235MMP3 1649 TOYOTA FINANCIAL SVGS BK 01/13/2022 248,000.00 226,773.68 248,000.00 1.350 1.350 01/13/2027 39573LCE6 1648 GREENSTATE CREDIT UNION 01/14/2022 248,000.00 226,619.92 248,000.00 1.350 1.350 01/14/2027 64034KAJO 1651 NELNET BANK INC 02/02/2022 248,000.00 227,520.16 248,000.00 1.450 1.450 02/02/2027 Subtotal and Average 13,091,128.77 12,644,000.00 12,178,198.10 12,644,000.00 1.762 Negotiable CDs 15118RSN8 1614 CELTIC BANK 10/30/2019 249,000.00 244,405.95 249,000.00 1.600 1.601 10/30/2023 33767GAMO 1608 First Bank Puerto Rico 10/28/2019 249,000.00 240,775.53 249,000.00 1.850 1.852 NR NR 10/25/2024 Subtotal and Average 498,000.00 498,000.00 485,181.48 498,000.00 1.727 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 Portfolio ENCI AC PM (PRF_PM2) 7.3.0 2022-10-19 Item #08D Page 26 of 88 City of Encinitas - YTD Report Portfolio Management Portfolio Details - Investments June 30, 2022 Page 3 CUSIP Investment # Average Issuer Balance Purchase Date Par Value Market Value Book Value Stated Rate YTM Maturity S&P Moody's Date U.S. Treasury Coupon Securities 91282SX08 1578 U.S. Treasury Notes 06/26/2018 4,000,000.00 4,002,800.00 3,997,819.18 2.000 2.705 Aaa 07/31/2022 912828124 1572 U.S. Treasury Notes 06/26/2018 2,000,000.00 2,000,980.00 1,997,378.44 1.875 2.710 Aaa 08/31/2022 9128282W9 1579 U.S. Treasury Notes 06/26/2018 2,000,000.00 2,000,300.00 1,996,091.44 1.875 2.711 Aaa 09/30/2022 91282SS92 1592 U.S. Treasury Notes 03/27/2019 3,000,000.00 2,945,850.00 2,971,299.03 1.250 2.181 07/31/2023 9128282D1 1604 U.S. Treasury Notes 06/26/2019 2,000,000.00 1,963,040.00 1,992,066.55 1.375 1.729 08/31/2023 91282CAP6 1636 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,928,120.00 1,996,804.13 0.125 0.249 AAA Aaa 10/15/2023 91282CBM2 1638 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,910,860.00 1,994,296.71 0.125 0.301 02/15/2024 91282CBR1 1655 U.S. Treasury Notes 03/09/2022 1,000,000.00 954,810.00 977,810.38 0.250 1.578 03/15/2024 91282CCG4 1656 U.S. Treasury Notes 03/09/2022 2,000,000.00 1,896,560.00 1,947,307.56 0.250 1.627 06/15/2024 912828Y87 1634 U.S. Treasury Notes 07/08/2021 6,000,000.00 5,849,520.00 6,168,317.69 1.750 0.394 07/31/2024 912828YE4 1646 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,926,800.00 2,035,726.09 1.250 0.419 08/31/2024 91282BYH7 1642 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,934,680.00 2,047,674.26 1.500 0.432 09/30/2024 912828YM6 1647 U.S. Treasury Notes 07/08/2021 1,000,000.00 966,130.00 1,024,212.94 1.500 0.453 10/31/2024 91282CDH1 1653 U.S. Treasury Notes 03/09/2022 1,000,000.00 948,200.00 978,316.57 0.750 1.688 11/15/2024 912828ZC7 1641 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,903,600.00 2,031,297.19 1.125 0.531 02/28/2025 912828ZFO 1652 U.S. Treasury Notes 03/09/2022 1,000,000.00 933,280.00 967,867.29 0.500 1.705 03/31/2025 912828ZW3 1645 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,841,400.00 1,979,275.64 0.250 0.600 06/30/2025 91282CAB7 1640 U.S. Treasury Notes 07/08/2021 6,000,000.00 5,508,960.00 5,931,711.59 0.250 0.624 07/31/2025 91282CAJO 1643 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,831,260.00 1,975,895.83 0.250 0.636 08/31/2025 91282CAM3 1644 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,827,260.00 1,974,550.57 0.250 0.648 09/30/2025 91282CAT8 1657 U.S. Treasury Notes 03/09/2022 1,000,000.00 911,250.00 951,493.18 0.250 1.759 10/31/2025 91282CB03 1639 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,822,900.00 1,984,160.07 0.500 0.720 02/28/2026 91282CBT7 1635 U.S. Treasury Notes 07/08/2021 2,000,000.00 1,836,960.00 2,000,990.88 0.750 0.736 AAA Aaa 03/31/2026 91282CCJS 1654 U.S. Treasury Notes 03/09/2022 1,000,000.00 918,010.00 965,940.68 0.975 1.763 06/30/2026 91282CCP4 1659 U.S. Treasury Notes 03/10/2022 4,000,000.00 3,630,144.31 3,820,780.87 0.625 1.787 07/31/2026 Subtotal and Average 50,099,361.85 57,000,000.00 54,193,674.31 56,709,084.76 1.180 Federal Agency Coupon Securities 3135GOT78 1589 Federal Nat'l Mortgage Assoc. 03/27/2019 2,000,000.00 1,999,060.00 1,999,049.62 2.000 2.190 10/05/2022 3135GOT78 1603 Federal Nat'l Mortgage Assoc. 06/26/2019 1,000,000.00 999,530.00 1,000,656.25 2.000 1.740 10/05/2022 3133EDWW8 1600 Federal Farm Credit 06/26/2019 1,000,000.00 1,002,210.00 1,002,081.95 2.600 1.784 10/06/2022 3133EC4Q4 1558 Federal Farm Credit 02/23/2018 2,000,000.00 1,993,300.00 1,993,522.81 1.820 2.700 AA+ Aaa 11/23/2022 3133EJBP3 1590 Federal Farm Credit 03/27/2019 2,000,000.00 1,998,640.00 2,003,237.36 2.500 2.210 AAA Aaa 02/02/2023 3133EKSN7 1605 Federal Farm Credit 06/26/2019 4,000,000.00 3,953,120.00 3,998,863.01 1.770 1.800 AAA Aaa 06/26/2023 3133EHST1 1591 FEDERAL FARM CREDIT BANK 03/27/2019 1,000,000.00 990,340.00 997,725.56 2.010 2.234 07/26/2023 3135GOU43 1602 Federal Nat'l Mortgage Assoc. 06/26/2019 2,000,000.00 1,999,820.00 2,024,648.88 2.875 1.801 09/12/2023 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 Portfolio ENCI AC PM (PRF_PM2) 7.3.0 2022-10-19 Item #08D Page 27 of 88 City of Encinitas - YTD Report Portfolio Management Portfolio Details - Investments June 30, 2022 Page 4 Average Purchase Stated YTM Maturity CUSIP Investment # Issuer Balance Date Par Value Market Value Book Value Rate S&P Moody's Date Federal Agency Coupon Securities 3133EHN25 1606 FEDERAL FARM CREDIT BANK 06/26/2019 2,000,000.00 1,981,980.00 2,01D,072.33 2.200 1.805 11/01/2023 3135G06G3 1658 Federal Nat'l Mortgage Assoc. 03/09/2022 1,000,000.00 918,100,00 957,634,45 0.500 1.813 11/07/2025 313DAN4T4 1637 Federal Home Loan Bank D7/08/2021 2,000,000.00 1,835,360.00 2,OD8,090.25 0.875 0.770 06/12/2026 Subtotal and Average Total and Average Data Updated: SET_ANNU: 08/15/2022 15:08 Ran Date, 06/15/2022 - 15.08 26,846,515.30 113,960,743.36 20,000,000.00 130, 791, 550.48 19, 671, 460.00 19, 995, 582.47 1.885 126, 704, 707.77 130, 496, 217.71 1.302 Portfolio ENCI AC PM (PRF_PM2) /.3.0 2022-10-19 Item #08D Page 28 of 88 City of Encinitas - YTD Report Portfolio Management Portfolio Details - Cash June 30, 2022 Average Purchase Stated YTM CUSIP Investment # Issuer Balance Date Par Value Market Value Book Value Rate S&P Moody's Passbook/Checking Accounts SYS1010 1010 Union Bank Checking Acct. 5,577,158.134 5,577,158.84 5,577,158.84 0.000 Average Balance 0.00 Total Cash and Investments Data Updated: SET_ANNU: 08/15/2022 15:08 Ran Date, 06/15/2022 - 15.08 113,960,743.36 136,368,709.32 2022-10-19 Item #08D 132,281,866.61 136, 073,376.55 1.302 Page 5 Portfolio ENCI AC PM (PRF_PM2) /.3.0 Page 29 of 88 Clt Of Encinitas - YTD Re Ort CITY OF ENCINITAS awl- _ _--_� y h 505 S. VULCAN -� Investments by Issuer Encinitas, CA 92024 Active Investments (760)633-2641 Sorted by Issuer June 30, 2022 Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 365 Date Maturitv Date Collateral ALMA BANK 020080BUO 1619 Certificates of Deposit - Bank Amort 249,000.00 0.900 242,672.91 06/30/2022 0.900 09/29/2023 455 Subtotal and Average 249,000.00 242,672.91 0.900 455 American Express National Bank 02589AAM4 1580 Certificates of Deposit - Bank Amort 245,000.00 3.300 246,085.35 06/30/2022 3.300 06/26/2023 360 Subtotal and Average 245,000.00 246,085.35 3.300 360 BANK HAPOALIM BM NY 06251AW48 1585 Certificates of Deposit - Bank Amort 246,000.00 2.900 244,814.28 06/30/2022 2.900 03/25/2024 633 Subtotal and Average 246,000.00 244,814.28 2.900 633 BMW Bank North America 05580AMB7 1562 Certificates of Deposit - Bank Amort 246,000.00 2.900 246,865.92 06/30/2022 2.900 03/29/2023 271 Subtotal and Average 246,000.00 246,865.92 2.900 271 CA Asset Management Program SYS1003 1003 Managed Pool Accounts Amort 1,072,561.71 0.050 1,072,561.71 06/30/2022 0.050 1 Subtotal and Average 1,072,561.71 1,072,561.71 0.050 1 Capital One NA 14042RGN5 1552 Certificates of Deposit - Bank Amort 245,000.00 2.300 245,075.95 06/30/2022 2.300 07/19/2022 18 Subtotal and Average 245,000.00 245,075.95 2.300 18 Capital One Bank USA, NA 1404203Q1 1553 Certificates of Deposit - Bank Amort 245,000.00 2.300 245,075.95 06/30/2022 2.300 07/19/2022 18 Subtotal and Average 245,000.00 245,075.95 2.300 18 CELTIC BANK 15118RSN8 1614 Negotiable CDs Amort Subtotal and Average 249,000.00 1.600 249,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 244,405.95 06/30/2022 1.601 10/30/2023 486 244,405.95 1.601 486 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 30 of 88 City of Encinitas -YTD Report Investments by Issuer Page 2 Sorted by Issuer Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 355 Date Maturity Date Collateral Citi Bank NA 17312QH69 1563 Certificates of Deposit - Bank Amort 246,000.00 2.850 246,774.90 06/30/2022 2.850 03/29/2023 271 Subtotal and Average 246,000.00 246,774.90 2.850 271 COMMERCE BANK GENEVA MN 200056QRZB 1595 Certificates of Deposit - Bank Amort 249,000.00 2.300 244,236.63 06/30/2022 2.300 06/26/2024 726 Subtotal and Average 249,000.00 244,236.63 2.300 726 COMMUNITY BANK 203522AT4 1610 Certificates of Deposit - Bank Amort 249,000.00 1.650 239,503.14 06/30/2022 1.650 11/08/2024 861 Subtotal and Average 249,000.00 239,503.14 1.650 861 Comenity Capital Bank 20033AZK5 1571 Certificates of Deposit - Bank Amort 245,000.00 3.300 246,058.40 06/30/2022 3.300 06/29/2023 363 Subtotal and Average 245,000.00 246,058.40 3.300 363 SD County Investment Pool SYS1584 1584 Managed Pool Accounts Amort 1,228,627.31 0.060 1,196,437.16 06/30/2022 0.060 1 Subtotal and Average 1,228,627.31 1,196,437.16 0.060 1 CORNHUSKER BANK 219255AK2 1623 Certificates of Deposit - Bank Amort 249,000.00 1.100 240,167.97 06/30/2022 1.100 03/29/2024 637 Subtotal and Average 249,000.00 240,167.97 1.100 637 CENTERSTATE BANK NA 152010CJ4 1620 Certificates of Deposit - Bank Amort 248,000.00 1.000 232,621.52 06/30/2022 1.000 03/31/2025 1,004 Subtotal and Average 248,000.00 232,621.52 1.000 1,004 Denver Savings Bank 249398BT4 1596 Certificates of Deposit - Bank Amort 249,000.00 2.250 247,630.50 06/30/2022 2,250 06/21/2023 355 Subtotal and Average 249,000.00 247,630.50 2.250 355 EAGLEBANK 27002YEQ5 1594 Certificates of Deposit - Bank Amort 249,000.00 2.300 244,308.84 06/30/2022 2.300 06/20/2024 720 Subtotal and Average 249,000.00 244,308.84 2.300 720 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 31 of 88 City of Encinitas -YTD Report Investments by Issuer Sorted by Issuer Page 3 Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 355 Date Maturity Date Collateral Enerbank USA 29278TAU4 1568 Certificates of Deposit - Bank Amort 246,000.00 2.850 246,774.90 06/30/2022 2.850 03/29/2023 271 Subtotal and Average 246,000.00 246,774.90 2.850 271 ENTERPRISE BANK AND TRUST 29367SJQB 1607 Certificates of Deposit - Bank Amort Subtotal and Average EVERGREEN BANK GROUP 300185JF3 1615 First Bank Puerto Rico 33767GAMO 1608 FEDERAL FARM CREDIT BANK 3133EHST1 1591 3133EHN25 1606 Federal Farm Credit 3133EC4Q4 1558 3133EJBP3 1590 3133EDWWS 1600 3133EKSN7 1605 Certificates of Deposit - Bank Amort Subtotal and Average Negotiable CDs Amort Subtotal and Average Federal Agency Coupon Securities Amort Federal Agency Coupon Securities Amort Subtotal and Average Federal Agency Coupon Securities Fair Federal Agency Coupon Securities Amort Federal Agency Coupon Securities Amort Federal Agency Coupon Securities Amort Subtotal and Average 249,000.00 1.800 249,000.00 249,000.00 1.000 249,000.00 249,000.00 1.850 249,000.00 990,790.00 2.010 2,032,840.00 2.200 3,023,630.00 240,347.25 06/30/2022 1.800 11/08/2024 861 240,347.25 1.800 861 233,557.02 06/30/2022 1.000 03/26/2025 999 233,557.02 1.000 999 240,775.53 06/30/2022 1.852 10/25/2024 847 240,775.53 1.852 847 990,340.00 06/30/2022 2.234 07/26/2023 390 1,981,980.00 06/30/2022 1.805 11/01/2023 488 2,972,320.00 1.937 453 1,922,000.00 1.820 1,993,300.00 06/30/2022 2.700 11/23/2022 145 2,021,250.00 2.500 1,998,640.00 06/30/2022 2.210 02/02/2023 216 1,025,860.00 2.600 1,002,210.00 06/30/2022 1.784 10/06/2022 97 3,995,388.00 1.770 3,953,120.00 06/30/2022 1.800 06/26/2023 360 8,964,498.00 8,947,270.00 2.097 251 Federal Home Loan Bank 3130AN4T4 1637 Federal Agency Coupon Securities Amort 2,010,100.00 0.875 1,835,360.00 06/30/2022 0,770 06/12/2026 1,442 Subtotal and Average 2,010,100.00 1,835,360.00 0.770 1,440 FIRST SERVICE BANK 33640VDE5 1609 Certificates of Deposit - Bank Amort Subtotal and Average 249,000.00 1.700 249,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 244,547.88 06/30/2022 1.700 11/15/2023 502 244,547.88 1.700 502 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 32 of 88 City of Encinitas -YTD Report Investments by Issuer Page 4 Sorted by Issuer Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 355 Date Maturity Date Collateral FLAGSTAR BANK FSB 33847E4E4 1626 Certificates of Deposit - Bank Amort 249,000.00 0.400 233,295.57 06/30/2022 0,400 09/30/2024 822 Subtotal and Average 249,000.00 233,295.57 0.400 822 Federal Nat'l Mortgage Assoc. 3135GOT78 1589 Federal Agency Coupon Securities Amort 1,987,180.00 2.000 1,999,060.00 06/30/2022 2.190 10/05/2022 96 3135GOU43 1602 Federal Agency Coupon Securities Amort 2,086,700.00 2.875 1,999,820.00 06/30/2022 1.801 09/12/2023 438 3135GOT78 1603 Federal Agency Coupon Securities Amort 1,008,231.00 2.000 999,530.00 06/30/2022 1.740 10/05/2022 96 3135GO6G3 1658 Federal Agency Coupon Securities Amort 953,700.00 0.500 918,100.00 06/30/2022 1.813 11/07/2025 1,225 Subtotal and Average 6,035,811.00 5,916,510.00 1.906 388 FORTUNE BANK ARNOLD 34969RC55 1616 Certificates of Deposit - Bank Amort Subtotal and Average First State Bank Dequeen 336460CC21 1598 Certificates of Deposit - Bank Amort Subtotal and Average 1ST SECURITY BK OF WASH 33625CDVB 1629 First Source Bank 33646CJP0 1569 Industrial & Comm Bank China 45581EAS0 1564 KS STATEBANK 50116CCP2 1631 CA LAIF Certificates of Deposit - Bank Amort Subtotal and Average Certificates of Deposit - Bank Amort Subtotal and Average Certificates of Deposit - Bank Amort Subtotal and Average Certificates of Deposit - Bank Amort Subtotal and Average 249,000.00 1.000 249,000.00 249,000.00 2.300 249,000.00 239,784.51 06/30/2022 1.000 03/27/2024 635 239,784.51 1.000 635 244,211.73 06/30/2022 2.300 06/28/2024 728 244,211.73 2.300 728 249,000.00 0.400 225,885.33 06/30/2022 0.400 10/15/2025 1,202 249,000.00 225,885.33 0.400 1,202 246,000.00 2.850 246,000.00 249,000.00 2.900 249,000.00 249,000.00 0.450 249,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 246,691.26 06/30/2022 2.850 04/11/2023 284 246,691.26 2.850 284 249,878.97 06/30/2022 2.900 03/29/2023 271 249,878.97 2.900 271 225,526.77 06/30/2022 0.450 11/28/2025 1,246 225,526.77 0.450 1,246 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 33 of 88 City of Encinitas -YTD Report Investments by Issuer Page 5 Sorted by Issuer Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 365 Date Maturity Date Collateral SYS1012 1012 Local Agency Investment Funds Amort 34,266,457.21 0.262 33,825,290.76 06/30/2022 0.262 1 Subtotal and Average 34,266,457.21 33,825,290.76 0.262 1 LCA Bank Corp 501798LT7 1566 Certificates of Deposit - Bank Amort 246,000.00 2.800 246,683.88 06/30/2022 2.800 03/29/2023 271 Subtotal and Average 246,000.00 246,683.88 2.800 271 LANDMARK COMMUNITY BANK 51507LBZ6 1628 Certificates of Deposit - Bank Amort 249,000.00 0.400 225,641.31 06/30/2022 0.400 10/29/2025 1,216 Subtotal and Average 249,000.00 225,641.31 0.400 1,216 LEGENDS BANK 52465JHT7 1618 Certificates of Deposit - Bank Amort 249,000.00 1.000 236,450.40 06/30/2022 1.000 09/30/2024 822 Subtotal and Average 249,000.00 236,450.40 1.000 822 LIVE OAK BANKING COMPANY 538036KU7 1622 Certificates of Deposit - Bank Amort 249,000.00 1.100 234,127.23 06/30/2022 1.100 03/31/2025 1,004 Subtotal and Average 249,000.00 234,127.23 1.100 1,004 LUANA SAVINGS BANK 549104SS7 1627 Certificates of Deposit - Bank Amort 249,000.00 0.400 226,223.97 06/30/2022 0.400 10/02/2025 1,189 Subtotal and Average 249,000.00 226,223.97 0.400 1,189 Medallion Bank UT 58404DBL4 1561 Certificates of Deposit - Bank Amort 249,000.00 2.900 249,883.95 06/30/2022 2.900 03/28/2023 270 Subtotal and Average 249,000.00 249,883.95 2.900 270 Merrick Bank 59013KAR7 1597 Certificates of Deposit - Bank Amort 249,000.00 2.400 246,527.43 06/30/2022 2.400 12/28/2023 545 Subtotal and Average 249,000.00 246,527.43 2.400 545 MORGAN STANLEY PRIVATE BANK 61760AG52 1593 Certificates of Deposit - Bank Amort Subtotal and Average MIDCOUNTRY BANK 246,000.00 2.600 246,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 242,846.28 06/30/2022 2.600 06/13/2024 713 242,846.28 2.600 713 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 34 of 88 City of Encinitas -YTD Report Investments by Issuer Page 6 Sorted by Issuer Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 365 Date Maturity Date Collateral 59565QCS2 1617 Certificates of Deposit - Bank Amort 249,000.00 1.000 233,542.08 06/30/2022 1.000 D312712025 1,000 Subtotal and Average 249,000.00 233,542.08 1.000 1,000 Morgan Stanley Bank 61747MR37 1565 Certificates of Deposit - Bank Amort 246,000.00 2.900 246,865.92 06/30/2022 2.900 03/29/2023 271 Subtotal and Average 246,000.00 246,865.92 2.900 271 NICOLET NATIONAL BANK 654062JRO 1625 Certificates of Deposit - Bank Amort 249,000.00 1.150 240,397.05 06/30/2022 1.150 03/28/2024 636 Subtotal and Average 249,000.00 240,397.05 1.150 636 NELNET BANK INC 64034KAJO 1651 Certificates of Deposit - Bank Amort 248,000.00 1.450 227,520.16 06/30/2022 1.450 02/02/2027 1,677 Subtotal and Average 248,000.00 227,520.16 1.450 1,677 NEW YORK COMMUNITY BANK 649447UZO 1633 Certificates of Deposit - Bank Amort 249,000.00 0.700 224,458.56 06/30/2022 0.700 07/01/2026 1,461 Subtotal and Average 249,000.00 224,458.56 0.700 1,461 PACIFIC ENTERPRISE BANK 694231AD3 1621 Certificates of Deposit - Bank Amort 249,000.00 1.150 234,455.91 06/30/2022 1.150 03/31/2025 1,004 Subtotal and Average 249,000.00 234,455.91 1.150 1,004 PADUCAH BANK AND TRUST 695292FP2 1613 Certificates of Deposit - Bank Amort 249,000.00 1.650 239,503.14 06/30/2022 1.650 11/08/2024 861 Subtotal and Average 249,000.00 239,503.14 1.650 861 PEOPLES BANK/SARDIS TN 710673ACR 1624 Certificates of Deposit - Bank Amort Subtotal and Average POPPY BANK 73319FAD1 1611 Certificates of Deposit - Bank Amort Subtotal and Average REVERE BANK 249,000.00 1.000 236,450.40 06/30/2022 1.000 09/30/2024 822 249,000.00 236,450.40 1.000 822 249,000.00 1.650 249,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 239,552.94 06/30/2022 