Loading...
HomeMy WebLinkAbout06 QUARTERLY INVESTMENT REPORT FOR SEPTEMBER 30, 2021DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A AGENDA REPORT MEETING DATE: NOVEMBER 16, 2021 TO: MATTHEW S. WEST, CITY MANAGER Agenda Item o Reviewed: City Manager Finance Director FROM: JASON AL -IMAM, FINANCE DIRECTOR/CITY TREASURER SUBJECT: QUARTERLY INVESTMENT REPORT FOR THE CITY OF TUSTIN AND THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNITY REDEVELOPMENT AGENCY FOR THE QUARTER ENDING SEPTEMBER 30, 2021 SUMMARY: Government Code Section 53646 requires that the Treasurer make an Investment Report to the City Council at least quarterly showing balances by authorized investment and certifying its compliance with the adopted Investment Policy. RECOMMENDATION: Receive and file. CORRELATION TO THE STRATEGIC PLAN: Correlates with the City's Strategic Plan Goal C: Financial Strength, Item 3. This investment report provides evidence of the City's commitment to ensuring that investments are in compliance with the adopted Investment Policy. DISCUSSION: In compliance with Government Code Section 53646, the attached Investment Report for the City of Tustin and the Successor Agency for the Tustin Community Redevelopment Agency for the quarter ending September 30, 2021 is rendered. The City's total cash and investments amounted to approximately $200 million as of September 30, 2021. The weighted average yield for the investment portfolio was 0.57%, which is 11 basis points lower than the weighted average yield for the prior quarter. The primary reason for the decrease in the weighted average portfolio yield is due to the decline in interest rates, which are currently at historical lows. For example, the 12 -month average for a 2 -Year Treasury was 0.17% for October 2020 through September 2021. In contrast, the 12 -month average for a 2 -Year Treasury a year ago was 0.67%. DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Quarterly Investment Report for Period Ending September 30, 2021 Page 2 of 2 PARS Pension Trust In June 2018, the City made a one-time contribution of $5.6 million into a Pension Trust, which is held by Public Agency Retirement Services (PARS). The Pension Trust provides for rate stabilization since Pension Trust assets can be used to offset unanticipated increases in CalPERS pension costs. Pension Trust assets are managed in a customized investment strategy that balances risk and return and provides for diversification. Pension Trust Fund assets amounted to $7.3 million at September 30, 2021, which is approximately $49,000 (0.66%) lower than the previous quarter. PARS OPEB Trust The City has also made $2 million in contributions into an Other Post -Employment Benefits (OPEB) Trust, which is set-aside for future retiree healthcare costs. OPEB Trust assets are managed in a customized investment strategy that balances risk and return and provides for diversification. OPEB Trust Fund assets amounted to $2.6 million at September 30, 2021, which is approximately $17,000 (0.66%) lower than the previous quarter. Investment Compliance Certification On October 28, 2021, the Audit Commission verified that the investment portfolio is in compliance with the City's Investment Policy and the California Government Code. In addition, the Treasurer's cash management program and cash flow analysis indicates that sufficient liquidity is on hand to meet estimated operating expenditures for the next twelve (12) months and the projected cash flow needs for the completion of various capital projects largely within the Legacy. F DocuSign�e}d�by: Jasdh'Af-W9 'E.. Finance Director/City Treasurer Attachments: Quarterly Investment Report for the Period Ending September 30, 2021 PARS Trust Statement as of September 30, 2021 Restricted Deposits with Fiscal Agents as of September 30, 2021 DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A City of Tustin, California Finance Department October 28, 2021 Honorable Mayor and Members of the City Council: Re: Investment Report Certification TUSTIN k IhvoRN BUILDING OUR FUTURE HONORING OUR PAST In compliance with California Government Code Section 53646, the attached Investment Report for the Quarter Ending September 30, 2021 is hereby rendered for the City of Tustin and Successor Agency for the Tustin Community Redevelopment Agency (Successor Agency). We certify that this report reflects all City of Tustin and Successor Agency pooled cash and investments subject to the provisions of California Government Code and the City's Investment Policy. It has been verified that the investment portfolio is in compliance with the City's Investment Policy. In addition, the Treasurer's cash management program and cash flow analysis indicates that sufficient liquidity is on hand to meet estimated future expenditures for the next twelve (12) months. Respectfully submitted, DocuSigned by: A81CC329F2394DF... Craig Shimomura, Chair City of Tustin Audit Commission //DocuSign�e{d�by, Y'Gy�Of9. NSG—?�t+G�te !/ 7"CC3AF0CB4AE... Jason Al -Imam, Finance Director City of Tustin Treasurer 300 Centennial Way, Tustin, CA 92780 www.tustinea.org DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A INVESTMENT REPORT City of Tustin Period Ending September 30, 2021 CAtCHANDLER ASSET MANAGEMENT CHANDLER ASSET MANAGEMENT, INC. 1 800.317.4747 1 www.chandlerasset.com DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Table of Contents SECTION 1 SECTION 2 SECTION 3 SECTION 4 Economic Update Account Profile Portfolio Holdings Transactions As of September 30, 2021 1 Ci\ I 1�i \ DocuSign Envelope I D. 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Section 1 I Economic Update 2 C®1 DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IEconomic Update ■ The ongoing health crisis and related supply chain bottlenecks continue to have a meaningful impact on economic data, but we believe the underlying momentum of the economy remains strong. Economic growth is expected to continue at an above -trend pace, fueled in part by ongoing tailwinds from fiscal support, accommodative monetary policy, and continued progress on vaccinations. Covid infection rates in the US and on a global basis are now declining, but supply chains remain dislocated and inflation readings continue to run hot. We expect supply chain bottlenecks will continue to put upward pressure on prices overthe near- to intermediate-term but should improve next year. 0 Monetary policy remains highly accommodative, but the Fed is inching toward a path of policy normalization. The Federal Open Market Committee (FOMC) kept monetary policy unchanged at its September meeting but indicated that they are preparing to reduce the magnitude of their asset purchases. The fed funds target rate remains in the range of 0.0% to 0.25%. For now, the Fed continues to purchase $80 billion of Treasuries per month, and $40 billion of agency mortgage-backed securities per month. However, the Fed is widely expected to make the official announcement about tapering asset purchases at the next FOMC meeting in early November. Nevertheless, the Fed remains patient with their outlook for rate hikes, and Fed Chair Powell has indicated that policymakers would not consider a rate hike until sometime after the tapering process is complete in mid -2022. The median estimate among Fed policymakers calls for one 25 basis point rate hike in 2022. We believe the Fed's slow and steady withdrawal of monetary policy accommodation will remain supportive of an improving labor market and growing economy. 0 The Treasury yield curve steepened in September. The 10 -year Treasury yield rose nearly 18 basis points in September to 1.49%, while the 2 -year Treasury yield rose about seven basis points to 0.2851o. We believe some of the factors that put downward pressure on longer-term rates over the summer including concerns about the Delta COVID-19 variant, market technicals, and uneven global vaccination rates, have started to ease. We expect the front-end of the curve to remain anchored near zero over the near-term and believe the yield curve may be poised for further steepening. At the end of September, the 10 -year Treasury yield was down about 25 basis points from its high this year in March. 