Loading...
HomeMy WebLinkAbout04 QUARTERLY INVESTMENT REPORT FOR THE QUARTER ENDED SEPTEMBER 30, 2024Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C Agenda Item 4 Reviewed: Initial AGENDA REPORT City Manager to +✓S Finance Director MEETING DATE: NOVEMBER 19, 2024 TO: ALDO E. SCHINDER, CITY MANAGER FROM: JENNIFER KING, 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 ENDED SEPTEMBER 30, 2024 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. FISCAL IMPACT: No fiscal impact to receive and file the report. 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 ensure that investments are in compliance with the adopted investment policy. BACKGROUND AND 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 ended September 30, 2024 is rendered. The City's total cash and investments amounted to approximately $178 million as of September 30, 2024. The weighted average yield for the investment portfolio was 4.09%, which is slightly lower than the weighted average portfolio yield for the prior quarter. The Federal Open Market Committee (FOMC) delivered a widely anticipated 50 basis points reduction to the Federal Funds rate in mid - September, responding to lower inflation expectations and moderation in the labor market. The Consumer Price Index (CPI) for September 2024 came in at 2.4% higher year -over -year. Although the latest CPI is still above the Fed's inflation target of 2%, it is worth noting that the CPI has been trending downward for the past six months. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C City Council Agenda Report Quarterly Investment Report for the Period Ended September 30, 2024 November 19, 2024 Page 2 For the past three months, the labor market added jobs at a moderate pace and the national unemployment rate remains at a flat 4.1 %. As a result of the Fed rate cut, the 2-year Treasury yield fell to 3.64% by September 2024, compared to a yield of 4.76% in June 2024. Similarly, the 5-year Treasury yield declined to 3.56% by September 2024, compared to a yield of 4.38% in June 2024. PARS Pension Trust As part of the City's pension pay -down plan, the City has made contributions totaling $11.6 million to a Pension Trust. The Pension Trust is held by Public Agency Retirement Services (PARS). A Pension Trust provides rate stabilization since its assets can be used to offset unanticipated increases in CalPERS pension costs. Pension Trust assets are managed in a customized investment strategy that balances risks and return and provides for diversification. The City's Pension Trust Fund assets amounted to $15 million on September 30, 2024. The five-year annualized return for the PARS Pension Trust Fund was 6.65%. PARS OPEB Trust The City has made $3.5 million in contributions into an Other Post -Employment Benefits (OPEB) Trust. The OPEB Trust is also held by PARS and contains funds that are set aside for future retiree healthcare costs. Trust assets are managed in a customized investment strategy that balances risk and return and provides for diversification. OPEB Trust Fund assets amounted to $4.5 million on September 30, 2024. The five-year annualized return for the PARS OPEB Trust Fund was 6.64%. Investment Compliance Certification On October 24, 2024, the Audit Commission reviewed the investment report and certified that the 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 six (6) months and the projected cash flow needs for the completion of various capital projects, which include, but not limited to traffic and street improvements, water system improvements, park projects, improvements to public facilities and capital projects at the Tustin Legacy. Signed by: 4D86AFAFFF77473... Jennifer King Finance Director/City Treasurer Attachments: 1. Investment Report Certification 2. Quarterly Investment Report for the Period Ended September 30, 2024 3. Restricted Deposits with Fiscal Agents as of September 30, 2024 4. PARS Trust Statement as of September 30, 2024 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C H i i HurliviENT 1 FINANCE DEPARTMENT Remembering what connects us. October 24, 2024 Honorable Mayor and Members of the City Council.: Re: Investment Report Certification In compliance with California Government Code Section 53646, the attached Investment Report for the Quarter Ending September 30, 2024 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 six (6) months. Respectfully submitted, Jered Elmore, Chair City of Tustin Audit Commission Jennifer King, Finance Director/City Treasurer City of Tustin 300 Centennial Way, Tustin, CA 92780 . 714-573-3060 ■ tustinca.org Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C ATTACHMENT 2 CHANDLER it% ASSET MANAGEMENT CHANDLER ASSET MANAGEMENT I chandlerasset.com Chandler Team: For questions about your account, please call (800) 317-4747, or contact clientservice@chandlerasset.com Information contained herein is confidential. We urge you to compare this statement to the one you receive from your qualified custodian. Please see Important Disclosures at the end of the statement. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C TABLE OF CONTENTS City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 ECONOMIC UPDATE ACCOUNT PROFILE PORTFOLIO HOLDINGS TRANSACTIONS CHANDLER ASSET ASSET MANAGEMENT Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C it%CHANDLER ASSET MANAGEMENT Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C ECONOMIC UPDATE Q11CHANDLER ASSET MANAGEMENT Recent economic data suggests positive but slower growth this year fueled by consumer spending. While the consumer has been resilient, declining savings rates, growing credit card debt, higher delinquencies, and a moderating labor market pose potential headwinds to future economic growth. Inflationary trends are subsiding, but core levels remain above the Fed's target. The labor market is showing signs of cooling, reflecting an improved balance between supply and demand for workers. Given the cumulative effects of restrictive monetary policy and tighter financial conditions, we believe the economy will gradually soften and the Fed will continue to lower rates at a measured pace through this year with the ability to move more aggressively should the employment data warrant. The Federal Open Market Committee (FOMC) delivered the first rate cut of the easing cycle at the September meeting. Although a reduction in the Fed Funds Rate was widely anticipated, the magnitude was somewhat of a surprise, as market participants were split between whether the FOMC would cut by 25 basis points or 50 basis points. Chair Jerome Powell reiterated previous statements acknowledging that monetary policy has shifted into a more balanced approach addressing price stability and full employment in tandem. The Fed released the quarterly Summary of Economic Projections (SEP) which now forecasts a substantially lower median Fed Funds Rate expectation among Fed Governors in 2025 due to lower inflation expectations and a higher projected unemployment rate. We believe the Fed will continue to lower rates at a measured pace through this year with the ability to move more aggressively should the employment data warrant. ■ The US Treasury yield curve shifted lower in September following the 50 basis points rate cut by the FOMC mid -month. The 2-year Treasury yield fell 28 basis points to 3.64%, the 5-year Treasury dropped 15 basis points to 3.56%, and the 10-year Treasury yield declined 12 basis points to 3.78%. The 2-year and 10-year Treasury yield points on the curve began to normalize to +14 basis points at September month -end versus -2 basis points at August month -end. The spread between the 2-year Treasury and 10-year Treasury yield one year ago was -47 basis points. The inversion between 3-month and 10-year Treasuries ended the month of September at -85 basis points. 