TRANSMITTAL LETTER FOR BOARD MEETING OF JANUARY 9, 2020
COMMITTEE ON FINANCE
Mr. Brian A. Perkovich, Executive Director
Title
Report on the investment interest income during November 2019
Body
Dear Sir:
Attached is a report of cash investment interest income received by the District for the month of November 2019 and a comparison of income for the same period in 2018.
The District’s inventory of investments at November 30, 2019, consisted of 293 items having a total par value of $801,211,349.97, an average annual yield of 1.947%, and total interest income to maturity of approximately $11.3 million. Inventory figures at the same date in 2018 were of 177 items having a total par value of $830,814,718.69, an average annual yield of 2.278%, and total interest income to maturity of approximately $16.3 million.
Interest Forecast for 2019:
On September 30, 2019, the Federal Reserve decreased the target range for the federal funds rate to 1.50% to 1.75%. This decision was based upon fostering maximum employment and price stability. The Fed is looking to sustain expansion of economic activity, strong labor market conditions, and inflation near the 2 percent objective, but uncertainties about this outlook remain.
Respectfully Submitted, Mary Ann Boyle, Treasurer, MAB:st
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