3 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IEmployment Nonfarm Payroll (000's) 6,000 2,000 c -2,000 0 1 1 -6,000 of � r c -10,000 0 -14,000 -18,000 -22,000 Non-farm Payroll (000's) -3 month average (000's) 1y 19 'I)0 Source: US Department of Labor 0.0% SPp` SPC` �di ✓4�\ SPO OPc\ 79 79 �p �O _10 Source: US Department of Labor Job growth was weaker than expected in September, but the unemployment rate fell below 5% for the first time since March 2020. U.S. nonfarm payrolls increased by 194,000 in September, versus the consensus forecast of 500,000. However, July and August payrolls were revised up a total of 169,000. On a trailing 3 -month and 6 -month basis, payrolls increased at a solid pace, up an average of 550,000 and 582,000 per month, respectively. The U-3 unemployment rate declined to 4.8% in September from 5.2% in August, a bigger decline than expected. The labor participation rate declined slightly to 61.6% in September but the employment -population ratio increased modestly to 58.7%. The U-6 underemployment rate, which includes those who are marginally attached to the labor force and employed part time for economic reasons, declined to 8.5% in September from 8.8% in August. Annualized average hourly earnings were up by 4.6% in September versus 4.09/o in August, reflecting strong wage growth driven in part by the ongoing imbalance in the supply and demand for labor. Although labor force participation has been slow to recover and more than 7.6 million people remain unemployed, the labor market has made significant progress over the past year. 4 C11% Unemployment Rate 24.0% j%% --- Underemployment Rate (U6) 20.0°/0 %` Unemployment Rate (U3) 1 � `% 16.0% 1 1 1 ``������+ 12.0% M 1 1 8.0% 4.0% 0.0% SPp` SPC` �di ✓4�\ SPO OPc\ 79 79 �p �O _10 Source: US Department of Labor Job growth was weaker than expected in September, but the unemployment rate fell below 5% for the first time since March 2020. U.S. nonfarm payrolls increased by 194,000 in September, versus the consensus forecast of 500,000. However, July and August payrolls were revised up a total of 169,000. On a trailing 3 -month and 6 -month basis, payrolls increased at a solid pace, up an average of 550,000 and 582,000 per month, respectively. The U-3 unemployment rate declined to 4.8% in September from 5.2% in August, a bigger decline than expected. The labor participation rate declined slightly to 61.6% in September but the employment -population ratio increased modestly to 58.7%. The U-6 underemployment rate, which includes those who are marginally attached to the labor force and employed part time for economic reasons, declined to 8.5% in September from 8.8% in August. Annualized average hourly earnings were up by 4.6% in September versus 4.09/o in August, reflecting strong wage growth driven in part by the ongoing imbalance in the supply and demand for labor. Although labor force participation has been slow to recover and more than 7.6 million people remain unemployed, the labor market has made significant progress over the past year. 4 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IInitial Claims for Unemployment Initial Claims For Unemployment July 09,2021 - October 08, 2021 5,000 �InitialJobless Claims 4,500 Continuing Claims 4,000 3,262 3,296 3,500 I 2,980 2,899 2,865 2,908 2,805 2,852 2,820 2,811 I I I I 2,715 I � L I 2,727 2,593 3,000 I —4�� 2, 500 R N 0 2,000 t 1,500 1,000 368 424 500 Source: US Department of Labor 399 387 377 349 354 345 312 335 351 364 329 293 �0,� Z Z Z Z Z Z Z Z Z Z Z Z In the most recent week, the number of initial jobless claims was 293,000 versus 329,000 in the prior week. The level of continuing unemployment claims (where the data is lagged by one week) declined to 2.593 million from 2.727 million in the prior week. Continuing jobless claims have declined significantly from the peak of nearly 25 million in May 2020, but they remain above the 2019 (pre -pandemic) average of 1.7 million. 5 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A I Inflation Consumer Price Index (CPI) 6.0% 5.5% CPI YOY % Change 5.0% 4.5°/o --- Core CPI YOY % Change 4.0% 3.5%M 3.0% a 2.5% Oy 2.0% / 1.5% - 1.0% 0.5% 0 0°/ sPb O�,c �a,. ✓�,� sPp OPc rya,. ✓4� sea 1y 19 ,)0 ,0 ',)0 ,)0 Source: US Department of Labor 6.0% 5.5% 5.0% 4.5% 4.0% M 3.5% U 3.0% 2.5% 0 2.0% 1.5% 1.0% 0.5% 0.0% Personal Consumption Expenditures (PCE) PCE Price DeflatorYOY%Change --- PCE Core Deflator YOY % Change 4 9Al ��19 o -"g P6�O a`'PO 94g�O oG,,O eb�z ay�1 qg�� Source: US Department of Commerce The Consumer Price Index (CPI) was up 5.49/o year -over -year in September, versus up 5.3°% year -over -year in August. Core CPI (CPI less food and energy) was up 4.09/o year -over -year in September (in line with expectations), unchanged from August. The Personal Consumption Expenditures (PCE) index was up 4.3°% year -over -year in August, versus up 4.2°% in July. Core PCE was up 3.6°% year -over -year in August, unchanged from July. Current inflation readings are running well above the Fed's longer -run target of around 2.0%. While the Fed believes many of the factors fueling higher inflation will be temporary, the upward pressure on inflation from supply chain bottlenecks and pandemic - related disruptions is likely to remain elevated over the near-term. 6 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Consumer 60.0% 50.0% 40.0% 30.0% t 20.0% 10.0% r >- 0.0% -10.0°/0 20.0% 30.0% Retail Sales YOY % Change 140 130 120 Consumer Confidence 90 80 ✓ S SPb,1y 4PC,1y �dr 47, PbO c, �dr h, PbO C, d,. 7. P.DOP I)o 1)0 ,110 Vs -)p'-'10 .-0C, d,. ✓4 7. SP. 0 Source: US Department of Commerce Source: The Conference Board On a year -over -year basis, retail sales were up 13.9% in September versus up 15.4% in August. On a month -over -month basis, retail sales were stronger than expected in September, up 0.7% versus expectations of a 0.2% decline. Overall, retail sales trends remain healthy which bodes well forthe holiday shopping season. The Consumer Confidence index declined to 109.3 in September from 115.2 in August. While we believe consumers continue to have the propensity to spend, concerns about the Delta variant, uncertain government policies, supply chain disruptions, and higher energy prices are weighing on consumers' moods. 7 C1\% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IEconomic Activity 4.0% 2.0% o"c 0.0% c u 7 -2.0% 0 -4.0% Leading Economic Indicators (LEI) . a 9419 20`19 0 �dl� O tiaG� "-,o O O Source: The Conference Board �aL�O g4�2o x,01, •c06 01, 6.00 4.00 2.00 iw 2 0.00 r c -2.00 a Chicago Fed National Activity Index (CFNAI) The Conference Board's Leading Economic Index (LEI) increased 0.9% month -over -month in August (slightly above expectations), following a 0.8% increase in July. On a year -over -year basis, the LEI was up 10.09/o in August. According to the Conference Board, the LEI's sharp increase in August suggests the economy is on a rapidly rising trajectory. The Conference Board is forecasting 6.09/o GDP growth for 2021 and 4.09/o GDP growth in 2022. Meanwhile, the Chicago Fed National Activity Index (CFNAI) declined to 0.29 in August from 0.75 in July, pulled down by production and employment. However, on a 3 -month moving average basis, the CFNAI improved to 0.43 in August from 0.36 in July. A reading above zero signals above -trend economic growth. 8 C11% g4�19 01, 06',? �aL�O g4�2o x,01, •c06 01, �0j, q4��d ',7 ,d Source: Federal Reserve Bank of Chicago The Conference Board's Leading Economic Index (LEI) increased 0.9% month -over -month in August (slightly above expectations), following a 0.8% increase in July. On a year -over -year basis, the LEI was up 10.09/o in August. According to the Conference Board, the LEI's sharp increase in August suggests the economy is on a rapidly rising trajectory. The Conference Board is forecasting 6.09/o GDP growth for 2021 and 4.09/o GDP growth in 2022. Meanwhile, the Chicago Fed National Activity Index (CFNAI) declined to 0.29 in August from 0.75 in July, pulled down by production and employment. However, on a 3 -month moving average basis, the CFNAI improved to 0.43 in August from 0.36 in July. A reading above zero signals above -trend economic growth. 