9 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C EMPLOYMENT Q11CHANDLER ASSET MANAGEMENT 1,000 :11, 0 0 600 >3 c 400 0 s �ZIII', 0 -200 -400 Nonfarm Payroll (000's) J-I IIUI ILII QVCI drl= 1VVV 'I'll SPa /1-/dr,�dr, SPa �dr, SPp , SPa �dr, SPA l9 1-01>O 11 �1 �� 9 Source: US Department of Labor Unemployment Rate 25.0% Underemployment Rate (U6) 20.0% Unemployment Rate (U3) 7.15.0% a c� 10.0% 5.0 % 0.0 % SPp` �arSPp�drSPA�drSob 0/,SP;0 drSob 70 11>0 `1>0 ,�l '1�1 11�> lz�S 11>Q �Q Source: US Department of Labor The U.S. economy added 254,000 jobs in September, well above expectations of 150,000. The three-month moving average and six-month moving average payrolls continued to trend weaker to 186,000 and 167,000 respectively. The unemployment rate declined to 4.1% in September, and the labor participation rate remained at 62.7%, remaining below the pre -pandemic level of 63.3%. 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 7.7% from 7.9%. Average hourly earnings rose 4.0% year -over -year in September. U.S. labor market data from September surprised to the upside, with strong job growth and a sharper -than -expected drop in unemployment, suggesting the economy may be more resilient than anticipated. The Federal Reserve's view is that there has been "substantial" progress towards better balance in the labor market between demand and supply for workers. N Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C JOB OPENINGS & LABOR TURNOVER SURVEY Job Openings 14,000 Recession 12,000 Historical Average 10,000 0 0 0 8,000 4A c c 6,000 t C 4,000 2,000 CHANDLER ASSET MANAGEMENT 0 "'O " O "O "'O "'O "'O "'1 `1'1 "'1 �1 ""? �1 "'1 "'1> 1 � 1 �� �� �� ""; St S 6 � cQ 9 O 1 � S A S 6 cQ 9 O .l � .7' St Source: US Department of Labor The Labor Department's Job Openings and Labor Turnover Survey (JOLTS) increased to 8.04 million job openings in August from an upwardly revised 7.71 million in July. Job openings have increased to a ratio of 1.13 jobs for each unemployed individual. The quits rate, an indicator of job availability, declined to 1.9% from downwardly revised 2.0% in July. That is the lowest level since 2020. While the current level of job openings remains elevated from a historical perspective, the trend is decelerating. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C INFLATION 10.0% 9.0 % 8.0 % 7.0 % a 6.0% s 5.0% 0 a 4.0 % 0 3.0 % 2.0 % 1.0 % 0.0 % Consumer Price Index (CPI) CHANDLER ASSET ASSET MANAGEMENT Personal Consumption Expenditures (PCE) 10.0% PCE Price Deflator YOY % Change 9 0% PCE Core Deflator YOY % Change 8.0% Fed Target 7.0 % a 6.0% r % 5.0 0 } % 4.0 0 ' 3.0 % 2.0 % 1.0 % 0.0 % qG� A06 gel '�06 4� '�06 4g 'c0,6 q4' '�06 94� q�,g 'cob 0 'c06 0 A06 q4g '�06 q'�06 Source: US Department of Labor Source: US Department of commerce In August, the Consumer Price Index (CPI) rose 0.2% month -over -month and 2.5% year -over -year, down from 2.9% in July, largely due to a drop in gasoline prices. The Core CPI, which excludes volatile food and energy components, rose more than expected in August by 0.3% month -over -month and 3.2% year -over -year. The Personal Consumption Expenditures (PCE) Index rose 0.1%from the previous month and 2.2% year -over -year in August. The Core PCE deflator (the Fed's preferred gauge) increased 0.1% month -over -month and 2.7% over the past year, still above the Fed's 2% inflation target. Much of the lingering inflation has been driven by shelter costs and demand for services, but recent data provide confirmation that inflation is moderating. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C CONSUMER 60.0% 50.0% 40.0% „ 30.0% t 20.0% 10.0% 0 0.0 % -10.0% -20.0% -30.0% Retail Sales YOY % Change 160 140 120 100 a� 80 x 60 c 40 20 0 Source: US Department of Commerce CHANDLER ASSET ASSET MANAGEMENT Consumer Confidence SP .SP SP 1 P S, SP 1 P SP SP SP SP 'O ,a0 p0 ,o7,b� a1 a? a1 a� .off ,ate St 6 S O � St 6 8 O ? Q Source: The Conference Board All time high is 144.70 (1131100), All time low is 25.30 (2128109) Retail Sales grew more than expected month -over -month in August at 0.1% after growth of 1.1% in July. On a year -over -year basis, Retail Sales grew 2.1°% in August versus 2.9% in July. Control -group sales, which are used to calculate gross domestic product, rose 0.3°% month - over -month in August after last month's data was revised higher to an increase of 0.4%. E-commerce contributed the most to the increase. The Conference Board's Consumer Confidence Index for September came in below expectations, contracting to 98.7 after an upward revision to 105.6 in August. The decline reflects recent softening in labor market conditions, and less optimism about the job market and income growth. While the consumer has been resilient, consumption has begun to moderate in the face of declining savings rates, growing credit card debt, higher delinquencies, and a moderating labor market. 7 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C LEADING INDICATORS OF ECONOMIC ACTIVITY Leading Economic Indicators (LEI) 15.0% 10.0% S.0% -20.0% -25.0% q4g 14, 14g 94g 14, 14g 14, 14, cPQ ' QP 9� 96. 00 OQ O& 1) Source: The Conference Board CHANDLER ASSET MANAGEMENT Chicago Fed National Activity Index (CFNAI) 1.00 0.75 0.50 v 0.25 v a 0.00 s c :0 -0.25 rn -0.50 -0.75 -1.00 q�g �4�. 94�. 94' q�g q�g q�g q�g �Q �� 9� 96 00 OQ 0& l� Source: Federal Reserve Bank of Chicago The Conference Board's Leading Economic Index (LEI) remained in negative territory at -0.2% in August, improving from -0.6% in July. The index dropped 5.0% year -over -year. The improvement can be attributed to a decrease in the yield curve inversion, an increase in building permits, and stock market performance. The Chicago Fed National Activity Index (CFNAI) increased to 0.12 in August from a downwardly revised -0.42 in July, which was above consensus expectations. The three-month moving average fell to -0.17 in August from -0.13 in July, indicating below -trend growth expectations for the economy. i Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOUSING 2,400 2,200 2,000 1,800 c 1,600 w 1,400 1,200 c 1,000 800 c 600 400 0 Annualized Housing Starts ■ Multi Family Housing Starts ■ Single Family Housing Starts 94 94 1�1 'k -10 10 110 10 10 14 qo el a°: el a°: b° el el a° a° a° O 06' 0� 170 1� '44 'l6' 4 �O �� �Q Source: US Department of Commerce 24.0% 20.0% 16.0% 12.0% 8.0% u 4.0 % 0.0 % o -4.0% } -8.0% -12.0% -16.0% -20.0% CHANDLER ASSET MANAGEMENT S&P/Case-Shiller 20 City Composite Home Price Index OQ 06 0-51 10 1? 