1.650 11/04/2024 857 239,552.94 1.650 857 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 35 of 88 City of Encinitas -YTD Report Investments by Issuer Page 7 Sorted by Issuer Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 365 Date Maturity Date Collateral 761400BY1 1599 Certificates of Deposit - Bank Amort 247,000.00 2.300 242,262.54 06/30/2022 2.300 06/28/2024 728 Subtotal and Average 247,000.00 242,262.54 2.300 728 STATE BANK OF INDIA 856285C41 1650 Certificates of Deposit - Bank Amort 248,000.00 1.400 227,289.52 06/30/2022 1.400 01/13/2027 1,657 Subtotal and Average 248,000.00 227,289.52 1.400 1,657 Sallie Mae Bank/Murray 795450589 1570 Certificates of Deposit - Bank Amort 245,000.00 3.300 246,078.00 06/30/2022 3.300 06/27/2023 361 Subtotal and Average 245,000.00 246,078.00 3.300 361 TIAA FSB 87270LAD5 1554 Certificates of Deposit - Bank Amort 245,000.00 2.150 245,056.35 06/30/2022 2.150 07/19/2022 18 Subtotal and Average 245,000.00 245,056.35 2.150 18 TOYOTA FINANCIAL SVGS BK 89235MMP3 1649 Certificates of Deposit - Bank Amort 248,000.00 1.350 226,773.68 06/30/2022 1.350 01/13/2027 1,657 Subtotal and Average 248,000.00 226,773.68 1.350 1,657 TRIAD BANK FRONTENAC MO 89579NCB7 1612 Certificates of Deposit - Bank Amort Subtotal and Average 249,000.00 1.800 249,000.00 240,347.25 06/30/2022 1.800 11/08/2024 861 240,347.25 1.800 861 Union Bank Checking Acct. SYS1010 1010 Passbook/Checking Accounts Amort 5,577,158.84 5,577,158.84 06/30/2018 1 Subtotal and Average 5,577,158.84 5,577,158.84 1 US BANK SYS1004 1004 Money Market Funds Amort 4,081,904.25 0.030 4,081,904.25 04/30/2019 0.030 1 Subtotal and Average 4,081,904.25 4,081,904.25 0.030 1 UBS BANK USA 90348JN48 1632 GREENSTATE CREDIT UNION Certificates of Deposit - Bank Amort Subtotal and Average 249,000.00 0.750 249,000.00 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D 224,931.66 06/30/2022 0.750 06/23/2026 1,453 224,931.66 0.750 1,453 Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 Page 36 of 88 City of Encinitas -YTD Report Investments by Issuer Sorted by Issuer Page 8 Investment Current Market YTM Redemption Days To Call CUSIP Investment # Security Type Class Remaining Cost Rate Market Value Date 355 Date Maturitv Date Collateral 39573LCE6 1648 Certificates of Deposit - Bank Amort 248,000.00 1.350 226,619.92 06/30/2022 1.350 D111412027 1,658 Subtotal and Average 248,000.00 226,619.92 1.350 1,658 FIRST US BANK 33744AAW9 1630 Certificates of Deposit - Bank Amort Subtotal and Average U.S. Treasury Notes 249,000.00 0.400 249,000.00 225,315.12 06/30/2022 0.400 11/18/2025 1,236 225,315.12 0.400 1,236 91282BL24 1572 U.S. Treasury Coupon Securities Fair 1,934,375.00 1.875 2,000,980.00 06/30/2022 2.710 08/31/2022 61 912828X08 1578 U.S. Treasury Coupon Securities Fair 3,891,250.00 2.000 4,002.800.00 06/30/2022 2.705 07/31/2022 30 9128282W9 1579 U.S. Treasury Coupon Securities Fair 1,933,125.00 1.875 2,000,300.00 06/30/2022 2.711 09/30/2022 91 91282BS92 1592 U.S. Treasury Coupon Securities Fair 2,884,687.50 1.250 2,945,850.00 06/30/2022 2.181 07/31/2023 395 9128282D1 1604 U.S. Treasury Coupon Securities Amort 1,971,562.50 1.375 1,963,040.00 06/30/2022 1.729 08/31/2023 426 91282BY87 1634 U.S. Treasury Coupon Securities Amort 6,247,500.00 1.750 5,849,520.00 06/30/2022 0.394 07/31/2024 761 91282CBT7 1635 U.S. Treasury Coupon Securities Amort 2,001,250.00 0.750 1,836,960.00 06/30/2022 0,736 03/31/2026 1,369 91282CAP6 1636 U.S. Treasury Coupon Securities Amort 1,994,375.00 0.125 1,928,120.00 06/30/2022 0.249 10/15/2023 471 91282CBM2 1638 U.S. Treasury Coupon Securities Amort 1,990,859.38 0.125 1,910,860.00 06/30/2022 0.301 02/15/2024 594 91282CB03 1639 U.S. Treasury Coupon Securities Amort 1,979,921.88 0.500 1,822,900.00 06/30/2022 0.720 02/28/2026 1,338 91282CAB7 1640 U.S. Treasury Coupon Securities Amort 5,910,000.00 0.250 5,508,960.00 06/30/2022 0.624 07/31/2025 1,126 912828ZC7 1641 U.S. Treasury Coupon Securities Amort 2,042,812.50 1.125 1,903,600.00 06/30/2022 0.531 02/28/2025 973 912828YH7 1642 U.S. Treasury Coupon Securities Amort 2,068,437.50 1.500 1,934,680.00 06/30/2022 0.432 09/30/2024 822 91282CAJO 1643 U.S. Treasury Coupon Securities Amort 1,968,437.50 0.250 1,831,260.00 06/30/2022 0.636 08/31/2025 1,157 91282CAM3 1644 U.S. Treasury Coupon Securities Amort 1,966,875.00 0.250 1,827,260.00 06/30/2022 0.648 09/30/2025 1,187 912828ZW3 1645 U.S. Treasury Coupon Securities Amort 1,972,500.00 0.250 1,841,400.00 06/30/2022 0.600 06/30/2025 1,095 912828YE4 1646 U.S. Treasury Coupon Securities Amort 2,051,875.00 1.250 1,926,800.00 06/30/2022 0.419 08/31/2024 792 912828YM6 1647 U.S. Treasury Coupon Securities Amort 1,034,375.00 1.500 966,130.00 06/30/2022 0.453 10/31/2024 853 912828ZFO 1652 U.S. Treasury Coupon Securities Amort 964,218.75 0.500 933,280.00 06/30/2022 1.705 03/31/2025 1,004 91282CDH1 1653 U.S. Treasury Coupon Securities Amort 975,468.75 0.750 948,200.00 06/30/2022 1.688 11/15/2024 868 91282CCJ8 1654 U.S. Treasury Coupon Securities Amort 963,281.25 0.875 918,010.00 06/30/2022 1.763 06/30/2026 1,460 91282CBR1 1655 U.S. Treasury Coupon Securities Amort 973,750.00 0.250 954,810.00 06/30/2022 1.578 03/15/2024 623 91282CCG4 1656 U.S. Treasury Coupon Securities Amort 1,938,906.25 0.250 1,896,560.00 06/30/2022 1,627 06/15/2024 715 91282CAT8 1657 U.S. Treasury Coupon Securities Amort 946,953.13 0.250 911,250.00 06/30/2022 1.759 10/31/2025 1,218 91282CCP4 1659 U.S. Treasury Coupon Securities Amort 3,804,375.00 0.625 3,630,144.31 06/30/2022 1.787 07/31/2026 1,491 Subtotal and Average 56,411,171.89 54,193,674.31 1.186 821 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 Total and Average 135,813,920.21 132,281,866.61 1.009 480 No fiscal year history available Portfolio ENCI AC DI (PRF_DI) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #081311 Page 37 of 88 City of Encinitas FY 22 Activity Report Sorted By Issuer July 1, 2021 -June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment # Issuer of Portfolio Balance Rate Date Deposits Withdrawals CITY OF ENCINITAS 505 S. VULCAN Encinitas, CA 92024 (760)633-2641 Ending Balance Issuer: ALMA BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: American Express National Bank Certificates of Deposit - Bank Subtotal and Balance 245,000.00 245,000.00 Issuer Subtotal 0.180% 245,000.00 0.00 0.00 245,000.00 Issuer: BANK HAPOALIM BM NY Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Issuer: BankVista Certificates of Deposit - Bank 06653ABM5 1533 BankVista 2.000 06/30/2022 0.00 245,000.00 Subtotal and Balance 245,000.00 0.00 245,000.00 0.00 Issuer Subtotal 0.000% 245,000.00 0.00 245,000.00 0.00 Issuer: BMW Bank North America Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Portfolio FY22 AC Run Date: 08/31/2022 - 14:01 DA (PRF_DA) 7.2.0 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 38 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: CA Asset Management Program Page 2 Ending Balance Managed Pool Accounts SYS1003 1003 CA Asset Management Program 1.140 1,831,81 0.00 Subtotal and Balance 1,070,729.90 1,831.61 0.00 1,072,561.71 Issuer Subtotal 0.787% 1,070,729.90 1,831.B1 0.00 1,072,561.71 Issuer: Capital One NA Certificates of Deposit - Bank Subtotal and Balance 245,000.00 245,000.00 Issuer Subtotal 0.180% 245,000.00 0.00 0.00 245,000.00 Issuer: Capital One Bank USA, NA Certificates of Deposit - Bank Subtotal and Balance 245,000.00 245,000.00 Issuer Subtotal 0.180% 245,01 0.00 0.00 245,000.00 Issuer: CELTIC BANK Negotiable CDs Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: Citi Bank NA Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 1 246,000.00 Issuer: Citizens State Bankl Certificates of Deposit - Bank 17670DAC8 1530 Citizens State Sankl 1.900 12/30/2021 0,00 245,000,00 Run Date, 06/31/2022-14.01 2022-10-19 Item #08D Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 39 of 88 City of Encinitas FY 22 Activity Report Page 3 July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Subtotal and Balance 245,DOO.DD 0.00 245,000.00 0.00 Issuer Subtotal 0.000% 245,000.00 0.00 245,000.00 0.00 Issuer: COMMERCE BANK GENEVA MN Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: City National Bank Metropolis Certificates of Deposit - Bank 17801G537 1551 City National Bank Metropolis 2.D00 D2/03/2022 0 DD 245,D00 DD Subtotal and Balance 245,000.00 0.00 245,000.00 0.00 Issuer Subtotal 0.000% 245,000.00 0.00 245,000.00 0.00 Issuer: COMMUNITY BANK Certificates of Deposit - Bank Subtotal and Balance 249,DOO.DO 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: Comenity Capital Bank Certificates of Deposit - Bank Subtotal and Balance 245,000.00 245,000.00 Issuer Subtotal 0.180% 245,000.00 0.00 0.00 245,000.00 Issuer: SD County Investment Pool Managed Pool Accounts SYS1584 1584 SD County Investment Pool 1.130 Subtotal and Balance 4,2DB,416.00 Issuer Subtotal 0.901% 4,211 Run Date, D6/31/2D22-14.D1 2022-10-19 Item #08D 20, 211.31 3, 000, 000.00 20,211.31 3,000, 000.00 1,228,627.31 20,211.31 3,000, 0D0.00 1,228,627.31 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 40 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: CORNHUSKER BANK Page 4 Ending Balance Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,001 0.00 0.00 249,000.00 Issuer: CENTERSTATE BANK NA Certificates of Deposit - Bank Subtotal and Balance 248,000.00 248,000.00 Issuer Subtotal 0.182% 248,000.00 0.00 0.00 248,000.00 Issuer: Denver Savings Bank Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,1)1 0.00 0.00 249,000.00 Issuer: EAGLEBANK Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: Enerbank USA Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Issuer: ENTERPRISE BANK AND TRUST Certificates of Deposit - Bank Subtotal and Balance Run Date, D6/31/2D22-14.D1 2022-10-19 249, 01[li 249, 000.00 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Item #08D Page 41 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Page 5 Ending Balance Issuer Subtotal 0.183% 249,DDD.DD 0.00 0.00 249,000.00 Issuer: EVERGREEN BANK GROUP Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: First Bank Puerto Rico Negotiable CDs Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: FEDERAL FARM CREDIT BANK Federal Agency Coupon Securities 3133EKNM4 1601 FEDERAL FARM CREDIT BANK 2.200 02/28/2022 0.00 2,000,000.00 Subtotal and Balance 5,000,000.00 0.00 2,000,000.00 3,000,000.00 Issuer Subtotal 2.200% 5,000,000.00 0.00 2,000,000.00 3,000,000.00 Issuer: Federal Farm Credit Federal Agency Coupon Securities 3133EHCTB 1536 Federal Farm Credit 2.150 03/15/2022 0.00 2,000,000.00 Subtotal and Balance 11,000,000.00 0.00 2,000,000.00 9,000,000.00 Issuer Subtotal 6.600% 11,000,000.00 0.00 2,000,000.00 9,000,000.00 Issuer: Federal Home Loan Bank Federal Agency Coupon Securities 3130A8QS5 1524 Federal Home Loan Bank 1.125 07/14/2021 3130AABG2 1555 Federal Home Loan Bank 1.875 11/29/2021 3130AEBM1 1573 Federal Home Loan Bank 2.750 06/10/2022 313378JP7 1575 Federal Home Loan Bank 2.375 09/10/2021 3130AG3Y9 1588 Federal Home Loan Bank 2.420 02/15/2022 Run Date:08/31/2022 -14:01 2022-10-19 Item #08D 0.00 2,000,000.00 0.00 2,000,000.00 0.00 2,000,000.00 0.00 2,000,000.00 0.00 2,000,000.00 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. 7.3.6.1 Page 42 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment # Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: Federal Home Loan Bank Page 6 Ending Balance Federal Agency Coupon Securities 3130AN4T4 1637 Federal Home Loan Bank 0.875 07/08/2021 2,000,000.00 0.00 Subtotal and Balance 10,000,000.00 2,000,000.00 10,000,000.00 2,000,000.00 Issuer Subtotal 1.467% 10,000,000.00 2,000,000.00 10,000,000.00 2,000,000.00 Issuer: Federal Home Loan Mortgage Federal Agency Coupon Securities 3134G9N94 1537 Federal Home Loan Mortgage 1.875 07/27/2021 0.00 2,000,000.00 3137EAEC9 1557 Federal Home Loan Mortgage 1.125 08/12/2021 0.00 2,000,000.00 Subtotal and Balance 4,000,000.00 0.00 4,000,000.00 0.00 Issuer Subtotal 0.000% 4,000,000.00 0.00 4,000,000.00 0.00 Issuer: FIRST SERVICE BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: FLAGSTAR BANK FSB Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: Federal Nat'l Mortgage Assoc. Federal Agency Coupon Securities 3135G06G3 1658 Federal Nat'l Mortgage Assoc. 0.500 03/09/2022 Subtotal and Balance 5,000,000.00 Issuer Subtotal 4.400% 5,000,000.00 Run Date:08/31/2022 -14:01 2022-10-19 Item #08D 1,000,000.00 0.00 1,000,000.00 0.00 6,000,000.00 1,000,000.00 0.00 6,000,000.00 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. 7.3.6.1 Page 43 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: FORTUNE BANK ARNOLD Page 7 Ending Balance Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: First State Bank Dequeen Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: 1ST SECURITY BK OF WASH Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: First Source Bank Certificates of Deposit - Bank Subtotal and Balance 246,001 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Issuer: Goldman Sachs Bank USA Certificates of Deposit - Bank 38148PKX4 1528 Goldman Sachs Bank USA 2.350 06/21/2022 0.00 245,000.00 Subtotal and Balance 245,000.00 0.00 245,000.00 0.00 Issuer Subtotal 0.000% 245,001 0.00 245,000.00 0.00 Issuer: Industrial & Comm Bank China Certificates of Deposit - Bank Run Date, D6/31/2D22-14.D1 2022-10-19 Item #08D Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 44 of 88 City of Encinitas FY 22 Activity Report Page 8 July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Subtotal and Balance 249,01(li 249,000.00 Issuer Subtotal 0.183% 249,01(li 0.00 0.00 249,000.00 Issuer: KS STATEBANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: CA LAIF Local Agency Investment Funds SYS1012 1012 CA LAIF 0.990 41,056,866 00 44,725,000,00 Subtotal and Balance 37,934,591.21 41,056,866.00 44,725,000.00 34,266,457.21 Issuer Subtotal 25.128% 37,934,591.21 41,056,865.00 44,725,000.00 34,266,457.21 Issuer: LCA Bank Corp Certificates of Deposit - Bank Subtotal and Balance 246,DOO.DO 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Issuer: LANDMARK COMMUNITY BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: LEGENDS BANK Certificates of Deposit - Bank Subtotal and Balance 249,001 Issuer Subtotal 0.183% 249.000.00 Run Date, D6/31/2D22-14.D1 2022-10-19 249,000.00 0.00 0.00 249,000.00 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Item #08D Page 45 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: LIVE OAK BANKING COMPANY Page 9 Ending Balance Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,001 0.00 0.00 249,000.00 Issuer: LUANA SAVINGS BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,01)1 0.00 0.00 249,000.00 Issuer: Medallion Bank UT Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,01 0.00 0.00 249,000.00 Issuer: Merrick Bank Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: MORGAN STANLEY PRIVATE BANK Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,000.00 0.00 0.00 246,000.00 Issuer: MIDCOUNTRY BANK Certificates of Deposit - Bank Subtotal and Balance Run Date, D6/31/2D22-14.D1 2022-10-19 249, 01[li 249, 000.00 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Item #08D Page 46 of 88 City of Encinitas FY 22 Activity Report Page 10 July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Issuer Subtotal 0.183% 249,DDG.DD 0.00 0.00 249,000.00 Issuer: Morgan Stanley Bank Certificates of Deposit - Bank Subtotal and Balance 246,000.00 246,000.00 Issuer Subtotal 0.180% 246,00.00 0.00 0.00 246,000.00 Issuer: NICOLET NATIONAL BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: NELNET BANK INC Certificates of Deposit - Bank 64034KAJO 1651 NELNET BANK INC 1.450 02/02/2022 248.000 00 000 Subtotal and Balance 0.00 248,000.00 0.00 248,000.00 Issuer Subtotal 0.182% 0.00 248,000.00 0.00 248,000.00 Issuer: NEW YORK COMMUNITY BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: PACIFIC ENTERPRISE BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.D0 0.00 0.00 249,000.00 Issuer: PADUCAH BANK AND TRUST Run Date, D6/31/2D22-14.D1 2022-10-19 Item #08D Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 47 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: PADUCAH BANK AND TRUST Page 11 Ending Balance Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: PEOPLES BANKISARDIS TN Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: POPPY BANK Certificates of Deposit - Bank Subtotal and Balance 249,001 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: REVERE BANK Certificates of Deposit - Bank Subtotal and Balance 247,001 247,000.00 Issuer Subtotal 0.181% 247,000.00 0.00 0.00 247,000.00 Issuer: STATE BANK OF INDIA Certificates of Deposit - Bank 855285C41 1650 STATE BANK OF INDIA 1.400 01/13/2022 248,000 00 0.00 Subtotal and Balance 0.00 248,000.00 0.00 248,000.00 Issuer Subtotal 0.182% 1 248,000.00 1 248,000.00 Issuer: Sallie Mae Bank/Murray Certificates of Deposit - Bank Run Date, D6/31/2D22-14.D1 2022-10-19 Item #08D Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 48 of 88 City of Encinitas FY 22 Activity Report Page 12 July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or Ending CUSIP Investment# Issuer of Portfolio Balance Rate Date Deposits Withdrawals Balance Subtotal and Balance 245,0OO.D0 245,000.00 Issuer Subtotal 0.180% 245,DOO.DD 0.00 0.00 245,000.00 Issuer: TIAA FSB Certificates of Deposit - Bank Subtotal and Balance 245,000.00 245,000.00 Issuer Subtotal 0.180% 245,000.00 0.00 0.00 245,000.00 Issuer: TOYOTA FINANCIAL SVGS BK Certificates of Deposit - Bank B9235MMP3 1649 TOYOTA FINANCIAL SVGS BK 1.350 01/13/2022 248,000 00 000 Subtotal and Balance 0.00 248,000.00 0.00 248,000.00 Issuer Subtotal 0.182% 0.00 248,000.00 0.00 248,000.00 Issuer: TRIAD BANK FRONTENAC MO Certificates of Deposit - Bank Subtotal and Balance 249,DOO.DO 249,000.00 Issuer Subtotal 0.183% 249,ODD.DO 0.00 0.00 249,000.00 Issuer: Union Bank Checking Acct. Passbook/Checking Accounts SYSID1D 101D Union Bank Checking Acct 87,297,965 42 86,758,95520 Subtotal and Balance 5,038,148.62 87,297,965.42 86,758,955.20 5,577,158.84 Issuer Subtotal 4.090% 5,038,148.62 87,297,965.42 85,758,955.20 5,577,158.84 Issuer: US BANK Money Market Funds SYS1004 1004 US BANK 1.370 Subtotal and Balance 19,360,1B9.54 Issuer Subtotal 2.993% 19,380,1B9.54 Run Date, D6/31/2D22 - 14.D1 2022-10-19 Item #08D 49,664,218 55 64,962,503,84 49,664,21B.55 64,962,503.B4 4,OB1,904.25 