8 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IHousing 2000 7 1800 1600 0 a 1400 c 1200 F 1000 —`� 800 a c 600 400 � 200 0 Housing Starts 9419 �oG19 �P6�0 �dy� O q4��p tiaG� aP6� O 1 2fdy� 1 q4� 1 Source: US Department of Commerce 24.09/0 21.09/0 18.09/0 iw 15.09/0 c M v 12.09/0 0 r 9.0% 0 a 6.0% 3.0% 0.0% S&P/Case-Shiller 20 City Composite Home Price Index ✓�� oc ✓ate yor ✓4� oc� ��� qpm ✓�� dg 19 _)0 �� �0 20 Source: S&P Total housing starts increased 3.9% in August to an annual pace of 1,615,000, led by multi -family starts. Single-family starts declined 2.8% in August while multi -family starts rose 20.6°/%. On a year -over -year basis, housing starts were up 17.49/0 in August. According to the Case-Shiller 20 - City home price index, home prices were up 20.09/o year -over -year in July versus up 19.1% year -over -year in June. Low mortgage rates and tight supply continue to support prices. 9 C11% DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IManufacturing 66 64 62 60 58 56 54 52 50 48 46 44 42 40 Institute of Supply Management Purchasing Manager Index D(PANDING LV7 S. OOn �dI ✓49I, sPb OPC, �d� ✓��. SPb. 19 1g �0 �0 _)o ,)o Source: Institute for Supply Management 20.0% 15.0% 10.00/0 v c 5.0% M U 0.0% r' -5.0% -10.00/0 -15.0% -') 0 Oa/ Industrial Production o SPa` on"? I9 Source: Federal Reserve ✓ s ✓ S Pa, 1)0 -)p The Institute for Supply Management (ISM) manufacturing index increased to 61.1 in September from 59.9 in August. The index points to continued strength in manufacturing, as readings above 50.0 are indicative of expansion in the manufacturing sector. New orders were particularly strong, increasing to 66.7 in August from 64.9 in July, which The Industrial Production index was up 4.6% year -over -year in September, versus up 5.7% in August. On a month -over -month basis, the Industrial Production index fell 1.3% in September (well below expectations), following a 0.1% decline in August. Capacity Utilization declined to 75.2°/%in Septemberfrom 76.2°/% in August and remainswell below the long -run average of 79.8°/%. Chip shortages, supply chain bottlenecks, weather-related outages, and cooler temperatures weighed on activity in the manufacturing sector in September. 10 CII` DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IGross Domestic Product (GDP) Components of GDP 9/20 12/20 3/21 6/21 35.0% 30.0% 25.0% Personal Consumption Expenditures 25.5% 2.3% 7.4916 7.9% 20.0% 15.0% Gross Private Domestic Investment 11.7% 4.0% -0.4% -0.7% 10.0% 5.0% 0.0% Net Exports and Imports -3.3% 1. 7% -1.6 - 0.2% -5.0% IL 10.0% Federal Government Expenditures -0.3% -0.2% 0.89/o -0.49/o -15.0%-20.0% State and Local (Consumption and Gross 2 5.09/c 0.1% 0.1% 0.0% -30.0% Investment) -35.0% Gross Domestic Product (GDP) GDP QOQ%Change -GDP YOY % Change Total 33.8% 4.5% 6.3% 6.7% �. �Pc, �. �Pc, �. �Pc, �4'' ,,' d6 16 1j 1j 18 1� dy 19 Source: US Department of Commerce Source: US Department of Commerce Real US gross domestic product (GDP) grew at an annualized rate of 6.7°% in the second quarter, following 6.3°% growth in the first quarter. As of the second quarter, real US GDP had exceeded its pre -pandemic level. The consensus forecast for full year 2021 US gross domestic product growth has moderated but remains well above the long -run trend growth rate of about 1.8°%. The current Bloomberg consensus estimates for 2021 and 2022 US GDP growth are 5.8°% and 4.09/o, respectively, following a 3.49/o decline in 2020. 11 C1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Federal Reserve Federal Reserve Balance Sheet Assets 7,000,000 c 6,000,000 c 5,000,000 4,000,000 3,000,000 Oct ✓ate 9A� ✓�/ O✓ate 9b� ✓�� Oct 1y �O 'O �O '-,,o Source: Federal Reserve 2.00% 1.50% Effective Federal Funds Rate 0.50% 0.00% % ✓a�� 9pr� ✓4� 02 ✓a�� 9p�2 ✓4� 1 0��2 9 O O �O O 1 7 1 Source: Bloomberg Last year, the Fed took a wide range of aggressive actions to help stabilize and provide liquidity to the financial markets. The Fed lowered the fed funds target rate to a range of 0.09/o-0.25% and started purchasing Treasury and agency mortgage-backed securities (MBS) to support smooth market functioning. Last year, policymakers reinstated the Commercial Paper Funding Facility and Money Market Mutual Fund Liquidity Facility. The Fed also established the Primary Market Corporate Credit Facility, Secondary Market Corporate Credit Facility, Term Asset -Backed Securities Loan Facility, Paycheck Protection Program Liquidity Facility, Main Street Lending Facility, and Municipal Liquidity Facility. The Fed has also provided short-term funding through large-scale repo operations and lowered the reserve requirement for depository institutions. Notably, many of the Fed's lending facilities expired at the end of 2020, including the Fed's corporate credit, asset- backed securities, municipal lending, and Main Street Lending programs. In June 2021, the Fed announced plans to unwind its corporate credit facility. The Fed is now widely expected to start tapering their Treasury and agency MBS purchases before this year-end, and stop making asset purchases around the middle of next year. 12 C1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Bond Yields US Treasury Note Yields 3.0% 2.5% 2.0% US Treasury Yield Curve 3.0% •••••• 2 -Year Sep -21 --- 5 -Year 2.5% --- Jun -21 10 -Year .•••.. Sep -20 1.0% 0.5% 0.0% • 1\I.. • .•• •••••.•. •.••• •••• SPb, 1y 19 �0 �0 _)O'_'10 OPC. �d� ✓�'. SPb, �d� ✓�'h, SPb Source: Bloomberg 2.0% 1.0% — 0.5% 0.0% _ { ••• 1 O`r Source: Bloomberg The treasury yield curve is steeper on a year -over -year basis. At the end of September, the 2 -year Treasury yield was about 15 basis points higher and the 10 -Year Treasury yield was about 80 basis points higher, year -over -year. However, the yield curve was less steep than the historical average. The spread between the 2 -year Treasury yield and 10 -year Treasury yield was 121 basis points at September month-end compared to the average historical spread (since 2002) of about 135 basis points. We believe the curve remains poised for further steepening, amid a growing economy and improving labor market, while the Fed is expected to slowly normalize monetary policy. 13 C1" I 1�i \ DocuSign Envelope I D. 89AB5F7E-7024-41 E5-8A70-595E64F5D32A .w Section 2 1 Account Profile 14 Cj DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IObjectives Investment Objectives As of September 30, 2021 The investment objectives of the City of Tustin are first, to provide safety of principal to ensure the preservation of capital in the overall portfolio; second, to provide adequate liquidity to meet all requirements which might be reasonably anticipated; and third, to earn a commensurate rate of return. Chandler Asset Management Performance Objective The performance objective for the accounts is to achieve a rate of return over a market cycle that equals or exceeds the return on a market index of similar duration and sector allocation. Strategy In order to achieve these objectives, the portfolio invests in high quality fixed income securities consistent with the investment policy and California Government Code. 15 cJ" DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Compliance City of Tustin Consolidated As of September 30, 2021 This portfolio is a consolidation of assets managed by Chandler Asset Management and assets managed internally by Client. Chandler relies on Client to provide accurate information for reporting assets and producing this compliance statement. Category Standard Comment U.S. Trea s u ri es No Ii mita ti ons; U.S. government ob I i gati ons i ss u ed by the U.S. Trea s u ry a nd ba c ked by the fu I I fa i th a nd cred i t of the Federa I govern ment Complies 50% max per issuer; Fed era I a genc i es or U.S. govern ment-s po nso red enterp ri se ob I i gati ons, pa rti ci pati ons, o r other i nstru ments, i ncl ud i ng Federal Agencies those issued by or fully guaranteed as to principal and interest by federal agencies or U.S. government-sponsored enterprises Complies AA' rating category or better by a NRSRO; 5% max; 5% max per issuer; USD denominated senior unsecured unsubordinated obligations; Supranational Obligations Issued or unconditionally guaranteed by one of the three supranational banking groups: International Bank for Reconstruction and Complies Development (IBRD), International Finance Corporation (IFC), or Inter -American Development Bank (IADB); Supranational securities will not be purchased until further notice from staff at the City of Tustin. 