1Q 16 1�? -0 '�> ->V Source: S&P Housing starts surprised to the upside on a month -over -month basis in August, increasing 9.6% to 1.356 million units versus the previous decline of 6.9% the prior month. Starts were led by the single-family home sector. Total starts were up 3.9% year -over -year. The Freddie Mac average rate for a 30-year fixed mortgage edged down to 6.35% in August from 6.85% in July. According to the Case-Shiller 20-City Home Price Index, housing prices rose 5.9% year -over -year in July, decelerating from 6.5% reported in the previous month. Although the trend is gradually improving, tight inventories and higher mortgage rates continue to impact affordability. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C SURVEY BASED MEASURES Q11CHANDLER ASSET MANAGEMENT Institute of Supply Management (ISM) Surveys 70 65 60 55 50 45 ISM Manufacturing ISM Services 40 V SP OP ✓4 sP O�, �i ✓� se OP ✓4 sP O�, �i ✓� Sc,' 0P ✓4 sP 619 cZ9 d,< ')0 r7')0 ,6')0 c')0 d,�� j �J �Z b�Z c�Z dr�2 ,6�� dr6��' c�.i' d��g �St ,6�4 Source: Institute for Supply Management The Institute for Supply Management (ISM) Manufacturing index contracted at a slower rate of 47.2 in September compared to 47.5 in August. Demand remains subdued and companies are continuing to reduce head counts through layoffs, attrition and hiring freezes. The ISM Services Index increased to 54.9 in September, increasing from 51.7 in August, due stronger production and new orders. A reading over 50 indicates expansion, while a reading under 50 indicates contraction. 10 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C GROSS DOMESTIC PRODUCT (GDP) Personal Consumption Expenditures 1.7% 2.3% Gross Private Domestic Investment 1.8% 0.2% Net Exports and Imports -0.1% 0.1% Federal Government Expenditures 0.3% 0.0% State and Local (Consumption and Gross 0.6% 0.6% Investment) Total 4.4% 3.2% Source: US Department of Commerce CHANDLER ASSET MANAGEMENT Gross Domestic Product (GDP) ' fM40. 0% 30.0% 1.3% 1.9% 20.0% 0.6% 1.5% 10.0% -0.6% -0.9% 0.0% 1 ' � - - -10.0 0.0% 0.3% -20.0% � GDP QOQ%Change 0.3% 0.3% -30.0% GDP YOY %Change -40.0% 1.6% 3.0% ✓ O ✓ O ✓ �e O ✓ O ✓ O ✓ e� 4,� e� 719 119 �O �p �I �I �� �� �,�' ��, �g Source: US Department of Commerce According to the third estimate, second quarter GDP increased at an annualized rate of 3.0%, unchanged from the prior estimate. Growth continues to be powered by personal consumption expenditures. Gross fixed investment, government consumption expenditures, and inventories also had positive contributions, with a negative offset by net exports. The consensus projection calls for 2.0% growth in the third quarter and 2.6% growth for the full year 2024. Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C FEDERAL RESERVE C31CHANDLER ASSET MANAGEMENT 10,000,000 9,000,000 8,000,000 7,000,000 c 6,000,000 = 5,000,000 44- 4,000,000 3,000,000 2,000,000 1,000,000 0 Federal Reserve Balance Sheet Assets S, S, S, S, S, S, SP SP S� S� S, 'O p0 p0 ,61 .61 .b� b� b� b� b� ,b� st 6 8 O � st 6' S O � st Source: Federal Reserve Effective Federal Funds Rate 6.00% 5.00% 4.00% 01 v 3.00% 2.00% 1.00% 0.00% Spa Spa Spa OQ 06' OS Source: Bloomberg s% s% spa spa sip sip spa spa l0 1p 1st 16 'l8 10 The Federal Open Market Committee (FOMC) delivered the first rate cut of the easing cycle at the September meeting. Although a reduction in the Fed Funds Rate was widely anticipated, the magnitude was somewhat of a surprise, as market participants were split between whether the FOMC would cut by 25 basis points or 50 basis points. Chair Jerome Powell reiterated previous statements acknowledging that monetary policy has shifted into a more balanced approach addressing price stability and full employment in tandem. The Fed released the quarterly Summary of Economic Projections (SEP) which now forecasts a substantially lower median Fed Funds Rate expectation among Fed Governors in 2025 to 3.1— 3.6%. The Fed continues to reduce its holdings of U.S. Treasury securities and agency mortgage -backed securities as per its predefined schedule of $25 billion and $35 billion per month. Since the Fed began its Quantitative Tightening campaign in June 2022, securities holdings have declined by approximately $1.8T to approximately $7.1T. 12 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C BOND YIELDS Q11CHANDLER ASSET MANAGEMENT 6.0 5.0 4.0 0 3.0 v 2.0 1.0 0.0 US Treasury Note Yields • 2-Year SPp` �dr, SPA` �ar So XP /J ar, Sob /j ar, SPX ` �ar, Sob 70 1>O -)O Source: Bloomberg 6.0 S.0 4.0 2.0 1.0 0.0 US Treasury Yield Curve a'�o6�0 Syr Syr Syr 40yr Source: Bloomberg Sep-24 Jun-24 • Sep-23 At the end of September, the 2-year Treasury yield was 140 basis points lower, and the 10-Year Treasury yield was 79 basis points lower, year -over -year. The 2-year and 10-year Treasury yield points on the curve began to normalize to +14 basis points at September month -end versus -2 basis points at August month -end. The yield curve inversion which began in July 2022 was historically long. The average historical spread (since 2003) is about +110 basis points. The inversion between 3-month and 10-year Treasuries tightened to -85 basis points in September from -121 basis points in August. 13 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C CHANDLER it% ASSET MANAGEMENT 14 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C OBJECTIVES City of Tustin I As of September 30, 2024 Investment Objectives CHANDLER ASSET MANAGEMENT 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 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C STATEMENT OF COMPLIANCE C/„CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 Rules Name Limit Actual Compliance Notes Status AGENCY MORTGAGE SECURITIES (CMOS) Max % (MV) 20.0 2.4 Compliant Max % Issuer (MV) 10.0 2.4 Compliant Max Maturity (Years) 5.0 4.6 Compliant Min Rating (AA- by 1) 0.0 0.0 Compliant BANKERS' ACCEPTANCES Max % (MV) 30.0 0.0 Compliant Max % Issuer (MV) 5.0 0.0 Compliant Max Maturity (Days) 180 0.0 Compliant Min Rating (A- by 1) 0.0 0.0 Compliant CERTIFICATE OF DEPOSIT PLACEMENT SERVICE (CDARS) Max % (MV) 30.0 0.0 Compliant COLLATERALIZED BANK DEPOSITS Max % (MV) 100.0 0.0 Compliant Max % Issuer (MV) 30.0 0.0 Compliant Max Maturity (Years) 5.0 0.0 Compliant Min Rating (A- by 1) 0.0 0.0 Compliant COLLATERALIZED TIME DEPOSITS (NON- NEGOTIABLE CD/TD) Max Maturity (Years) 5.0 0.0 Compliant Min Rating (A- by 1) 0.0 0.0 