49,664,213.55 64,962,503.B4 4,081,904.25 Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. /-3.6.1 Page 49 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Par Value Percent Beginning Current Transaction Purchases or Redemptions or CUSIP Investment # Issuer of Portfolio Balance Rate Date Deposits Withdrawals Issuer: UBS BANK USA Page 13 Ending Balance Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: GREENSTATE CREDIT UNION Certificates of Deposit - Bank 39573LUE6 1648 GREENSTATE CREDIT UNION 1.350 01/14/2022 248,000,00 0.00 Subtotal and Balance 0.00 248,000.00 0.00 248,000.00 Issuer Subtotal 0.182% 0.00 248,000.00 0.00 248,000.00 Issuer: FIRST US BANK Certificates of Deposit - Bank Subtotal and Balance 249,000.00 249,000.00 Issuer Subtotal 0.183% 249,000.00 0.00 0.00 249,000.00 Issuer: U.S. Treasury Notes U.S. Treasury Coupon Securities 912828S76 1523 U.S. Treasury Notes 1.125 08/02/2021 0.00 2,000,000.00 912828T34 1556 U.S. Treasury Notes 1.125 09/30/2021 0.00 2,000,000.00 91282SF96 1574 U.S. Treasury Notes 2.000 11/01/2021 0.00 2,000,000.00 912828Y87 1634 U.S. Treasury Notes 1.750 07/08/2021 6,000,000.00 0.00 91282CBT7 1635 U.S. Treasury Notes 0.750 07/08/2021 2,000,000.00 0.00 91282CAP6 1636 U.S. Treasury Notes 0.125 07/08/2021 2,000,000.00 0.00 91282CBM2 1638 U.S. Treasury Notes 0.125 07/08/2021 2,000,000.00 0.00 91282CBQ3 1639 U.S. Treasury Notes 0.500 07/08/2021 2,000,000.00 0.00 91282CAB7 1640 U.S. Treasury Notes 0.250 07/08/2021 6,000,000.00 0.00 912828ZC7 1641 U.S. Treasury Notes 1.125 07/08/2021 2,000,000.00 0.00 912828YH7 1642 U.S. Treasury Notes 1.500 07/08/2021 2,000,000.00 0.00 91282CAJO 1643 U.S. Treasury Notes 0.250 07/08/2021 2,000,000.00 0.00 91282CAM3 1644 U.S. Treasury Notes 0.250 07/08/2021 2,000,000.00 0.00 912828ZW3 1645 U.S. Treasury Notes 0.250 07/08/2021 2,000,000.00 0.00 Run Date:08/31/2022 -14:01 2022-10-19 Item #08D Portfolio FY22 AC DA (PRF_DA) 7.2.0 Report Ver. 7.3.6.1 Page 50 of 88 City of Encinitas FY 22 Activity Report July 1, 2021 - June 30, 2022 Par Value Percent Beginning Current Transaction CUSIP Investment # Issuer of Portfolio Balance Rate Date Issuer: U.S. Treasury Notes Par Value Purchases or Redemptions or Deposits Withdrawals Page 14 Ending Balance U.S. Treasury Coupon Securities 912828YE4 1646 U.S. Treasury Notes 1.250 07/08/2021 2,000,000.00 0.00 912828YM6 1647 U.S. Treasury Notes 1.500 07/08/2021 1,000,000.00 0.00 912828ZFO 1652 U.S. Treasury Notes 0.500 03/09/2022 1,000,000.00 0.00 91282CDH1 1653 U.S. Treasury Notes 0.750 03/09/2022 1,000,000.00 0.00 91282CCJ8 1654 U.S. Treasury Notes 0.875 03/09/2022 1,000,000.00 0.00 91282CBR1 1655 U.S. Treasury Notes 0.250 03/09/2022 1,000,000.00 0.00 91282CCG4 1656 U.S. Treasury Notes 0.250 03/09/2022 2,000,000.00 0.00 91282CAT8 1657 U.S. Treasury Notes 0.250 03/09/2022 1,000,000.00 0.00 91282CCP4 1659 U.S. Treasury Notes 0.625 03/10/2022 4,000,000.00 0.00 Subtotal and Balance 19,000,000.00 44,000,000.00 6,000,000.00 57,000,000.00 Issuer Subtotal 41.798% 19,000,000.00 44,000,000.00 6,000,000.00 57,000,000.00 Issuer: Wells Fargo Bank Certificates of Deposit - Bank 949763JG2 1535 Wells Fargo Bank 2.250 06/30/2022 0.00 245,000.00 Subtotal and Balance 245,000.00 0.00 245,000.00 0.00 Issuer Subtotal 0.000% 245,000.00 0.00 245,000.00 0.00 Total 100.000% 135,007,075.27 226,033,093.09 224,671,459.04 136,368,709.32 Portfolio FY22 AC Run Date: 08/31/2022 - 14:01 DA (PRF_DA) 7.2.0 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 51 of 88 City of Encinitas-MTH Report Portfolio Management Interest Earnings Summary June 30, 2022 June 301VIonth Ending Fiscal Year To Date Page 1 CD/Coupon/Discount Investments: Interest Collected 109,959.08 1,434,289.34 Plus Accrued Interest at End of Period 291,834.68 291,834.70 Less Accrued Interest at Beginning of Period ( 304,051.37) ( 308,383.33) Less Accrued Interest at Purchase During Period ( 0.00) ( 106,577.27) Interest Earned during Period 97,742.39 1,311,163.44 Adjusted by Premiums and Discounts 10,145.13 37,480.94 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 107,887.52 1,348,644.38 Pass Through Securities: Interest Collected 0.00 0.00 Plus Accrued Interest at End of Period 0.00 0.00 Less Accrued Interest at Beginning of Period ( 0.00) ( 0.00) Less Accrued Interest at Purchase During Period ( 0.00) ( 0.00) Interest Earned during Period 0.00 0.00 Adjusted by Premiums and Discounts 0.00 0.00 Adjusted by Capital Gains or Losses 0.00 0.00 Earnings during Periods 0.00 0.00 Cash/Checking Accounts: Interest Collected 1,349.70 80,483.99 Plus Accrued Interest at End of Period 63,941.98 63,941.98 Less Accrued Interest at Beginning of Period ( 40,595.84) ( 37,452.19) Interest Earned during Period 24,695.84 106,973.78 Total Interest Earned during Period 122,438.23 1,418,137.22 Total Adjustments from Premiums and Discounts 10,145.13 37,480.94 Total Capital Gains or Losses 0.00 0.00 Data Updated: SET_MTH: 08/03/2022 14:47 Run Date: 08/03/2022 - 14:47 2022-10-19 Total Earnings during Period 132,583.36 1,455,618.16 Item #08D Portfolio ENCI AC PM (PRF_PM6) 7.3.0 Report Ver. 7.3.6.1 Page 52 of 88 CITY OF ENCINITAS City of Encinitas - YTD Report 505 S. VULCAN Interest Earnings Encinitas, CA 92024 (760)633-2641 Sorted by Security Type - Maturity Date July 1, 2021 - June 30, 2022 Yield on Beginning Book Value Adjusted Interest Earnings Ending Beginning Ending Maturity Current Annualized Interest Amortization/ Adjusted Interest CUSIP Investment # Fund Issuer Par Value Book Value Book Value Date Rate Yield Earned Accretion Earnings Security Type: Passbook/Checking Accounts SYS1010 1010 001 UBCKG 5,577,158.84 5,038,148.62 5,577,158.84 0.00 0.00 0.00 Subtotal 5,577,158.84 5,038,148.62 5,577,158.84 0.00 0.00 0.00 Security Type: Local Agency Investment Funds SYS1012 1012 001 LAIF 34,266,457.21 37,934,591.21 34,266,457.21 0.990 0.223 84,706.12 0.00 84,706.12 Subtotal 34,266,457.21 37,934,591.21 34,266,457.21 0.223 84,706.12 0.00 84,706.12 Security Type: Managed Pool Accounts SYS1584 1584 001 COUNTY 1,228,627.31 4,208,416.00 1,228,627.31 1.130 0.373 15,702.98 0.00 15,702.98 SYS1003 1003 001 CAMP 1,072,561.71 1,070,729.90 1,072,561.71 1.140 0.261 2,791.91 0.00 2,791.91 Subtotal 2,301,189.02 5,279,145.90 2,301,189.02 0.350 18,494.89 0.00 18,494.89 Security Type: Money Market Funds SYS1004 1004 001 UBCUST 4,081,904.25 19,380,189.54 4,081,904.25 1.370 0.019 3,772.77 0.00 3,772.77 Subtotal 4,081,904.25 19,380,189.54 4,081,904.25 0.019 3,772.77 0.00 3,772.77 Security Type: Certificates of Deposit - Bank 17670DAC8 1530 001 CITIZN 0.00 245,000.00 0.00 12/30/2021 1.900 1.900 2,321.13 0.00 2,321.13 17801GS67 1551 001 CNBMET 0.00 245,000.00 0.00 02/03/2022 2.000 2.000 2,913.13 0.00 2,913.13 38148PKX4 1528 001 GSBNK 0.00 245,000.00 0.00 06/21/2022 2,350 2.350 5,599.76 0.00 5,599.76 06653ABM5 1533 001 BKVIST 0.00 245,000.00 0.00 06/30/2022 2.000 2.000 4,886.56 0.00 4,886.56 949763JG2 1535 001 WFBANK 0.00 245,000.00 0.00 06/30/2022 2.250 2.250 5,497.36 0.00 5,497.36 140420301 1553 001 CAPONE 245,000.00 245,000.00 245,000.00 07/19/2022 2.300 2.300 5,635.00 0.00 5,635.00 14042RGN5 1552 001 CAPINA 245,000.00 245,000.00 245,000.00 07/19/2022 2.300 2.300 5,635.00 0.00 5,635.00 87270LAD5 1554 001 TIAAFS 245,000.00 245,000.00 245,000.00 07/19/2022 2.150 2.150 5,267.50 0.00 5,267.50 5840413131-4 1561 001 MEDALL 249,000.00 249,000.00 249,000.00 03/28/2023 2.900 2.900 7,221.01 0.00 7,221.01 05580AMB7 1562 001 BMWBNK 246,000.00 246,000.00 246,000.00 03/29/2023 2.900 2.900 7,134.00 0.00 7,134.00 17312QH69 1563 001 CITIBK 246,000.00 246,000.00 246,000.00 03/29/2023 2.850 2.850 7,011.00 0.00 7,011.00 45581 EASO 1564 001 INDUST 249,000.00 249,000.00 249,000.00 03/29/2023 2.900 2.900 7,221.01 0.00 7,221.01 Portfolio ENCI Data Updated: SET_ANNU: 08/15/2022 15:08 AC Run Date: 08115/2022 - 15:08 No fiscal year history available IE (PRF_IE) 7.2.0 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 53 of 88 City of Encinitas -YTD Report Interest Earnings Page 2 July 1, 2021 - June 30, 2022 Adjusted Interest Earnings Ending Beginning Ending Maturity Current Annualized Interest Amortization/ Adjusted Interest CUSIP Investment # Fund Issuer Par Value Book Value Book Value Date Rate Yield Earned Accretion Earnings Security Type: Certificates of Deposit - Bank 61747MR37 1565 001 MORSTN 246,000.00 246,000.00 246,000.00 03/29/2023 2.900 2.900 7,134.00 0.00 7,134.00 501798LT7 1566 001 LCABNK 246,000.00 246,000.00 246,000.00 03/29/2023 2.800 2.800 6,888.00 0.00 6,888.00 29278TAU4 1568 001 ENERBK 246,000.00 246,000.00 246,000.00 03/29/2023 2.850 2.850 7,011.00 0.00 7,011.00 33646CJPO 1569 001 FSRCBK 246,000.00 246,000.00 246,000.00 04/11/2023 2.850 2.850 7,011.00 0.00 7,011.00 249398BT4 1596 001 DENSVB 249,000.00 249,000.00 249,000.00 06/21/2023 2.250 2.250 5,602.51 0.00 5,602.51 02589AAM4 1580 001 AMEXNL 245,000.00 245,000.00 245,000.00 06/26/2023 3.300 3.300 8,085.00 0.00 8,085.00 795450589 1570 001 SMAEBN 245,000.00 245,000.00 245,000.00 06/27/2023 3.300 3.300 8,085.00 0.00 8,085.00 20033AZK5 1571 001 COMNTY 245,000.00 245,000.00 245,000.00 06/29/2023 3.300 3.300 8,084.99 0.00 8,084.99 020080BUD 1619 001 ALMABK 249,000.00 249,000.00 249,000.00 09/29/2023 0.900 0.900 2,240.98 0.00 2,240.98 33640VDE5 1609 001 FIRSTS 249,000.00 249,000.00 249,000.00 11/15/2023 1.700 1300 4,233.04 0.00 4,233.04 59013KAR7 1597 001 MERRBK 249,000.00 249,000.00 249,000.00 12/28/2023 2.400 2A00 5,976.00 0.00 5,976.00 06251AW48 1585 001 BKHAPO 246,000.00 246,000.00 246,000.00 03/25/2024 2.900 2,900 7,134.00 0.00 7,134.00 34969RCS5 1616 001 FORTUB 249,000.00 249,000.00 249,000.00 03/27/2024 1.000 1.000 2,490.01 0.00 2,490.01 654062JRD 1625 001 NOBS 249,000.00 249,000.00 249,000.00 03/28/2024 1.150 1.150 2,863.51 0.00 2,863.51 219255AK2 1623 001 CRNHSK 249,000.00 249,000.00 249,000.00 03/29/2024 1.100 1.100 2,739.00 0.00 2,739.00 61760AG52 1593 001 MGSTPB 246,000.00 246,000.00 246,000.00 06/13/2024 2.600 2.600 6,396.00 0.00 6,396.00 27002YEQ5 1594 001 EGLEBK 249,000.00 249,000.00 249,000.00 06/20/2024 2.300 2.300 5,726.97 0.00 5,726.97 200056QRZ8 1595 001 CMBKGN 249,000.00 249,000.00 249,000.00 06/26/2024 2.300 2.300 5,726.97 0.00 5,726.97 336460CQ1 1598 001 FSBDQ 249,000.00 249,000.00 249,000.00 06/28/2024 2.300 2.300 5,726.97 0.00 5,726.97 761400BY1 1599 001 RVBANK 247,000.00 247,000.00 247,000.00 06/28/2024 2.300 2.300 5,681.00 0.00 5,681.00 52465JHT7 1618 001 LEGEND 249,000.00 249,000.00 249,000.00 09/30/2024 1.000 1.000 2,490.02 0.00 2,490.02 710673ACS 1624 001 PEBATN 249,000.00 249,000.00 249,000.00 09/30/2024 1.000 1.000 2,490.02 0.00 2,490.02 33847E4E4 1626 001 FLGSB 249,000.00 249,000.00 249,000.00 09/30/2024 0.400 0.400 996.00 0.00 996.00 73319FAD1 1611 001 POPBK 249,000.00 249,000.00 249,000.00 11/04/2024 1.650 1.650 4,108.47 0.00 4,108.47 29367SJQB 1607 001 ENTERB 249,000.00 249,000.00 249,000.00 11/08/2024 1.800 1.800 4,481.96 0.00 4,481.96 203522AT4 1610 001 COMMBK 249,000.00 249,000.00 249,000.00 11/08/2024 1.650 1.650 4,108.47 0.00 4,108.47 89579NCB7 1612 001 TRIADB 249,000.00 249,000.00 249,000.00 11/08/2024 1.800 1.800 4,481.96 0.00 4,481.96 695292FP2 1613 001 PADUCA 249,000.00 249,000.00 249,000.00 11/08/2024 1.650 1.650 4,108.47 0.00 4,108.47 300185JF3 1615 001 EVRGRN 249,000.00 249,000.00 249,000.00 03/26/2025 1.000 1.000 2,490.01 0.00 2,490.01 595650CS2 1617 001 MIDCBK 249,000.00 249,000.00 249,000.00 03/27/2025 1.000 1.000 2,490.01 0.00 2,490.01 15201QCJ4 1620 001 CTRSTE 248,000.00 248,000.00 248,000.00 03/31/2025 1.000 1.000 2,480.00 0.00 2,480.00 694231AD3 1621 001 PACENT 249,000.00 249,000.00 249,000.00 03/31/2025 1.150 1.150 2,863.51 0.00 2,863.51 538036KU7 1622 001 LIVOAK 249,000.00 249,000.00 249,000.00 03/31/2025 1.100 1.100 2,739.01 0.00 2,739.01 549104SS7 1627 001 LUANSB 249,000.00 249,000.00 249,000.00 10/02/2025 0.400 0.400 996.00 0.00 996.00 33625CDV8 1629 001 FSECWA 249,000.00 249,000.00 249,000.00 10/15/2025 0.400 0.400 995.98 0.00 995.98 51507LBZ6 1628 001 LDMCB 249,000.00 249,000.00 249,000.00 10/29/2025 0.400 0.400 995.97 0.00 995.97 33744AAW9 1630 001 USBI 249,000.00 249,000.00 249,000.00 11/18/2025 0.400 0.400 995.98 0.00 995.98 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC IE (PRF_IE) 7.2.0 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 54 of 88 City of Encinitas -YTD Report Interest Earnings Page 3 July 1, 2021 - June 30, 2022 Adjusted Interest Earnings Ending Beginning Ending Maturity Current Annualized Interest Amortization/ Adjusted Interest CUSIP Investment # Fund Issuer Par Value Book Value Book Value Date Rate Yield Earned Accretion Earnings Security Type: Certificates of Deposit - Bank 50116CCP2 1631 001 KANBNK 249,000.00 249,000.00 249,000.00 11/28/2025 0.450 0.450 1,120.55 0.00 1,120.55 90348JN48 1632 001 UBS 249,000.00 249,000.00 249,000.00 06/23/2026 0.750 0.750 1,867.49 0.00 1,867.49 649447UZO 1633 001 NYCB 249,000.00 249,000.00 249,000.00 07/01/2026 0.700 0.700 1,743.00 0.00 1,743.00 89235MMP3 1649 001 TOYFBN 248,000.00 0.00 248,000.00 01/13/2027 1.350 1.350 1,550.17 0.00 1,550.17 856285C41 1650 001 SBIIN 248,000.00 0.00 248,000.00 01/13/2027 1.400 1.400 1,607.58 0.00 1,607.58 39573LCE6 1648 001 UNIICC 248,000.00 0.00 248,000.00 01/14/2027 1.350 1.350 1,531.83 0.00 1,531.83 64034KAJO 1651 001 NELNTB 248,000.00 0.00 248,000.00 02/02/2027 1.450 1.450 1,467.95 0.00 1,467.95 Subtotal 12,644,000.00 12,877,000.00 12,644,000.00 1.806 236,378.82 0.00 236,378.82 Security Type: Negotiable CDs 15118RSN8 1614 D01 CELTIC 249,000.00 249,000.00 249,000.00 10/30/2023 1.600 1.600 3,984.02 0.00 3,984.02 33767GAMO 1608 991 FBPR 249,000.00 249,000.00 249,000.00 10/25/2024 1.850 1.850 4,606.54 0.00 4,606.54 Subtotal 498,000.00 498,000.00 498,000.00 1.725 8,590.56 0.00 8,590.56 Security Type: U.S. Treasury Coupon Securities 912828576 1523 001 UST 0.00 1,998,962.43 0.00 07/31/2021 1.125 1.766 1,864.64 1,037.57 2,902.21 912828T34 1556 001 UST 0.00 1,993,350.17 0.00 09/30/2021 1.125 2.464 5,594.26 6,649.83 12,244.09 912828F96 1574 001 UST 0.00 1,995,869.53 0.00 10/31/2021 2.000 2.607 13,260.87 4,130.47 17,391.34 912828XQ8 1578 001 UST 4,000,000.00 3,971,285.93 3,997,819.18 07/31/2022 2.000 2.683 80,000.00 26,533.25 106,533.25 9128281-24 1572 001 UST 2,000,000.00 1,981,692.04 1,997,378.44 08/31/2022 1.875 2.684 37,500.00 15,686.40 53,186.40 9128282W9 1579 001 UST 2,000,000.00 1,980,414.26 1,996,091.44 09/30/2022 1.875 2.685 37,500.00 15,677.18 53,177.18 912828592 1592 001 UST 3,000,000.00 2,944,777.88 2,971,299.03 07/31/2023 1.250 2.174 37,500.00 26,521.15 64,021.15 9128282D1 1604 001 UST 2,000,000.00 1,985,269.11 1,992,066.55 08/31/2023 1.375 1.728 27,500.00 6,797.44 34,297.44 91282CAP6 1636 001 UST 2,000,000.00 0.00 1,996,804.13 10/15/2023 0.125 0.250 2,452.19 2,429.13 4,881.32 91282CBM2 1638 001 UST 2,000,000.00 0.00 1,994,296.71 02/15/2024 0.125 0.302 2,451.66 3,437.33 5,888.99 91282CBR1 1655 001 UST 1,000,000.00 0.00 977,810.38 03/15/2024 0.250 1.590 775.14 4,060.38 4,835.52 91282CCG4 1656 001 UST 2,000.000.00 0.00 1,947,307.56 06/15/2024 0.250 1.646 1,564.73 8,401.31 9,966.04 912828Y87 1634 001 UST 6,000.000.00 0.00 6,168,317.69 07/31/2024 1.750 0.388 102,969.61 -79,182.31 23,787.30 912828YE4 1646 001 UST 2,000,000.00 0.00 2,035,726.09 08/31/2024 1.250 0.416 24,524.46 -16,148.91 8,375.55 912828YH7 1642 001 UST 2,000,000.00 0.00 2,047,674.26 09/30/2024 1.500 0.427 29,426.23 -20,763.24 8,662.99 912828YM6 1647 001 UST 1,000.000.00 0.00 1,024,212.94 10/31/2024 1.500 0,449 14,714.67 -10,162.06 4,552.61 91282CDH1 1653 001 UST 1,000.000.00 0.00 978,316.57 11/15/2024 0.750 1.705 2,346.00 2,847.82 5,193.82 912828ZC7 1641 001 UST 2,000.000.00 0.00 2,031,297.19 02/28/2025 1.125 0.527 22,072.01 -11,515.31 10,556.70 912828ZFO 1652 001 UST 1,000,000.00 0.00 967,867.29 03/31/2025 0.500 1.729 1,559.03 3,648.54 5,207.57 912828ZW3 1645 001 UST 2,000.000.00 0.00 1,979,275.64 06/30/2025 0.250 0.604 4,904.89 6,775.64 11,680.53 91282CAB7 1640 001 UST 6,000,000.00 0.00 5,931,711.59 07/31/2025 0.250 0.628 14,709.95 21,711.59 36,421.54 91282CAJO 1643 001 UST 2,000,000.00 0.00 1,975,895.83 08/31/2025 0.250 0.640 4,904.90 7,458.33 12,363.23 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC IE (PRF_IE) 7.2.0 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 55 of 88 City of Encinitas -YTD Report Interest Earnings July 1, 2021 - June 30, 2022 Ending Beginning Ending Maturity Current Annualized CUSIP Investment # Fund Issuer Par Value Book Value Book Value Date Rate Yield Security Type: U.S. Treasury Coupon Securities 91282CAM3 1644 001 UST 2,000.000.00 0.00 1,974,550.57 09/30/2025 91282CATB 1657 001 UST 1,000,000.00 0.00 951,493.18 10/31/2025 91282CBQ3 1639 001 UST 2,000,000.00 0.00 1,984,160.07 02/28/2026 91282CBT7 1635 001 UST 2,000,000.00 0.00 2,000,990.88 03/31/2026 91282CCJS 1654 001 UST 1,000,000.00 0.00 965,940.68 06/30/2026 91282CCP4 1659 001 UST 4,000,000.00 0.00 3,820,780.87 07/31/2026 Subtotal 57,000,000.00 18,851,621.35 56,709,084.76 Security Type: Federal Agency Coupon Securities 3130A8QS5 1524 001 FHLB 0.00 1,999,540.14 0.00 07/14/2021 3134G9N94 1537 001 FHLMC 0.00 2,000,228.99 0.00 07/27/2021 3137EAEC9 1557 991 FHLMC 0.00 1,997,032.37 0.00 08/12/2021 313378JP7 1575 001 FHLB 0.00 1,998,811.81 0.00 09/10/2021 3130AABG2 1555 001 FHLB 0.00 1,994,967.35 0.00 11/29/2021 3130AG3Y9 1588 001 FHLB 0.00 2,002,343.58 0.00 02/15/2022 3133EKNM4 1601 001 FFCB 0.00 2,005,637.74 0.00 02/28/2022 3133EHCTB 1536 001 FFCRED 0.00 2,004,369.64 0.00 03/15/2022 3130AEBM1 1573 001 FHLB 0.00 1,999,451.03 0.00 06/10/2022 3135GOT78 1603 001 FNMA 1,000,000.00 1,003,169.53 1,000,656.25 10/05/2022 3135GOT78 1589 001 FNMA 2,000,000.00 1,995,409.87 1,999,049.62 10/05/2022 3133EDWWB 1600 001 FFCRED 1,000,000.00 1,009,971.44 1,002,081.95 10/06/2022 3133EC404 1558 001 FFCRED 2,000,000.00 1,977,101.75 1,993,522.81 11/23/2022 3133EJBP3 1590 001 FFCRED 2,000,000.00 2,008,760.83 2,003,237.36 02/02/2023 3133EKSN7 1605 001 FFCRED 4,000,000.00 3,997,710.01 3,998,863.01 06/26/2023 3133EHST1 1591 001 FFCB 1,000,000.00 995,598.81 997,725.56 07/26/2023 3135GOU43 1602 001 FNMA 2,000,000.00 2,045,237.27 2,024,648.88 09/12/2023 3133EHN25 1606 001 FFCB 2,000,000.00 2,017,626.58 2,010,072.33 11/01/2023 3135GO6G3 1658 001 FNMA 1,000,000.00 0.00 957,634.45 11/07/2025 3130AN4T4 1637 001 FHLB 2,000.000.00 0.00 2,008,090.25 06/12/2026 Subtotal 20,000,000.00 35,052,968.74 19,995,582.47 Total 136,368,709.32 134,911,665.36 136,073,376.55 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available 2022-10-19 Item #08D Page 4 Adjusted Interest Earnings Interest Amortization/ Adjusted Interest Earned Accretion Earnings 0.250 0.652 4,904.37 7,675.57 12,579.94 0.250 1.799 780.32 4,540.05 5,320.37 0.500 0.723 9,809.78 4,238.19 14,047.97 0.750 0.736 14,713.11 -259.12 14,453.99 0.875 1.800 2,755.13 2,659.43 5,414.56 0.625 1.833 7,803.87 13,781.56 21,585.43 1.137 510,861.82 58,667.21 569,529.03 1.125 1.787 812.50 459.86 1,272.36 1.875 1.740 2,708.33 -228.99 2,479.34 1.125 2.407 2,562.50 2,967.63 5,530.13 2.375 2.647 9,104.17 1,188.19 10,292.36 1.875 2,478 15,416.67 5,032.65 20,449.32 2.420 2.211 30,115.56 -2,343.58 27,771.98 2.200 1.754 28,966.67 -5,637.74 23,328.93 2.150 1.840 30,338.89 -4,369.64 25,969.25 2.750 2.778 51,791.67 548.97 52,340.64 2.000 1.743 20,000.00 -2,513.28 17,486.72 2.000 2.187 40,000.00 3,639.75 43,639.75 2.600 1.793 26,000.00 -7,889.49 18,110.51 1.820 2.672 36,400.00 16,421.06 52,821.06 2.500 2.214 50,000.00 -5,523.47 44,476.53 1.770 1.800 70,800.00 1,153.00 71,953.00 2.010 2.233 20,100.00 2,126.75 22,226.75 2.875 1.805 57,500.00 -20,588.39 36,911.61 2.200 1306 44,000.00 -7,554.25 36,445.75 0.500 1.843 1,555.56 3,934.45 5,490.01 0.875 0.768 17,159.72 -2,009.75 15,149.97 1.989 555,332.24 -21,186.27 534,145.97 0.920 1,418,137.22 37,480.94 1,455,618.16 Portfolio ENCI AC IE (PRF_IE) 7.2.0 Report Ver. 7.3.6.1 Page 56 of 88 CITY OF ENCINITAS City of Encinitas 505 S. VULCAN •— Purchases Report Encinitas, CA 92024 (760)633-2641 Sorted by Issuer - Purchase Date July 1, 2021 - June 30, 2022 Sec. Original Purchase Principal Accrued Interest Rate at Maturity Ending CUSIP Investment # Fund Type Issuer Par Value Date Payment Periods Purchased at Purchase Purchase Date YTM Book Value Federal Home Loan Bank 3130AN4T4 1637 001 FAC FHLB 2,000,000.00 07/08/2021 12/12 - 06/12 2.010.100.00 Received 0.875 06/12/2026 0.770 2,008,090.25 Subtotal 2,000,000.00 2,010,100.00 0.00 2,008,090.25 Federal Nat'l Mortgage Assoc. 