30% max; 5%max per issuer; Bonds issued bythe local agency (CityofTustin bonds); State of California and any local agency within the State Municipal Securities(CA,Local of California,includin bonds payablesolel out oftherevenues form arevenue-producing property owned, controlled, oroperated b alocal Complies Agency) agency, or by a department, board, agency, or authority of the local agency 30% max; 5%max per issuer; Bonds ofany ofthe other 49 states in additionto California, including bonds payable solely out ofthe revenues Municipal Securities(CA,Other from arevenue-producing property Nowned, controlled, oroperated b astate,orb ade artment,board,a encY,orauthoritV of any ofthe Complies States) other 49 states, in addition to California "A" rating or better by a NRSRO; 30% max; 5% max per issuer; 10% max of any single issuer (combined issuer limitation of a local agency's Corporate Medium Term Notes investments in commercial paperand medium-term notes); Obligations ofa domestic corporation ordepository institution; Ifthecredit Complies rati ng of a security is downgraded bel ow the minimum rating level for a new investment of that security, the Treasurer shall eva I uate the downgrade on a case-by-case basis to determine ifthe security should be held or sold. Mortgage Pass -Through Securities "AA" rated or better by a NRSRO; 20% max; 10% max per issuer Complies Negotiable Certificates of Deposit 30% max; 5% max per issuer; Certificates of deposit issued by a nationally or state -chartered bank, or a federal association, a state or (NCD) federal credit union, or by a federally -licensed or state -licensed branch ofa foreign bank Complies Certificate of Deposit Placement Service(CDARS) 30%max; The City may utilize these at the discretion of the Treasurer Complies Collateralized Bank Deposits/Timeor 30% max per issuer; All active (checking/savings accounts) and inactive (time or certificates of deposit) above FDIC insured limits must be Certificates of Deposit collateralized pursuant to Government Code Complies "A" rating or better by Moody's or equivalent rating by a NRSRO; 30% max; 5% max per issuer; 180 days maturity; Short-term debt Bankers' Acceptances instruments issued by a company that is guaranteed by a commercial bank Complies 16 c11 DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Compliance City of Tustin Consolidated As of September 30, 2021 This portfolio is a consolidation of assets managed by Chandler Asset Management and assets managed internally by Client. Chandler relies on Client to provide accurate information for reporting assets and producing this compliance statement. Category Standard Comment A -1/P-1 rating or equivalent by a NRSRO, plus Along term rating by a NRSRO; 30% max, 5% max per issuer; 10% max of any single issuer (combined issuer limitation ofa local agency's investments in commercial paper and medium-term notes); 10% max outstanding from a single issuer; 270 days max maturity; "'Prime" quality commercial paper with the highest rating by a NRSRO; The entity that issues the Commercial Paper commercial paper shall meet all conditions in either (1) or( 2): (1) a. Organized and operating in the U.S. as a general corporation; b. Has Complies total assets >$500 million; c. Has debt other than commercial paper, if any, that is "A" rating category or higher by a NRSRO; (2) a. Organized within the U.S. as a special purpose corporation, trust, or LLC; b. Has program wide credit enhancements including, but not limited to, overcollateralization, letters of creditor surety bond; and c. "A-1" rated or higher by a NRSRO AAA or highest ranking oftwo ofthe three highest ranking NRSRO; Retained an investment adviser registered with SEC with>5years Money Market Mutual Funds experience investing assets ofat least $500 million; Must invest solely in investments, which the City itself could legally purchase; 20% max; Complies 10% max per Money Market Mutual Fund Max amount limited to the amount as specified byLAIF; Principal amount withdrawal of$10 million or> needs 24-hour notice, and less than Local Agency Investment Fund (LAIF) $10 million maybe withdrawn the same day; Fees charged by LAIF are limited by Statute; Not used by investment adviser Complies Local Government Investment Pool (LGI P)/Orange County Investment Investment in OCIP is allowable according to guidelines in Government Code; Max amount permitted by County Treasurer; Notusedby Complies Pool (OCIP) investment adviser Joint Powers Authority (JPA) 50% max per issuer; Shares of beneficial interest issued by a joint powers' authority organized pursuant to Section 6509.7 that invests in Investment Pools securities and obligations authorized in subdivisions (a)to g () (q), inclusive per policy Complies Repurchase Agreements 30% max; 5% max per issuer; 1 year max maturity; 102% Collateralized; Not used by investment adviser Complies Inverse floaters, range notes, mortgage derived interest -only strips; zero interest accrual if held to maturity; Purchasing or selling securities Prohibited on margin,credit, or for other than full cash payment, and shall not be pledged as collateral; Reverse Repurchase Agreements; Supranational Complies securities wi I I not be purchased until further notice from staff at the City of Tustin. Weighted Average Maturity 36 months max Complies Maximum Maturity 5 years, unless authorized by City Council Complies DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Portfolio Characteristics City of Tustin Consolidated Account Average Maturity (yrs) 2.65 0.50 Average Modified Duration 2.58 0.46 Average Purchase Yield n/a 0.57% Average Market Yield 0.46% 0.30% Average Quality" AAA AA-/Aa3 Total Market Value 199,876,513 *ICE BofA 1-5 Yr US Treasury & Agency Index **Benchmark is a blended rating of S&P, Moody's, and Fitch. Portfolio is S&P and Moody's respectively As of September 30, 2021 0.45 0.44 0.68% 0.26% AA+/Aa2 148,051,766 18 CII` DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Sector Distribution September 30, 2021 Municipal Bonds Negotiable CD US Treasury 1.5% �2.9% 2.0% Agency Monev Market \ 4.6% F Local Go Investment 0.4% LAIF 42.2% $9,128,515.67 $719,777.08 $3,942,788.80 11.9% City of Tustin Consolidated Account Municipal 3.0% Money Market Fund 6.7% Cash Local Gov 34.5% Investment Poe 0.5% $68,929,114.27 $23,854,553.81 $84,391,774.30 $31,181.02 $3,061,422.92 $5,817,384.85 As of September 30, 2021 June 30, 2021 Negotiable CD USTreasury Agency LAIF 56.4% $9,144,772.67 $721,637.59 $3,959,556.94 ash 3% Corporate 10.0% $13,711,479.65 - $14,849,546.33 $83,544,250.12 $9,859,461.31 $4,425,969.45 $7,835,091.52 19 c11 DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Portfolio Allocation City of Tustin Consolidated Account Portfolio Allocation LAIF Cash 9.3 Corporate 11.9% 10.0 - 4.6% Agency - 6.2% _ 2.9% Negotiable CD - 5.3% 2.0% US Treasury _ 2.7% 1.5 Municipal Bonds _ 3.0% Local Gov 0.4% Investment Pool 0.5% Money Market 10.0% Fund 6.7% E 34.5% 42.2% As of September 30, 2021 ■ 9/30/2021 ■ 6/30/2021 56.4% 20 C/" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Issuers