Compliant COMMERCIAL PAPER Max % (MV) 30.0 1.7 Compliant Max % Issuer (Corporate & Commercial Paper; MV) 10.0 1.1 Compliant Max % Issuer (MV) 5.0 1.1 Compliant Max Maturity (Days) 270 157 Compliant Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant CORPORATE MEDIUM TERM NOTES Max % (MV) 30.0 19.7 Compliant 16 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C STATEMENT OF COMPLIANCE City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 Rules Name Limit Actual .. Status Max % Issuer (Corporate & Commercial Paper; MV) 10.0 1.1 Compliant CHANDLER ASSET ASSET MANAGEMENT Max % Issuer (MV) 5.0 1.1 Compliant Max Maturity (Years) 5 4 Compliant Min Rating (A- by 1) 0.0 0.0 Compliant FDIC INSURED TIME DEPOSITS (NON-NEGOTIABLE CD/TD) Max Maturity (Years) 5 0.0 Compliant FEDERAL AGENCIES Max % (MV) 100.0 10.1 Compliant Max % Issuer (MV) 50.0 4.8 Compliant Max Maturity (Years) 5 4 Compliant JPA INVESTMENT POOLS Max % (MV) 100.0 37.3 Compliant Max % Issuer (MV) 50.0 37.1 Compliant Max Maturity (Years) 5.0 0.0 Compliant LOCAL AGENCY INVESTMENT FUND (LAIF) Max Concentration (MV) 75.0 4.8 Compliant MONEY MARKET MUTUAL FUNDS Max % (MV) 20.0 0.7 Compliant Max % Issuer (MV) 10.0 0.7 Compliant Min Rating (AAA by 2) 0.0 0.0 Compliant MUNICIPAL SECURITIES (CA, LOCAL AGENCY) Max % (MV) 30.0 0.0 Compliant Max % Issuer (MV) 5.0 0.0 Compliant Max Maturity (Years) 5 0.0 Compliant Min Rating (A- by 1) 0.0 0.0 Compliant MUNICIPAL SECURITIES (CA, OTHER STATES) Max % (MV) 30.0 0.0 Compliant Max % Issuer (MV) 5.0 0.0 Compliant Max Maturity (Years) 5 0.0 Compliant 17 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C STATEMENT OF COMPLIANCE C/„CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 ComplianceRules Name Min Rating (A- by 1) Limit 0.0 Actual 0.0 Notes Status Compliant NEGOTIABLE CERTIFICATES OF DEPOSIT (NCD) Max % (MV) 30.0 0.7 Compliant Max % Issuer (MV) 5.0 0.1 Compliant Max Maturity (Years) 5 1 Compliant Min Rating (A-1 by 1 or A- by 1 if> FDIC Limit) 0.0 0.0 Compliant REPURCHASE AGREEMENTS Max % (MV) 30.0 0.0 Compliant Max % Issuer (MV) 5.0 0.0 Compliant Max Maturity (Years) 1.0 0.0 Compliant U.S. TREASURIES Max %(MV) 100.0 22.9 Compliant Max % Issuer (MV) 100.0 22.9 Compliant Max Maturity (Years) 5 4 Compliant 18 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C PORTFOLIO CHARACTERISTICS City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 Average Maturity (yrs) 2.76 1.12 0.70 Average Modified Duration 2.58 1.00 0.63 Average Purchase Yield Average Market Yield Average Quality" Total Market Value 3.65% 4.09% 4.49% AA+ AA 177,812,183 *Benchmark: ICE BofA 1-5 Year Unsubordinated US Treasury & Agency Index **The credit quality is a weighted average calculation of the highest of S&P, Moody's and Fitch. 4.36% 5.13% AA+ 202,152,078 CHANDLER ASSET ASSET MANAGEMENT 19 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C SECTOR DISTRIBUTION City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 50% 25% � j - 11 070 LGIP US Treasury Corporate Agency LAW Agency CMBS Cash 09/30/2024 06/30/2024 CHANDLER ASSET ASSET MANAGEMENT Comm Paper Money Mkt I'd Neg CD Sector as a Percentage of Market Value Sector LGIP 0• 37.25% 06/30/2024 44.40% US Treasury 22.85% 23.00% Corporate 19.74% 15.57% Agency 10.09% 8.23% LAIF 2.69% 3.50% Agency CMBS 2.37% 1.19% Cash 1.95% 2.62% Comm Paper 1.66% 0.50% Money Mkt Fd 0.72% 0.40% Neg CD 0.67% 0.58% 20 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C ISSUERS City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 California Asset Mgmt Program United States C/„CHANDLER ASSET MANAGEMENT Portfolio LGIP 37.25% US Treasury 22.85% Federal Home Loan Banks Agency 4.75% Farm Credit System Agency 4.24% LAI F LAI F 2.69 Citizens Business Bank Cash 2.43% FHLMC Agency CMBS 2.37% JPMorgan Chase & Co. Corporate 1.11% Mitsubishi UFJ Financial Group, Inc. Comm Paper 1.11% FNMA Agency 1.10% U.S. Bancorp Corporate 0.78% First American Govt Oblig fund Money Mkt Fd 0.72% Toyota Motor Corporation Corporate 0.59% Cisco Systems, Inc. Corporate 0.58% PepsiCo, Inc. Corporate 0.58% BlackRock, Inc. Corporate 0.58% NextEra Energy, Inc. Corporate 0.57% Eli Lilly and Company Corporate 0.57% Northern Trust Corporation Corporate 0.57% QUALCOMM Incorporated Corporate 0.56% Massachusetts Mutual Life Insurance Corporate 0.56% Duke Energy Corporation Corporate 0.56% PACCAR Inc Corporate 0.56% Deere & Company Corporate 0.56% New York Life Insurance Company Corporate 0.56% National Rural Utilities Cooperative Corporate 0.56% The Home Depot, Inc. Corporate 0.56% Bank of America Corporation Corporate 0.56% Chubb Limited Corporate 0.56% State Street Corporation Corporate 0.56% 21 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C ISSUERS City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 Target Corporation Bank of Montreal BNY Mellon Corp C/„CHANDLER ASSET MANAGEMENT PortfolioInvestment Type % Corporate 0.56% Corporate 0.56% Corporate 0.55% Toyota Motor Corporation Comm Paper 0.55% Pfizer Inc. Corporate 0.55% The Toronto -Dominion Bank Corporate 0.55% Caterpillar Inc. Corporate 0.54% Amazon.com, Inc. Corporate 0.54% UnitedHealth Group Incorporated Corporate 0.54% The Charles Schwab Corporation Corporate 0.54% Royal Bank of Canada Corporate 0.54% Honeywell International Inc. Corporate 0.53% Walmart Inc. Corporate 0.48% Northwestern Mutual Global Funding Corporate 0.39% Public Service Enterprise Group Inco Corporate 0.33% Mastercard Incorporated Corporate 0.28% Colgate-Palmolive Company Corporate 0.19% Capital One Financial Corporation Neg CD 0.13% Discover Bank Neg CD 0.13% Synchrony Bank Neg CD 0.13% Ally Bank Neg CD 0.13% The Goldman Sachs Group, Inc. Neg CD 0.13% Cash Cash -0.48% TOTAL 100.00% 22 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C MATURITY DISTRIBUTION City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 100,000,000 80,000,000 60.000.000 7 m 40,000,000 20,000,000 x 90,969,386.79 U - .zo .ZO - .n .�) - 'I 14.623.407.90 9,49S,3o�.