3135G06G3 1658 001 FAC FNMA 1,000,000.00 03/09/2022 05/07 - 11/07 953,700.00 Received 0.500 11/07/2025 1.813 957,634.45 Subtotal 1,000,000.00 953,700.00 0.00 957,634.45 NELNET BANK INC 64034KAJO 1651 001 BCD NELNTB 248,000.00 02/02/2022 08/02 - 02/02 248,000.00 1.450 02/02/2027 1.450 248,000.00 Subtotal 248,000.00 248,000.00 0.00 248,000.00 STATE BANK OF INDIA 856285C41 1650 001 BCD SBIIN 248,000.00 01/13/2022 07/13 - 01/13 248,000.00 1.400 01/13/2027 1.400 248,000.00 Subtotal 248,000.00 248,000.00 0.00 248,000.00 TOYOTA FINANCIAL SVGS BK 89235MMP3 1649 001 BCD TOYFBN 248,000.00 01/13/2022 07/13 - 01/13 248,000.00 1.350 01/13/2027 1.350 248,000.00 Subtotal 248,000.00 248,000.00 0.00 248,000.00 GREENSTATE CREDIT UNION 39573LCE6 1648 001 BCD UNIICC 248,000.00 01/14/2022 02/01 - Monthly 248,000.00 1.350 01/14/2027 1.350 248,000.00 Subtotal 248,000.00 248,000.00 0.00 248,000.00 U.S. Treasury Notes 912828Y87 1634 001 TRC UST 91282CBT7 1635 001 TRC UST 91282CAP6 1636 001 TRC UST 91282CBM2 1638 001 TRC UST 91282CBQ3 1639 001 TRC UST 91282CAB7 1640 001 TRC UST 912828ZC7 1641 001 TRC UST 912828YH7 1642 001 TRC UST 91282CAJO 1643 001 TRC UST Received = Accrued Interest at Purchase was received by report ending date Run Date: 08/08/2022 - 14:01 2022-10-19 6,000,000.00 07/08/2021 07/31 - 01/31 6,247,500.00 2,000,000.00 07/08/2021 09/30 - 03/31 2,001,250.00 2,000,000.00 07/08/2021 10/15 - 04/15 1,994,375.00 2,000,000.00 07/08/2021 08/15 - 02/15 1,990,859.38 2,000,000.00 07/08/2021 08/31 - 02/28 1,979,921.88 6,000,000.00 07/08/2021 07/31 - 01/31 5,910,000.00 2,000,000.00 07/08/2021 08/31 - 02/28 2,042,812.50 2,000,000.00 07/08/2021 09/30 - 03/31 2,068,437.50 2,000,000.00 07/08/2021 08/31 - 02/28 1,968,437.50 Item #08D Received 1.750 07/31/2024 0.394 6,168,317.69 Received 0.750 03/31/2026 0.736 2,000,990.88 Received 0.125 10/15/2023 0.249 1,996,804.13 Received 0.125 02/15/2024 0.301 1,994,296.71 Received 0.500 02/28/2026 0.720 1,984,160.07 Received 0.250 07/31/2025 0.624 5,931,711.59 Received 1.125 02/28/2025 0.531 2,031,297.19 Received 1.500 09/30/2024 0.432 2,047,674.26 Received 0.250 08/31/2025 0.636 1,975,895.83 Portfolio ENCI AC PU (PRF_PU) 7.1.1 Report Ver. 7.3.6.1 Page 57 of 88 City of Encinitas Purchases Report Page 2 July 1, 2021 - June 30, 2022 Sec. Original Purchase Principal Accrued Interest Rate at Maturity Ending CUSIP Investment # Fund Type Issuer Par Value Date Payment Periods Purchased at Purchase Purchase Date YTM Book Value U.S. Treasury Notes 91282CAM3 1644 001 TRC UST 2,000,000.00 07/08/2021 09/30-03/31 1,966,875.00 Received 0.250 09/30/2025 0.648 1,974,550.57 912828ZW3 1645 001 TRC UST 2,000,000.00 07/08/2021 12/31 -06/30 1,972,500.00 Received 0.250 06/30/2025 0.600 1,979,275.64 912828YE4 1646 001 TRC UST 2,000,000.00 07/08/2021 08/31 -02/28 2,051,875.00 Received 1.250 08/31/2024 0.419 2,035,726.09 912828YM6 1647 001 TRC UST 1,000,000.00 07/08/2021 10/31 -04/30 1,034,375.00 Received 1.500 10/31/2024 0.453 1,024,212.94 912828ZFG 1652 001 TRC UST 1,000,000.00 03/09/2022 03/31 -09/30 964,218.75 Received 0.500 03/31/2025 1.705 967,867.29 91282CDH1 1653 001 TRC UST 1,000,000.00 03/09/2022 05/15 - 11/15 975,468.75 Received 0.750 11/15/2024 1.688 978,316.57 91282CCJS 1654 001 TRC UST 1,000,000.00 03/09/2022 06/30 - 12/31 963,281.25 Received 0.875 06/30/2026 1.763 965,940.68 91282CBR1 1655 001 TRC UST 1,000,000.00 03/09/2022 03/15 - 09/15 973,750.00 Received 0.250 03/15/2024 1.578 977,810.38 91282CCG4 1656 001 TRC UST 2,000,000.00 03/09/2022 06/15 - 12/15 1,938,906.25 Received 0.250 06/15/2024 1.627 1,947,307.56 91282CAT8 1657 001 TRC UST 1,000,000.00 03/09/2022 04/30 - 10/31 946,953.13 Received 0.250 10/31/2025 1.759 951.493.18 91282CCP4 1659 001 TRC UST 4,000,000.00 03/10/2022 07/31 -01/31 3,804,375.00 2,624.31 0.625 07/31/2026 1,787 3,820,780.87 Subtotal 44,000,000.00 43,796,171.89 2,624.31 43,754,430.12 Total Purchases 47,992,000.00 47,751,971.89 2,624.31 47,712,154.82 Received = Accrued Interest at Purchase was received by report ending date. Run Dale: DB/DB12322 - 14, 01 Portfolio ENCI AC PU (PRF_PU) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 58 of 88 CITY OF ENCINITAS _ City of Encinitas 505 S. VULCAN �---� Accrued Interest Encinitas, CA 92024 (760)633-2641 Sorted by Security Type - Maturity Date July 1, 2021 - June 30, 2022 Adjusted Acc'd Int. Security Par Maturity Current * Beginning at Purchase Interest Interest * Ending CUSIP Investment # Type Value Date Rate Accrued Interest During Period Earned Received Accrued Interest Local Agency Investment Funds SYS1012 1012 LA5 34,266,457.21 0.990 29,804.98 0.00 84,706.12 56,866.00 57,645.10 Subtotal 34,266,457.21 29,804.98 0.00 84,706.12 56,866.00 57,645.10 Managed Pool Accounts SYS1003 1003 LA1 1,072,561.71 1.140 44.21 0.00 2,791.91 1,831.81 1,004.31 SYS1584 1584 LA1 1,228,627.31 1.130 7,280.85 0.00 15,702.98 20,211.31 2,772.52 Subtotal 2,301,189.02 7,325.06 0.00 18,494.89 22,043.12 3,776.83 Money Market Funds SYS1004 1004 LA3 4,081,904.25 1.370 322.13 0.00 3,772.77 1,574.87 2,520.03 Subtotal 4,081,904.25 322.13 0.00 3,772.77 1,574.87 2,520.03 Certificates of Deposit - Bank 17670DAC8 1530 BCD 0.00 12/30/2021 1.900 12.76 0.00 2,321.13 2,333.88 0.01 17801GSB7 1551 BCD 0.00 02/03/2022 2.000 375.90 0.00 2,913.13 3,289.02 0.01 38148PKX4 1528 BCD 0.00 06/21/2022 2.350 157.74 0.00 5,599.76 5,757.50 0.00 06653ABM5 1533 BCD 0.00 06/30/2022 2.000 13.42 0.00 4,886.56 4,899.98 0.00 949763JG2 1535 BCD 0.00 06/30/2022 2.250 14.87 0.00 5,497.36 5,512.52 -0.29 14042RGN5 1552 BCD 245,000.00 07/19/2022 2.300 2,516.45 0.00 5,635.00 5,635.00 2,516.45 1404203Q1 1553 BCD 245,000.00 07/19/2022 2.300 2,516.45 0.00 5,635.00 5,635.00 2,516.45 872701LAD5 1554 BCD 245,000.00 07/19/2022 2.150 2,352.33 0.00 5,267.50 5,267.50 2,352.33 58404DBL4 1561 BCD 249,000.00 03/28/2023 2.900 59.35 0.00 7,221.01 7,221.01 59.35 05580AMB7 1562 BCD 246,000.00 03/29/2023 2.900 1,837.25 0.00 7,134.00 7,134.00 1,837.25 17312OH69 1563 BCD 246,000.00 03/29/2023 2.850 1,805.57 0.00 7,011.00 7,011.00 1,805.57 29278TAU4 1568 BCD 246,000.00 03/29/2023 2.850 1,805.57 0.00 7,011.00 7,011.00 1,805.57 45581 EASO 1564 BCD 249,000.00 03/29/2023 2.900 39.56 0.00 7,221.01 7,221.01 39.56 501798LT7 1566 BCD 246,000.00 03/29/2023 2.800 1,773.90 0.00 6,888.00 6,888.00 1,773.90 61747MR37 1565 BCD 246,000.00 03/29/2023 2.900 1,837.25 0.00 7,134.00 7,134.00 1,837.25 33646CJPO 1569 BCD 246,000.00 04/11/2023 2.850 1,555.86 0.00 7,011.00 7,011.00 1,555.86 249398BT4 1596 BCD 249,000.00 06/21/2023 2.250 138.14 0.00 5,602.51 5,602.51 138.14 02589AAM4 1580 BCD 245,000.00 06/26/2023 3.300 110.75 0.00 8,085.00 8,085.00 110.75 795450S89 1570 BCD 245,000.00 06/27/2023 3.300 88.60 0.00 8,085.00 8,085.00 88.60 20033AZK5 1571 BCD 245,000.00 06/29/2023 3.300 44.30 0.00 8,084.99 8,084.99 44.30 020080BUO 1619 BCD 249,000.00 09/29/2023 0.900 0.00 0.00 2,240.98 2,240.98 0.00 33640VDE5 1609 BCD 249,000.00 11/15/2023 1.700 173.96 0.00 4,233.04 4,233.04 173.96 Beginning Accrued may not include investments that redeemed in the previous month that had outstanding accrued interest. Ending Accrued includes outstanding purchase interest. Portfolio ENCI AC Run Date: 08/03/2022 - 15:48 Al (PRF_AI) 7.2.8 2022-10-19 Item #08D Page 59 of 8&rt Ve,. 7.3.6.1 City of Encinitas Accrued Interest CUSIP Investment # Security Type Par Value Sorted by Security Type - Maturity Maturity Current Beginning Date Rate Accrued Interest Date Adjusted Acc'd Int. at Purchase During Period Interest Earned Interest Received Page 2 " Ending Accrued Interest Certificates of Deposit - Bank 59013KAR7 1597 BCD 249,000.00 12/28/2023 2.400 32.75 0.00 5,976.00 5,976.00 32.75 06251AW48 1585 BCD 246,000.00 03/25/2024 2.900 1,915.43 0.00 7,134.00 7,134.00 1,915.43 34969RCS5 1616 BCD 249,000.00 03/27/2024 1.000 20.47 0.00 2,490.01 2,490.01 20.47 654062JRO 1625 BCD 249,000.00 03/28/2024 1.150 -15.68 0.00 2,863.51 2,855.67 -7.84 219255AK2 1623 BCD 249,000.00 03/29/2024 1.100 0.00 0.00 2,739.00 2,739.00 0.00 61760AG52 1593 BCD 246,000.00 06/13/2024 2.600 315.42 0.00 6,396.00 6,396.00 315.42 27002YEQ5 1594 BCD 249,000.00 06/20/2024 2.300 156.90 0.00 5,726.97 5,726.97 156.90 200056QRZ8 1595 BCD 249,000.00 06/26/2024 2.300 62.76 0.00 5,726.97 5,726.97 62.76 336460CQ1 1598 BCD 249,000.00 06/28/2024 2.300 31.38 0.00 5,726.97 5,726.97 31.38 761400BY1 1599 BCD 247,000.00 06/28/2024 2.300 46.69 0.00 5,681.00 5,681.00 46.69 33847E4E4 1626 BCD 249,000.00 09/30/2024 0.400 253.77 0.00 996.00 996.00 253.77 52465JHT7 1618 BCD 249,000.00 09/30/2024 1.000 0.00 0.00 2,490.02 2,490.02 0.00 710673AC8 1624 BCD 249,000.00 09/30/2024 1.000 -13.63 0.00 2,490.02 2,483.19 -6.80 73319FAD1 1611 BCD 249,000.00 11/04/2024 1.650 292.66 0.00 4,108.47 4,108.47 292.66 203522AT4 1610 BCD 249,000.00 11/08/2024 1.650 247.63 0.00 4,108.47 4,108.47 247.63 29367SJQ8 1607 BCD 249,000.00 11/08/2024 1.800 270.15 0.00 4,481.96 4,481.96 270.15 695292FP2 1613 BCD 249,000.00 11/08/2024 1.650 247.63 0.00 4,108.47 4,108.47 247.63 89579NCB7 1612 BCD 249,000.00 11/08/2024 1.800 270.15 0.00 4,481.96 4,481.96 270.15 300185JF3 1615 BCD 249,000.00 03/26/2025 1.000 27.29 0.00 2,490.01 2,490.01 27.29 59565QCS2 1617 BCD 249,000.00 03/27/2025 1.000 20.47 0.00 2,490.01 2,490.01 20.47 15201QCJ4 1620 BCD 248,000.00 03/31/2025 1.000 631.89 0.00 2,480.00 2,480.00 631.89 538036KU7 1622 BCD 249,000.00 03/31/2025 1.100 217.62 0.00 2,739.01 2,739.01 217.62 694231AD3 1621 BCD 249,000.00 03/31/2025 1.150 0.00 0.00 2,863.51 2,863.51 0.00 549104SS7 1627 BCD 249,000.00 10/02/2025 0.400 245.59 0.00 996.00 996.00 245.59 33625CDVB 1629 BCD 249,000.00 10/15/2025 0.400 46.39 0.00 995.98 995.98 46.39 51507LBZ6 1628 BCD 249,000.00 10/29/2025 0.400 2.73 0.00 995.97 995.97 2.73 33744AAW9 1630 BCD 249,000.00 11/18/2025 0.400 32.74 0.00 995.98 995.98 32.74 50116CCP2 1631 BCD 249,000.00 11/28/2025 0.450 0.00 0.00 1,120.55 1,120.55 0.00 90348JN48 1632 BCD 249,000.00 06/23/2026 0.750 35.81 0.00 1,867,49 1,867.49 35.81 649447UZO 1633 BCD 249,000.00 07/01/2026 0.700 4.78 0.00 1,743.00 1,743.00 4.78 856285C41 1650 BCD 248,000.00 01/13/2027 1.400 0.00 0.00 1,607.58 0.00 1,607.58 89235MMP3 1649 BCD 248,000.00 01/13/2027 1.350 0.00 0.00 1,550.17 0.00 1,550.17 39573LCE6 1648 BCD 248,000.00 01/14/2027 1.350 0.00 0.00 1,531.83 1,265.82 266.01 64034KAJO 1651 BCD 248,000.00 02/02/2027 1.450 0.00 0.00 1,467.95 0.00 1,467.95 Subtotal 12,644,000.00 24,629.77 0.00 236,378.82 232,047.40 28,961.19 Negotiable CDs 15118RSN8 1614 NCB 249,000.00 10/30/2023 1.600 10.91 0.00 3,984.02 3,984.01 10.92 33767GAMO 1608 NCB 249,000.00 10/25/2024 1.850 75.72 0.00 4,606.54 4,606.54 75.72 " Beginning Accrued may not include investments that redeemed in the previous month that had outstanding accrued interest. Ending Accrued includes outstanding purchase interest. Portfolio ENCI AC Run Date: 08/03/2022 - 15:48 Al (PRF_AI) 7.2.8 2022-10-19 Item #081311 Page 60 of B&riVer.7.3.6.1 City of Encinitas Accrued Interest CUSIP Investment # Security Type Par Value Sorted by Security Type - Maturity Date Adjusted Acc'd Int. Maturity Current " Beginning at Purchase Date Rate Accrued Interest During Period Interest Earned Interest Received Page 3 Ending Accrued Interest Subtotal 498,000.00 86.63 0.00 8,590.56 8,590.55 86.64 U.S. Treasury Coupon Securities 912828S76 1523 TRC 0.00 07/31/2021 1.125 9,385.36 0.00 1,864.64 11,250.00 0.00 912828T34 1556 TRC 0.00 09/30/2021 1.125 5,655.74 0.00 5,594.26 11,250.00 0.00 9128281`96 1574 TRC 0.00 10/31/2021 2.000 6,739.13 0.00 13,260.87 20,000.00 0.00 912828XQB 1578 TRC 4,000,000.00 07/31/2022 2.000 33,370.17 0.00 80,000.00 80,000.00 33,370.17 912828L24 1572 TRC 2,000,000.00 08/31/2022 1.875 12,533.97 0.00 37,500.00 37,500.00 12,533.97 9128282W9 1579 TRC 2,000,000.00 09/30/2022 1.875 9,426.23 0.00 37,500.00 37,500.00 9,426.23 912828S92 1592 TRC 3,000,000.00 07/31/2023 1.250 15,642.27 0.00 37,500.00 37,500.00 15,642.27 9128282D1 1604 TRC 2,000,000.00 08/31/2023 1.375 9,191.58 0.00 27,500.00 27,500.00 9,191.58 91282CAP6 1636 TRC 2,000,000.00 10/15/2023 0.125 0.00 573.77 2,452.19 2,500.00 525.96 91282CBM2 1638 TRC 2,000,000.00 02/15/2024 0.125 0.00 987.57 2,451.66 2,500.00 939.23 91282CBR1 1655 TRC 1,000,000.00 03/15/2024 0.250 0.00 1,208.56 775.14 1,250.00 733.70 91282CCG4 1656 TRC 2,000,000.00 06/15/2024 0.250 0.00 1,153.85 1,564.73 2,500.00 218.58 912828Y87 1634 TRC 6,000,000.00 07/31/2024 1.750 0.00 45,828.73 102,969.61 105,000.00 43,798.34 912828YE4 1646 TRC 2,000,000.00 08/31/2024 1.250 0.00 8,831.52 24,524.46 25,000.00 8,355.98 912828YH7 1642 TRC 2,000,000.00 09/30/2024 1.500 0.00 8,114.75 29,426.23 30,000.00 7,540.98 912828YM6 1647 TRC 1,000,000.00 10/31/2024 1.500 0.00 2,812.50 14,714.67 15,000.00 2,527.17 91282CDH1 1653 TRC 1,000,000.00 11/15/2024 0.750 0.00 2,361.88 2,346.00 3,750.00 957.88 912828ZC7 1641 TRC 2,000,000.00 02/28/2025 1.125 0.00 7,948.37 22,072.01 22,500.00 7,520.38 912828ZFO 1652 TRC 1,000,000.00 03/31/2025 0.500 0.00 2,197.80 1,559.03 2,500.00 1,256.83 912828ZW3 1645 TRC 2,000,000.00 06/30/2025 0.250 0.00 108.70 4,904.89 5,000.00 13.59 91282CA137 1640 TRC 6,000,000.00 07/31/2025 0.250 0.00 6,546.96 14,709.95 15,000.00 6,256.91 91282CAJO 1643 TRC 2,000,000.00 08/31/2025 0.250 0.00 1,766.30 4,904.90 5,000.00 1,671.20 91282CAM3 1644 TRC 2,000,000.00 09/30/2025 0.250 0.00 1,352.46 4,904.37 5,000.00 1,256.83 91282CAT8 1657 TRC 1,000,000.00 10/31/2025 0.250 0.00 890.88 780.32 1,250.00 421.20 91282CB03 1639 TRC 2,000,000.00 02/28/2026 0.500 0.00 3,532.61 9,809.78 10,000.00 3,342.39 91282CBT7 1635 TRC 2,000,000.00 03/31/2026 0.750 0.00 4,057.38 14,713.11 15,000.00 3,770.49 91282CCJ8 1654 TRC 1,000,000.00 06/30/2026 0.875 0.00 1,643.65 2,755.13 4,375.00 23.78 91282CCP4 1659 TRC 4,000,000.00 07/31/2026 0.625 0.00 2,624.31 7,803.87 0.00 10,428.18 Subtotal 57,000,000.00 101,944.45 104,542.55 510,861.82 535,625.00 181,723.82 Federal Agency Coupon Securities 3130A8QS5 1524 FAC 0.00 07/14/2021 1.125 10,437.50 0.00 812.50 11,250.00 0.00 3134G9N94 1537 FAC 0.00 07/27/2021 1.875 16,041.67 0.00 2,708.33 18,750.00 0.00 3137EAEC9 1557 FAC 0.00 08/12/2021 1.125 8,687.50 0.00 2,562.50 11,250.00 0.00 313378JP7 1575 FAC 0.00 09/10/2021 2.375 14,645.83 0.00 9,104.17 23,750.00 0.00 3130AABG2 1555 FAC 0.00 11/29/2021 1.875 3,333.33 0.00 15,416.67 18,750.00 0.00 3130AG3Y9 1588 FAC 0.00 02/15/2022 2.420 18,284.44 0.00 30,115.56 48,400.00 0.00 3133EKNM4 1601 FAC 0.00 02/28/2022 2.200 15,033.33 0.00 28,966.67 44,000.00 0.00 " Beginning Accrued may not include investments that redeemed in the previous month that had outstanding accrued interest. Ending Accrued includes outstanding purchase interest. Portfolio ENCI AC Run Date: 08/03/2022 - 15:48 Al (PRF_AI) 7.2.8 2022-10-19 Item #081311 Page 61 of 8&rtVer.7.3.6.1 City of Encinitas Accrued Interest Sorted by Security Type - Maturity Date Page 4 Adjusted Acc'd Int. Security Par Maturity Current Beginning at Purchase Interest Interest " Ending CUSIP Investment # Type Value Date Rate Accrued Interest During Period Earned Received Accrued Interest Federal Agency Coupon Securities 3133EHCTB 1536 FAC 0.00 03/15/2022 2.150 12,661.11 0.00 30,338.89 43,000.00 0.00 3130AEBM1 1573 FAC 0.00 06/10/2022 2.750 3,208.33 0.00 51,791.67 55,000.00 0.00 3135GOT78 1589 FAC 2,000,000.00 10/05/2022 2.000 9,555.56 0.00 40,000.00 40,000.00 9,555.56 3135GOT78 1603 FAC 1,000,000.00 10/05/2022 2.000 4,777.78 0.00 20,000.00 20,000.00 4,777.78 3133EDWWB 1600 FAC 1,000,000.00 10/06/2022 2.600 6,138.89 0.00 26,000.00 26,000.00 6,138.89 3133EC4Q4 1558 FAC 2,000,000.00 11/23/2022 1.820 3,842.22 0.00 36,400.00 36,400.00 3,842.22 3133EJBP3 1590 FAC 2,000,000.00 02/02/2023 2.500 20,694.44 0.00 50,000.00 50,000.00 20,694.44 3133EKSN7 1605 FAC 4,000,000.00 06/26/2023 1.770 983.33 0.00 70,800.00 70,800.00 983.33 3133EHST1 1591 FAC 1,000,000.00 07/26/2023 2.010 8,654.17 0.00 20,100.00 20,100.00 8,654.17 3135GOU43 1602 FAC 2,000,000.00 09/12/2023 2.875 17,409.72 0.00 57,500.00 57,500.00 17,409.72 3133EHN25 1606 FAC 2,000,000.00 11/01/2023 2.200 7,333.33 0.00 44,000.00 44,000.00 7,333.33 3135GO6G3 1658 FAC 1,000,000.00 11/07/2025 0.500 0.00 1,694.44 1,555.56 2,500.00 750.00 3130AN4T4 1637 FAC 2,000,000.00 06/12/2026 0.875 0.00 340.28 17,159.72 16,576.39 923.61 Subtotal 20,000,000.00 181,722.48 2,034.72 555,332.24 658,026.39 81,063.05 Total 130,791,550.48 345,835.50 106,577.27 1,418,137.22 