Local Agency Investment Fund Bank Cash Account Toyota Motor Corp Federal Home Loan Bank Government of United States Federal Home Loan Mortgage Corp JP Morgan Chase & Co Apple Inc ChevronTexaco Corp Federal National Mortgage Association Chubb Corporation Bank of Montreal Chicago Bank of America Corp State of California Visa Inc City of Industry CA Procter & Gamble Company Pfizer Inc. Charles Schwab Corp/The United Health Group Inc Amazon.com Inc Caterpillar Inc Royal Bank of Canada Toronto Dominion Holdings Wal-Mart Stores CAMP Santa Rosa Regional Resources Delaware State Police FCU UBS Corp California Edl FacsAuth Rev Sallie Mae Bank Alliance Credit Union MO First Bank of Highland Signature Bank Chicago IL Murrieta Redevelopment Agency Mountain America FCU Allegiance Bank First Premier Bank City of Tustin Consolidated Account -Account #10795 Investment Type LAIF Cash Corporate Agency US Treasury Agency Corporate Corporate Corporate Agency Corporate Corporate Corporate Municipal Bonds Corporate Municipal Bonds Corporate Corporate Corporate Corporate Corporate Corporate Corporate Corporate Corporate Local Gov Investment Pool Municipal Bonds Negotiable CD Negotiable CD Municipal Bonds Negotiable CD Negotiable CD Negotiable CD Negotiable CD Municipal Bonds Negotiable CD Negotiable CD Negotiable CD As of September 30, 2021 42.22% 34.49% 2.31% 2.04% 1.97% 1.53% 1.04% 1.02% 1.01% 0.99% 0.55% 0.52% 0.51% 0.51% 0.51% 0.51% 0.51% 0.51% 0.50% 0.50% 0.50% 0.50% 0.50% 0.49% 0.45% 0.36% 0.26% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 2 CI` DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Issuers Traverse City State Bank FNB Bank Inc Barclays Bank First Internet Bank of Indiana DNB First NA First Jackson Bank Inc Celtic Bank Northfield Bank Nebraska State Bank & Trust Uinta Bank Ohio Valley Bank American Eagle Bank IL Great Plains Bank SD Goldman Sachs Inc. First American Govt Oblig Fund City of Tustin Consolidated Account —Account #10795 Investment Type Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Negotiable CD Money Market Fund As of September 30, 2021 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.13% 0.12% 0.12% 0.12% 0.12% 0.12% 0.02% TOTAL 100.00% 22 C1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Maturity Distribution $200,940.000.04 5156,450,.072.51 $150,000.04.00 $100.000.000.00 $50,040.000.44 55.553.995-72 $9.cc 4..25 .25--s City of Tustin Consolidated Account S16,553,928-62 33.117.454.83 $261.286.04 $4.911).946.89 � � .5-1 1.2 2.3 3.4 As of September 30, 2021 $14,298,049.79 _ $040 4.5 S+ Maturity (Yrsj 23 c1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Quality Distribution City of Tustin Consolidated Account September 30, 2021 vs. June 30, 2021 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% AAA AA A <A ■ 9/30/2021 ■ 6/30/2021 09/30/21 0.4% 11.4% 8.1% 0.0% 06/30/21 7.1% 15.6% 5.6% 0.0% Source: S&P Ratings NR As of September 30, 2021 24 ci" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Duration Distribution 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 09/30/21 06/30/21 0-0.25 As of September 30, 2021 City of Tustin Consolidated Account September 30, 2021 vs. June 30, 2021 IM..M I ME.. � 0.25-0.50 0.50-1 1-2 2-3 3-4 4-5 5+ ■ September 30, 2021 ■ June 30, 2021 78.1% 3.3% 7.8% 1.6% 0.1% 3.6% 5.6% 0.0% 75.3% 2.0% 9.3% 6.4% 0.9% 2.0% 4.0% 0.0% 25 ci" DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A IInvestment Performance City of Tustin Consolidated Account Total Rate of Return Since Inception 11/30/2020 0.30% 0.20% 0.10% 0.00% - -0.10% -0.20% -0.30% -0.40% 3 months Since Inception As of September 30, 2021 ■ City of Tustin Consolidated Account ICE BofA 1-5 Yr US Treasury & Agency Index ■ ICE BofA 1-3 Yr US Treasury & Agency Index TOTAL RATE OF RETURN Latest 3 months Since Inception City of Tustin Consolidated Account 0.01% 0.25% ICE BofA 1-5 Yr US Treasury & Agency Index 0.00% -0.33% ICE BofA 1-3 Yr US Treasury & Agency Index 0.06% 0.03% 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. 26 c�1% I 1�i \ DocuSign Envelope I D. 89AB5F7E-7024-41 E5-8A70-595E64F5D32A .w Section 3 1 Portfolio Holdings 27 Cj DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Holdings Report City of Tustin Consolidated Account - Account #10795 CUSIP Security Description IR 3130AB3U8 FHLB Callable Note lX4/26/2019 2.100% Due 04/26/2022 As of September 30, 2021 4,000,000.00 04/26/2017 4,000,000.00 101.15 4,046,056.00 2.04% Aaa /AA+ 0.57 2.10% 4,000,000.00 0.09% 36,166.67 46,056.00 NR 0.57 3134GBMB5 FHLMCCallable Note IX 5/25/2018 1,000,000.00 05/25/2017 1,000,000.00 101.28 1,012,810.00 0.51% Aaa /AA+ 0.65 976,000.00 2.050% Due 05/25/2022 1,004,028.00 2.05% 1,000,000.00 0.09% 7,175.00 12,810.00 AAA 0.65 3134GBWQ1 FHLMC Callable Note IX 7/27/2018 2,000,000.00 07/27/2017 1,996,000.00 101.59 2,031,814.00 1.02% Aaa /AA+ 0.82 Al/A+ 2.000% Due 07/27/2022 2.600% Due 01/11/2022 2.04% 1,999,345.02 0.07% 7,111.11 32,468.98 AAA 0.82 3135G04Z3 FNMA Note 2,000,000.00 04/12/2021 1,982,980.00 99.22 1,984,494.00 0.99% Aaa / AA+ 3.72 0.500% Due 06/17/2025 0.71% 1,984,887.22 0.71% 2,888.89 (393.22) AAA 3.67 89236TEC5 Toyota Motor Credit Corp Note 2,500,000.00 11/01/2017 8,978,980.00 101.84 9,075,174.00 4.57% Aaa / AA+ 1.32 TOTAL Agency 2.150% Due 09/08/2022 9,000,000.00 1.77% 8,984,232.24 0.22% 53,341.67 90,941.76 Aaa 1.31 92826CAG7 Visa Inc Callable Note Cont 8/15/2022 1,000,000.00 10/03/2017 1,002,301.43 101.75 1,017,490.00 0.51% Aa3 / AA- 0.96 Cash 2.150% Due 09/15/2022 2.10% 1,000,444.25 0.15% 955.56 17,045.75 NR 0.87 90BOFA$00 Cash BOA Cash Acct 68,929,114.27 Various 68,929,114.27 1.00 68,929,114.27 34.49% NR/ NR 0.00 0.25% 68,929,114.27 0.25% 0.00 0.00 NR 0.00 68,929,114.27 68,929,114.27 34.49% NR/NR 0.00 TOTAL Cash 68,929,114.27 0.25% 68,929,114.27 0.25% 0.00 0.00 NR 0.00 Corporate Procter & Gamble Co Note 1,000,000.00 07/16/2018 979,800.00 100.73 1,007,268.00 0.51% 717081DZ3 Pfizer Inc. Note 1,000,000.00 07/16/2018 976,000.00 100.40 1,004,028.00 0.51% A2/A+ 0.21 2.200% Due 12/15/2021 2.94% 998,557.69 0.26% 6,477.78 5,470.31 A 0.21 89236TDP7 Toyota Motor Credit Corp Note 1,000,000.00 07/13/2017 1,017,027.84 100.65 1,006,470.00 0.51% Al/A+ 0.28 2.600% Due 01/11/2022 2.20% 1,001,057.11 0.29% 5,777.78 5,412.89 A+ 0.28 742718DY2 Procter & Gamble Co Note 1,000,000.00 07/16/2018 979,800.00 100.73 1,007,268.00 0.51% Aa3 / AA- 0.35 2.300% Due 02/06/2022 2.90% 998,012.61 0.22% 3,513.89 9,255.39 NR 0.35 166764BN9 Chevron Corp Callable Note Cont 2/3/2022 2,000,000.00 08/10/2017 2,034,400.00 100.77 2,015,420.00 1.01% Aa2 / AA- 0.42 2.498% Due 03/03/2022 2.10% 2,003,159.18 0.24% 3,885.78 12,260.82 NR 0.34 037833CQ1 Apple Inc Cal la ble Note Cont 4/11/2022 2,000,000.00 06/26/2017 2,015,402.54 101.11 2,022,278.00 1.02% Aa1/AA+ 0.61 2.300% Due 05/11/2022 2.13% 2,001,920.99 0.20% 17,888.89 20,357.01 NR 0.53 89236TEC5 Toyota Motor Credit Corp Note 2,500,000.00 11/01/2017 2,482,750.00 101.84 2,546,002.50 1.28% Al/A+ 0.94 2.150% Due 09/08/2022 2.30% 2,496,670.71 0.19% 3,434.03 49,331.79 A+ 0.93 92826CAG7 Visa Inc Callable Note Cont 8/15/2022 1,000,000.00 10/03/2017 1,002,301.43 101.75 1,017,490.00 0.51% Aa3 / AA- 0.96 2.150% Due 09/15/2022 2.10% 1,000,444.25 0.15% 955.56 17,045.75 NR 0.87 89236TFNO Toyota Motor Credit Corp Note 1,000,000.00 02/28/2019 1,019,000.00 106.00 1,059,962.00 0.53% Al/A+ 1.97 3.450% Due 09/20/2023 3.00% 1,008,204.80 0.39% 1,054.17 51,757.20 A+ 1.92 28 C1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Holdings Report As of September 30, 2021 City of Tustin Consolidated Account - Account #10795 7. LAIF 90LAIF$00 Local Agency Investment Fund State Pool 84,348,110.19 Various 84,348,110.19 1.00 84,348,110.19 42.22% NR/ NR 0.00 0.21% 84,348,110.19 0.21% 43,664.11 0.00 NR 0.00 84,348,110.19 84,348,110.19 42.22% NR/NR 0.00 TOTAL LAIF 84,348,110.19 0.21% 84,348,110.19 0.21% 43,664.11 0.00 NR 0.00 29 ci" r-?ar,zame/inits Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration 06367WB85 Bank of Montreal Note 1,000,000.00 08/17/2021 1,034,530.00 