�4 5,036,152.s� 1-2 - 3-4 CHANDLER ASSET ASSET MANAGEMENT 23, 6 9 d,73 5.74 23 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C QUALITY DISTRIBUTION City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT S&P Rating Moody's Rating Fitch Rating 60% 60% 60% 40% 40% 40% 20 % 20 % 20% 0% AAA AA A BBB NR 0% AAA AA A NR 0% AAA AA A BBB NR 09/30/2024 0 06/30/2024 0 09/30/2024 0 06/30/2024 0 09/30/2024 0 06/30/2024 Rating 09/30/2024 06/30/2024 Rating 09/30/2024 06/30/2024 Rating 09/30/2024 06/30/2024 AAA 45.4% 55.1% AAA 38.2% 34.3% AAA 47.7% 56.7% AA 31.6% 25.3% AA 3.2% 2.8% AA 32.8% 27.7% A 17.3% 13.0% A 16.0% 12.3% A 7.7% 6.2% BBB 0.5% 0.5% NR 42.5% 50.6% BBB 0.1% 0.1% NR 5.1% 6.1% NR 11.7% 9.3% 24 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C DURATION DISTRIBUTION City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 80%1 60% 40% 20% 0% 0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5 5-7 7+ 09/30/2024 0 06/30/2024 CHANDLER ASSET ASSET MANAGEMENT Date 09/30/2024 1 53.6% 7.1% 11.6% 6.9% 2.6% 9.8% 8.5% 0.0% 0.0% 06/30/2024 72.1% 7.4% 13.9% 7.1% 3.9% 5.3% 3.9% 0.0% 0.0% 25 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C INVESTMENT PERFORMANCE C/„CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 Total and Realized Rate of Return : Inception 1 12/01/2020 8.00 % 7.00 % 6.00 % 5.00 % 4.00 % 3.00 % 2.00 % 1.00% 0.00% ■ 12 months 2 years ■ City of Tustin Consolidated Account 1A 3 years 5 years ICE BofA 1-5 Yr US Treasury & Agency Index 1A 10 years Since Inception ■ ICE BofA 1-3 Yr US Treasury & Agency Index TOTAL RATE OF RETURN City of Tustin Cons Agg 1.85% 6.02% 4.86% 1.65% 1.33% Benchmark 3.37016 7.44% 4.75% 0.76% 0.51% Secondary Benchmark 2.86% 6.74% 4.85% 1.34% 1.05% REALIZED RATE OF RETURN mT City of Tustin Cons Agg 1.06% 4.10% 3.63% 2.73% 2.33% *Periods over 1 year are annualized. Benchmark: ICE BofA 1-5 Year Unsubordinated US Treasury & Agency Index Secondary Benchmark: ICE BofA 1-3 Year US Treasury & Agency Index 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 market value; it includes interest earnings, realized and unrealized gains and losses in the portfolio. Realized rate of return: A measure of a portfolio's return over time. It is the internal rate which equates the beginning book value of the portfolio with the ending book value; it includes interest earnings, realized gains and losses in the portfolio. Realized rate of return: A measure of a portfolio's return over time. It is the internal rate which equates the beginning book value of the portfolio with the ending book value; it includes interest earnings, realized gains and losses in the portfolio. 26 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C it%CHANDLER ASSET MANAGEMENT 27 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT AGENCY FEDERAL HOME LOAN BANKS 1.0 08/01/2022 954,220.00 99.60 996,029.74 0.56% Aaa/AA+ 0.11 3130APQ81 11/08/2024 1,000,000.00 3.09% 997,901.52 4.86% 3,972.22 (1,871.78) AA+ 0.10 FEDERAL HOME LOAN BANKS 1.0 08/01/2022 955,420.00 99.20 991,990.98 0.56% Aaa/AA+ 0.22 3130AQF40 12/20/2024 1,000,000.00 2.94% 995,905.40 4.67% 2,805.56 (3,914.42) AA+ 0.22 FEDERAL NATIONAL MORTGAGE 04/12/2021 1,982,980.00 97.43 1,948,661.56 1.10% Aaa/AA+ 0.71 3135G04Z3 ASSOCIATION 0.5 06/17/2025 2,000,000.00 0.71% 1,997,111.28 4.20% 2,888.89 (48,449.72) AA+ 0.70 FEDERAL HOME LOAN BANKS 11/30/2023 1,503,345.00 102.01 1,530,208.55 0.86% Aaa/AA+ 2.13 3130AXU63 4.62511/17/2026 1,500,000.00 4.54% 1,502,402.10 3.63% 25,822.92 27,806.45 AA+ 1.98 FEDERAL FARM CREDIT BANKS 12/08/2023 1,001,820.00 102.41 1,024,097.88 0.58% Aaa/AA+ 3.01 3133EPH81 FUNDING CORP 4.5 10/04/2027 1,000,000.00 4.45% 1,001,434.57 3.65% 22,125.00 22,663.31 AA+ 2.74 FEDERAL HOME LOAN BANKS 07/26/2023 1,255,762.50 102.57 1,282,101.84 0.72% Aaa/AA+ 3.69 3130AWMN7 4.375 06/09/2028 1,250,000.00 4.27% 1,254,373.01 3.62% 17,013.89 27,728.83 AA+ 3.35 FEDERAL FARM CREDIT BANKS 08/29/2023 1,507,785.00 103.26 1,548,935.30 0.87% Aaa/AA+ 3.91 3133EPUN3 FUNDING CORP 4.5 08/28/2028 1,500,000.00 4.37% 1,506,090.57 3.60% 6,187.50 42,844.73 AA+ 3.56 FEDERAL HOME LOAN BANKS4.75 12/08/2023 1,222,020.00 104.35 1,252,151.70 0.71% Aaa/AA+ 4.19 3130AXQK7 12/08/2028 1,200,000.00 4.33% 1,218,458.65 3.62% 17,891.67 33,693.05 AA+ 3.73 FEDERAL FARM CREDIT BANKS 01/29/2024 1,488,945.00 100.97 1,514,505.27 0.85% Aaa/AA+ 4.30 3133EPW84 FUNDING CORP 3.875 01/18/2029 1,500,000.00 4.04% 11490,432.00 3.63% 11,786.46 24,073.27 AA+ 3.90 FEDERAL HOME LOAN BANKS4.5 04/25/2024 1,384,040.00 103.58 1,450,084.12 0.82% Aaa/AA+ 4.44 3130AVBD3 03/09/2029 1,400,000.00 4.76% 1,385,458.27 3.62% 3,850.00 64,625.85 AA+ 4.00 FEDERAL FARM CREDIT BANKS 04/25/2024 1,376,046.00 103.20 1,444,740.15 0.82% Aaa/AA+ 4.53 3133ERAK7 FUNDING CORP 4.375 04/10/2029 1,400,000.00 4.77% 11378,088.59 3.60% 29,093.75 66,651.56 AA+ 4.01 FEDERAL FARM CREDIT BANKS 09/17/2024 2,002,440.00 99.43 1,988,696.70 1.12% Aaa/AA+ 4.94 3133ERSP7 FUNDING CORP 3.5 09/10/2029 2,000,000.00 3.47% 2,002,422.55 3.63% 4,083.33 (13,725.85) AA+ 4.49 FEDERAL HOME LOAN BANKS 09/30/2024 921,906.00 102.33 920,954.43 0.52% Aaa/AA+ 4.96 3130ATHX8 4.125 09/14/2029 900,000.00 3.58% 921,906.00 3.61% 1,753.13 (951.57) AA+ 4.45 Total Agency AGENCY CMBS 3137F1G44 17,556,729.51 101.42 17,893,158.21 10.09% Aaa/AA+ 3.24 17,650,000.00 3.73% 17,651,984.51 3.81% 149,274.31 241,173.70 AA+ 2.93 FHMS K-065 A2 3.243 04/25/2027 750,000.00 06/08/2023 719,560.55 98.18 4.39% 729,999.44 3.95% 736,382.18 0.42% Aaa/AA+ 2.57 2,026.88 6,382.74 AAA 2.34 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT 3137FEZU7 FH MS K-076 A2 3.9 04/25/2028 750,000.00 10/30/2023 708,310.55 99.84 748,834.28 0.42% Aaa/AA+ 3.57 5.32% 716,948.44 3.90% 2,437.50 31,885.84 AAA 3.20 3137FJKE8 FH MS K-082 A2 3.92 09/25/2028 750,000.00 10/30/2023 705,556.64 99.81 748,608.53 0.42% Aaa/AA+ 3.99 5.31% 713,966.88 3.93% 2,450.00 34,641.64 AAA 3.57 3137FKZZ2 FHMS K-088 A2 3.69 01/25/2029 1,000,000.00 07/22/2024 963,789.06 98.93 989,340.20 0.56% Aaa/AA+ 4.32 4.58% 965,308.09 3.93% 3,075.00 24,032.11 AA+ 3.86 09/17/2024 981,484.38 97.26 972,564.10 0.55% Aaa/AA+ 4.57 3137FLYVO FH MS K-092 A2 3.298 04/25/2029 1,000,000.00 3.72% 981,607.52 3.94% 2,748.33 (9,043.42) AAA 4.10 4,078,701.18 98.73 4,195,729.28 2.37% Aaa/AA+ 3.88 Total Agency CMBS 4,250,000.00 4.61% 4,107,830.37 3.93% 12,737.71 87,898.91 AAA 3.48 CASH (923,659.13) 1.00 (923,659.13) (0.52%) Aaa/AAA 0.00 CCYUSD Payable (923,659.13) 0.00% (923,659.13) 0.00% 0.00 0.00 AAA 0.00 -- 5,048.14 1.00 5,048.14 0.00% Aaa/AAA 0.00 CCYUSD Receivable 5,048.14 0.00% 5,048.14 0.00% 0.00 0.00 AAA 0.00 -- 8,435.89 1.00 8,435.89 0.00% Aaa/AAA 0.00 CCYUSD Receivable 8,435.89 0.00% 8,435.89 0.00% 0.00 0.00 AAA 0.00 -- 63,529.72 1.00 63,529.72 0.04% Aaa/AAA 0.00 CCYUSD Receivable 63 529.72 0.00% 63,529.72 0.00% 0.00 0.00 AAA 0.00 CBGMMF$04 Citizens Business Bank 239,578.43 05/31/2024 239,578.43 1.00 239,578.43 0.14% NA/NA 0.00 0.00% 239,578.43 0.00% 0.00 0.00 NA 0.00 CBGMMF$03 Citizens Business Bank 4,060,174.48 09/30/2024 4,060,174.48 1.00 4,060,174.48 2.29% NA/NA 0.00 0.00% 4,060,174.48 0.00% 0.00 0.00 NA 0.00 3,453,107.53 1.00 3,453,107.53 1.95% Aaa/AAA 0.00 Total Cash 3,453,107.53 0.00% 3,453,107.53 0.00% 0.00 0.00 AAA 0.00 COMMERCIAL PAPER MUFG Bank, Ltd. - New York 07/31/2024 1,938,919.99 98.07 1,961,376.00 1.11% P-1/A-1 0.42 62479LQ40 Branch 03/04/2025 2,000,000.00 5.24% 1,956,452.22 5.31% 0.00 4,923.78 NA 0.24 Toyota Motor Credit Corporation 07/09/2024 965,600.00 98.06 980,553.00 0.55% P-1/A-1+ 0.43 89233GQ66 03/06/2025 1,000,000.00 5.32% 977,640.00 4.57% 0.00 2,913.00 F1 0.25 29 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT Total Commercial 2,904,519.99 98.06 2,941,929.00 1.66% P-1/AA- 0.43 Paper 3,000,000.00 5.26% 2,934,092.22 5.06% 0.00 7,836.78 A+ 0.25 CORPORATE 24422EVY2 JOHN DEERE CAPITAL CORP 1.25 000.00 02/04/2022 985,080.00 99.02 990,170.80 0.56% Al/A 0.28 01/10/2025 1,000,1.77% 998,587.70 