To watch the live meeting proceedings, please refresh this page at the scheduled meeting time, a link labeled "In Progress" will appear under the Video column
File #: 17-0039    Version: 1
Type: Report Status: Filed
File created: 12/28/2016 In control: Finance Committee
On agenda: 1/5/2017 Final action: 1/5/2017
Title: Report on investments purchased during November 2016
Attachments: 1. Inv Purch 2016-11 att.pdf

TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 5, 2017

 

COMMITTEE ON FINANCE

 

Mr. David St. Pierre, Executive Director

 

Title

Report on investments purchased during November 2016

Body

 

Dear Sir:

 

Attached is a report indicating the investments made in securities and overnight money market funds for the various District Funds during the month of November 2016.

 

During the month, 20 individual investments were made with a total par value of $175,000,000.00 at an average annual yield of 0.58%. The interest income to maturity of these investments is $370,395.84.

 

Additionally, 17 investments were made in Money Market Funds during the month, with a par value of $56,116.77 at an average annual yield of 0.40%.

 

The fixed income market continues to be challenged by exceptionally low investment yields. There is very little risk premium to be earned by extending maturities for uncollateralized investments such as commercial paper beyond a 60-day period. As such, investments continue to be made to meet the District’s liquidity demands for debt service, payroll, and other operating expenditures, based upon the best yield offered on the date of investment as well as the diversification requirements of the District’s Investment Policy. See the last page of the attachment for the average market interest rates offered for purchases during the month. Commercial Paper and Money Markets continue to provide the highest yields for short-term investment requirements.

 

Respectfully Submitted, Mary Ann Boyle, Treasurer, MAB:st

 

Attachment