102.86 1,028,647.00 0.52% A2/A- 3.59 1.850% Due 05/01/2025 0.90% 1,033,430.97 1.03% 7,708.33 (4,783.97) AA- 3.44 89114QCK2 Toronto Dominion Bank Note 1,000,000.00 08/17/2021 993,000.00 98.68 986,792.00 0.49% Al/A 3.95 0.750% Due 09/11/2025 0.93% 993,202.83 1.09% 416.67 (6,410.83) AA- 3.87 14913112H9 Caterpillar Financial Service Note 1,000,000.00 04/21/2021 991,780.00 99.35 993,492.00 0.50% A2/A 4.12 0.800% Due 11/13/2025 0.98% 992,574.85 0.96% 3,066.67 917.15 A 4.03 06051GHY8 Bank of America Corp Callable Note Cont 2/13/2025 1,000,000.00 04/20/2021 1,030,470.00 102.51 1,025,135.00 0.51% A2/A- 4.38 2.015% Due 02/13/2026 1.11% 1,027,662.18 1.25% 2,686.67 (2,527.18) AA- 3.25 46647PBK1 1P Morgan Chase & Co Callable Note Cont 4/22/2025 2,000,000.00 Various 2,072,110.00 102.79 2,055,798.00 1.04% A2/A- 4.56 2.083% Due 04/22/2026 1.26% 2,069,650.32 1.28% 18,399.84 (13,852.32) AA- 3.40 00440EAV9 Chubb INA Holdings Inc Callable Note Cont 2/3/2026 1,000,000.00 07/23/2021 1,102,780.00 109.03 1,090,335.00 0.55% A3 / A 4.59 3.350% Due 05/03/2026 1.13% 1,098,883.69 1.21% 13,772.22 (8,548.69) A 4.02 023135BX3 Amazon.com Inc Callable Note Cont 4/12/2026 1,000,000.00 05/12/2021 995,200.00 99.89 998,917.00 0.50% Al/AA 4.62 1.000% Due 05/12/2026 1.10% 995,568.42 1.02% 3,861.11 3,348.58 AA- 4.40 808513BR5 Charles Schwab Corp Callable Note Cont 4/13/2026 1,000,000.00 07/23/2021 1,007,990.00 100.13 1,001,343.00 0.50% A2/A 4.62 1.150% Due 05/13/2026 0.98% 1,007,688.83 1.12% 4,408.33 (6,345.83) A 4.39 91324PEC2 United Health Group Inc Callable Note Cont 4/15/2026 1,000,000.00 07/28/2021 1,007,110.00 100.03 1,000,284.00 0.50% A3/A+ 4.62 1.150% Due 05/15/2026 1.00% 1,006,854.04 1.14% 4,216.67 (6,570.04) A 4.39 78016EZT7 Royal Bank of Canada Note 1,000,000.00 07/28/2021 999,090.00 99.22 992,167.00 0.50% A2/A 4.79 1.150% Due 07/14/2026 1.17% 999,121.67 1.32% 2,459.72 (6,954.67) AA- 4.63 931142ERO Wal-Mart Stores Callable Note Cont 08/17/2026 900,000.00 09/22/2021 902,277.00 99.82 898,373.70 0.45% Aa2 / AA 4.97 1.050% Due 09/17/2026 1.00% 902,268.24 1.09% 367.50 (3,894.54) AA 4.74 23,663,018.81 23,750,202.20 11.93% Al / A+ 2.61 TOTAL Corporate 23,400,000.00 1.71% 23,634,933.38 0.70% 104,351.61 115,268.82 A+ 2.36 LAIF 90LAIF$00 Local Agency Investment Fund State Pool 84,348,110.19 Various 84,348,110.19 1.00 84,348,110.19 42.22% NR/ NR 0.00 0.21% 84,348,110.19 0.21% 43,664.11 0.00 NR 0.00 84,348,110.19 84,348,110.19 42.22% NR/NR 0.00 TOTAL LAIF 84,348,110.19 0.21% 84,348,110.19 0.21% 43,664.11 0.00 NR 0.00 29 ci" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Holdings Report As of September 30, 2021 City of Tustin Consolidated Account - Account #10795 7. r - i:escription 'MR tar,z. - r nits Book Yield Book Value Mkt YTM Accrued Int. Gain/Loss Fitch Duration Local Gov Investment Pool 90CAMP$00 California Asset Mgmt Program CAMP 719,777.08 Various 719,777.08 1.00 719,777.08 0.36% NR/AAA 0.00 0.05% 719,777.08 0.05% 0.00 0.00 NR 0.00 719,777.08 719,777.08 0.36% NR / AAA 0.00 TOTAL Local Gov Investment Pool 719,777.08 0.05% 719,777.08 0.05% 0.00 0.00 NR 0.00 Money Market Fund 31846V203 First American Govt Obligation Fund Class Y 31,181.02 Various 31,181.02 1.00 31,181.02 0.02% Aaa/AAA 0.00 0.01% 31,181.02 0.01% 0.00 0.00 AAA 0.00 31,181.02 31,181.02 0.02% Aaa/AAA 0.00 TOTAL Money Market Fund 31,181.02 0.01% 31,181.02 0.01% 0.00 0.00 Aaa 0.00 Municipal Bonds 45656RDV1 City of Industry CA STE-REV 1,000,000.00 05/17/2017 1,013,000.00 100.54 1,005,350.00 0.51% Al/NR 0.25 2.750% Due 01/01/2022 2.45% 1,000,707.69 0.63% 6,875.00 4,642.31 NR 0.25 13063DADO California State TE -GO 1,000,000.00 04/27/2017 1,010,000.00 101.07 1,010,710.00 0.51% Aa2/AA- 0.50 2.367% Due 04/01/2022 2.15% 1,001,011.11 0.23% 11,835.00 9,698.89 AA 0.50 802629AX3 Santa Rosa Regional Resources STE-REV 500,000.00 10/03/2017 504,500.00 101.79 508,925.00 0.26% NR/AA+ 0.84 2.400% Due 08/01/2022 2.20% 500,775.95 0.26% 2,000.00 8,149.05 AA 0.83 62719PAY2 Murrieta Redevelopment Agency STE-TA 250,000.00 10/18/2017 249,345.00 101.53 253,812.50 0.13% NR/A 0.84 2.500% Due 08/01/2022 2.56% 249,886.09 0.67% 1,041.67 3,926.41 NR 0.83 13077DFD9 California State University TE -REV 250,000.00 08/02/2018 250,000.00 103.08 257,692.50 0.13% Aa2/AA- 1.09 3.054% Due 11/01/2022 3.05% 250,000.00 0.22% 3,181.25 7,692.50 NR 1.06 3,026,845.00 3,036,490.00 1.53% Aa3 / AA- 0.55 TOTAL Municipal Bonds 3,000,000.00 2.37% 3,002,380.84 0.40% 24,932.92 34,109.16 AA 0.55 Negotiable CD 903572CC7 Uinta Bank Negotiable CD 247,000.00 10/13/2017 247,000.00 100.07 247,173.89 0.12% NR/ NR 0.04 2.050% Due 10/13/2021 2.05% 247,000.00 0.07% 2,372.22 173.89 NR 0.04 66612ABV9 Northfield Bank Negotiable CD 248,000.00 11/01/2017 247,256.00 100.10 248,254.70 0.13% NR/NR 0.05 1.950% Due 10/20/2021 2.03% 247,990.24 0.07% 2,172.89 264.46 NR 0.05 39115UAZ6 Great Plains Bank SD Negotiable CD 248,000.00 04/21/2017 248,000.00 100.39 248,976.38 0.12% NR/NR 0.22 1.850% Due 12/21/2021 1.85% 248,000.00 0.10% 125.70 976.38 NR 0.22 02554BCRO American Eagle Bank IL Negotiable CD 247,000.00 07/13/2017 247,000.00 100.48 248,185.60 0.12% NR/ NR 0.25 2.000% Due 12/30/2021 2.00% 247,000.00 0.07% 1,258.68 1,185.60 NR 0.25 30 c1" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Holdings Report As of September 30, 2021 City of Tustin Consolidated Account - Account #10795 CUSIP 677721CNO Security Description Ohio Valley Bank Negotiable CD Par Value/Units 248,000.00 Purchase Date Book Yield 07/19/2017 Cost Value Book Value 248,000.00 Mkt Price Mkt YTM 100.54 Market Value Accrued Int. 249,351.35 % of Port. Gain/Loss 0.12% Moody/S&P Fitch NR/ NR Maturity Duration 0.30 1.900% Due 01/19/2022 1.90% 248,000.00 0.11% 154.92 1,351.35 NR 0.30 63969ACD4 Nebraska State Bank & Trust Negotiable CD 248,000.00 04/21/2017 248,000.00 100.72 249,796.51 0.13% NR/ NR 0.39 1.950% Due 02/21/2022 1.95% 248,000.00 0.11% 132.49 1,796.51 NR 0.39 15118RMF1 Celtic Bank Negotiable CD 248,000.00 04/21/2017 248,000.00 101.12 250,779.09 0.13% NR/ NR 0.56 2.100% Due 04/21/2022 2.10% 248,000.00 0.08% 142.68 2,779.09 NR 0.55 32063KAS1 First Jackson Bank Inc Negotiable CD 248,000.00 11/08/2017 248,000.00 101.19 250,961.62 0.13% NR/ NR 0.61 2.050% Due 05/09/2022 2.06% 248,000.00 0.08% 320.36 2,961.62 NR 0.60 25590AAH3 DNB First NA Negotiable CD 248,000.00 06/23/2017 248,000.00 101.41 251,493.33 0.13% NR/ NR 0.73 2.000% Due 06/23/2022 2.00% 248,000.00 0.07% 108.71 3,493.33 NR 0.72 894333FF5 Traverse City State Bank Negotiable CD 248,000.00 06/28/2017 248,000.00 101.44 251,574.18 0.13% NR/NR 0.74 2.000% Due 06/28/2022 2.00% 248,000.00 0.06% 1,290.96 3,574.18 NR 0.74 06740KKD8 Barclays Bank Delaware Negotiable CD 247,000.00 07/12/2017 247,000.00 101.67 251,136.76 0.13% NR/ NR 0.78 2.200% Due 07/12/2022 2.20% 247,000.00 0.05% 1,205.90 4,136.76 NR 0.78 32056GCQ1 First Internet Bank of IN Negotiable CD 248,000.00 07/14/2017 248,000.00 101.56 251,859.62 0.13% NR/ NR 0.79 2.050% Due 07/14/2022 2.05% 248,000.00 0.07% 236.79 3,859.62 NR 0.78 330459BU1 FNB Bank Inc Negotiable CD 248,000.00 08/18/2017 248,000.00 101.69 252,181.78 0.13% NR/NR 0.88 2.000% Due 08/18/2022 2.00% 248,000.00 0.09% 176.66 4,181.78 NR 0.87 33610RQY2 First Premier Bank Negotiable CD 248,000.00 08/21/2017 248,000.00 101.77 252,381.17 0.13% NR/ NR 0.89 2.050% Due 08/22/2022 2.05% 248,000.00 0.07% 571.08 4,381.17 NR 0.89 018596AA3 Alliance Credit Union MO Negotiable CD 248,000.00 10/13/2017 248,000.00 102.21 253,478.07 0.13% NR/ NR 1.04 2.250% Due 10/13/2022 2.25% 248,000.00 0.12% 2,614.19 5,478.07 NR 1.02 01748DAY2 Allegiance Bank Negotiable CD 248,000.00 11/03/2017 248,000.00 102.26 253,597.36 0.13% NR/ NR 1.09 2.200% Due 11/03/2022 2.20% 248,000.00 0.13% 418.54 5,597.36 NR 1.08 3191411F5 First Bank of Highland Negotiable CD 248,000.00 11/08/2017 248,000.00 102.29 253,671.26 0.13% NR/ NR 1.11 2.200% Due 11/08/2022 2.20% 248,000.00 0.13% 2,182.40 5,671.26 NR 1.09 62384RACO MOUNTAIN AMERICA FD CRED Negotiable CD 248,000.00 11/08/2017 248,000.00 102.39 253,932.66 0.13% NR/NR 1.11 2.300% Due 11/08/2022 