4.86% 2,812.50 (8,416.90) A+ 0.27 MASSMUTUAL GLOBAL FUNDING 03/23/2022 1,004,360.00 99.42 994,226.83 0.56% Aa3/AA+ 0.28 57629WCG3 II 2.95 01/11/2025 1,000,000.00 2.79% 1,000,434.72 5.02% 6,555.56 (6,207.89) AA+ 0.27 NEW YORK LIFE GLOBAL FUNDING 01/18/2022 996,780.00 99.00 989,953.97 0.56% Aaa/AA+ 0.29 64952WEK5 1.4501/14/2025 1,000,000.00 1.56% 999,689.82 5.00% 3,101.39 (9,735.85) AAA 0.28 NATIONAL RURAL UTILITIES 03/23/2022 972,740.00 98.94 989,438.10 0.56% A2/A- 0.36 63743HFC1 COOPERATIVE FINANCE CORP 1,000,000.00 2 86% 996,650.91 4.93% 2,812.50 (7,212.81) A 0.34 1.875 02/07/2025 57636QAN4 MASTERCARD INC 2.0 03/03/2025 500,000.00 11/01/2021 515,365.00 98.94 494,717.99 0.28% Aa3/A+ 0.42 1.03% 501,637.35 4.54% 777.78 (6,919.36) NA 0.41 PACCAR FINANCIAL CORP 2.85 03/31/2022 999,740.00 99.11 991,137.66 0.56% Al/A+ 0.52 69371RR73 04/07/2025 1,000,000.00 2 86% 999,955.40 4.60% 13,775.00 (8,817.74) NA 0.50 437076CM2 HOME DEPOT INC 2.7 04/15/2025 1,000,000.00 03/28/2022 995,620.00 98.94 989,426.33 0.56% A2/A 0.54 2.85% 999,227.99 4.71% 12,450.00 (9,801.66) A 0.52 87612EBL9 06406RAN7 06367W B85 TARGET CORP 2.25 04/15/2025 1,000,000.00 02/04/2022 1,010,340.00 98.73 987,327.29 0.56% A2/A 0.54 1.90% 1,001,524.86 4.66% 10,375.00 (14,197.57) A 0.52 BANK OF NEW YORK MELLON CORP 1.6 04/24/2025 BANK OF MONTREAL 1.85 05/01/2025 1,000,000.00 02/04/2022 989,120.00 98.29 982,891.27 0.55% Al/A 0.56 1.95% 998,095.30 4.71% 6,977.78 (15,204.03) AA- 0.55 1,000,000.00 08/17/2021 1,034,530.00 98.41 984,117.31 0.56% A2/A- 0.58 0.91% 1,005,418.48 4.64% 7,708.33 (21,301.17) AA- 0.57 91159HHZ6 US BANCORP 1.45 05/12/2025 1,400,000.00 12/23/2021 1,406,818.00 98.17 1,374,330.24 0.78% A3/A 0.61 1.30% 1,401,103.08 4.51% 7,838.06 (26,772.83) A 0.60 747525AFO QUALCOMM INC 3.45 05/20/2025 1,000,000.00 03/23/2022 1,018,960.00 99.43 994,313.01 0.56% A2/A 0.64 2.76% 1,002,603.41 4.36% 12,554.17 (8,290.40) NA 0.61 717081EX7 PFIZER INC 0.8 05/28/2025 1,000,000.00 03/23/2022 945,010.00 97.69 976,890.89 0.55% A2/A 0.66 2.59% 988,670.16 4.40% 2,733.33 (11,779.27) WR 0.64 NORTHWESTERN MUTUAL 06/30/2022 703,738.00 99.65 697,547.59 0.39% Aaa/AA+ 0.75 66815L2J7 GLOBAL FUNDING 4.007/01/2025 700,000.00 3.81% 700,934.50 4.47% 7,000.00 (3,386.91) AAA 0.72 30 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 194162AM5 26442UAA2 89114QCK2 COLGATE-PALMOLIVE CO 3.1 08/01/2022 344,682.60 99.13 08/15/2025 345,000.00 3.13% 344,908.41 4.12% DUKE ENERGY PROGRESS LLC 3.25 04/25/2022 1,000,280.00 99.14 08/15/2025 1,000,000.00 3.24% 1,000,058.05 4.26% TORONTO-DOMINION BANK 0.75 08/17/2021 993,000.00 96.77 09/11/2025 1,000,000.00 0.92% 998,372.64 4.28% CHANDLER ASSET ASSET MANAGEMENT 342,013.84 0.19% Aa3/A+ 0.87 1,366.58 (2,894.57) NA 0.85 991,372.81 0.56% Aa3/A 0.87 4,152.78 (8,685.24) WR 0.85 967,696.71 0.55% Al/A 0.95 416.67 (30,675.93) AA- 0.92 CATERPILLAR FINANCIAL SERVICES 14913R2H9 104/21/2021 991,780.00 96.44 964,352.07 0.54% A2/A 1.12 CORP 0.8 11/13/2025 ,000,000.00 0.98% 997,985.73 4.10% 3,066.67 (33,633.66) A+ 1.09 STATE STREET CORP 1.746 978,258.70 98.82 988,213.17 0.56% Al/A 1.35 8574776R3 02/06/2026 1,000,000.00 2.61% 997,095.33 5.27% 2,667.50 (8,882.16) AA- 0.34 06051GHY8 BANK OF AMERICA CORP 2.015 1,000,000.00 04/20/2021 1,030,470.00 98.86 988,636.77 0.56% Al/A- 1.37 02/13/2026 1.07% 1,003,443.26 5.43% 2,686.67 (14,806.49) AA- 0.36 46647PBK1 00440EAV9 023135BX3 808513BR5 91324PEC2 78016EZT7 931142ERO 665859AW4 JPMORGAN CHASE & CO 2.083 -- 2,072,110.00 98.40 1,968,087.38 1.11% Al/A- 04/22/2026 2,000,000.00 0.97% 2,012,180.38 6.11% 18,399.83 (44,093.00) AA- CHUBB INA HOLDINGS LLC 3.35 1,000,000.00 07/23/2021 1,102,780.00 98.82 988,230.59 0.56% A3/A 05/03/2026 0.98% 1,031,207.52 4.12% 13,772.22 (42,976.93) A AMAZON.COM INC 1.0 05/12/2021 995,200.00 95.61 05/12/2026 1,000,000.00 1.10% 998,452.63 3.83% CHARLES SCHWAB CORP 1.15 07/23/2021 1,007,990.00 95.32 05/13/2026 1,000,000.00 0.98% 1,002,614.65 4.17% UNITEDHEALTH GROUP INC 1.15 07/28/2021 1,007,110.00 95.60 05/15/2026 1,000,000.00 1.00% 1,002,336.24 3.97% ROYAL BANK OF CANADA 1.15 07/14/2026 WALMART INC 1.05 09/17/2026 NORTHERN TRUST CORP 4.0 05/10/2027 1.56 0.54 1.59 1.51 956,115.12 0.54% Al/AA 1.61 3,861.11 (42,337.51) AA- 1.57 953,208.41 0.54% A2/A- 1.62 4,408.33 (49,406.24) A 1.57 956,042.93 0.54% A2/A+ 1.62 4,344.44 (46,293.31) A 1.57 07/28/2021 999,090.00 94.92 949,168.81 0.54% Al/A 1,000,000.00 1.17% 999,672.70 4.13% 2,459.72 (50,503.89) AA- 09/22/2021 902,277.00 94.97 854,691.88 0.48% Aa2/AA 900,000.00 1.00% 900,877.55 3.74% 367.50 (46,185.67) AA 01/30/2023 986,540.00 100.16 1,001,627.03 0.57% A2/A+ 1,000,000.00 4.35% 991,789.31 3.93% 15,666.67 9,837.72 A+ 1.79 1.73 2.61 2.34 PUBLICSERVICE ELECTRICAND 74456QBU9 GAS CO 3.7 05/01/2028 06/29/2023 600,000.00 4.87% 570,144.00 577,899.46 98.71 4.09% 592,264.59 9,250.00 0.33% 14,365.13 Al/A WR 3.59 3.27 FLORIDA POWER & LIGHTCO 4.4 06/07/2023 987,550.00 101.19 1,011,927.13 0.57% Aa2/A+ 3.62 341081GN1 05/15/2028 1,000,000.00 4.69% 990,866.32 4.04% 16,622.22 21,060.81 AA- 3.13 TOYOTA MOTOR CREDIT CORP 09/26/2023 996,180.00 104.19 1,041,937.14 0.59% Al/A+ 3.95 89236TLB9 5.25 09/11/2028 1,000,000.00 5.34% 996,958.77 4.09% 2,916.67 44,978.37 A+ 3.54 31 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT CISCO SYSTEMS INC 4.85 09/27/2024 1,037,530.00 103.42 1,034,183.22 0.58% Al/AA- 4.41 17275RBR2 02/26/2029 1,000,000.00 3.90% 1,037,506.23 3.99% 4,715.28 (3,323.01) NA 3.86 BLACKROCK FUNDING INC 4.7 07/22/2024 1,002,010.00 102.86 1,028,550.69 0.58% Aaa/AA- 4.45 09290DAA9 03/14/2029 1,000,000.00 4.65% 1,001,925.60 3.99% 2,219.44 26,625.09 NA 3.92 713448FX1 PEPSICO INC 4.5 07/17/2029 1,000,000.00 07/22/2024 997,560.00 103.07 1,030,658.12 0.58% Al/A+ 4.79 4.56% 997,653.85 3.79% 9,250.00 33,004.27 NA 4.19 08/15/2024 1,000,130.00 100.96 1,009,578.43 0.57% Al/A+ 4.87 532457CQ9 ELI LILLYAND CO 4.2 08/14/2029 1,000,000.00 4.20% 1,000,126.66 3.98% 5,483.33 9,451.77 NA 4.28 HONEYWELL INTERNATIONAL INC 08/15/2024 930,020.00 94.48 944,755.96 0.53% A2/A 4.87 4385166U9 2.7 08/15/2029 1,000,000.00 4.27% 931,783.88 3.96% 3,450.00 12,972.08 A 4.48 35,510,893.30 98.80 34,999,802.08 19.74% Al/A 1.75 Total Corporate 35,445,000.00 2.47% 35,410,248.87 4.47% 229,015.03 (410,446.79) A+ 1.50 LAIF 90LAIF$00 Local Agency Investment Fund 4,765,496.13 -- 4,765,496.13 1.00 4,765,496.13 2.69% NA/NA 0.00 State Pool 4.57% 4,765,496.13 ° 4.57/° 0.00 0.00 NA 0.00 4,765,496.13 1.00 4,765,496.13 2.69% NA/NA 0.00 Total LAIF 4,765,496.13 4.57% 4,765,496.13 4.57% 0.00 0.00 NA 0.00 LOCAL GOV INVESTMENT POOL 90CAMP$00 CAMP 66,037,968.53 -- 66,037,968.52 1.00 66,037,968.53 37.25% NA/AAAm 0.00 5.08% 66,037,968.52 5.08% 0.00 0.01 AAA 0.00 Total Local Gov 66,037,968.52 1.00 66,037,968.53 37.25% NA/AAAm 0.00 Investment Pool 66,037,968.53 5.08% 66,037,968.52 5.08% 0.00 0.01 AAA 0.00 MONEY MARKET FUND -- 204,367.43 1.00 204,367.43 0.12% Aaa/AAAm 0.00 31846V203 FIRST AMER:GVT OBLG Y 204,367.43 4.54% 204,367.43 4.54% 