1,514,773.33 355,776.66 " Beginning Accrued may not include investments that redeemed in the previous month that had outstanding accrued interest. Ending Accrued includes outstanding purchase interest. Portfolio ENCI AC Run Date: 08/03/2022 - 15:48 Al (PRF_AI) 7.2.8 2022-10-19 Item #081311 Page 62 of B&riVer.7.3.6.1 City of Encinitas - YTD Report Realized Gains and Losses Sorted By Maturity/Sale/Call Date Sales/Calls/Maturities: July 1, 2021 - June 30, 2022 CITY OF ENCINITAS 505 S. VULCAN Encinitas, CA 92024 (760)633-2641 Investment # Par Value Sale Date Days Held Inv. Purchase Maturity/Sale Realized Total Total Total Issuer Type Date Current Rate Maturity Date Term Book Value Proceeds Gain/Loss Earnings Net Earnings Yield 365 1524 FAC 02/13/2017 2,000,000.00 07/14/2021 1,612 2,000,000.00 2,000,000.00 0.00 155,717.50 155,717.50 1.763 Federal Home Loan Bank 1.125 07/14/2021 1,612 1537 FAC 06/23/2017 2,000,000.00 07/27/2021 1,495 2,000,000.00 2,000,000.00 0.00 140,559.67 140,559.67 1.716 Federal Home Loan Mortgage 1.875 07/27/2021 1,495 1523 TRC 02/13/2017 2,000,000.00 07/31/2021 1,629 2,000,000.00 2,000,000.00 0.00 156,781.99 156,781.99 1.756 U.S. Treasury Notes 1.125 07/31/2021 1,629 1557 FAC 02/23/2018 2,000,000.00 08/12/2021 1,266 2,000,000.00 2,000,000.00 0.00 168,466.50 168,466.50 2.429 Federal Home Loan Mortgage 1.125 08/12/2021 1,266 1575 FAC 06/26/2018 2,000,000.00 09/10/2021 1,172 2,000,000.00 2,000,000.00 0.00 172,135.89 172,135.89 2.680 Federal Home Loan Bank 2.375 09/10/2021 1,172 1556 TRC 02/23/2018 2,000,000.00 09/30/2021 1,315 2,000,000.00 2,000,000.00 0.00 177,069.02 177,069.02 2.457 U.S. Treasury Notes 1.125 09/30/2021 1,315 1574 TRC 06/26/2018 2,000,000.00 10/31/2021 1,223 2,000,000.00 2,000,000.00 0.00 175,210.60 175,210.60 2.615 U.S. Treasury Notes 2.000 10/31/2021 1,223 1555 FAC 02/23/2018 2,000,000.00 11/29/2021 1,375 2,000,000.00 2,000,000.00 0.00 187,360.00 187,360.00 2.487 Federal Home Loan Bank 1.875 11/29/2021 1,375 1530 BCD 06/30/2017 245,000.00 12/30/2021 1,644 245,000.00 245,000.00 0.00 20,966.68 20,966.68 1.900 Citizens State Bankl 1.900 12/30/2021 1,644 1551 BCD 07/03/2017 245,000.00 02/03/2022 1,676 245,000.00 245,000.00 0.00 22,499.60 22,499.60 2.000 City National Bank Metropolis 2.000 02/03/2022 1,676 1588 FAC 03/27/2019 2,000,000.00 02/15/2022 1,056 2,000,000.00 2,000,000.00 0.00 128,693.33 128,693.33 2.224 Federal Home Loan Bank 2.420 02/15/2022 1,056 1601 FAC 06/26/2019 2,000,000.00 02/28/2022 978 2,000,000.00 2,000,000.00 0.00 94,693.78 94,693.78 1.767 FEDERAL FARM CREDIT BANK 2.200 02/28/2022 978 1536 FAC 06/23/2017 2,000,000.00 03/15/2022 1,726 2,000,000.00 2,000,000.00 0.00 174,014.44 174,014.44 1.840 Federal Farm Credit 2.150 03/15/2022 1,726 1573 FAC 06/26/2018 2,000,000.00 06/10/2022 1,445 2,000,000.00 2,000,000.00 0.00 219,861.55 219,861.55 2.777 Federal Home Loan Bank 2.750 06/10/2022 1,445 1528 BCD 06/21/2017 245,000.00 06/21/2022 1,826 245,000.00 245,000.00 0.00 28,803.28 28,803.28 2.350 Goldman Sachs Bank USA 2.350 06/21/2022 1,826 1533 BCD 06/30/2017 245,000.00 06/30/2022 1,826 245,000.00 245,000.00 0.00 24,513.32 24,513.32 2.000 BankVista 2.000 06/30/2022 1,826 1535 BCD 06/30/2017 245,000.00 06/30/2022 1,826 245,000.00 245,000.00 0.00 27,577.40 27,577.40 2.250 Wells Fargo Bank 2.250 06/30/2022 1,826 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08115/2022 - 15:08 Total Realized Gains/Losses 25,225,000.00 25,225,000.00 No fiscal year history available 0.00 2,074,924.55 2,074,924.55 2.204 Portfolio ENCI AC CG (PRF_CGR1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 63 of 88 Investment # Par Value Maturity Date Term Market Value Inv. Purchase - Unrealized To Date To Date Actual Issuer Type Date Current Rate Days Held Book Value Market Date GainlLoss Earnings Net Earnings Yield 365 1552 BCD 07/19/2017 245,000.00 07/19/2022 1,826 245,000.00 245,075.95 75.95 27,912.55 27,988.50 2.306 Capital One NA 2.300 1,808 06/30/2022 1553 BCD 07/19/2017 245,000.00 07/19/2022 1,826 245,000.00 245,075.95 75.95 27,912.55 27,988.50 2.306 Capital One Bank USA, NA 2.300 1,808 06/30/2022 1554 BCD 07/19/2017 245,000.00 07/19/2022 1,826 245,000.00 245,056.35 56.35 26,092.16 26,148.51 2.155 TIAA FSB 2.150 1,808 06/30/2022 1578 TRC 06/26/2018 4,000,000.00 07/31/2022 1,496 3,997,819.18 4,002,800.00 4,980.82 427,674.16 432,654.98 2.694 U.S. Treasury Notes 2.000 1,466 06/30/2022 1572 TRC 06/26/2018 2,000,000.00 08/31/2022 1,527 1,997,378.44 2,000,980.00 3,601.56 213,512.95 217,114.51 2.706 U.S. Treasury Notes 1.875 1,466 06/30/2022 1579 TRC 06/26/2018 2,000,000.00 09/30/2022 1,557 1,996,091.44 2,000,300.00 4,208.56 213,478.74 217,687.30 2.715 U.S. Treasury Notes 1.875 1,466 06/30/2022 1589 FAC 03/27/2019 2,000,000.00 10/05/2022 1,288 1,999,049.62 1,999,060.00 10.38 142,314.07 142,324.45 2,180 Federal Nat'l Mortgage Assoc. 2,000 1,192 06/30/2022 1603 FAC 06/26/2019 1,000,000.00 10/05/2022 1,197 1,000,656.25 999,530.00 -1,126.25 52,703.03 51,576.78 1.709 Federal Nat'l Mortgage Assoc. 2.000 1,101 06/30/2022 1600 FAC 06/26/2019 1,000,000.00 10/06/2022 1,198 1,002,081.95 1,002,210.00 128.05 54,583.06 54,711.11 1.810 Federal Farm Credit 2.600 1,101 06/30/2022 1558 FAC 02/23/2018 2,000,000.00 11/23/2022 1,734 1,993,522.81 1,993,300.00 -222.81 230,065.03 229,842.22 2.648 Federal Farm Credit 1.820 1,589 06/30/2022 1590 FAC 03/27/2019 2,000,000.00 02/02/2023 1,408 2,003,237.36 1,998,640.00 -4,597.36 145,042.91 140,445.55 2.147 Federal Farm Credit 2.500 1,192 06/30/2022 1561 BCD 03/28/2018 249,000.00 03/28/2023 1,826 249,000.00 249,883.95 883.95 30,783.26 31,667.21 2.983 Medallion Bank UT 2.900 1,556 06/30/2022 1562 BCD 03/29/2018 246,000.00 03/29/2023 1,826 246,000.00 246,865.92 865.92 30,392.80 31,258.72 2.983 BMW Bank North America 2.900 1,555 06/30/2022 1563 BCD 03/29/2018 246,000.00 03/29/2023 1,826 246,000.00 246,774.90 774.90 29,868.78 30,643.68 2.924 Citi Bank NA 2.850 1,555 06/30/2022 1568 BCD 03/29/2018 246,000.00 03/29/2023 1,826 246,000.00 246,774.90 774.90 29,868.78 30,643.68 2.924 Enerbank USA 2,850 1,555 06/30/2022 1564 BCD 03/29/2018 249,000.00 03/29/2023 1,826 249,000.00 249,878.97 878.97 30,763.47 31,642.44 2,983 Industrial & Comm Bank China 2.900 1,555 06/30/2022 1566 BCD 03/29/2018 246,000.00 03/29/2023 1,826 246,000.00 246,683.88 683.88 29,344.77 30,028.65 2.865 LCA Bank Corp 2.800 1,555 06/30/2022 1565 BCD 03/29/2018 246,000.00 03/29/2023 1,826 246,000.00 246,865.92 865.92 30,392.80 31,258.72 2.983 Morgan Stanley Bank 2.900 1,555 06/30/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 64 of 88 Unrealized Gains and Losses Open Positions through June 30, 2022 Page 2 Investment # Par Value Maturity Date Term Market Value Inv. Purchase - Unrealized To Date To Date Actual Issuer Type Date Current Rate Days Held Book Value Market Date GainlLoss Earnings Net Earnings Yield 365 1569 BCD 04/1112018 246,000.00 04/11/2023 1,826 246,000.00 246,691.26 691.26 29,619,06 30,310.32 2.917 First Source Bank 2.850 1,542 06/30/2022 1596 BCD 06/21/2019 249,000.00 06/21/2023 1,461 249,000.00 247,630.50 -1,369.50 16,961.02 15,591.52 2.068 Denver Savings Bank 2.250 1,105 06/30/2022 1580 BCD 06/26/2018 245,000.00 06/26/2023 1,826 245,000.00 246,085.35 1,085.35 32,472.91 33,558.26 3.410 American Express National Bank 3.300 1,466 06/30/2022 1605 FAC 06/26/2019 4,000,000.00 06/26/2023 1,461 3,998,863.01 3,953,120.00 -45,743.01 216,858.34 171,115.33 1.419 Federal Farm Credit 1.770 1,101 06/30/2022 1570 BCD 06/27/2018 245,000.00 06/27/2023 1,826 245,000.00 246,078.00 1,078.00 32,450.76 33,528.76 3.410 Sallie Mae Bank/Murray 3.300 1,465 06/30/2022 1571 BCD 06/29/2018 245,000.00 06/29/2023 1,826 245,000.00 246,058.40 1,058.40 32,406.41 33,464.81 3.408 Comenity Capital Bank 3.300 1,463 06/30/2022 1591 FAC 03/27/2019 1,000,000.00 07/26/2023 1,582 997,725.56 990,340.00 -7,385.56 72,483,90 65,098.34 1.998 FEDERAL FARM CREDIT BANK 2,010 1,192 06/30/2022 1592 TRC 03/27/2019 3,000,000.00 07/31/2023 1,587 2,971,299.03 2,945,850.00 -25,449.03 209,056.29 183,607.26 1.892 U.S. Treasury Notes 1.250 1,192 06/30/2022 1604 TRC 06/26/2019 2,000,000.00 08/31/2023 1,527 1,992,066.55 1,963,040.00 -29,026.55 103,377.70 74,351.15 1.237 U.S. Treasury Notes 1.375 1,101 06/30/2022 1602 FAC 06/26/2019 2,000,000.00 09/12/2023 1,539 2,024,648.88 1,999,820.00 -24,828.88 111,247.49 86,418.61 1.415 Federal Nat'l Mortgage Assoc. 2.875 1,101 06/30/2022 1619 BCD 03/30/2020 249,000.00 09/29/2023 1,278 249,000.00 242,672.91 -6,327.09 5,046.81 -1,280.28 -0.228 ALMA BANK 0.900 822 06/30/2022 1636 TRC 07/08/2021 2,000,000.00 10/15/2023 829 1,996,804.13 1,928,120.00 -68,684.13 4,881.32 -63,802.81 -3.258 U.S. Treasury Notes 0.125 358 06/30/2022 1614 NCB 10/30/2019 249,000.00 10/30/2023 1,461 249,000.00 244,405.95 -4,594.05 10,642.22 6,048.17 0.909 CELTIC BANK 1.600 975 06/30/2022 1606 FAC 06/26/2019 2,000,000.00 11/01/2023 1,589 2,010,072.33 1,981,980.00 -28,092.33 109,843.44 81,751.11 1.348 FEDERAL FARM CREDIT BANK 2.200 1,101 06/30/2022 1609 BCD 11/15/2019 249,000.00 11/15/2023 1,461 249,000.00 244,547.88 -4,452.12 11,110.28 6,658.16 1.019 FIRST SERVICE BANK 1,700 958 06/30/2022 1597 BCD 06/28/2019 249,000.00 12/28/2023 1,644 249,000.00 246,527.43 -2,472.57 17,977.13 15,504.56 2.070 Merrick Bank 2.400 1,098 06/30/2022 1638 TRC 07/08/2021 2,000,000.00 02/15/2024 952 1,994,296.71 1,910,860.00 -83,436.71 5,888.99 -77,547.72 -3.965 U.S. Treasury Notes 0.125 358 06/30/2022 1655 TRC 03/09/2022 1,000,000.00 03/15/2024 737 977,810.38 954,810.00 -23,000.38 4,835.52 -18,164.86 -5.948 U.S. Treasury Notes 0.250 114 06/30/2022 1585 BCD 03/25/2019 246,000.00 03/25/2024 1,827 246,000.00 244,814.28 -1,185.72 23,336.98 22,151.26 2.753 BANK HAPOALIM BM NY 2,900 1,194 06/30/2022 1616 BCD 03/27/2020 249,000.00 03/27/2024 1,461 249,000.00 239,784.51 -9,215.49 5,628.11 -3,587.38 -0.637 FORTUNE BANK ARNOLD 1.000 825 06/30/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 65 of 88 Unrealized Gains and Losses Open Positions through June 30, 2022 Page 3 Investment # Par Value Maturity Date Term Market Value Inv. Purchase - Unrealized To Date To Date Actual Issuer Type Date Current Rate Days Held Book Value Market Date GainlLoss Earnings Net Earnings Yield 365 1625 BCD 03/31/2020 249,000.00 03/28/2024 1,458 249,000.00 240,397.05 -8,602.95 6,440.94 -2,162.01 -0.386 NICOLET NATIONAL BANK 1.150 821 06/30/2022 1623 BCD 03/30/2020 249,000.00 03/29/2024 1,460 249,000.00 240,167.97 -8,832.03 6,168.38 -2,663.65 -0.475 CORNHUSKER BANK 1.100 822 06/30/2022 1593 BCD 06/13/2019 246,000.00 06/13/2024 1,827 246,000.00 242,846.28 -3,153.72 19,520.94 16,367.22 2.180 MORGAN STANLEY PRIVATE BANK 2.600 1,114 06/30/2022 1656 TRC 03/09/2022 2,000,000.00 06/15/2024 829 1,947,307.56 1,896,560.00 -50,747.56 9,966.04 -40,781.52 -6.705 U.S. Treasury Notes 0.250 114 06/30/2022 1594 BCD 06/20/2019 249,000.00 06/20/2024 1,827 249,000.00 244,308.84 -4,691.16 17,353.50 12,662.34 1.678 EAG L E BA N K 2.300 1,106 06/30/2022 1595 BCD 06/26/2019 249,000.00 06/26/2024 1,827 249,000.00 244,236.63 -4,763.37 17,259.36 12,495.99 1.665 COMMERCE BANK GENEVA MN 2.300 1,100 06/30/2022 1598 BCD 06/28/2019 249,000.00 06/28/2024 1,827 249,000.00 244,211.73 -4,788.27 17,227.98 12,439.71 1 661 First State Bank Dequeen 2,300 1,098 06/30/2022 1599 BCD 06/28/2019 247,000.00 06/28/2024 1,827 247,000.00 242,262.54 -4,737.46 17,105.25 12,367.79 1.663 REVERE BANK 2.300 1,099 06/30/2022 1634 TRC 07/08/2021 6,000,000.00 07/31/2024 1,119 6,168,317.69 5,849,520.00 -318,797.69 23,787.30 -295,010.39 -4.876 U.S. Treasury Notes 1.750 358 06/30/2022 1646 TRC 07/08/2021 2,000,000.00 08/31/2024 1,150 2,035,726.09 1,926,800.00 -108,926.09 8,375.55 -100,550.54 -5.036 U.S. Treasury Notes 1.250 358 06/30/2022 1626 BCD 09/30/2020 249,000.00 09/30/2024 1,461 249,000.00 233,295.57 -15,704.43 1,743.68 -13,960.75 -3.203 FLAGSTAR BANK FSB 0.400 639 06/30/2022 1618 BCD 03/30/2020 249,000.00 09/30/2024 1,645 249,000.00 236,450.40 -12,549.60 5,607.66 -6,941.94 -1.238 LEGENDS BANK 1.000 822 06/30/2022 1624 BCD 03/31/2020 249,000.00 09/30/2024 1,644 249,000.00 236,450.40 -12,549.60 5,600.84 -6,948.76 -1.241 PEOPLES BANK/SARDIS TN 1.000 821 06/30/2022 1642 TRC 07/08/2021 2,000,000.00 09/30/2024 1,180 2,047,674.26 1,934,680.00 -112,994.26 8,662.99 -104,331.27 -5.195 U.S. Treasury Notes 1.500 358 06/30/2022 1608 NCB 10/28/2019 249,000.00 10/25/2024 1,824 249,000.00 240,775.53 -8,224.47 12,330,38 4,105.91 0.616 First Bank Puerto Rico 1,850 977 06/30/2022 1647 TRC 07/08/2021 1,000,000.00 10/31/2024 1,211 1,024,212.94 966,130.00 -58,082.94 4,552.61 -53,530.33 -5.329 U.S. Treasury Notes 1.500 358 06/30/2022 1611 BCD 11/04/2019 249,000.00 11/04/2024 1,827 249,000.00 239,552.94 -9,447.06 10,907.15 1,460.09 0.221 POPPY BANK 1.650 969 06/30/2022 1610 BCD 11/08/2019 249,000.00 11/08/2024 1,827 249,000.00 239,503.14 -9,496.86 10,862.12 1,365.26 0.207 COMMUNITY BANK 1.650 965 06/30/2022 1607 BCD 11/08/2019 249,000.00 11/08/2024 1,827 249,000.00 240,347.25 -8,652.75 11,849.57 3,196.82 0.486 ENTERPRISE BANK AND TRUST 1,800 965 06/30/2022 1613 BCD 11/08/2019 249,000.00 11/08/2024 1,827 249,000.00 239,503.14 -9,496.86 10,862.12 1,365.26 0.207 PADUCAH BANK AND TRUST 1.650 965 06/30/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 66 of 88 Unrealized Gains and Losses Open Positions through June 30, 2022 Page 4 Investment # Par Value Maturity Date Term Market Value Inv. Purchase Unrealized To Date To Date Actual Issuer Type Date Current Rate Days Held Book Value Market Date GainlLoss Earnings Net Earnings Yield 365 1612 BCD 11/08/2019 249,000.00 11/08/2024 1,827 249,000.00 240,347.25 -8,652.75 11,849.57 3,196.82 0.486 TRIAD BANK FRONTENAC MO 1.800 965 06/30/2022 1653 TRC 03/09/2022 1,000,000.00 11/15/2024 982 978,316.57 948,200.00 -30,116.57 5,193.82 -24,922.75 -8.157 U.S. Treasury Notes 0.750 114 06/30/2022 1641 TRC 07/08/2021 2,000,000.00 02/28/2025 1,331 2,031,297.19 1,903,600.00 -127,697.19 10,556.70 -117,140.49 -5.880 U.S. Treasury Notes 1.125 358 06/30/2022 1615 BCD 03/26/2020 249,000.00 03/26/2025 1,826 249,000.00 233,557.02 -15,442.98 5,634.93 -9,808.05 -1.741 EVERGREEN BANK GROUP 1.000 826 06/30/2022 1617 BCD 03/27/2020 249,000.00 03/27/2025 1,826 249,000.00 233,542.08 -15,457.92 5,628.11 -9,829.81 -1.747 MIDCOUNTRY BANK 1.000 825 06/30/2022 1620 BCD 03/30/2020 248,000.00 03/31/2025 1,827 248,000.00 232,621.52 -15,378.48 5,591.89 -9,786.59 -1.750 CENTERSTATE BANK NA 1.000 823 06/30/2022 1622 BCD 03/31/2020 249,000.00 03/31/2025 1,826 249,000.00 234,127.23 -14,872.77 6,168.40 -8,704.37 -1.552 LIVE OAK BANKING COMPANY 1.100 822 06/30/2022 1621 BCD 03/30/2020 249,000.00 03/31/2025 1,827 249,000.00 234,455.91 -14,544.09 6,448.78 -8,095.31 -1.444 PACIFIC ENTERPRISE BANK 1.150 822 06/30/2022 1652 TRC 03/09/2022 1,000,000.00 03/31/2025 1,118 967,867.29 933,280.00 -34,587.29 5,207.57 -29,379.72 -9.719 U.S. Treasury Notes 0.500 114 06/30/2022 1645 TRC 07/08/2021 2,000,000.00 06/30/2025 1,453 1,979,275.64 1,841,400.00 -137,875.64 11,680.53 -126,195.11 -6.500 U.S. Treasury Notes 0.250 358 06/30/2022 1640 TRC 07/08/2021 6,000,000.00 07/31/2025 1,484 5,931,711.59 5,508,960.00 -422,751.59 36,421.54 -386,330.05 -6.640 U.S. Treasury Notes 0.250 358 06/30/2022 1643 TRC 07/08/2021 2,000,000.00 08/31/2025 1,515 1,975,895.83 1,831,260.00 -144,635.83 12,363.23 -132,272.60 -6.825 U.S. Treasury Notes 0.250 358 06/30/2022 1644 TRC 07/08/2021 2,000,000.00 09/30/2025 1,545 1,974,550.57 1,827,260.00 -147,290.57 12,579.94 -134,710.63 -6.956 U.S. Treasury Notes 0.250 358 06/30/2022 1627 BCD 10/02/2020 249,000.00 10/02/2025 1,826 249,000.00 226,223.97 -22,776.03 1,738.23 -21,037.80 -4.841 LUANA SAVINGS BANK 0.400 637 06/30/2022 1629 BCD 11/13/2020 249,000.00 10/15/2025 1,797 249,000.00 225,885.33 -23,114.67 1,620.86 -21,493.81 -5.304 1ST SECURITY BK OF WASH 0,400 594 06/30/2022 1628 BCD 10/29/2020 249,000.00 10/29/2025 1,826 249,000.00 225,641.31 -23,358.69 1,661.77 -21,696.92 -5.222 LANDMARK COMMUNITY BANK 0.400 609 06/30/2022 1657 TRC 03/09/2022 1,000,000.00 10/31/2025 1,332 951,493.18 911,250.00 -40,243.18 5,320.37 -34,922.81 -11.751 U.S. Treasury Notes 0.250 114 06/30/2022 1658 FAC 03/09/2022 1,000,000.00 11/07/2025 1,339 957,634.45 918,100.00 -39,534.45 5,490.01 -34,044.44 -11.382 Federal Nat'l Mortgage Assoc. 