Loading...
HomeMy WebLinkAbout06 QUARTERLY INVESTMENT REPORT FOR THE CITY OF TUSTIN AND THE SUCCESSOR AGENCY FOR THE TUSTIN COMMUNDocusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 6 � Agenda Item Reviewed: Initial AGENDA REPORT F City Manager fs Finance Director 5�:i MEETING DATE: MAY 20, 2025 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 MARCH 31, 2025 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 March 31, 2025 is rendered. The City's total cash and investments amounted to approximately $200 million as of March 31, 2025. The weighted average yield for the investment portfolio was 4.02%, which is slightly lower than the weighted average portfolio yield for the prior quarter. During this quarter, the Federal Open Market Committee (FOMC) left the Federal Funds rate Docusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 City Council Agenda Report Quarterly Investment Report for the Period Ended March 31, 2025 May 20, 2025 Page 2 unchanged amid an uncertainty in the overall economic outlook. Core inflation remains elevated and labor market growth trends above expectations. The Consumer Price Index (CPI) for March 2025 came in at 2.4% higher year -over -year with core CPI (excluding food and energy) at 2.8% higher year -over -year. For the past quarter, the labor market continued to fluctuate with job growth below expectations in January and February but exceeding expectations in March. The national unemployment rate rose by 0.1 % to 4.2%. The labor participation rate inched up to 62.5% by March but still below the pre -pandemic level. The 2-year Treasury yield dropped to 3.89% by March 2025, compared to a yield of 4.24% in December 2024. Similarly, the 5- year Treasury yield decreased to 4.04% by March 2025, compared to a yield of 4.38% in December 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 $14.7 million on March 31, 2025. The five-year annualized return for the PARS Pension Trust Fund was 7.97%. 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 March 31, 2025. The five-year annualized return for the PARS OPEB Trust Fund was 7.96%. Investment Compliance Certification On May 1, 2025, 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. Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 City Council Agenda Report Quarterly Investment Report for the Period Ended March 31, 2025 May 20, 2025 Page 3 Signed by: 9F� 6" 4D86AFAFFF77473... Jennifer King Finance Director/City Treasurer Attachments: 1. Investment Report Certification 2. Quarterly Investment Report for the Period Ended March 31, 2025 3. Restricted Deposits with Fiscal Agents as of March 31, 2025 4. PARS Trust Statement as of March 31, 2025 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 FINANCE DEPARTMENT V I Remembering what connects us. g May 1, 2025 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 March 31, 2025 is hereby rendered for the City of Tustin and Successor Agency for the Tustin Community Redevetopment 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 anticipated expenditures for the next six (6) months. Respectfutly submitted, John deeC h a i r Cit4 of Tustin Audit Commission l Jennifer King, Finance Director/City Treasurer City of Tustin 300 Centennial. Way, Tustin, CA 92780 . 714-573-3060 ■ tustinca.crg Docusign Envelope ID: 3EFE5DE9-C71E-480B-80B0-BFC4B657B312 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: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 TABLE OF CONTENTS City of Tustin I As of March 31, 2025 ECONOMIC UPDATE ACCOUNT PROFILE PORTFOLIO HOLDINGS TRANSACTIONS CAtCHANDLER ASSET MANAGEMENT Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 CHANDLER it% ASSET MANAGEMENT Docusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 ECONOMIC UPDATE CHANDLER ASSET MANAGEMENT Recent economic data suggest slower growth in 2025 and greater market uncertainty as the effects of fiscal policy unfold. Inflationary trends have subsided, but some components remain sticky, and core levels remain above the Fed's target. The labor market reflects improved balance between supply and demand for workers. While job creation has been robust, continuing jobless claims remain elevated. Given the economic outlook, we expect gradual normalization of monetary policy and a steepening yield curve. ■ As broadly anticipated, the Federal Open Market Committee (FOMC) left the Federal Funds Rate unchanged at the range of 4.25 - 4.50% at the March meeting. Fed Chair Powell emphasized increased uncertainty around the economic outlook and the need for "greater clarity" before making changes to interest rate policy. He also acknowledged possible transitory inflationary impacts from tariffs. The summary of economic projections (SEP) indicated lower GDP growth, higher inflation, and higher unemployment estimates