0.00 0.00 AAA 0.00 -- 1,074,705.95 1.00 1,074,705.95 0.61% Aaa/AAAm 0.00 31846V203 FIRST AMER:GVT OBLG Y 1,074,705.95 4.54% 1,074,705.95 4.54% 0.00 0.00 AAA 0.00 32 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT Total Money Market 1,279,073.38 1.00 1,279,073.38 0.72% Aaa/AAAm 0.00 Fund 1,279,073.38 4.54% 1,279,073.38 4.54% 0.00 0.00 AAA 0.00 NEGOTIABLE CD Capital One Bank (USA), National 08/01/2022 239,640.00 99.40 238,567.87 0.13% WR/BBB+ 0.84 14042TJB4 Association 3.45 08/04/2025 240,000.00 3.50% 239,899.25 4.17% 1,338.41 (1,331.38) A 0.82 02007GXF5 Ally Bank 3.4 08/04/2025 240,000.00 08/02/2022 239,280.00 99.35 238,447.31 0.13% A3/BBB- 0.84 3.50% 239,798.32 4.18% 1,296.66 (1,351.01) NA 0.82 87165EXE2 Synchrony Bank 3.4 08/05/2025 240,000.00 08/01/2022 239,640.00 99.35 238,449.04 0.13% NA/BBB 0.85 3.45% 239,898.83 4.18% 1,292.00 (1,449.79) BBB 0.82 2546731326 Discover Bank 3.4 08/08/2025 240,000.00 08/01/2022 239,280.00 99.36 238,454.49 0.13% A2/BBB 0.85 3.50% 239,795.69 4.17% 1,207.23 (1,341.21) A- 0.83 Goldman Sachs Bank USA 1.05 08/17/2021 243,775.00 94.94 232,598.27 0.13% Al/A+ 1.90 38149MY56 08/25/2026 245,000.00 1.15% 244,535.09 3.84% 260.77 (11,936.82) AA- 1.85 1,201,615.00 98.50 1,186,516.98 0.67% A2/BBB 1.05 Total Negotiable CD 1,205,000.00 3.03% 1,203,927.19 4.11% 5,395.08 (17,410.21) A- 1.02 US TREASURY UNITED STATES TREASURY 10/23/2023 2,852,512.50 99.97 2,999,217.51 1.69% P-1/A-1+ 0.01 912797GW1 10/03/2024 3,000,000.00 5.42% 2,999,145.00 4.77% 0.00 72.51 F1+ 0.01 UNITED STATES TREASURY1.5 03/23/2022 1,224,902.34 99.72 1,246,530.01 0.70% Aaa/AA+ 0.08 912828YM6 10/31/2024 1,250,000.00 2.29% 1,249,209.11 4.89% 7,846.47 (2,679.09) AA+ 0.08 UNITED STATES TREASURY 09/11/2024 2,481,367.19 99.55 2,488,708.05 1.40% P-1/A-1+ 0.10 912797MA2 11/05/2024 2,500,000.00 5.08% 2,487,923.18 4.73% 0.00 784.87 F1+ 0.10 UNITED STATES TREASURY 2.25 02/20/2024 2,938,359.38 99.68 2,990,389.83 1.69% Aaa/AA+ 0.13 912828G38 11/15/2024 3,000,000.00 5.15% 2,989,649.90 4.84% 25,495.92 739.93 AA+ 0.12 UNITED STATES TREASURY 1.5 03/23/2022 1,223,486.33 99.46 1,243,225.10 0.70% Aaa/AA+ 0.17 912828YV6 11/30/2024 1,250,000.00 2.31% 1,248,380.02 4.81% 6,301.23 (5,154.92) AA+ 0.16 UNITED STATES TREASURY 06/13/2024 2,436,SO4.68 99.11 2,477,650.00 1.40% P-1/A-1+ 0.20 912797LPO 12/12/2024 2,500,000.00 5.34% 2,474,316.50 4.57% 0.00 3,333.50 F1+ 0.20 UNITED STATES TREASURY1.75 05/18/2022 1,263,335.94 99.28 1,290,656.25 0.73% Aaa/AA+ 0.25 912828YY0 12/31/2024 1,300,000.00 2 87% 1,296,513.66 4.67% 5,749.32 (5,857.41) AA+ 0.24 33 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET ASSET MANAGEMENT UNITED STATESTREASURY4.125 03/14/2024 2,676,480.47 99.83 2,695,317.17 1.52% Aaa/AA+ 0.34 91282CGG0 01/31/2025 2,700,000.00 5.15% 2,691,088.87 4.62% 18,764.27 4,228.30 AA+ 0.33 912797KA4 UNITED STATES TREASURY 2,500,000.00 04/18/2024 2,394,087.13 98.28 2,457,091.85 1.39% P-1/A-1+ 0.39 02/20/2025 5.22% 2,451,010.99 4.50% 0.00 6,080.86 F1+ 0.38 UNITED STATES TREASURY 07/10/2024 2,886,629.17 97.83 2,934,907.50 1.66% P-1/A-1+ 0.54 912797KS5 04/17/2025 3,000,000.00 5.07% 2,919,830.63 4.08% 0.00 15,076.87 F1+ 0.53 UNITED STATES TREASURY2.75 05/30/2024 2,443,164.06 99.07 2,476,782.23 1.40% Aaa/AA+ 0.62 91282CEQO 05/15/2025 2,500,000.00 5.22% 2,463,195.06 4.27% 25,968.07 13,587.16 AA+ 0.60 UNITED STATES TREASURY0.375 04/27/2021 1,957,500.00 95.57 1,911,328.12 1.08% Aaa/AA+ 1.34 91282CBH3 01/31/2026 2,000,000.00 0.83% 1,988,098.04 3.82% 1,263.59 (76,769.92) AA+ 1.30 UNITED STATES TREASURY0.75 04/27/2021 1,989,531.25 95.64 1,912,734.38 1.08% Aaa/AA+ 1.50 91282CBT7 03/31/2026 2,000,000.00 0.86% 1,996,820.95 3.77% 41.21 (84,086.57) AA+ 1.46 UNITED STATES TREASURY4.125 11/09/2022 1,724,978.91 101.61 1,767,935.16 1.00% Aaa/AA+ 3.00 91282CFM8 09/30/2027 1,740,000.00 4.32% 1,730,793.80 3.56% 197.18 37,141.36 AA+ 2.80 UNITED STATES TREASURY 3.5 02/23/2023 1,458,281.25 99.77 1,496,601.57 0.84% Aaa/AA+ 3.34 91282CGH8 01/31/2028 1,500,000.00 4.13% 1,471,762.11 3.57% 8,845.11 24,839.46 AA+ 3.10 UNITED STATES TREASURY 3.125 02/29/2024 1,425,351.56 98.26 1,473,867.18 0.83% Aaa/AA+ 4.13 9128285M8 11/15/2028 1,500,000.00 4.30% 1,434,639.21 3.58% 17,705.50 39,227.97 AA+ 3.78 UNITED STATES TREASURY2.375 05/16/2024 1,228,130.86 94.91 1,281,234.38 0.72% Aaa/AA+ 4.62 9128286T2 05/15/2029 1,350,000.00 4.41% 1,237,284.41 3.58% 12,110.56 43,949.97 AA+ 4.28 UNITED STATES TREASURY3.25 08/15/2024 1,462,089.84 98.56 1,478,378.91 0.83% Aaa/AA+ 4.75 91282CEV9 06/30/2029 1,500,000.00 3.82% 1,463,070.09 3.58% 12,319.97 15,308.82 AA+ 4.32 UNITED STATES TREASURY 2.625 08/15/2024 1,420,078.13 95.77 1,436,542.97 0.81% Aaa/AA+ 4.83 91282CFCO 07/31/2029 1,500,000.00 3.81% 1,422,109.29 3.59% 6,633.83 14,433.67 AA+ 4.46 UNITED STATES TREASURY 3.125 09/11/2024 2,455,664.06 97.92 2,447,949.23 1.38% Aaa/AA+ 4.92 91282CFJ5 08/31/2029 2,500,000.00 3.52% 2,456,128.44 3.59% 6,690.26 (8,179.21) AA+ 4.50 39,942,435.05 98.61 40,507,047.39 22.85% Aaa/AA+ 1.49 Total US Treasury 41,090,000.00 4.20% 40,470,969.26 4.23% 155,932.50 36,078.13 AA+ 1.39 176,730,539.59 57.33 177,259,828.50 100.00% Aa3/AA 1.12 Total Portfolio 178,175,645.57 4.09% 177,314,697.98 4.49% 552,354.62 (54,869.48) AA 1.00 Total Market Value + Accrued 177,812,183.12 34 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C CHANDLER it% ASSET MANAGEMENT 35 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C TRANSACTION LEDGER City of Tustin Cons Account I Account #10795 1 07/01/2024 Through 09/30/2024 1 CHANDLER ASSET ASSET MANAGEMENT ACQUISITIONS Toyota Motor Purchase 07/09/2024 89233GQ66 1,000,000.00 Credit Corporation 96.560 5.32% (965,600.00) 0.00 (965,600.00) 0.00 03/06/2025 Purchase 07/11/2024 912797KS5 3,000,000.00 UNITED STATES TREASURY 04/17/2025 96.221 5.07% (2,886,629.17) 0.00 (2,886,629.17) 0.00 Purchase 07/23/2024 713448FX1 1,000,000.00 PEPSICOINC4.5 07/17/2029 99.756 4.56% (997,560.00) (750.00) (998,310.00) 0.00 Purchase 07/23/2024 09290DAA9 1,000,000.00 BLACKROCK FUNDING 4.65% (1,002,010.00) (16,841.67) (1,018,851.67) 0.00 INC 4.7 03/14/2029 Purchase 07/25/2024 3137FKZZ2 1,000,000.00 FHMS K-088 A2 3.69 96.379 4.58% (963,789.06) (2,460.00) (966,249.06) 0.00 01/25/2029 MUFG Bank, Ltd. Purchase 07/31/2024 62479LQ40 2,000,000.00 - New York Branch 96.946 5.24% (1,938,919.99) 0.00 (1,938,919.99) 0.00 03/04/2025 Purchase 08/16/2024 532457CQ9 1,000,000.00 ELI LILLY AND CO4.2 08/14/2029 4.20% (1,00,130.00) (233.33) (1,000,363.33) 0.00 Purchase Purchase Purchase Purchase Purchase HONEYWELL 08/16/2024 438516BU9 1,000,000.00 INTERNATIONAL INC 93.002 4.27% (930,020.00) (75.00) (930,095.00) 2.7 08/15/2029 UNITED STATES 08/16/2024 91282CFCO 1,500,000.00 TREASURY2.625 94.672 3.81% (1,420,078.13) (1,711.96) (1,421,790.09) 07/31/2029 UNITED STATES 08/16/2024 91282CEV9 1,500,000.00 TREASURY 3.25 97.473 3.82% (1,462,089.84) (6,226.22) (1,468,316.06) 06/30/2029 UNITED STATES 09/12/2024 91282CFJ5 2,500,000.00 TREASURY3.125 98.227 