2.30% 248,000.00 0.14% 359.43 5,932.66 NR 1.09 82669VBY6 Signature Bank Chicago IL Negotiable CD 248,000.00 11/08/2017 248,000.00 102.23 253,533.87 0.13% NR/ NR 1.11 2.150% Due 11/08/2022 2.15% 248,000.00 0.13% 2,132.80 5,533.87 NR 1.09 795450M93 Sallie Mae Bank Negotiable CD 245,000.00 04/18/2018 245,000.00 104.26 255,424.75 0.13% NR/NR 1.55 3.000% Due 04/18/2023 3.00% 245,000.00 0.24% 3,342.74 10,424.75 NR 1.50 903481CW8 UBS Bank USA Negotiable CD 248,000.00 06/13/2018 248,000.00 105.03 260,479.36 0.13% NR/ NR 1.70 3.250% Due 06/13/2023 3.25% 248,000.00 0.28% 397.48 12,479.36 NR 1.66 246399A85 Delaware State Police FCU Negotiable CD 246,000.00 03/29/2019 246,000.00 106.19 261,225.92 0.13% NR/ NR 2.50 3.000% Due 03/29/2024 3.00% 246,000.00 0.50% 40.44 15,225.92 NR 2.42 31 c1" DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Holdings Report City of Tustin Consolidated Account - Account #10795 As of September 30, 2021 38149MYS6 Goldman Sachs Bank USA Negotiable CD 245,000.00 08/17/2021 243,775.00 100.37 245,916.79 0.12% NR/NR 4.90 1.050% Due 08/25/2026 1.15% 243,799.82 0.97% 260.77 2,116.97 NR 4.77 5,691,031.00 5,795,366.02 2.91% NR/NR 1.02 TOTAL Negotiable CD 5,693,000.00 2.16% 5,691,790.06 0.16% 22,018.83 103,575.96 NR 1.00 US Treasury i 91282CBH3 US Treasury Note 2,000,000.00 04/27/2021 1,957,500.00 97.82 1,956,328.00 0.98% Aaa / AA+ 4.34 0.375% Due 01/31/2026 0.83% 1,961,312.54 0.89% 1,263.59 (4,984.54) AAA 4.28 91282CBT7 US Treasury Note 2,000,000.00 04/27/2021 1,989,531.25 99.26 1,985,156.00 0.99% Aaa /AA+ 4.50 0.750% Due 03/31/2026 0.86% 1,990,439.55 0.92% 41.21 (5,283.55) AAA 4.41 3,947,031.25 3,941,484.00 1.97% Aaa / AA+ 4.42 TOTAL US Treasury 4,000,000.00 0.85% 3,951,752.09 0.90% 1,304.80 (10,268.09) Aaa 4.35 199,335,088.62 199,626,898.78 100.00% Aa3 / AA- 0.50 TOTAL PORTFOLIO 199,121,182.56 0.57% 199,293,271.17 0.30% 249,613.94 333,627.61 AA 0.46 TOTAL MARKET VALUE PLUS ACCRUALS 199,876,512.72 32 c1" I 1�i \ DocuSign Envelope I D. 89AB5F7E-7024-41 E5-8A70-595E64F5D32A .w Section 4 1 Transactions 33 Q11 DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A 1 Transaction Ledger City of Tustin Consolidated Account - Account #10795 June 30, 2021 through September 30, 2021 As of September 30, 2021 ACQUISITIONS 001"M - Purchase 07/15/2021 90LAIF$00 59,777.58 Local Agency Investment Fund State Pool 1.000 0.25% 59,777.58 0.00 59,777.58 0.00 Purchase 07/27/2021 00440EAV9 1,000,000.00 Chubb INA Holdings Inc Callable Note Cont 110.278 1.13% 1,102,780.00 7,816.67 1,110,596.67 0.00 2/3/2026 3.35% Due: 05/03/2026 Purchase 07/27/2021 46647PBK1 1,000,000.00 JP Morgan Chase & Co Callable Note Cont 103.748 1.06% 1,037,480.00 5,496.81 1,042,976.81 0.00 4/22/2025 2.083% Due: 04/22/2026 Purchase 07/27/2021 808513BR5 1,000,000.00 Charles Schwab Corp Callable Note Cont 100.799 0.98% 1,007,990.00 2,363.89 1,010,353.89 0.00 4/13/2026 1.15% Due: 05/13/2026 Purchase 07/30/2021 78016EZT7 1,000,000.00 Royal Bank of Canada Note 99.909 1.17% 999,090.00 511.11 999,601.11 0.00 1.15% Due: 07/14/2026 Purchase 07/30/2021 91324PEC2 1,000,000.00 United Health Group Inc Callable Note Cont 100.711 1.00% 1,007,110.00 2,268.06 1,009,378.06 0.00 4/15/2026 1.15% Due: 05/15/2026 Purchase 07/31/2021 900CIP$01 356.74 Orange County Investment Pool 1.000 0.40% 356.74 0.00 356.74 0.00 Purchase 07/31/2021 90CAMP$00 30.94 California Asset Mgmt Program CAMP 1.000 0.05% 30.94 0.00 30.94 0.00 Purchase 08/11/2021 46647PBK1 1,000,000.00 JP Morgan Chase & Co Callable Note Cont 103.463 1.29% 1,034,630.00 6,306.86 1,040,936.86 0.00 4/22/2025 2.083% Due: 04/22/2026 Purchase 08/19/2021 06367WB85 1,000,000.00 Bank of Montreal Note 103.453 0.90% 1,034,530.00 5,550.00 1,040,080.00 0.00 1.85% Due: 05/01/2025 Purchase 08/19/2021 89114QCK2 1,000,000.00 Toronto Dominion Bank Note 99.300 0.93% 993,000.00 3,291.67 996,291.67 0.00 0.75% Due: 09/11/2025 Purchase 08/25/2021 38149MYS6 245,000.00 Goldman Sachs Bank USA Negotiable CD 99.500 1.15% 243,775.00 0.00 243,775.00 0.00 1.05% Due: 08/25/2026 Purchase 08/30/2021 900CIP$01 2.23 Orange County Investment Pool 1.000 0.40% 2.23 0.00 2.23 0.00 Purchase 08/31/2021 90CAMP$00 31.68 California Asset Mgmt Program CAMP 1.000 0.05% 31.68 0.00 31.68 0.00 Purchase 09/24/2021 931142ERO 900,000.00 Wal-Mart Stores Callable Note Cont 08/17/2026 100.253 1.00% 902,277.00 183.75 902,460.75 0.00 1.05% Due: 09/17/2026 34 Ci" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Transaction Ledger As of September 30, 2021 City of Tustin Consolidated Account - Account #10795 June 30, 2021 through September 30, 2021 Transaction Settlement Acq/Disp Interest Type Purchase Date 09/30/2021 CUSIP 90CAMP$00 Quantity 29.98 Security Description Tr California Asset Mgmt Program CAMP Price 1.000 Amount Yield 0.05% 29.98 Pur/Sold 0.00 Total Amount Gain/Loss 29.98 0.00 Subtotal 9,205,229.15 9,422,891.15 33,788.82 9,456,679.97 0.00 Security 09/30/2021 90LAIF$00 6,000,000.00 Local Agency Investment Fund State Pool 1.000 6,000,000.00 0.00 6,000,000.00 0.00 Contribution Subtotal 6,000,000.00 6,000,000.00 0.00 6,000,000.00 0.00 TOTAL ACQUISITIONS 15,205,229.15 15,422,891.15 33,788.82 15,456,679.97 0.00 DISPOSITIONS - Maturity 07/14/2021 06610RAQ2 248,000.00 Bankers Bank Madison WI Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.9% Due: 07/14/2021 Maturity 07/14/2021 15523RBJ4 248,000.00 Central State Bank Iowa Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.85% Due: 07/14/2021 Maturity 07/19/2021 30257JAC9 248,000.00 FNB Bank Inc Romney WV Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.85% Due: 07/19/2021 Maturity 07/21/2021 00257TAY2 248,000.00 Abacus Federal Savings Bank Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.95% Due: 07/21/2021 Maturity 08/01/2021 62719PAX4 350,000.00 Murrieta Redevelopment Agency STE-TA 100.000 350,000.00 0.00 350,000.00 0.00 2.25% Due: 08/01/2021 Maturity 08/01/2021 802629AW5 980,000.00 Santa Rosa Regional Resources STE-REV 100.000 980,000.00 0.00 980,000.00 0.00 2.2% Due: 08/01/2021 Maturity 08/16/2021 201282HD5 248,000.00 Commercial Bank Alma MI Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.4% Due: 08/16/2021 Maturity 08/16/2021 70212YAW2 248,000.00 Partners Bank California Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.85% Due: 08/16/2021 Maturity 08/20/2021 69709QAM3 248,000.00 Palmetto Heritage Bank & Trust Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.9% Due: 08/20/2021 35 Ci" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A 1 Transaction Ledger City of Tustin Consolidated Account - Account #10795 June 30, 2021 through September 30, 2021 As of September 30, 2021 Maturity 08/26/2021 292661\131-18 248,000.00 Enerbank USA Negotiable CD 100.000 248,000.00 0.00 248,000.00 0.00 1.45% Due: 08/26/2021 Maturity 08/30/2021 49254FAQ9 249,000.00 Keesler Federal Credit Union Negotiable CD 100.000 249,000.00 0.00 249,000.00 0.00 3% Due: 08/30/2021 Subtotal 3,563,000.00 3,563,000.00 0.00 3,563,000.00 0.00 Security 07/31/2021 900CIP$01 0.02 Orange County Investment Pool 1.000 0.02 0.00 0.02 0.00 Withdrawal Security 07/31/2021 90LAIF$00 5,200,000.00 Local Agency Investment Fund State Pool 1.000 5,200,000.00 0.00 5,200,000.00 0.00 Withdrawal Security 08/30/2021 900CIP$01 2,312.06 Orange County Investment Pool 1.000 2,312.06 0.00 2,312.06 0.00 Withdrawal Subtotal 5,202,312.08 5,202,312.08 0.00 5,202,312.08 0.00 TOTAL DISPOSITIONS 8,765,312.08 8,765,312.08 0.00 8,765,312.08 0.00 36 C11% DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Important Disclosures 2021 Chandler Asset Management, Inc, An Independent Registered Investment Adviser. As of September 30, 2021 Information contained herein is confidential. Prices are provided by IDC, an independent pricing source. In the event IDC does not provide a price or if the price provided is not reflective of fair market value, Chandler will obtain pricing from an alternative approved third party pricing source in accordance with our written valuation policy and procedures. Our valuation procedures are also disclosed in Item 5 of our