0.500 114 06/30/2022 1630 BCD 11/18/2020 249,000.00 11/18/2025 1,826 249,000.00 225,315.12 -23,684.88 1,607.21 -22,077.67 -5.495 FIRST US BANK 0,400 589 06/30/2022 1631 BCD 11/30/2020 249,000.00 11/28/2025 1,824 249,000.00 225,526.77 -23,473.23 1,771.39 -21,701.84 -5.513 KS STATEBANK 0.450 577 06/30/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 67 of 88 Unrealized Gains and Losses Open Positions through June 30, 2022 Page 5 Investment # Par Value Maturity Date Term Market Value Inv. Purchase - Unrealized To Date To Date Actual Issuer Type Date Current Rate Days Held Book Value Market Date GainlLoss Earnings Net Earnings Yield 365 1639 TRC 07/08/2021 2,000,000.00 02/28/2026 1,696 1,984,160.07 1,822,900.00 -161,260,07 14,047.97 -147,212.10 -7.564 U.S. Treasury Notes 0.500 358 06/30/2022 1635 TRC 07/08/2021 2,000,000.00 03/31/2026 1,727 2,000,990.88 1,836,960.00 -164,030.88 14,453.99 -149,576.89 -7.621 U.S. Treasury Notes 0.750 358 06/30/2022 1637 FAC 07/08/2021 2,000,000.00 06/12/2026 1,800 2,008,090.25 1,835,360.00 -172,730.25 15,149.97 -157,580.28 -8.001 Federal Home Loan Bank 0.875 358 06/30/2022 1632 BCD 06/23/2021 249,000.00 06/23/2026 1,826 249,000.00 224,931.66 -24,068.34 1,903.30 -22,165.04 -8.734 UBS BANK USA 0.750 372 06/30/2022 1654 TRC 03/09/2022 1,000,000.00 06/30/2026 1,574 965,940.68 918,010.00 -47,930.68 5,414.56 -42,516.12 -14.093 U.S. Treasury Notes 0.875 114 06/30/2022 1633 BCD 06/30/2021 249,000.00 07/01/2026 1,827 249,000.00 224,458.56 -24,541.44 1,747.78 -22,793.66 -9.129 NEW YORK COMMUNITY BANK 0.700 366 06/30/2022 1659 TRC 03/10/2022 4,000,000.00 07/31/2026 1,604 3,820,780.87 3,630,144.31 -190,636,56 21,585.43 -169,051.13 -14.292 U.S. Treasury Notes 0,625 113 06/30/2022 1650 BCD 01/13/2022 248,000.00 01/13/2027 1,826 248,000.00 227,289.52 -20,710.48 1,607.58 -19,102.90 -16.636 STATE BANK OF INDIA 1.400 169 06/30/2022 1649 BCD 01/13/2022 248,000.00 01/13/2027 1,826 248,000.00 226,773.68 -21,226.32 1,550.17 -19,676.15 -17.135 TOYOTA FINANCIAL SVGS BK 1.350 169 06/30/2022 1648 BCD 01/14/2022 248,000.00 01/14/2027 1,826 248,000.00 226,619.92 -21,380.08 1,531.83 -19,848.25 -17.492 GREENSTATE CREDIT UNION 1.350 167 06/30/2022 1651 BCD 02/02/2022 248,000.00 02/02/2027 1,826 248,000.00 227,520.16 -20,479.84 1,467.95 -19,011.89 -18.779 NELNET BANK INC 1.450 149 06/30/2022 Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 Total Current Bond Positions 89,846,667.23 86,528,513.89-3,318,153.34 3,290,010.29-28,143.05 -3.251 Total Realized and Unrealized Gains/Losses No fiscal year history available -3,318,153.34 5,364,934.84 2,046,781.50 -2.055 Portfolio ENCI AC CG (PRF_CGU1) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 68 of 88 Unrealized Gains and Losses Page 1 Pass booklChecking Accounts through June 30, 2022 Investment # Market Value Inv. Purchase Issuer Type Date Current Rate Book Value Market Date 1003 LA1 07/01/2021 0.050 1,072,561.71 1,072,561.71 CA Asset Management Program 06/30/2022 1584 LA1 07/01/2021 0.060 1,228,627.31 1,196,437.16 SD County Investment Pool 06/30/2022 1012 LA5 07/01/2021 0.262 34,266,457.21 33,825,290.76 CA LAIF 06/30/2022 1010 PA1 07/01/2021 5,577,158.84 5,577,158.84 Union Bank Checking Acct. 06130/2018 1004 LA3 07/01/2021 0.030 4,081,904.25 4,081,904.25 US BANK 04/30/2019 1524 FAC 02/13/2017 1.125 0.00 0.00 Federal Home Loan Bank 1537 FAC 06/23/2017 1.875 0.00 0.00 Federal Home Loan Mortgage 1523 TRC 02/13/2017 1.125 0.00 0.00 U.S. Treasury Notes 1557 FAC 02/23/2018 1.125 0.00 0.00 Federal Home Loan Mortgage 1575 FAC 06/26/2018 2.375 0.00 0.00 Federal Home Loan Bank 1556 TRC 02/23/2018 1.125 0.00 0.00 U.S. Treasury Notes 1574 TRC 06/26/2018 2.000 0.00 0.00 U.S. Treasury Notes 1555 FAC 02/23/2018 1.875 0.00 0.00 Federal Home Loan Bank 1530 BCD 06/30/2017 1.900 0.00 0.00 Citizens State Bankl 1551 BCD 07/03/2017 2.000 0.00 0.00 City National Bank Metropolis 1588 FAC 03/27/2019 2.420 0.00 0.00 Federal Home Loan Bank 1601 FAC 06/26/2019 2.200 0.00 0.00 FEDERAL FARM CREDIT BANK 1536 FAC 06/23/2017 2.150 0.00 0.00 Federal Farm Credit 1573 FAC 06/26/2018 2.750 0.00 0.00 Federal Home Loan Bank Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU2) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08D Page 69 of 88 Unrealized Gains and Losses Passbook/Checking Accounts through June 30, 2022 Page 2 Investment # Market Value Inv. Purchase Issuer Type Date Current Rate Book Value Market Date 1528 BCD 06/2112017 2.350 0.00 0.00 Goldman Sachs Bank USA 1533 BCD 06/30/2017 2.000 0.00 0.00 BankVista 1535 BCD 06/30/2017 2.250 0.00 0.00 Wells Fargo Bank Data Updated: SET_ANNU: 08/15/2022 15:08 Run Date: 08/15/2022 - 15:08 Total Portfolio 136,073, 376.55 132,281,866.61 No fiscal year history available Portfolio ENCI AC CG (PRF_CGU2) 7.1.1 Report Ver. 7.3.6.1 2022-10-19 Item #08131 Page 70 of 88 The City of Encinitas Cash and Investments by Fund I ZDZ1-ZZ GENERALFUND INFRASTRUCTURE FUNDS GRANTFUNDS DEVELOPMENT IMPACT FUNDS MUNICIPAL IMPROVEMENTS DISTRICTS DEBT SERVICE FUNDS CAPITAL IMPROVEMENTS FUNDS CARDIFF SANITARY FUNDS ENCINITAS SANITARY FUNDS SAN DIEGUITO WATER DISTRICT FUNDS OTHER PROPRIETARY FUNDS INTERNAL SERVICE FUNDS 711 - CFD I#1 DEBT SERVICE 712 - CFD I#1 ADMINISTRATION 931:932 - ERGA 119 - OPPORTUNITY FUND RESTRICTED ADMIN COSTS BANK FEES TOTAL PER GENERAL LEDGER To reconcile from GL to Investment Report: Not included in Market Value per Investment Report - Book Bal Checking Not included in Market Value per Investment Report - Register Cash Not included in Market Value per Investment Report - Restricted Cash Included in Investment Report not in GL- ERGA Total Market Value per Investment Report Cash - Checking Account Bank Balance Total Cash and Investments CASH AND INVESTMENTS FY ZDZZ Actual Percentage of Total Interest Income 3Z,515,611 Z5.55% 571,009 Z,017,093 1.59% 4Z,974 1,040,057 0.83% 19,9Z6 2,901,861 2.20% 91,725 4,459,385 3.50% 45,355 31,500,16Z 24.76% - 9,9Z8,8Z5 7.80% 105,195 1Z,093,770 9.50% 1Z6,591 Z0,296,581 15.95% Z1Z,770 200,925 0.16% Z,667 7,772,037 6.11% - 2,291,988 1.79% 14,026 25,761 0.02% 127 - - 19,949 303,744 0.24% - - Z03,304 1Z7,Z37,800 100.00% 1,455,618 (3,210,281) (3,555) (303,743) 2,984,487 126,704,708 5,577,159 132,291,867 2022-10-19 Item #08D Page 71 of 88 Attachment 3 CITY OF ENCINITAS INVESTMENT OF BOND PROCEEDS Fur the Fiscal Year ended tune 30, 2022 GOVERNMENTAL FUNDS TRUSTEE CASH & INVESTMENTS Yield Maturity Date Market Value FY 2021-2022 Income Budget ENCINITAS PUBLIC FINANCING AUTHORITY 2013 LEASE REVENUE BONDS (COMM PARK DEVELOPMENT) Bond Fund Blackrock T-Fund Institutional 1.271% $ 6 $ 6 2014 A & B LEASE REVENUE BONDS (PACIFIC VIEW PROPERTY & MOONLIGHT BEACH LIFEGUARD TOWER) Bond Fund Blackrock T-Fund Institutional $ 6 $ 6 $ 1.321% $ 4 $ 4 2015 LEASE REVENUE BONDS (PUBLIC LIBRARY) Bond Fund Blackrock T-Fund Institutional $ 4 $ 4 $ 1.321% $ 17 $ 18 $ 2017 LEASE REVENUE BONDS (PARK) Bond Fund First American Government Obligations Fund $ 17 $ 18 $ 0.921% $ 2 $ 3 2021 FEDERALLY TAXABLE LEASE REVENUE REFUNDING BONDS (PACIFIC VIEW PROPERTY) Interest Account First American Government Obligations Fund $ 2 $ 3 0.841% $ 14,992 $ 2 $ 14,992 $ 2 ENCINITAS PUBLIC FINANCING AUTHORITY (TOTALS) (A) $ 15,021 $ 33 $ $ TOTALS FOR GOVERNMENTAL FUNDS (A) $ 15,021 $ $ 33 ENTERPRISE FUNDS TRUSTEE CASH & INVESTMENTS Yield Maturity Date Market Value FY 2021-2022 Income Budget SAN DIEGUITO WATER DISTRICT 2007 WATER REVENUE BONDS Bond Fund ]P MORGAN US TRSY PLUS PREM Reserve Fund-SDWD BLACKROCK FEDERAL FD INSTL 81 0.001% 1.33% $ 0 640,239 $ 4 680 2014 WATER REVENUE BONDS Debt Service Fund Blackrock T-Fund Institutional TOTAL $ 640,239 $ 684 $ 1.31 % $ 3 $ 3 TOTAL TOTALS FOR ENTERPRISE FUNDS B $ 3 $ 3 $ $ 640,242 $ 687 $ TOTAL TRUSTEE CASH & INVESTMENTS (A) + (B) $ 655,263 1 $ 720 $ NOTE: The City's leases for capital equipment do not require any trustee deposits, and thus, are not listed on this summary. 2022-10-19 Item #080 Page 72 of 88 Attachment 4 CITY OF ENCINITAS ADMINISTRATIVE MANUAL Policy Title: Investment Policy Section. Finance Responsible Department: Finance Number: Admin Policy F019 Approved By. City Council Date Approved: 1994 Last Amended. October 2019, 20242 Philosophy The Investment Policy of the Encinitas City Council for the City of Encinitas represents the financial guidelines for the City � Investment Program. It is the policy of the City of Encinitas to invest excess public funds in a prudent manner that safeguards the public trust, minimizes the risk of loss of capital, and provides assurance that all financial obligations will be met in the regular course of business. The City Council shall provide direction to the City Treasurer as to the goals and specific objectives of the Investment Program. Scope This Investment Policy applies to all financial assets under the oversight of the City of Encinitas, except bond proceeds held by outside trustees and funds held by other governmental agencies. The City of Encinitas includes the City and all component units: the Encinitas Housing Authority (EHA), the Encinitas Public Financing Authority (EPFA), and the San Dieguito Water District (SDWD). These funds are accounted for in the City of Encinitas Annual Comprehensive Annual Financial Report and include. GENERALFUND SPECIAL REVENUE FUNDS CAPITAL PROJECT FUNDS ENTERPRISE FUNDS INTERNAL SERVICE FUNDS This policy also applies to funds that the City manages for other governmental agencies. Currently, the City manages funds for the Encinitas Ranch Golf Authority (ERGA), a legally separate joint powers authority which is not a component unit of the City. The investment of Bond Proceeds held with trustees is directed by the City, but is governed by the restrictions on Permitted Investments in the applicable Bond Indenture agreements. A portion of City funds is held by other governmental agencies. These funds are invested under the guidelines of the investment policies of those agencies. 2022-10-19 Item #0813 Page 73 of 88 The City retirement plan is with CALPERS, and the City has no authority or oversight over the investments in any of those plans. Further, the City administers several deferred compensation plans. Assets held in those plans are held in trust for the participants, and are not assets of the City. The City does not have any authority over the investments held in these trusts. 111. Prudence Investments shall be made with reasonable financial 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. The standard of prudence to be used by investment officials shall be the Prudent investor "standard. California Govt Code 53600.3 states that, When investing, reinvesting, purchasing, acquiring, exchanging, selling or managing public funds, a trustee shall act with care, skill, prudence, and diligence under the circumstances then prevailing, including, but not limited to, the general economic conditions and the anticipated needs of the Agency, that a prudent person acting in a like capacity and familiarity with those matters would use in the conduct of funds of a like character and with like aims, to safeguard the principal and maintain the liquidity needs of the Agency. The standard shall be applied in the context of managing an overall portfolio. Investment officials acting in accordance with established procedures and exercising due prudence shall be relieved of personal responsibility for an individual security's credit risk or market price changes. IV. Investment Objectives A. Safety of Principal - the first objective of this policy is to ensure the safety of principal. The portfolio shall be planned and managed to minimize the risk of actual loss of principal. Principal is defined as the original purchase price of the security, excluding any purchase of accrued interest, up to the par (face) value of the security. Any purchase amount above par value (premium) is considered to be a purchase of accrued interest, and is excluded from the calculation of principal amount. The City Treasurer shall consider both credit risk and concentration risk (the concept of diversification) when assessing safety, and shall follow the guidelines outlined later in this policy to achieve that objective. B. Liquidity - The second objective is the maintenance of sufficient liquidity to meet all operating and capital spending requirements that can be reasonably anticipated. C. Return on investments - The third objective is yield, specifically, attaining a market rate of return over time, consistent with Council direction as to acceptable levels of risk. Refer to Section XV below for further discussion of performance measurement. V. Delegation of Authority In accordance with the California Government Code, Section 53607, the City Council hereby delegates the authority to invest or reinvest the City § funds, to sell or exchange securities purchased, and to deposit securities for safekeeping to the City Treasurer. Encinitas Municipal Code Chapter 2.28 designates that the Director of Finance shall serve as City Treasurer. The City Treasurer has the option to delegate- some, or all, of the duties described in this Policy to other qualified individuals within the organization. Investment Procedures The City Treasurer is responsible for establishing written investment procedures for the management and operation of the Investment Program, consistent with this Policy. Those procedures shall include reference to such items as. custody/safekeeping, repurchase agreements (if applicable), wire transfer agreements, banking service agreements, and explicit delegation of authority to personnel involved 2022-10-19 Item #08D Page 74 of 88 in the processing of banking or investment transactions. No person may engage in any investment transaction except as provided under the terms of this Policy and the established procedures. VI. Ethics, & Conflict of Interest The investment responsibility carries with it the responsibility of ensuring that investments placed are done so without improper influence or the appearance of improper influence. All officers and employees (officials) involved in the investment function shall adhere to the State's Code of Economic Interest and to the following. - Officials shall refrain from personal business activity that could conflict with proper and impartial execution of the Investment Program, or that could impair their ability to make impartial investment decisions. Further, officials 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. Any such relationships shall be disclosed annually to the City Clerk in conjunction with annual disclosure statements of economic interest. VII. Authorized Financial Dealers and Institutions The City Treasurer shall maintain a list of qualified financial institutions authorized to provide financial or investment services to the City. The City shall contract with one institution to provide general banking services, which shall be reviewed at least every five years. City Council shall approve the selected institution and the contract for banking services. The City shall contract with one institution to provide investment custody services, which shall be reviewed at least every five (5) years. City Council shall approve the selected institution and the contract for custody services. The City Treasurer shall maintain a list of qualified security broker -dealers authorized to provide financial or investment services to the City. To be eligible for consideration to become an authorized provider, each Broker/Firm shall meet the following MINIMUM requirements. (1) have a net capital position in excess of $10 million, (2) have been in business for at least five years, (3) are currently licensed as a broker -dealer or investment adviser in California, and (4) Must carry adequate insurance coverage including liability, errors and omissions, and workers compensation (if applicable.) Firms providing only representation of money market funds are exempt for requirement #1, but must still comply with all other requirements, including those listed below. The City Council shall approve the initial authorization of any broker -dealer. Authorized firms shall be notified by the City Treasurer via an engagement letter, which outlines each parties 'responsibilities (primarily the continuing compliance requirements discussed directly below). There is no contract for professional services or term to the engagement. The City Treasurer shall periodically evaluate the performance of all qualified broker -dealers, and determine if any changes need to be made. All broker -dealers authorized to do business with the City of Encinitas must also comply with the following requirements. (1) Firms must submit audited financial statements annually, within six months of their fiscal year-end, 2022-10-19 Item #08D Page 75 of 88 (2) Firms must provide proof of their Financial Industry Regulatory Authority (FINRA) certification, and must disclose to the City immediately any regulatory actions or complaints against the broker assigned to the City account, (3) Firms must provide proof of their registration/license to do business in the State of California, and shall immediately disclose to the City any change in that status. (4) Firms must certify in writing that they have received, read, and agree to comply with the City of Encinitas 'most recently adopted Investment Policy. VIII. Authorized & Suitable Investment Instruments As a unit of local government in the State of California, the City of Encinitas is restricting itself to the investments authorized by Government Code, Sections 16429.1, 27133 and Sections 53600 through 53635 (the Gov t `Code ) except as otherwise provided herein by specific additional Council actions. SPECIFIC INVESTMENT TYPES AND AMOUNTS - The City Treasurer is authorized to invest in only the following types of investments listed below in Section Vlll. INVESTMENT ALLOCATIONS - The State Law Maximum allocations listed below refer to the percentage of the total portfolio or dollar amount that may be invested in each instrument under the provisions of the Gov t Code. The Investment Policy Maximum allocations refer to maximum allocations the City Treasurer follows, in order to effect proper diversification of the portfolio and limit concentration risk. The City Treasurer is permitted to exceed these maximum allocations for temporary periods. Any asset allocation that exceeds the Investment Policy Maximum allocation for a period of more than three months shall be reported to the City Manager. For purposes of calculating the percentage allocations, the assumption will be applied that the size of the portfolio for any fiscal year shall be determined by the total par value of the portfolio at the beginning of the first day of the fiscal year. Any investment types that exceed the maximum allowable under the Gov t Code shall be reported to the City Council in the quarterly investment report. (1) (2) INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM Repurchase agreements NO LIMIT 20% This type of investment is only authorized in relation to the City § general banking arrangements, in which excess cash balances are §wept "into an interest earning account overnight. Maximum maturity is one year. All balances are required to be properly collateralized at 102% of par value in accordance with State requirements. CA Local Agency Inv Fund (LAIF) STATE LAW MAXIMUM 30% The STATE LAW MAXIMUM "refers to the LAIF limit on maximum deposits perlocal agency, not to the CA gov t code restrictions. The City of Encinitas maintains two accounts with the LAIF, one in the name of the City and the other in the name of the San Dieguito Water District. Each account has a deposit limit of the maximum 2022-10-19 Item #081) Page 76 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM deposit limit of the ,.,a.,;,,,um amount allowed by CA state law. Since San Dieguito Water District is a component unit of the City, the City may legally utilize the SDWD account in the operation of the City Pool. Thus, SDWD owns its ratable share of all City Pooled investments, but does not have a direct ownership interest in the LAIF account in its name. (3) Other Gov t Managed Pools NO LIMIT 30% Per Issuer 10% per Pool Investments in individual pools shall be limited to 10% of the total portfolio. Currently approved pools are the San Diego County Investment Pool and the California Asset Management Program (CAMP). The City Council must approve the addition of any other governmental pools. (4) Mutual Funds and Money Market Mutual Funds (Total) 20% 20% Per Issuer 10% 10% (A) Money Market Mutual Funds N/A 20% Per Issuer N/A 10% Qualifying funds must meet one of the following criteria: (1) Attained the highest ranking or the highest letter and numerical rating provided by not less than two nationally recognized statistical rating organizations, OR (2) Retained an Investment Advisor registered or exempt from registration with the SEC with not less than five years ' experience managing money market mutual funds with assets under management in excess of $500 million. (8) Mutual Funds N/A 10% Per Issuer N/A 5% A mutual fund must receive the highest ranking by not less than two nationally recognized rating agencies or the fund must retain an investment advisor who is registered with the SEC (or exempt from registration), has assets under management in excess of $500 million, and has at least five years experience investing in instruments authorized by California Government Code sections 53601 and 53635. (5) Certificates of Deposit (CD §) NO LIMIT 30% Per Issuer NO LIMIT 5% All CD � must be either insured by the FDIC or properly collateralized, pursuant to Section X below. Maturity shall not exceed five years. No more than 5% of the total account value per issuer. To be eligible to receive deposits from the City of Encinitas, each qualified financial institution must have received an overall rating of not less than §atisfactory "in its most recent evaluation by regulators of its record of meeting the credit needs of its community. 