than December projections, along with roughly two 25-basis point rate cuts this year. The FOMC also announced a slowdown in the pace of balance sheet reduction. ■ US Treasury yields declined, and the curve steepened in March. The 2-year Treasury yield declined 10 basis points to 3.89%, the 5-year Treasury fell 7 basis points to 3.95%, and the 10-year Treasury yield was unchanged 4.21%. The spread between the 2-year and 10-year Treasury yield points on the curve widened to +32 basis points at March month -end versus +22 basis points at February month -end. The spread between the 2-year Treasury and 10-year Treasury yield one year ago was -42 basis points. The spread between the 3-month and 10 year Treasury yield points on the curve was -9 basis points in March, unchanged from February. 3 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 EMPLOYMENT 1,000 _ :IH 0 0 600 M 400 0 t c 200 0 -200 E11 Nonfarm Payroll (000's) tea. Sob. 11;7dr S0'0 �01. S�°;0 �011 SPa �dr s�°;0 �ar, 1-0 1-0 �1 �� �� �S ��' �Q �Q 'S Source: US Department of Labor CHANDLER ASSET MANAGEMENT Unemployment Rate 25.0% - - Underemployment Rate (U6) ;• Unemployment Rate (U3) 20.0% e 15.0% •• a • m • oc • 10.0% 5.0 % 0.0 % SoAll��'r S90 �0, SoPb �dr SPz �ar Sob �dr ')0 13p �l �1 �? �� �S �S �Q �g 'S Source: US Department of Labor The U.S. economy added 228,000 jobs in March, exceeding consensus expectations, and the last two months were revised down by 48,000. Gains were led by healthcare, retail, social assistance, and transportation. The three-month moving average and six-month moving average payrolls totaled 152,000 and 181,000 respectively. The unemployment rate rose to 4.2% in March, and the labor participation rate edged up to 62.5%, 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 edged down to 7.9% in March from 8.0% in February. Average hourly earnings ticked down to an increase of 3.8% year -over -year in March. 4 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 JOB OPENINGS & LABOR TURNOVER SURVEY Job Openings 14,000 Recession 12,000 Historical Average 10,000 0 0 8,000 C C c 6,000 L F C WIM 2,000 CHANDLER ASSET MANAGEMENT 0 ,6 69 69 bo 60 61 61 61 6Z 61 6Z bZ bz bz 6� 6� b� b� 6� 6� 6 S 6 S 9 O 1 �' V S 6 8 9 O 1 2 �' Q S Source: US Department of Labor The Labor Department's Job Openings and Labor Turnover Survey (JOLTS) fell to 7.57 million new job openings in February from 7.76 million new job openings in January. Job openings indicate a ratio of 1.1 jobs for each unemployed individual, representing a relatively balanced labor market. Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 INFLATION 10.0% 9.0 % 8.0% 7.0 % v Y 6.0% M r 5.0% 0 > 4.0% O 3.0% 2.0% 1.0% 0.0 % Consumer Price Index (CPI) 2ldr SPp /J7dr Sob �dr SPz 2ldr SPz 2ldr Sob 2!0/�S � O Source: US Department of Labor 10.0% - 9.0 8.0% 7.0% 6.0% v 5.0% 0 i 4.0% O } 3.0% 2.0% 1.0% 0.0% �06,>0 q�g�o.c0,6 q4> Source: US Department of Commerce CHANDLER ASSET MANAGEMENT Personal Consumption Expenditures (PCE) PCE Price Deflator YOY % Change - - - PCE Core Deflator YOY % Change Fed Target �0,6, qel �06�.3 q�06�S! q�Q �06�S In March, price increases measured by both the Consumer Price Index (CPI) and Core CPI, which excludes volatile food and energy components, decelerated from last month and came in lower than consensus expectations. The headline CPI dropped 0.1% month -over - month and rose 2.4% year -over -year, while the Core CPI rose 0.1% month -over -month and 2.8% year -over -year. The Personal Consumption Expenditures (PCE) price index increased by 0.3% from the previous month and 2.5% year -over -year in February. The Core PCE deflator, which excludes food and energy and is the Fed's preferred gauge, accelerated its increase to 0.4% month -over -month and 2.8% from 2.6% year -over -year. Inflation remains above the Fed's 2%target. Docusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 CONSUMER 60.0% 50.0% 40.0% 30.0% o� 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 0 117 SPp` 2ldi S_ 2!o'r SPA 2lar SPa �ar & �/ar :O �p �1 �1 �� �� ��' ��' �Q �Q 'S Source: US Department of Commerce CHANDLER ASSET MANAGEMENT Consumer Confidence 117d 47 �d �d �d �d �d 4d 47 4d /- , - , -,1 r,1 ,- r,1 r,1 r,� /,� /;� S ,9 1 a' S .9 1 a' S Source: The Conference Board All time high is 144.70 (1131100), All time low is 25.30 (2128109) Advance Retail Sales increased 1.4% month -over -month in March following a 0.2% gain in February. Auto sales jumped, and spending ramped up broadly ahead of tariffs. Building materials, garden equipment, and restaurants also soared with the transition to spring weather. However, control group sales, which feeds into gross domestic product, increased a disappointing 0.4% in March. On a year - over -year basis, Retail Sales grew 4.6% in March versus 3.5% in February. The Conference Board's Consumer Confidence Index tumbled 7.2 points in March to 92.9, a notable decrease from February. Consumers' assessment of the present situation fell, and expectations for income, business, and labor market conditions dropped, with pessimism about future employment prospects falling to a 12-year low. While the consumer has been resilient, rising inflation expectations, concerns about trade policies and tariffs, and general economic and policy uncertainty could pose potential risks to future spending. 