Form ADV Part 2A. Performance results are presented gross -of -advisory fees and represent the client's Total Return. The deduction of advisory fees lowers performance results. These results include the reinvestment of dividends and other earnings. Past performance may not be indicative of future results. Therefore, clients should not assume that future performance of any specific investment or investment strategy will be profitable or equal to past performance levels. All investment strategies have the potential for profit or loss. Economic factors, market conditions or changes in investment strategies, contributions or withdrawals may materially alterthe performance and results of your portfolio. Index returns assume reinvestment of all distributions. Historical performance results for investment indexes generally do not reflect the deduction of transaction and/or custodial charges or the deduction of an investment management fee, the incurrence of which would have the effect of decreasing historical performance results. It is not possible to invest directly in an index. Source ice Data Indices, LLC ("ICE"), used with permission. ICE permits use of the ICE indices and related data on an "as is" basis; ICE, its affiliates and their respective third party suppliers disclaim any and all warranties and representations, express and/or implied, including any warranties of merchantability or fitness for a particular purpose or use, including the indices, index data and any data included in, related to, or derived therefrom. Neither ICE data, its affiliates or their respective third party providers guarantee the quality, adequacy, accuracy, timeliness or completeness of the indices or the index data or any component thereof, and the indices and index data and all components thereof are provided on an "as is" basis and licensee's use it at licensee's own risk. ICE data, its affiliates and their respective third party do not sponsor, endorse, or recommend chandler asset management, or any of its products or services. This report is provided for informational purposes only and should not be construed as a specific investment or legal advice. The information contained herein was obtained from sources believed to be reliable as of the date of publication, but may become outdated or superseded at any time without notice. Any opinions or views expressed are based on current market conditions and are subject to change. This report may contain forecasts and forward-looking statements which are inherently limited and should not be relied upon as indicator of future results. Past performance is not indicative of future results. This report is not intended to constitute an offer, solicitation, recommendation or advice regarding any securities or investment strategy and should not be regarded by recipients as a substitute for the exercise of their own judgment. Fixed income investments are subject to interest, credit and market risk. Interest rate risk: the value of fixed income investments will decline as interest rates rise. Credit risk: the possibility that the borrower may not be able to repay interest and principal. Low rated bonds generally have to pay higher interest rates to attract investors willing to take on greater risk. Market risk: the bond market in general could decline due to economic conditions, especially during periods of rising interest rates. Ratings information have been provided by Moody's, S&P and Fitch through data feeds we believe to be reliable as of the date of this statement, however we cannot guarantee its accuracy. Security level ratings for U.S. Agency issued mortgage-backed securities ("MBS") reflect the issuer rating because the securities themselves are not rated. The issuing U.S. Agency guarantees the full and timely payment of both principal and interest and carries a AA+/Aaa/AAA by S&P, Moody's and Fitch respectively. 37 cJ" DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A Benchmark Disclosures ICE BofA 1-5 Yr US Treasury & Agency Index As of September 30, 2021 The ICE BofA 1-5 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody's, 5&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than five years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies. ICE BofA 1-3 Yr US Treasury & Agency Index The ICE BofA 1-3 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating (based on an average of Moody's, 5&P and Fitch). Qualifying securities must have at least one year remaining term to final maturity and less than three years remaining term to final maturity, at least 18 months to maturity at time of issuance, a fixed coupon schedule, and a minimum amount outstanding of $1 billion for sovereigns and $250 million for agencies. 38 ci" DocuSign Envelope ID: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A PUBLIC AGENCY RETIREMENT SERVICES PARS CITY OF TUSTIN PARS Post Employment Benefits Trust Matthew West City Manager City of Tustin 300 Centennial Way Tustin, CA 92780 Account Summary Account Report for the Period 9/1/2021 to 9/30/2021 Source Balance as of 9/1/2021 Contributions Earnings Expenses Distributions Transfers Balance as of 9/30/2021 OPEB PENSION $2,637,419.65 $7,524,689.54 50.00 50.00 -$67,820.47 -$193,493.08 $1,197.69 $3,417.12 $0.00 $0.00 50.00 50.00 $2,568,401.49 $7,327,779.34 Totals $10,162,109.19 $0.00 -$261,313.55 $4,614.81 $0.00 $0.00 $9,896,180.83 Investment Selection Source OPEB City of Tustin - OPEB PENSION City of Tustin - Pension Investment Objective Source Individual account based on Moderate Index PLUS. The dual goals of the Moderate Strategy are growth of principal and income. It is expected that OPEB dividend and interest income will comprise a significant portion of total return, although growth through capital appreciation is equally important. The portfolio will be allocated between equity and fixed income investments. Individual account based on Moderate Index PLUS. The dual goals of the Moderate Strategy are growth of principal and income. It is expected that PENSION dividend and interest income will comprise a significant portion of total return, although growth through capital appreciation is equally important. The portfolio will be allocated between equity and fixed income investments. Investment Return Annualized Return Source 1-JIonth 3 -Months 1 -Year F -3 -Years 5 -Years 10 -Years Plan's Inception Date OPEB -2.57% -0.52% 14.70% 9.11% 6/26/2018 PENSION -2.57% -0.52% 14.69% 9.14% 6/26/2018 Information as provided by US Bank, Trustee for PARS; Not FDIC Insured; No Bank Guarantee; May Lose Value Past performance does not guarantee future results. Performance returns may not reflect the deduction of applicable fees, which could reduce returns. Information is deemed reliable but may be subject to change. Investment Return: Annualized rate of return is the return on an investment over a period other than one year multiplied or divided to give a comparable one-year return. Account balances are inclusive of Trust Administration, Trustee and Investment Management fees Headquarters - 4350 Von Karman Ave., Suite 100, Newport Beach, CA 92660 800.540.6369 Fax 949250.1250 www.pars.org DocuSign Envelope I D: 89AB5F7E-7024-41 E5-8A70-595E64F5D32A CITY OF TUSTIN Monthly Investment Report September 30, 2021 Restricted Deposits with Fiscal Agents [1] [2] [3] [4] [5] Description Limits Face Amount Shares YTM@Cost Credit Rating Cost Value+Accrued Market Value Interest 2016 Successor Agency Tax Allocation Bonds, Refunding 10.30 N/A 10.30 10.30 2016 Water Revenue Bonds, Refunding 343,650.00 N/A 343,650.00 343,650.00 2012 Water Revenue Bonds - Refunding 37,600.00 N/A 37,600.00 37,600.00 2020 Water Revenue Bonds 8.14 N/A 8.14 8.14 CFD 04-1 589,704.26 N/A 589,704.26 589,704.26 CFD 06-1 4,216,924.60 N/A 4,216,924.60 4,216,924.60 CFD 07-1 1,139,367.01 N/A 1,139,367.01 1,139,367.01 CFD 14-1 7,076,014.45 N/A 7,076,014.45 7,076,014.45 13,403,278.76 13,403,278.76 13,403,278.76 Restricted Deposits with Fiscal Agents TOTAL 13,403,278.76 13,403,278.76