2022-10-19 Item #0813 Page 77 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM (6) Negotiable Certificates of Deposit 30% 30% Per Issuer 5% All Negotiable CD § must be issued by a provider rated either: (1) Aaa by Moody §, (2) AAA by Standard & Poors, or (3) Aa 1 by Moody § and AA+ by Standard & Poor �. Investments of $250,000 or less that are fully insured by the FDIC are exempt from the above credit rating requirements. Maturity shall not exceed five years. No more than 5% of the total account value per issuer. (7) Bankers Acceptances 40% 10% Per Issuer 30% 5% Bankers Acceptances (BA §) represent a time draft drawn on and accepted by a Bank for payment of the shipment or storage of merchandise. They are generally considered a very safe investment since both the credit of the issuer and the Bank is pledged for repayment. They must not exceed 180 days maturity. BA § must have an underlying credit rating of A 1/P1, and are limited to 5% of the total account value per issuer. (6) U.S. Treasury Bills, Notes and Bonds NO LIMIT 50% (9) U.S. Government -Sponsored Agencies NO LIMIT 60% Per Issuer 25% City shall invest primarily in securities issued by Federal Home Loan Bank (FHLB), Federal National Mortgage Association (FNMA), Federal Home Loan Mortgage Corporation (FHLMC), and Federal Farm Credit Bureau (FFCB). City may invest in Private Equity Funding Corporation (PEFCO) and Tennessee Valley Authority (TVA); however, the overall limit of 60% still applies. City may also invest in the Government National Mortgage Association, but only via authorized Mutual Funds cited in Category 5 above, and subject to those limitations. (10) Commercial Paper 40% Per Issuer 10% 25% 5% Commercial Paper (CP) is a short-term I.O. U. issued by large corporations of high credit standing which is unsecured. Investments are limited to only Prime quality " CP issued with the highest letter and number rating provided by one of the two nationally recognized rating agencies. City limits itself only to CP rated A-1 or better by Standard & Poors and P-1 by Moodys. Issuing corporations must be organized and operating within the United States, have assets in excess of $500 million, and debt other than commercial paper must be in a rating category of A "or its equivalent or higher by a nationally recognized statistical rating organization or the issuing corporation must be organized within the U.S. as a special purpose corporation, trust, or LLC, have program wide credit enhancements, and have commercial paper that is rated A-1 "or higher or the equivalent, by a nationally recognized statistical rating agency. City may not purchase more 2022-10-19 Item #08D Page 78 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM than 5% of outstanding commercial paper of any single corporate issuer. The maximum allowable maturity is 270 days or less. Per California Code Section 53601(h) beginning January 1, 2021, until January 1, 2026, portfolio limitation maximums are 40% and revert back to 25% after January 1, 2026. The 10% single issue limitation for commercial paper and medium — term notes will remain in effect. (11) Commercial Medium -Term Notes 30% 15% Per Issuer 10% 5% Medium -Term Notes are defined as all corporate and depository institution debt securities with a maximum remaining maturity of five years or less, issued by corporations organized and operating in the United States or by depository institutions licensed by the United States. State Code requires a credit rating of A " or better by one nationally recognized rating agency. The City is further limiting itself to notes that are rated Aa3 or better (Moody §) and AA- or better (S & P). (12) Guaranteed Investment Contracts None 10% Per Issuer 5% Guaranteed Investment Contracts (GIC �) are corporate obligations similar to medium -term notes, but are issued directly to the Agency by the issuer in the form of an investment contract. They are generally longer term in nature. They are generally utilized for the investment of bond proceeds, but may be utilized for the investment of Pooled funds. Uncollateralized GIC � are permitted only with issuers rated Aaa (Moody §) and/or AAA (Standard & Poors) Collateralized GIC � are permitted with issuers rated Aa2 or better (Moody §) and AA or better (Standard & Poors). No more than $5 million per issuer. (13) Demand Deposits (non -interest bearing) None 0-2% Per Issuer 0-2% Non -interest bearing demand deposits with a financial institution approved to do business with the City shall be an allowable investment for the City Pool. These types of accounts are necessary to carry on the regular day-to-day financial operations of the City, must be collateralized, and are reported as bash "on the monthly investment reports. When available, the City Treasurer shall execute a '§weep arrangement "with the designated financial institution, to provide for excess overnight balances to earn interest. (14) Demand Deposits (interest bearing) None 20% Per Issuer 10% Interest -bearing demand deposits with a financial institution approved to do business with the City shall be an allowable investment for the City Pool. These types of accounts generally serve as an alternative to bank certificates of deposit, and have a stated minimum balance requirement. These types of accounts require a separate 2022-10-19 Item #081) Page 79 of 88 INVESTMENT ALLOCATIONS STATE LAW INV POLICY MAXIMUM MAXIMUM agreement with the financial institution, and must be fully collateralized as Public Deposits under California law. In addition, some part of the deposit (currently $250, 000) may be insured by the Federal Deposit Insurance Corporation (FDIC) in lieu of collateralization. (15) Asset -Backed Securities 20% 10% Per Issuer 5% These securities consist of Traditional Asset -Backed, Mortgage -Backed, Mortgage Pass -Through Securities, and Collateralized Mortgage Obligations. They are permitted given that the securities are rated in a rating category of AA " or its equivalent or better by a NRSRO and have a maximum remaining maturity of five years or less. No more than 10% of the total portfolio may be invested in these securities. No more than 5% of the portfolio may be invested in any single Asset - Backed or Commercial Mortgage security issuer. There is no issuer limitation on any mortgage security where the issuer is the U.S. Treasury or a Federal Agency/GSE. (16) Supranationals 30% 20% Per Issuer 15% Supranational issues are U. S. dollar denominated senior unsecured unsubordinated obligations issued or unconditionally guaranteed by the International Bank for Reconstruction and Development, International Finance Corporation, or Inter - American Development Bank. They are permitted if rated in a rating category of AA "or its equivalent or better by a NRSRO. No more than 20% of the total portfolio may be invested in these securities. No more than 15% of the portfolio may be invested in any single issuer. The maximum maturity does not exceed five years. 2022-10-19 Item #081) Page 80 of 88 SUMMARY TABLE of INVESTMENT ALLOCATIONS STATE LAW INV POLICY (1) REPURCHASE AGREEMENTS NO LIMIT 20% (2) CALIFORNIA LAIF NO LIMIT 30% (3) OTHER GOV T POOLS NO LIMIT 30% Per Issuer 10% (4) MUTUAL FUNDS TOTAL 20% 20% Per Issuer 10% 10% (4-A) Money Market Mutual Funds N/A 20% Per Issuer N/A 10% (4-B) Mutual Funds N/A 10% Per Issuer N/A 5% (5) CD § NO LIMIT 30% Per Issuer 5% (6) NEGOTIABLE CD § 30% 30% Per Issuer 5% (7) BANKERS ACCEPTANCES 40% 10% Per Issuer 30% 5% (8) U.S. TREASURYS NO LIMIT 50% (9) U.S. FEDERAL AGENCIES NO LIMIT 60% Per Issuer 25% (10) COMMERCIAL PAPER 40% 25% Per Issuer 10% 5% (11) COMMERCIAL MTN NOTES 30% 15% Per Issuer 10% 5% (12) GIC§ NO LIMIT 10% Per Issuer 5% (13) Demand Deposits (non -interest bearing) NO LIMIT 0-2% Per Issuer 0-2% (14) Demand Deposits (interest bearing) NO LIMIT 20% Per Issuer 10% (15) Asset -Backed Securities 20% 10% Per Issuer 5% (16) Supranationals 30% 20% Per Issuer 15% The State of California Government Code restricts local agencies from investing in securities with final maturity dates greater than five (5) years, except as specifically authorized by the City Council. This Policy authorizes two specific exceptions to the above restriction. (1) The City may invest in up to $5 million (par value) of securities (at date of purchase) rated AAA or equivalent by either S&P or Moody § with maturities of greater than five (5) years, but not exceeding seven (7) years. (2) The City § General Contingency Reserve is not a part of normal operating reserves, and the related funds are not expected to be utilized in the foreseeable future, thus, 2022-10-19 Item #08D Page 81 of 88 the likelihood of liquidation is very small. The objective(s) of investment in this area are to maximize earnings with safety, while recognizing that liquidity is less of an issue than with operating or capital funds. Consistent with these objectives, the City Treasurer is authorized to invest contingency funds in securities rated AAA or equivalent with maturities greater than seven (7) years that have a ready market should the need arise to liquidate the investment. The City Council has directed the City Treasurer not to invest in securities of companies involved in the production of tobacco, alcohol related products, or fossil fuel companies. Furthermore, Encinitas ' City Council directs the City Treasurer to annually, if not more often, petition the managers of the pooled funds the City is invested in to divest from fossil fuel companies. The City recognizes that, due to the extreme complexity of today � corporate structures, it is possible that investments may be placed in good faith in corporations that have an interest in tobacco, alcohol related products or fossil fuel companies that is not widely known or properly disclosed by those corporations. The City Treasurer shall make his/her best efforts, including notice to broker/dealers, to assure that any corporate investments are placed with companies who are not in the tobacco, alcohol, or fossil fuel business. This policy applies at the time of purchase only. Certain investments are specifically prohibited by the State Code. Local Agencies may not invest in the following. Inverse floating-rate notes, range notes, or mortgage -derived interest -only strips. The Code also states that A local Agency shall not invest in any security that could result in zero interest accrual if held to maturity. " The City § interpretation of this Code section is that it does not prohibit investment in U.S. Treasury or Federal Agency securities which carry a variable rate of interest; because the chance that such notes could result in zero interest accrual to maturity is remote. California SB 998 added Government Code Section 53601.6(b)2), which allows a local agency to invest in securities issued by, or backed by, the United States government that could result in zero - or negative -interest accrual if held to maturity, in the event of, and for the duration of a period of negative market interest rates. This is applicable from January 1, 2021 until January 1, 2026. IX. Due Diligence Requirements for Investment Pools, Mutual Funds, and CD & Investments of these types are authorized in Section Vlll. above. Before investing any funds in pools or mutual funds, the City Treasurer shall perform a thorough investigation of the fund(s) to determine the suitability of the investment for the City of Encinitas Pooled Investment Fund. This investigation shall include, at a minimum: review of the Funds investment policy and/or prospectus, a review of the performance history of the Fund, review of ratings (where applicable), review of the latest published portfolio composition, review of fees and charges, and references from other agencies who invest in the Fund. The City Treasurer shall monitor placement of Certificates of Deposit with financial institutions on a regular basis. Compliance with collateral requirements shall be monitored (if applicable). X. Collateralization of Public Deposits Collateralization will be required on two types of investments: demand and timed deposits (which are not fully insured by FDIC) and repurchase agreements. The City Treasurer has agreed to waive collateral requirements on the first $250, 000 of CD § from each institution, which are insured by FDIC. In orderto anticipate market changes and provide a level of security for all invested funds, the required collateralization levels will be.- (1) Overnight repurchases 102% of market value (2) Timed Deposits in accordance with CA law regarding Public Deposits 2022-10-19 Item #081) Page 82 of 88 (3) Demand Deposits in accordance with CA law regarding Public Deposits Collateral must be held by an independent third party with whom the entity has a current custodial agreement. Collateral for overnight repurchases (sweep agreements) may be held by the Trust Department of the institution providing such sweep services. Sweep contracts shall provide for a perfected security interest for the City in collateralized securities. Collateral shall be provided by the issuing institution in accordance and compliance with the California Gov t Code Sections 53630 et al. Issuing institution is responsible for compliance with all collateral requirements, and must provide the City periodic evidence of that compliance, in a form acceptable to the City. XI. Safekeeping and Custody All security transactions entered into by the City shall be conducted on a delivery -versus -payment (DVP) basis. Securities shall be held by an independent third -party custodian approved by the City Council. All broker -dealers shall send a transaction confirmation to the City Treasurer, and all security transactions confirmations shall be treated as a Vital Record "by City personnel and kept safe per the requirements of City policy on Vital Records. Broker -dealers shall also send a monthly activity statement to the City showing all transactions entered into in the period. No City securities or cash will be held by any broker -dealer. The custodian sends a monthly statement to the City Treasurer covering all investment activity handled by that institution. XII. Diversification The City will diversify its investments by security type and institution, to avoid incurring unreasonable risks inherent in over -investing in specific instruments or individual financial institutions. This Policy sets limits on maximum allocations by investment type and by issuer. Refer to Section V///. above for a listing of authorized investments and the maximum allocation by type of investment. Section Vlll. also details specific limitations per issuer. For purposes of this Policy, those limits each apply to the overall portfolio. XIII. Maximum Maturities To the extent possible, the City of Encinitas will attempt to match its investments with anticipated cash flow requirements, after taking into consideration interest rate (market) risk and the potential benefits of extending investment maturities. The City conforms to the Califomia Gov t Code requirements limiting investments in notes to five (5) years, subject to the exceptions cited in Section Vlll. This relates principally to funds classified as reserves, which may be invested in specified instruments with maturities greater than five (5) years. XIV. Internal Control The City Treasurer shall establish a system of internal controls over all cash management and investment transactions, designed to provide reasonable assurance that assets are safeguarded and that all transactions are properly and timely recorded. The City § independent auditor shall annually review the system of internal controls and report any deficiencies and/or suggestions for improvements to the Director of Finance/City Treasurer. Any confirmed significant deficiencies shall be reported to the City Manager and City Council in writing, along with the City § response to the audit findings. 