7 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 LEADING INDICATORS OF ECONOMIC ACTIVITY 15.0% 10.0% 5.0% a IT 0.0% M s -5.0% 0 0 -10.0% -15.0% -20.0% -25.0% Leading Economic Indicators (LEI) �01- �0/1 �di �01- �dr, WS WS 9a' 05 01 Source: The Conference Board 2Jdr �dr �0 �dr �dr �dr OS. OS 1? 1j �1 �S CHANDLER ASSET MANAGEMENT Chicago Fed National Activity Index (CFNAI) 1.00 0.75 0.50 a 0.25 a a 0.00 s c 0 -0.25 M -0.50 -0.75 -1.00 `pS cPS SS `9� Source: Federal Reserve Bank of Chicago �Pb, �Pb, �Pb, �Pb, �Pb, �Pb, �Pb, 01 OS OS 1& 1j �1 -)S The Conference Board's Leading Economic Index (LEI) fell by 0.7% in March, following a 0.2% decline in February. The LEI decreased by 3.5% year -over -year. The Conference Board forecasted slower growth ahead, as trade policy uncertainty took a toll on consumer sentiment, stock prices, and new orders for manufacturing. The Chicago Fed National Activity Index (CFNAI) increased to +0.18 in February from a revised -0.08 in January, reflecting stronger readings across production -related indicators and sales, orders, and inventories. The three-month moving average rose to +0.15 in February from +0.07 in January, indicating expectations of continued above - trend economic growth. i Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 HOUSING _ ORCHANDLER ASSET MANAGEMENT 2,400 2,200 2,000 1,800 1,600 to 1,400 E 1,200 '0 1,000 800 11 11I17 tL�Z�7 0 I Annualized Housing Starts ■ Multi Family Housing Starts ■ Single Family Housing Starts 11 . 11111 2l01- �01- �0- �01- �dr; �dr, 2/dr, 2ldr, �dr, �ot �di OS O) 00 1? 1S 1S ,Ij 19 �1 �S 'S Source: US Department of Commerce 24.0% 20.0% 16.0% 12.0% 8.0% c s 4.0% U 0.0% o -4.0% r -8.0% -12.0% -16.0% -20.0% S&P/Case-Shiller 20 City Composite Home Price Index /2,O �0 120 �1 �1 h1 �1 �-7�� S � 9 .j .z' S � 9 .l ,�' S Source: S&P Housing starts plunged 11.4% to 1.3 million units in March as builders anticipated higher mortgage rates and slower demand, as well as uncertainty about building costs for materials and labor. Single family starts plummeted 14.2%, and multi -family starts fell 3.5%. Total starts increased 1.9% compared to March 2024. The Freddie Mac 30-year fixed rate mortgage averaged approximately 6.7% in March. According to the Case-Shiller 20-City Home Price Index, housing prices rose 4.7% year -over -year in January, compared to 4.5% in December. While inventory constraints remain a challenge, the slight improvement in annual gains suggests gradual stabilization in the market. However, higher mortgage rates continue to weigh on affordability, limiting buyer demand and market activity. Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 SURVEY BASED MEASURES 70 65 60 55 50 45 40 C3% CHANDLER ASSET MANAGEMENT Institute of Supply Management (ISM) Surveys ISM Manufacturing - - - - - ISM Services J oP dr�0 '>0 a'>0 -'0 d, �Z ��1 ,0�1 c�1 dr�� ��� a�� c�� dr�S ��S p�S c�S dr�Q ��Q a�Q c�Q dr�S Source: Institute for Supply Management The Institute for Supply Management (ISM) Manufacturing index dipped back into contraction at 49.0 in March from 50.3 in February. The survey reflected a decline in business activity, upward price pressures, and notably weaker employment. The ISM Services index declined to 50.8 in March from 53.5 in February as new orders, employment, and supplier deliveries all weakened. A reading over 50 indicates expansion, while a reading under 50 indicates contraction. 10 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 GROSS DOMESTIC PRODUCT (GDP) Personal Consumption Expenditures 1.3% 1.9% 2.5% Gross Private Domestic Investment 0.6% 1.5% 0.2% Net Exports and Imports -0.6% -0.9% -0.4% Federal Government Expenditures 0.0% 0.3% 0.6% State and Local (Consumption and Gross 0.3% 0.3% 0.3% Investment) Total 1.6% 3.0% 3.1% Source: US Department of Commerce CHANDLER ASSET MANAGEMENT Gross Domestic Product (GDP) 1Z/Z4 M. 30.0% 2.7% 20.0% ° -1. ° 10.0% 0.3 0.0 % ' - -10.0% 0.3% -20.0% GDP QOQ % Change 0.3% -30.0% GDP YOY %Change -40.0% 2.4% O ✓ O ✓ O ✓ O ✓ O ✓ O l9 �O -3O Source: US Department of Commerce According to the third estimate, fourth quarter GDP increased at an annualized rate of 2.4 percent, revised up 0.1 percentage point from the second estimate. Growth continues to be powered by consumer spending and government spending, partly offset by a decrease in investment. Imports also decreased. Real GDP increased 2.8 percent in 2024. The consensus projection calls for 1.2% growth for the first quarter and 2.0% for the full year 2025. Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 FEDERAL RESERVE ORCHANDLER ASSET MANAGEMENT 10,000,000 9,000,000 8,000,000 7,000,000 c 6,000,000 = 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 Federal Reserve Balance Sheet Assets ■ Recession 2l01- �0/1 2ldr, 2ldi_ �df; �df; �01- �dr �dr �dr; 270 r OS 0) 00 .l1 .1�, 'lS .jj 19 �? 2& �S Source: Federal Reserve 6.00% 5.00% 4.00% 0 :2 3.00% a r "1i11Y 1.00% 0.00% Effective Federal Funds Rate /1�1d �d �d �d��d �d �d �d �d �d �d �'O �'0 �'0 '1 1 �'1 �'1 �'1 �'� r'S S > 9 1 S � 9 1 S Source: Bloomberg As broadly anticipated, the Federal Open Market Committee (FOMC) left the Federal Funds Rate unchanged at the range of 4.25 - 4.50% at the March meeting. Fed Chair Powell emphasized increased uncertainty around the economic outlook and the need for "greater clarity" before making changes to interest rate policy. He also acknowledged possible transitory inflationary impacts from tariffs. The summary of economic projections (SEP) indicated lower GDP growth, higher inflation, and higher unemployment estimates than December projections, along with roughly two 25-basis point rate cuts this year. The FOMC also announced a slowdown in the pace of balance sheet reduction. The monthly redemption cap on Treasuries will be reduced from $25 billion to $5 billion, while the cap on agencies and mortgage -backed securities will be maintained at $35 billion. Since the Fed began its Quantitative Tightening campaign in June 2022, securities holdings have declined by approximately $2.2 trillion to approximately $6.8 trillion. 12 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 BOND YIELDS ORCHANDLER ASSET MANAGEMENT 6.0% 5.0% 4.0% 2.0% 1.0% US Treasury Note Yields -Year 0.0% 117ar sob �dr sob �dr SPb �dr SPb �dr sob �dr 1)0 �0 �1 �1 �� �� �.3' �,�' Est �Q ")S Source: Bloomberg 6.0 % 5.0 % 4.0% 2.0 % 1.0% 0.0% US Treasury Yield Curve ,' 6 S � -7 �0 �0 y� yr yr 6yr Source: Bloomberg Mar-25 - - - Dec-24 •••• Mar-24 At the end of March, the 2-year Treasury yield was 74 basis points lower, and the 10-Year Treasury yield was 6 basis points higher, year - over -year. The spread between the 2-year and 10-year Treasury yield points on the curve widened to +32 basis points at March month - end versus +22 basis points at February month -end. The recent yield curve inversion which began in July 2022 was historically long. The average historical spread (since 2005) is about +99 basis points. The spread between the 3-month and 10-year Treasury yield points on the curve was -9 basis points in March, unchanged from February. 13 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 CHANDLER it% ASSET MANAGEMENT 14 Docusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 OBJECTIVES Investment Objectives 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. CHANDLER ASSET MANAGEMENT 15 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80BO-BFC4B657B312 STATEMENT OF COMPLIANCE ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 Rules Name Limit Actual Compliance Notes Status AGENCY MORTGAGE SECURITIES (CMOS) Max % (MV) 20.0 2.6 Compliant Max % Issuer (MV) 10.0 2.6 Compliant Max Maturity (Years) 5.0 4.1 Compliant Min Rating (AA- by 1) BANKERS' ACCEPTANCES Max % (MV) 0.0 0.0 Compliant 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 0.0 Compliant Max % Issuer (Corporate & Commercial Paper; MV) 10.0 1.0 Compliant Max % Issuer (MV) 5.0 0.0 Compliant Max Maturity (Days) 270 0.0 Compliant Min Rating (A-1 by 1 or A- by 1) 0.0 0.0 Compliant CORPORATE MEDIUM TERM NOTES Max % (MV) 30.0 19.4 Compliant 16 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80BO-BFC4B657B312 STATEMENT OF COMPLIANCE 011CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 Max % Issuer (Corporate & Commercial Paper; MV) 10.0 1.0 Compliant Max % Issuer (MV) 5.0 1.0 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 7.9 Compliant Max % Issuer (MV) 50.0 3.7 Compliant Max Maturity (Years) 5 4 Compliant JPA INVESTMENT POOLS Max % (MV) 100.0 41.2 Compliant Max % Issuer (MV) 50.0 41.0 Compliant Max Maturity (Years) 5.0 0.0 Compliant LOCAL AGENCY INVESTMENT FUND (LAIF) Max Concentration (MV) 75.0 7.1 Compliant MONEY MARKET MUTUAL FUNDS Max % (MV) 20.0 0.4 Compliant Max % Issuer (MV) 10.0 0.4 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: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 STATEMENT OF COMPLIANCE ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 Min Rating (A- by 1) 0.0 0.0 Compliant NEGOTIABLE CERTIFICATES OF DEPOSIT (NCD) Max % (MV) 