3.52% (2,455,664.06) (2,589.78) (2,458,253.84) 08/31/2029 09/12/2024 912797MA2 2,500,000.00 UNITEDSTATES TREASURY11/05/2024 99.255 5.08% (2,481,367.19) 0.00 (2,481,367.19) 0.00 0.00 0.00 0.00 0.00 36 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C TRANSACTION LEDGER City of Tustin Cons Account I Account #10795 1 07/01/2024 Through 09/30/2024 1 CHANDLER ASSET MANAGEMENT FEDERAL FARM CREDIT Purchase 09/18/2024 3133ERSP7 2,000,000.00 BANKS FUNDING CORP 3.47% (2,002,440.00) (1,555.56) (2,003,995.56) 0.00 3.5 09/10/2029 Purchase 09/20/2024 3137FLYVO 1,000,000.00 FHMS K-092 A2 3.298 98.148 3.72% (981,484.38) (1,740.61) (983,224.99) 0.00 04/25/2029 Purchase 09/30/2024 17275RBR2 1,000,000.00 CISCO SYSTEMS INC 3.90% (1,037,530.00) (4,580.56) (1,042,110.56) 0.00 4.85 02/26/2029 FEDERAL HOME Purchase 10/01/2024 3130ATHX8 900,000.00 LOAN BANKS4.125 3.58% (921,906.00) (1,753.13) (923,659.13) 0.00 09/14/2029 Total Purchase 23,900,000.00 (22,447,087.82) (40,517.82) (23,487,735.64) 0.00 TOTAL ACQUISITIONS 23,900,000.00 (22,447,087.82) (40,517.82) (23,487,735.64) 0.00 DISPOSITIONS Toyota Motor Maturity 07/08/2024 89233GG83 (1,000,000.00) Credit Corporation 0.00% 1,000,000.00 0.00 1,000,000.00 0.00 07/08/2024 Maturity 07/11/2024 912797G67 (3,000,000.00) UNITED STATES 0.00% 3,000,000.00 0.00 3,000,000.00 0.00 TREASURY 07/11/2024 Maturity 07/15/2024 79466LAG9 (1,000,000.00) SALESFORCE INC 0.625 0.63% 1,000,000.00 0.00 1,000,000.00 0.00 07/15/2024 UNITED STATES Maturity 07/15/2024 91282CCL3 (1,250,000.00) TREASURY0.375 0.38% 1,250,000.00 0.00 1,250,000.00 0.00 07/15/2024 UNITED STATES Maturity 07/31/2024 91282CFA4 (2,500,000.00) TREASURY3.0 3.00% 2,500,000.00 0.00 2,500,000.00 0.00 07/31/2024 Maturity 08/08/2024 912797GK7 (4,750,000.00) UNITED STATES 0.00% 4,750,000.00 0.00 4,750,000.00 0.00 TREASURY 08/08/2024 UNITED STATES Maturity 08/31/2024 9128282U3 (1,250,000.00) TREASURY 1.875 1.88% 1,250,000.00 0.00 1,250,000.00 0.00 08/31/2024 37 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C TRANSACTION LEDGER C31CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 07/01/2024 Through 09/30/2024 1 Transaction Type Settlement • Description .. Yield Sold Maturity 09/05/2024 912797GL5 (4,500,000.00) UNITED STATES 0.00% 4,500,000.00 0.00 4,500,000.00 0.00 TREASURY 09/05/2024 FEDERAL FARM CREDIT Maturity 09/13/2024 3133ENL40 (1,000,000.00) BANKS FUNDING CORP 3.50% 1,000,000.00 0.00 1,000,000.00 0.00 3.5 09/13/2024 FEDERAL HOME Maturity 09/13/2024 3133XVDG3 (1,000,000.00) LOAN BANKS 4.375 4.38% 1,000,000.00 0.00 1,000,000.00 0.00 09/13/2024 METROPOLITAN LIFE Maturity 09/27/2024 59217GEPO (1,000,000.00) GLOBAL FUNDING 10.7 0.70% 1,000,000.00 0.00 1,000,000.00 0.00 09/27/2024 Total Maturity 0.00 22,250,000.00 0.00 Sale 07/03/2024 90CAMP$00 (4,000,000.00) CAMP 1.000 0.00% 4,000,000.00 0.00 4,000,000.00 0.00 Sale 07/05/2024 90CAMP$00 (2,000,000.00) CAMP 1.000 0.00% 2,000,000.00 0.00 2,000,000.00 0.00 Sale 07/11/2024 90CAMP$00 (2,000,000.00) CAMP 1.000 0.00% 2,000,000.00 0.00 2,000,000.00 0.00 Local Agency Sale 07/18/2024 90LAIF$00 (2,370,000.00) Investment Fund State 1.000 4.53% 2,370,000.00 0.00 2,370,000.00 0.00 Pool Sale 07/26/2024 90CAMP$00 (5,000,000.00) CAMP 1.000 0.00% 5,000,000.00 0.00 5,000,000.00 0.00 Sale 08/31/2024 90CAMP$00 (6,000,000.00) CAMP 1.000 0.00% 6,000,000.00 0.00 6,000,000.00 0.00 Sale 09/30/2024 90CAMP$00 (5,500,000.00) CAMP 1.000 0.00% 5,500,000.00 0.00 5,500,000.00 0.00 Total Sale 0.00 26,870,000.00 0.00 TOTAL DISPOSITIONS 0.00 49,120,000.00 0.00 38 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C IMPORTANT DISCLOSURES City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 2024 Chandler Asset Management, Inc, An Independent Registered Investment Adviser. CHANDLER ASSET MANAGEMENT Information contained herein is confidential. Prices are provided by ICE Data Services Inc ("IDS"), an independent pricing source. In the event IDS 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 alter the 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. WE Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C BENCHMARK DISCLOSURES City of Tustin Cons Account I Account #10795 1 As of September 30, 2024 CHANDLER ASSET MANAGEMENT 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 ICE BofA 1-5 Yr US Treasury & Agency Index (based on an average of Moody's, S&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. 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 ICE BofA 1-3 Yr US Treasury & Agency Index (based on an average of Moody's, S&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. 40 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C ATTACHMENT 3 CITY OF TUSTIN Monthly Investment Report September 30, 2024 Restricted Deposits with Fiscal Agents [1] Description / Limits [21 [31 [41 Face Amount Shares YTM@Cost Credit Rating Cost Value +Accrued Interest i �Ik Remembering what crooned, n [51 Market Value 2016 Successor Agency Tax Allocation Bonds, Refunding 7,093.32 N/A 7,093.32 7,093.32 2016 Water Revenue Bonds, Refunding 334,608.71 N/A 334,608.71 334,608.71 2020 Water Revenue Bonds 194,873.18 N/A 194,873.18 194,873.18 2024 Water Revenue Bonds 3,756,389.79 N/A 3,756,389.79 3,756,389.79 CFD 04-1 674,144.60 N/A 674,144.60 674,144.60 CFD 06-1 4,455,751.32 N/A 4,455,751.32 4,455,751.32 CFD 07-1 1,285,014.56 N/A 1,285,014.56 1,285,014.56 CFD 14-1 2,912,406.67 N/A 2,912,406.67 2,912,406.67 13,620,282.15 13,620,282.15 13,620,282.15 Restricted Deposits with Fiscal Agents TOTAL 13,620,282.15 13,620,282.15 Docusign Envelope ID: 986AA054-0725-4395-8229-B3E25F62944C _,;HMENT 4 LIC AGENCY �=)Ak 1RETIREMENT SERVICES CITY OFTUSTIN Account Report for the Period PARS Post- Employment Benefits Trust 9/1/2024 to 9/30/2024 Aldo Schindler City Manager City of Tustin 300 Centennial Way Tustin, CA 92780 Account Summary Balance as of Balance as of Source 9/1/2024 Contributions Earnings Expenses Distributions Transfers 9/30/2024 OPEB $4,461,131.67 $0.00 $78,069.72 $1,679.91 $0.00 $0.00 $4,537,521.48 PENSION $14,655,334.00 $0.00 $256,410.74 $5,519.03 $0.00 $0.00 $14,906,225.71 Totals $19,116,465.67 $0.00 $334,480.46 $7,198.94 $0.00 $0.00 $19,443,747.19 Investment Selection Source OPEB City of Tustin - OPEB PENSION City of Tustin - Pension Investment Objective Source Individual account based on Moderate - Index. The dual goals of the Moderate Strategy are growth of principal and income. It is expected that dividend and OPEB 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. The dual goals of the Moderate Strategy are growth of principal and income. It is expected that dividend and PENSION 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-Month 3-Months 1-Year F 3-Years 5-Years 10-Years Plan'sInception Date OPEB 1.75% 6.41°/u 21.19% 3.83% 6.64% 6/26/2018 PENSION 1.75% 6.42% 21.23% 3.85% 6.65% 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 Karmen Ave., suite 100, Newport Beach, CA 92660 800.540.6369 Fax 949.250.1250 www.pars.org