2022-10-19 Item #081) Page 83 of 88 XV. Performance Standards. - The City has determined that periodic quantitative measurement of investment portfolio performance is an important component of the overall monitoring of the investment program. As stated in Section IV(C) above, the performance objective of the Program is attaining a market rate of return over time consistent with the overall risk tolerance of the organization. The City Treasurer is charged with determining an appropriate benchmark by which to measure periodic performance. The chosen benchmark shall be designed to match as closely as practicable the City § tolerance for investment risk. Utilization of the benchmark and analysis of actual performance vs. the benchmark represent an important risk management tool, and analysis of significant variations shall be reported to the City Council in a timely manner. At the same time, it is recognized that the benchmark represents a guideline only, and that performance may vary, especially over relatively short time periods. A timeframe of 2-3 years is considered to be the minimum time period necessary for judging overall performance, due to changing market conditions, cash flow requirements and the fact that no chosen performance benchmark will exactly mirror the City § portfolio. Attaining a market rate of return overtime shall be measured and reported to the City Council, at least quarterly, via the utilization of the following benchmark to measure performance. The one u year constant maturity Treasury index Any change to the above performance benchmark shall be reported to the City Council during the City Treasurer§ quarterly investment report. The City Treasurer shall report performance on a quarterly basis based on the book yield (standard income) approach. Book yield calculates the earnings on an investment based on actual interest earned during any reporting period, including the accretion of purchase discounts and/or the amortization of purchase premiums. The City Treasurer shall also report the estimated market value of investments held (as provided by a third -party data provider) with each periodic report. The City no longer reports investment income on a total return basis each fiscal year (the alternative method presented in Gov t Actg. Standards Board (GASB) Statement No. 31) as the results over time are roughly comparable. XVI. Investment Accounting and Reporting The City Treasurer shall prepare (or have prepared) monthly investment reports sufficient to properly track and record all investment transactions and activity. The City Treasurer shall report investment positions and results of the Pooled Investment Fund to the City Council at least quarterly, in a form acceptable to the City Council. These reports shall either be presented as an Agenda Report or as a memo report to the City Council members, at the discretion of the City Manager. The City Treasurer shall report positions and results of the Pooled Investment Fund and the Investment of Bond Proceeds annually to the City Council at a Public Meeting. Detailed annual reports of the Pooled Investment Fund shall be made available on the City � website for public review. The City shall publicly report on the results of the annual petitions to the managers of the pooled funds the City is invested in to define and divest from fossil fuel companies. XVII. Investment Policy Adoption: The Investment Policy shall be reviewed and adopted by the City Council at a Public Meeting at least annually, regardless of whether there are any proposed changes to the Policy. The Policy shall be posted for public review on the City k website (www. encinitasca. gov) under Departments/Finance. 2022-10-19 Item #0813 Page 84 of 83 Any typographical errors of other minor errors or inconsistencies shall be investigated and interpreted by the City Treasurer, who shall then seek the concurrence of the City Manager before making any changes to policies or procedures. XVIII. Glossary of Investment Terms AGENCIES. Shorthand market terminology for any obligation issued by a government -sponsored entity (GSE), or a federally related institution. Most obligations of GSEs are not guaranteed by the full faith and credit of the US government. Examples are. FFCB. The Federal Farm Credit Bank System provides credit and liquidity in the agricultural industry. FFCB issues discount notes and bonds. FHLB. The Federal Home Loan Bank provides credit and liquidity in the housing market. FHLB issues discount notes and bonds. FHLMC. Like FHLB, the Federal Home Loan Mortgage Corporation provides credit and liquidity in the housing market. FHLMC, also called FreddieMac " issues discount notes, bonds and mortgage pass -through securities. FNMA. Like FHLB and FreddieMac, the Federal National Mortgage Association was established to provide credit and liquidity in the housing market. FNMA, also known as FannieMae, "issues discount notes, bonds and mortgage pass -through securities. GNMA. The Government National Mortgage Association, known as `Ginnie Mae, "issues mortgage pass -through securities, which are guaranteed by the full faith and credit of the US Government. PEFCO. The Private Export Funding Corporation assists exporters. Obligations of PEFCO are not guaranteed by the full faith and credit of the US government. TVA. The Tennessee Valley Authority provides flood control and power and promotes development in portions of the Tennessee, Ohio, and Mississippi River valleys. TVA currently issues discount notes and bonds. ASKED. The price at which a seller offers to sell a security. ASSET BACKED SECURITIES. Securities supported by pools of installment loans or leases or by pools of revolving lines of credit. AVERAGE LIFE. In mortgage -related investments, including CMOs, the average time to expected receipt of principal payments, weighted by the amount of principal expected. BANKER § ACCEPTANCE. A money market instrument created to facilitate international trade transactions. It is highly liquid and safe because the risk of the trade transaction is transferred to the bank which bccepts "the obligation to pay the investor. BENCHMARK. A comparison security or portfolio. A performance benchmark is a partial market index, which reflects the mix of securities allowed under a specific investment policy. BID. The price at which a buyer offers to buy a security. BROKER. A broker brings buyers and sellers together for a transaction for which the broker receives a commission. A broker does not sell securities from his own position. CALLABLE. A callable security gives the issuer the option to call it from the investor prior to its maturity. The main cause of a call is a decline in interest rates. If interest rates decline since an issuer issues securities, it will likely call its current securities and reissue them at a lower rate of interest. Callable securities have reinvestment risk as the investor may receive its principal back when interest rates are lower than when the investment was initially made. CERTIFICATE OF DEPOSIT (CD). A time deposit with a specific maturity evidenced by a certificate. Large denomination CDs may be marketable. CERTIFICATE OF DEPOSIT ACCOUNT REGISTRY SYSTEM (CDARS). A private placement service that allows local agencies to purchase more than $250, 000 in CDs from a single financial institution (must be a participating institution of CDARS) while still maintaining FDIC insurance coverage. CDARS is currently the only entity providing this service. CDARS facilitates the trading of deposits between 2022-10-19 Item #081) Page 85 of 88 the California institution and other participating institutions in amounts that are less than $250, 000 each, so that FDIC coverage is maintained. COLLATERAL. Securities or cash pledged by a borrower to secure repayment of a loan or repurchase agreement. Also, securities pledged by a financial institution to secure deposits of public monies. COLLATERALIZED MORTGAGE OBLIGATIONS (CMO). Classes of bonds that redistribute the cash flows of mortgage securities (and whole loans) to create securities that have different levels of prepayment risk, as compared to the underlying mortgage securities. COMMERCIAL PAPER. The short-term unsecured debt of corporations. COST YIELD. The annual income from an investment divided by the purchase cost. Because it does not give effect to premiums and discounts which may have been included in the purchase cost, it is an incomplete measure of return. COUPON. The rate of return at which interest is paid on a bond. CREDIT R►SK. The risk that principal and/or interest on an investment will not be paid in a timely manner due to changes in the condition of the issuer. CURRENT YIELD. The annual income from an investment divided by the current market value. Since the mathematical calculation relies on the current market value rather than the investor§ cost, current yield is unrelated to the actual return the investor will earn if the security is held to maturity. DEALER. A dealer acts as a principal in security transactions, selling securities from and buying securities for his own position. DEBENTURE. A bond secured only by the general credit of the issuer. DELIVERY VS. PAYMENT (DVP). A securities industry procedure whereby payment for a security must be made at the time the security is delivered to the purchaser § agent. DERIVAT►VE. Any security that has principal and/or interest payments which are subject to uncertainty (but not for reasons of default or credit risk) as to timing and/or amount, or any security which represents a component of another security which has been separated from other components (Stripped " coupons and principal). A derivative is also defined as a financial instrument the value of which is totally or partially derived from the value of another instrument, interest rate, or index. DISCOUNT. The difference between the par value of a bond and the cost of the bond, when the cost is below par. Some short-term securities, such as T-bills and banker§ acceptances, are known as discount securities. They sell at a discount from par, and return the par value to the investor at maturity without additional interest. Other securities, which have fixed coupons, trade at a discount when the coupon rate is lower than the current market rate for securities of that maturity and/or quality. DIVERS►F►CATION. Dividing investment funds among a variety of investments to avoid excessive exposure to any one source of risk. DURATION. The weighted average time to maturity of a bond where the weights are the present values of the future cash flows. Duration measures the price sensitivity of a bond to changes in interest rates. (See modified duration). FEDERAL FUNDS RATE. The rate of interest charged by banks for short-term loans to other banks. The Federal Reserve Bank through open -market operations establishes it. FEDERAL OPEN MARKET COMMITTEE. A committee of the Federal Reserve Board that establishes monetary policy and executes it through temporary and permanent changes to the supply of bank reserves. LEVERAGE. Borrowing funds in order to invest in securities that have the potential to pay earnings at a rate higher than the cost of borrowing. LIQUIDITY. The speed and ease with which an asset can be converted to cash. LOCAL AGENCY INVESTMENT FUND (LAIF). A voluntary investment fund open to government entities and certain non-profit organizations in California that is managed by the State Treasurer§ Office. LOCAL GoVERNMENTINVESTMENT POOL. Investment pools that range from the State Treasurer§ Office Local Agency Investment Fund (LAIF) to county pools, to Joint Powers Authorities (JPAs). These funds are not subject to the same SEC rules applicable to money market mutual funds. MAKE WHOLE CALL. A type of call provision on a bond that allows the issuer to pay off the remaining debt early. Unlike a call option, with a make whole call provision, the issuer makes a lump sum payment that equals the net present value (NPV) of future coupon payments that will not be paid because of the call. With this type of call, an investor is compensated, or "made whole. " 2022-10-19 Item #081) Page 86 of 88 MARGIN. The difference between the market value of a security and the loan a broker makes using that security as collateral. MARKET RISK. The risk that the value of securities will fluctuate with changes in overall market conditions or interest rates. MARKET VALUE. The price at which a security can be traded. MARKING TO MARKET. The process of posting current market values for securities in a portfolio. MATURITY. The final date upon which the principal of a security becomes due and payable. MEDIUM TERM NOTES. Unsecured, investment -grade senior debt securities of major corporations which are sold in relatively small amounts on either a continuous or an intermittent basis. MTNs are highly flexible debt instruments that can be structured to respond to market opportunities or to investor preferences. MODIFIED DURATION. The percent change in price for a 100 basis point change in yields. Modified duration is the best single measure of a portfolio § or security § exposure to market risk. MONEY MARKET. The market in which short-term debt instruments (T-bills, discount notes, commercial paper, and banker § acceptances) are issued and traded. MORTGAGE Pass -THROUGH SECURITIES. A securitized participation in the interest and principal cash flows from a specified pool of mortgages. Principal and interest payments made on the mortgages are passed through to the holder of the security. MUNICIPAL SECURITIES. Securities issued by state and local agencies to finance capital and operating expenses. MUTUAL FUND. An entity which pools the funds of investors and invests those funds in a set of securities which is specifically defined in the fund § prospectus. Mutual funds can be invested in various types of domestic and/or international stocks, bonds, and money market instruments, as set forth in the individual fund § prospectus. For most large, institutional investors, the costs associated with investing in mutual funds are higher than the investor can obtain through an individually managed portfolio. NATIONALLY RECOGNIZED STATISTICAL RATING ORGANIZATION (NRSRO). A credit rating agency that the Securities and Exchange Commission in the United States uses for regulatory purposes. Credit rating agencies provide assessments of an investment's risk. The issuers of investments, especially debt securities, pay credit rating agencies to provide them with ratings. The three most prominent NRSROs are Fitch, S&P, and Moody's. NEGOTIABLE CD. A short-term debt instrument that pays interest and is issued by a bank, savings or federal association, state or federal credit union, or state -licensed branch of a foreign bank. Negotiable CDs are traded in a secondary market and are payable upon order to the bearer or initial depositor (investor). PREMIUM. The difference between the par value of a bond and the cost of the bond, when the cost is above par. PREPAYMENT SPEED. A measure of how quickly principal is repaid to investors in mortgage securities. PREPAYMENT WINDOW. The time period over which principal repayments will be received on mortgage securities at a specified prepayment speed. PRIMARY DEALER. A financial institution (1) that is a trading counterparty with the Federal Reserve in its execution of market operations to carry out U.S. monetary policy, and (2) that participates for statistical reporting purposes in compiling data on activity in the U. S. Government securities market. PRUDENT PERSON PRUDENT INVESTOR) RULE. A standard of responsibility which applies to fiduciaries. In California, the rule is stated as Investments shall be managed with the care, skill, prudence and diligence, under the circumstances then prevailing, that a prudent person, acting in a like capacity and familiar with such matters, would use in the conduct of an enterprise of like character and with like aims to accomplish similar purposes. " REALIZED YIELD. The change in value of the portfolio due to interest received and interest earned and realized gains and losses. It does not give effect to changes in market value on securities, which have not been sold from the portfolio. REGIONAL DEALER. A financial intermediary that buys and sells securities for the benefit of its customers without maintaining substantial inventories of securities and that is not a primary dealer. 2022-10-19 Item #081) Page 87 of 88 REPURCHASE AGREEMENT. Short-term purchases of securities with a simultaneous agreement to sell the securities back at a higher price. From the seller § point of view, the same transaction is a reverse repurchase agreement. SAFEKEEPING. A service to bank customers whereby securities are held by the bank in the customer § name. STRUCTURED NOTE. A complex, fixed income instrument, which pays interest, based on a formula tied to other interest rates, commodities or indices. Examples include inverse floating rate notes which have coupons that increase when other interest rates are falling, and which fall when other interest rates are rising, and "dual index floaters, " which pay interest based on the relationship between two other interest rates - for example, the yield on the ten-year Treasury note minus the Libor rate. Issuers of such notes lock in a reduced cost of borrowing by purchasing interest rate swap agreements. SUPRANATIONAL. A Supranational is a multi -national organization whereby member states transcend national boundaries or interests to share in the decision making to promote economic development in the member countries. TOTAL RATE OF RETURN. A measure of a portfolio § performance over time. It is the internal rate of return, which equates the beginning value of the portfolio with the ending value, it includes interest earnings, realized and unrealized gains, and losses in the portfolio. U.S. TREASURY OBLIGATIONS. Securities issued by the U.S. Treasury and backed by the full faith and credit of the United States. Treasuries are considered to have no credit risk, and are the benchmark for interest rates on all other securities in the US and overseas. The Treasury issues both discounted securities and fixed coupon notes and bonds. TREASURY BILLS. All securities issued with initial maturities of one year or less are issued as discounted instruments, and are called Treasury bills. The Treasury currently issues three- and six-month T- bills at regular weekly auctions. It also issues bash management "bills as needed to smooth out cash flows. TREASURY NOTES. All securities issued with initial maturities of two to ten years are called Treasury notes, and pay interest semi-annually. TREASURY BONDS. All securities issued with initial maturities greater than ten years are called Treasury bonds. Like Treasury notes, they pay interest semi-annually. VOLATILITY. The rate at which security prices change with changes in general economic conditions or the general level of interest rates. YIELD TO MATURITY. The annualized internal rate of return on an investment which equates the expected cash flows from the investment to its cost. 2022-10-19 Item #081) Page 88 of 88