30.0 0.6 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 21.2 Compliant Max % Issuer (MV) 100.0 21.3 Compliant Max Maturity (Years) 5 4 Compliant 18 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80B0-BFC4B657B312 PORTFOLIO SUMMARY ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account Account #10795 As of March 31, 2025 Portfolio Characteristics Account Summary Top Issuers Average Modified Duration 1.08 End Values as of End Values as ofCalifornia Asset Mgmt Program 41.16% Government of The United States 21.24% Average Coupon 3.63% Market Value 206,819,067.64 199,076,938.75 Farm Credit System 3.72% Average Purchase YTM 4.02% Accrued Interest 820,136.96 743,371.72 LAIF 3.57% Average Market YTM 4.20% Total Market Value 207,639,204.61 199,820,310.47 Federal Home Loan Banks 3.19% Citizens Business Bank 3.12% Average Credit Quality * AA+ Income Earned 684,245.75 921,116.33 Cont/WD 1,827,968.73 (9,123,403.39) FHLMC 2.58% Average Final Maturity 1.20 JPMorgan Chase & Co. 1.00% Par 207,984,597.24 199,901,140.00 Average Life 1.11 Book Value 207,170,482.09 199,100,936.79 Cost Value 206,848,509.50 198,811,581.65 Sector Allocation LGIP US Treasury 21.24% Corporate 19.40% Agency 7.90% LAIF 3.57% Cash 3.17% Agency CMBS 2.58% Neg CD 0.50% 41.16% Maturity Distribution 100% 50% a� � •S d� ? d s J, s Credit Quality AAA 43.6% 0 AA 33.5% 0 A 14.3% Performance Review Total Rate of Return" IM 3M YTD 1YR 2YRS 3YRS SYRS 10YRS Since Inception City of Tustin Cons Agg 0.42% 1.46% 1.46% 5.08% 4.62% 3.31% -- 1.62% Benchmark Return 0.52% 2.00% 2.00% 5.50% 3.96% 2.49% -- -- 0.73% Secondary Benchmark Return 0.47% 1.59% 1.59% 5.43% 4.19% 2.84% -- 1.29% 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 19 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 MATURITY DISTRIBUTION City of Tustin Cons Account I Account #10795 1 As of January 31, 2025 140,000,000 120,000,000 11.7,4.5.0,531.93 100,000,000 a) 80,000,000 as 60,000,000 75 40,000,000 20,000,000 0-.25 6,967,189.32 25-.5 4,854,500.04 5-1 10,445,627.01 1-2 6,906,492, 2-3 3-4 CHANDLER ASSET MANAGEMENT 23,965,708.43 4-5 20 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80BO-BFC4B657B312 PORTFOLIO SUMMARY ,,,CHANDLER ASSET MANAGEMENT City of Tustin I Account #10783 As of March 31, 2025 Portfolio Characteristics Account Summary Top Issuers Average Modified Duration 2.38 End Values as of End Values as ofGovernment of The United States 31.63% Farm Credit System 8.27% Average Coupon 3.27% Market Value 85,860,890.77 89,535,515.69 Federal Home Loan Banks 7.09% Average Purchase YTM 3.50% Accrued Interest 719,711.90 648,421.99 FHLMC 5.73% Average Market YTM 4.23% Total Market Value 86,580,602.67 90,183,937.68 JPMorgan Chase & Co. 2.23% Average Credit Quality * AA Income Earned 238,432.98 277,232.27 FNMA 2.22% Cont/WD 5,500,000.00 3,000,000.00 o U.S. Bancorp 1.56% Average Final Maturity 2.65 Toyota Motor Corporation 1.15% Par 86,962,245.70 90,322,983.58 Average Life 2.44 Book Value 86,218,658.43 89,562,609.28 Cost Value 86,167,352.56 89,479,139.82 Sector Allocation Corporate 43.14% US Treasury 31.53% Agency 17.57% AgencyCMBS 5.73% Neg CI] ' 1.33% Money Mkt I'd I 0.59% Cash 0.00% Maturity Distribution 50% 25% Credit Quality AAA 1.7% 0 AA 62.2% 0 A 32.3% Performance Review Total Rate of Return" IM 3M YTD 1YR 2YRS 3YRS SYRS 10YRS Since Inception City of Tustin 0.50% 2.05% 2.05% 5.52% 4.82% 3.19% -- 1.54% Benchmark Return 0.52% 2.00% 2.00% 5.50% 3.96% 2.49% -- -- 0.73% Secondary Benchmark Return 0.47% 1.59% 1.59% 5.43% 4.19% 2.84% -- 1.29% 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 21 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 it%CHANDLER OR CHANDLER ASSET MANAGEMENT ASSET MANAGEMENT 22 Docusign Envelope ID: 3EFE5DEg-C71E-480B-80B0-BFC4B657B312 ISSUERS City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 California Asset Mgmt Program Government of The United States C ,,,CHANDLER ASSET MANAGEMENT �nvestment Type % Portfolio LGI P 41.16% US Treasury 21.24% Farm Credit System Agency 3.72% LAI F LAI F 3.57 % Federal Home Loan Banks Agency 3.19% Citizens Business Bank Cash 3.12% FHLMC Agency CMBS 2.58% JPMorgan Chase & Co. Corporate 1.00% FNMA Agency 1.00% U.S. Bancorp Corporate 0.70% Toyota Motor Corporation Corporate 0.52% Cisco Systems, Inc. Corporate 0.51% BlackRock, Inc. Corporate 0.51% Deere & Company Corporate 0.51% Bank of America Corporation Corporate 0.51% National Rural Utilities Cooperative Corporate 0.51% PepsiCo, Inc. Corporate 0.51% Met Tower Global Funding Corporate 0.51% AbbVie Inc. Corporate 0.51% Wells Fargo & Company Corporate 0.51% State Street Corporation Corporate 0.51% Florida Power & Light Corporate 0.50% PACCAR Inc Corporate 0.50% The Home Depot, Inc. Corporate 0.50% Target Corporation Corporate 0.50% QUALCOMM Incorporated Corporate 0.50% BNY Mellon Corp Corporate 0.50% Bank of Montreal Corporate 0.50% Duke Energy Corporation Corporate 0.50% Northern Trust Corporation Corporate 0.50% 23 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80BO-BFC4B657B312 ISSUERS City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 Eli Lilly and Company Pfizer Inc. Chubb Limited C ,,,CHANDLER ASSET MANAGEMENT PortfolioInvestment Type % Corporate 0.50% Corporate 0.50% Corporate 0.50% Morgan Stanley Corporate 0.50% Guardian Life Global Funding Corporate 0.49% The Toronto -Dominion Bank Corporate 0.49% Caterpillar Inc. Corporate 0.49% Amazon.com, Inc. Corporate 0.49% UnitedHealth Group Incorporated Corporate 0.49% The Charles Schwab Corporation Corporate 0.48% Royal Bank of Canada Corporate 0.48% Honeywell International Inc. Corporate 0.47% Apple Inc. Corporate 0.46% Walmart Inc. Corporate 0.43% First American Govt Oblig fund Money Mkt Fd 0.38% Northwestern Mutual Global Funding Corporate 0.35% Public Service Enterprise Group Inco Corporate 0.30% Colgate-Palmolive Company Corporate 0.17% Capital One Financial Corporation Neg CD 0.12% Ally Bank Neg CD 0.12% Synchrony Bank Neg CD 0.12% Discover Bank The Goldman Sachs Group, Inc. Cash Neg CD Neg CD Cash 0.12% 0.12% 0.04% TOTAL 100.00% 24 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80B0-BFC4B657B312 HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 CHANDLER ASSET MANAGEMENT AGENCY FEDERAL NATIONAL MORTGAGE 04/12/2021 1,982,980.00 99.18 1,983,614.28 1.00% AAA/AA 0.21 3135G04Z3 ASSOCIATION 0.5 06/17/2025 2,000,000.00 0.71% 1,999,141.19 4.41% 2,888.89 (15,526.91) AA 0.21 FEDERAL HOME LOAN BANKS 11/30/2023 1,503,345.00 100.98 11514,715.32 0.76% AAA/AA 1.63 3130AXU63 4.62511/17/2026 1,500,000.00 4.54% 1,501,839.44 3.99% 25,822.92 12,875.87 AA 1.53 FEDERAL FARM CREDIT BANKS 12/08/2023 1,001,820.00 101.28 11012,840.82 0.51% AAA/AA 2.51 3133EPH81 FUNDING CORP 4.5 10/04/2027 1,000,000.00 4.45% 1,001,196.78 3.96% 22,125.00 11,644.04 AA 2.30 FEDERAL HOME LOAN BANKS 07/26/2023 1,255,762.50 101.34 1,266,702.09 0.64% AAA/AA 3.19 3130AWMN7 4.375 06/09/2028 1,250,000.00 4.27% 1,253,782.15 3.92% 17,013.89 12,919.94 AA 2.92 FEDERAL FARM CREDIT BANKS 08/29/2023 1,507,785.00 101.61 11524,173.46 0.77% AAA/AA 3.41 3133EPUN3 FUNDING CORP 4.5 08/28/2028 1,500,000.00 4.37% 1,505,313.77 3.99% 6,187.50 18,859.69 AA 3.13 FEDERAL HOME LOAN BANKS 4.75 12/08/2023 1,222,020.00 102.75 11233,058.46 0.62% AAA/AA 3.69 3130AXQK7 12/08/2028 1,200,000.00 4.33% 1,216,261.48 3.94% 17,891.67 16,796.98 AA 3.32 FEDERAL FARM CREDIT BANKS 01/29/2024 1,488,945.00 99.50 1,492,442.55 0.75% AAA/AA 3.80 3133EPW84 FUNDING CORP 3.875 01/18/2029 1,500,000.00 4.04% 1,491,541.16 4.02% 11,786.46 901.39 AA 3.47 FEDERAL HOME LOAN BANKS 4.5 04/25/2024 1,384,040.00 101.94 1,427,172.85 0.72% AAA/AA 3.94 3130AVBD3 03/09/2029 1,400,000.00 4.76% 1,387,091.97 3.96% 3,850.00 40,080.88 AA 3.58 FEDERAL FARM CREDIT BANKS 04/25/2024 1,376,046.00 101.55 1,421,703.77 0.71% AAA/AA 4.03 3133ERAK7 FUNDING CORP 4.375 04/10/2029 1,400,000.00 4.77% 1,380,502.56 3.95% 29,093.75 41,201.21 AA 3.59 FEDERAL FARM CREDIT BANKS 09/17/2024 2,002,440.00 97.77 1,955,456.14 0.98% AAA/AA 4.45 3133ERSP7 FUNDING CORP 3.5 09/10/2029 2,000,000.00 3.47% 2,002,178.28 4.05% 4,083.33 (46,722.14) AA 4.06 FEDERAL HOME LOAN BANKS 09/30/2024 921,906.00 100.43 903,830.75 0.45% AAA/AA 4.46 3130ATHX8 4.125 09/14/2029 900,000.00 3.58% 919,702.08 4.02% 1,753.13 (15,871.33) AA 4.03 15,647,089.51 100.57 15,735,710.49 7.90% 3.11 Total Agency 15,650,000.00 3.80% 15,658,550.87 4.04% 142,496.53 77,159.61 2.83 AGENCY CMBS 3137F1G44 FHMS K-065 A2 3.243 04/25/2027 750,000.00 06/08/2023 719,560.55 98.05 735,396.00 0.37% AAA/AA 2.07 4.39% 733,990.78 4.19% 2,026.88 1,405.22 AAA 1.88 3137FEZU7 FHMS K-076 A2 3.9 04/25/2028 750,000.00 10/30/2023 708,310.55 98.94 742,030.80 0.37% AAA/AA 3.07 5.32% 721,655.31 4.22% 2,437.50 20,375.49 AAA 2.76 3137FJKE8 FHMS K-082 A2 3.92 09/25/2028 750,000.00 10/30/2023 705,556.64 98.85 741,341.93 0.37% AAA/AA 3.49 5.31% 718,549.71 4.24% 2,450.00 22,792.21 AAA 3.13 25 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80BO-BFC4B657B312 HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 3137FKZZ2 3137FLN91 CHANDLER ASSET MANAGEMENT FHMS K-088 A2 3.69 01/25/2029 1,000,000.00 07/22/2024 963,789.06 97.95 979,481.20 0.49% AAA/AA 3.82 4.58% 969,373.72 4.25% 3,075.00 10,107.48 AA 3.42 FHMS K-091 A2 3.505 03/25/2029 1,000,000.00 03/05/2025 970,234.38 97.23 972,262.70 0.49% AAA/AAA 3.98 4.31% 970,685.37 4.26% 2,920.83 1,577.33 AA 3.55 3137FLYVO FHMS K-092 A2 3.298 04/25/2029 1,000,000.00 09/17/2024 981,484.38 96.39 963,876.40 0.48% AAA/AA 4.07 3.72% 983,644.91 4.26% 2,748.33 (19,768.51) AAA 3.67 5,048,935.56 97.81 5,134,389.03 2.58% 3.49 Total Agency CMBS 5,250,000.00 4.55% 5,097,899.81 4.24% 15,658.54 36,489.22 3.13 CASH CBGMMF$04 Citizens Business Bank CBGMMF$03 Citizens Business Bank CCYUSD Receivable CCYUSD Receivable CCYUSD Receivable 457,974.46 01/31/2025 457,974.46 1.00 457,974.46 457,974.46 0.00% 0.00 5,762,870.80 03/31/2025 5,762,870.80 1.00 5,762,870.80 5,762,870.80 0.00% 0.00 859.73 0.00% 2,421.25 0.00% 78,675.74 0.00% 859.73 1.00 859.73 0.00% 2,421.25 1.00 2,421.25 0.00% 859.73 0.00 2,421.25 0.00 0.23% NA/NA 0.00 0.00 NA 0.00 2.89% NA/NA 0.00 0.00 NA 0.00 0.00% AAA/AAA 0.00 0.00 AAA 0.00 0.00% AAA/AAA 0.00 0.00 AAA 0.00 78,675.74 1.00 78,675.74 0.04% AAA/AAA 0.00 78,675.74 0.00% 0.00 0.00 AAA 0.00 6,302,801.98 1.00 6,302,801.98 Total Cash 6,302,801.98 0.00% 6,302,801.98 0.00% 0.00 CORPORATE 69371RR73 PACCAR FINANCIAL CORP 2.85 04/07/2025 437076CM2 87612EBL9 06406RAN7 3.17% 0.00 0.00 0.00 1,000,000.00 03/31/2022 999,740.00 99.97 999,716.27 0.50% A/A 2.86% 999,998.58 4.49% 13,775.00 (282.31) NA HOME DEPOT INC 2.7 04/15/2025 1,000,000.00 03/28/2022 995,620.00 99.92 999,244.41 0.50% A/A 2.85% 999,944.86 4.59% 12,450.00 (700.45) A TARGET CORP 2.25 04/15/2025 1,000,000.00 02/04/2022 1,010,340.00 99.90 998,982.61 0.50% A/A 1.90% 1,000,000.00 4.82% 10,375.00 (1,017.39) A BANK OF NEW YORK MELLON 1,000,000.00 02/04/2022 989,120.00 99.81 998,111.09 0.50% AA/A CORP 1.6 04/24/2025 1.95% 999,786.30 4.53% 6,977.78 (1,675.21) AA 0.02 0.02 0.04 0.04 0.04 0.04 0.07 0.06 26 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80B0-BFC4B657B312 HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 CHANDLER ASSET MANAGEMENT BANK OF MONTREAL 1.85 08/17/2021 1,034,530.00 99.77 997,701.13 0.50% A/A 0.08 06367W685 05/01/2025 1,000,000.00 0.91% 1,000,766.77 4.58% 7,708.33 (3,065.64) AA 0.08 91159HHZ6 US BANCORP 1.45 05/12/2025 1,400,000.00 12/23/2021 1,406,818.00 99.62 1,394,707.02 0.70% A/A 0.11 1.30% 1,400,057.45 4.76% 7,838.06 (5,350.43) A 0.11 747525AFO QUALCOMM INC 3.45 05/20/2025 1,000,000.00 03/23/2022 1,018,960.00 99.86 998,571.18 0.50% A/A 0.14 2.76% 1,000,000.00 4.45% 12,554.17 (1,428.82) NA 0.14 717081EX7 PFIZER INC 0.8 05/28/2025 1,000,000.00 03/23/2022 945,010.00 99.41 994,149.18 0.50% A/A 0.16 2.59% 997,297.91 4.51% 2,733.33 (3,148.73) NA 0.16 NORTHWESTERN MUTUAL 06/30/2022 703,738.00 99.86 699,034.04 0.35% AAA/AA 0.25 66815L2J7 GLOBAL FUNDING 4.0 07/01/2025 000.00 700,3.81% 700,311.50 4.51% 7,000.00 (1,277.47) AAA 0.25 COLGATE-PALMOLIVE CO 3.1 08/01/2022 344,682.60 99.48 343,189.47 0.17% AA/A 0.38 194162AM5 08/15/2025 345,000.00 3.13% 344,960.83 4.52% 1,366.58 (1,771.36) NA 0.37 DUKE ENERGY PROGRESS LLC3.25 04/25/2022 1,000,280.00 99.57 995,732.58 0.50% AA/A 0.38 26442UAA2 08/15/2025 1,000,000.00 3.24% 1,000,011.30 4.40% 4,152.78 (4,278.72) NA 0.37 TORONTO-DOMINION BANK 0.75 08/17/2021 993,000.00 98.35 983,524.99 0.49% A/A 0.45 89114QCK2 09/11/2025 1,000,000.00 0.92% 999,231.13 4.53% 416.67 (15,706.14) AA 0.44 CATERPILLAR FINANCIAL SERVICES 04/21/2021 991,780.00 97.94 979,359.42 0.49% A/A 0.62 14913R2H9 CORP 0.8 11/13/2025 1,000,000.00 0.98% 998,884.25 4.22% 3,066.67 (19,524.83) A 0.60 JPMORGAN CHASE & CO 2.083 2,072,110.00 99.84 1,996,734.28 1.00% A/A 1.06 46647PBK1 04/22/2026 2,000,000.00 0.97% 2,001,260.04 6.16% 18,399.83 (4,525.76) AA 0.06 CHUBB INA HOLDINGS LLC 3.35 07/23/2021 1,102,780.00 98.92 989,216.68 0.50% A/A 1.09 00440EAV9 05/03/2026 1,000,000.00 0.98% 11019,616.16 4.37% 13,772.22 (30,399.48) A 1.04 AMAZON.COM INC 1.0 05/12/2021 995,200.00 96.66 966,578.00 0.49% A/AA 1.11 0231356X3 05/12/2026 1,000,000.00 1.10% 998,931.58 4.10% 3,861.11 (32,353.58) AA 1.08 CHARLES SCHWAB CORP 1.15 07/23/2021 1,007,990.00 96.55 965,467.95 0.48% A/A 1.12 808513BR5 05/13/2026 1,000,000.00 0.98% 1,001,763.37 4.35% 4,408.33 (36,295.42) A 1.08 UNITEDHEALTH GROUP INC 1.15 07/28/2021 1,007,110.00 96.56 965,640.14 0.49% A/A 1.12 91324PEC2 05/15/2026 1,000,000.00 1.00% 11001,578.32 4.32% 4,344.44 (35,938.18) A 1.09 ROYAL BANK OF CANADA 1.15 07/28/2021 999,090.00 96.15 961,532.35 0.48% A/A 1.29 78016EZT7 07/14/2026 1,000,000.00 1.17% 999,764.21 4.25% 2,459.72 (38,231.86) AA 1.25 931142ERO WALMART INC 1.05 09/17/2026 900,000.00 09/22/2021 902,277.00 95.76 861,879.67 0.43% AA/AA 1.47 1.00% 900,644.39 4.06% 367.50 (38,764.72) AA 1.42 MORGAN STANLEY 3.625 01/14/2025 979,620.00 98.89 988,932.42 0.50% A/A 1.81 617466EF9 01/20/2027 1,000,000.00 4.70% 981,727.32 4.27% 7,149.31 7,205.10 A 1.71 27 Docusign Envelope ID: 3EFE5DE9-C71E-48OB-80BO-BFC4B657B312 HOLDINGS REPORT ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 NORTHERN TRUST CORP 4.0 01/30/2023 986,540.00 99.55 995,461.89 0.50% A/A 2.11 665859AW4 05/10/2027 1,000,000.00 4.35% 993,360.65 4.23% 15,666.67 2,101.24 A 1.97 JOHN DEERE CAPITAL CORP 4.65 01/10/2025 997,270.00 101.24 1,012,404.30 0.51% A/A 2.77 24422EXZ7 01/07/2028 1,000,000.00 4.75% 997,465.54 4.17% 10,591.67 14,938.76 A 2.55 METTOWER GLOBAL FUNDING 01/10/2025 996,910.00 100.92 1,009,195.65 0.51% AA/AA 2.79 58989V2K9 4.8 01/14/2028 1,000,000.00 4.91% 997,127.29 4.44% 10,266.67 12,068.36 AA 2.56 WELLS FARGO & CO 4.9 01/30/2025 1,000,770.00 100.56 1,005,638.44 0.51% A/BBB 2.82 95000U3R2 01/24/2028 1,000,000.00 4.86% 1,000,706.10 4.77% 9,119.44 4,932.34 A 1.70 NATIONAL RURAL UTILITIES 02/07/2025 999,330.00 100.99 1,009,900.04 0.51% A/NA 2.86 63743HFW7 COOPERATIVE FINANCE CORP 4.75 1,000,000.00 4.77% 999,360.68 4.37% 7,125.00 10,539.36 A 2.55 02/07/2028 00287YDY2 ABBVIE INC 4.65 03/15/2028 1,000,000.00 03/05/2025 1,006,680.00 100.81 1,008,109.61 0.51% A/A 2.96 4.40% 1,006,518.59 4.35% 4,520.83 1,591.02 NA 2.65 PUBLIC SERVICE ELECTRICAND 06/29/2023 570,144.00 98.11 588,680.82 0.30% A/A 3.08 74456QBU9 GAS CO 3.7 05/01/2028 600,000.00 4 87% 580,974.61 4.36/0 9,250.00 7,706.21 NA 2.83 FLORIDA POWER & LIGHT CO 4.4 06/07/2023 987,550.00 100.11 1,001,134.10 0.50% AA/A 3.12 341081GN1 05/15/2028 1,000,000.00 4.69% 992,123.75 4.36% 16,622.22 9,010.35 AA 2.70 TOYOTA MOTOR CREDIT CORP 09/26/2023 996,180.00 102.63 1,026,277.47 0.52% A/A 3.45 89236TLB9 5.25 09/11/2028 1,000,000.00 5.34% 997,342.88 4.42% 2,916.67 28,934.59 A 3.12 BANK OF AMERICA CORP 4.979 02/14/2025 1,003,780.00 101.01 1,010,136.35 0.51% A/A 3.82 06051GMK2 01/24/2029 1,000,000.00 4.84% 1,003,631.63 4.74% 9,266.47 6,504.72 AA 2.58 CISCO SYSTEMS INC 4.85 09/27/2024 1,037,530.00 101.78 1,017,844.91 0.51% A/AA 3.91 17275RBR2 02/26/2029 1,000,000.00 3.90% 1,033,180.42 4.35% 4,715.28 (15,335.51) NA 3.44 09290DAA9 BLACKROCK INC 4.7 03/14/2029 1,000,000.00 07/22/2024 1,002,010.00 101.53 1,015,283.09 0.51% AA/AA 3.95 4.65% 1,001,706.15 4.28% 2,219.44 13,576.94 NA 3.50 713448FX1 PEPSICO INC 4.5 07/17/2029 1,000,000.00 07/22/2024 997,560.00 100.94 1,009,382.14 0.51% A/A 4.30 4.56% 997,897.85 4.26% 9,250.00 11,484.29 NA 3.77 532457CQ9 ELI LILLY AND CO 4.2 08/14/2029 1,000,000.00 08/15/2024 1,000,130.00 99.42 994,171.45 0.50% AA/A 4.37 4.20% 1,000,113.47 4.35% 5,483.33 (5,942.02) NA 3.93 HONEYWELL INTERNATIONAL INC 08/15/2024 930,020.00 93.23 932,287.08 0.47% A/A 4.38 438516BU9 2.7 08/15/2029 1,000,000.00 4.27% 938,762.71 4.42% 3,450.00 (6,475.63) A 4.04 037833DP2 APPLE INC 2.2 09/11/2029 1,000,000.00 10/30/2024 908,490.00 91.90 918,972.76 0.46% AAA/AA 4.45 4.31% 916,321.94 4.22% 1,222.22 2,650.82 NA 4.16 28 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 HOLDINGS REPORT ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 iase ')ate Units Purchase Book Value Mkt Accrued Int. Gain/Loss Fitch Duration GUARDIAN LIFE GLOBAL FUNDING 03/05/2025 985,840.00 98.46 984,554.35 0.49% AA/AA 4.49 40139L6J1 4.179 09/26/2029 1,000,000.00 4.53% 986,061.12 4.56% 580.42 (1,506.77) NA 4.04 STATE STREET CORP 4.729 03/05/2025 1,003,660.00 100.54 1,005,381.05 0.51% NA/A 4.91 857477CW1 02/28/2030 1,000,000.00 4.62% 1,003,606.81 4.60% 4,334.92 1,774.24 AA 4.26 38,910,189.60 99.22 38,622,820.38 19.40% 1.97 Total Corporate 38,945,000.00 3.10% 38,792,798.43 4.51% 271,778.08 (169,978.05) 1.70 LAW Local Agency Investment Fund -- 7,112,296.55 90LAIF$00 7,112,296.55 1.00 7,112,296.55 3.57% NA/NA 0.00 State Pool 4.31% 7,112,296.55 4.31% 0.00 0.00 NA 0.00 7,112,296.55 1.00 7,112,296.55 3.57% 0.00 Total LAW 7,112,296.55 4.31% 7,112,296.55 4.31% 0.00 0.00 0.00 LOCAL GOV INVESTMENT POOL 90CAMP$00 CAMP Total Local Gov Investment Pool MONEY MARKET FUND 31846V203 FIRST AMER:GVT OBLG Y 31846V203 FIRST AMER:GVT OBLG Y Total Money Market Fund NEGOTIABLE CD 14042TJB4 Capital One, National Association 3.45 08/04/2025 81,941,911.74 81,941,911.74 -- 81,941,911.73 1.00 81,941,911.74 41.16% NA/AAA 0.00 4.47% 81,941,911.73 4.47% 0.00 0.01 AAA 0.00 81,941,911.73 1.00 81,941,911.74 4.47% 81,941,911.73 4.47% 0.00 41.16% 0.00 0.01 0.00 -- 223,567.40 1.00 223,567.40 0.11% AAA/AAA 0.00 223,567.40 3.97% 223,567.40 3.97% 0.00 0.00 AAA 0.00 -- 530,562.33 1.00 530,562.33 0.27% AAA/AAA 0.00 530,562.33 3.97% 530,562.33 3.97% 0.00 0.00 AAA 0.00 754,129.73 1.00 754,129.73 0.38% 0.00 754,129.73 3.97% 754,129.73 3.97% 0.00 0.00 0.00 240,000.00 08/01/2022 3.50% 239,640.00 99.71 239,311.97 0.12% A/BBB 0.34 239,958.98 4.28% 1,293.04 (647.01) A 0.34 29 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80B0-BFC4B657B312 HOLDINGS REPORT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 02007GXF5 87165EXE2 254673P26 38149MYS6 Total Negotiable CD US TREASURY 912797KS5 91282CEQ0 9128284R8 91282CEU1 91282CEY3 Ally Bank 3.4 08/04/2025 Synchrony Bank 3.4 08/05/2025 Discover Bank 3.408/08/2025 08/02/2022 239,280.00 99.69 240,000.00 3.50% 239,917.88 4.30% 08/01/2022 239,640.00 99.69 240,000.00 3.45% 239,958.61 4.30% 08/01/2022 239,280.00 99.68 240,000.00 3.50% 239,915.26 4.30% CHANDLER ASSET MANAGEMENT 239,248.87 0.12% A/BBB 0.34 1,251.95 (669.01) NA 0.34 239,244.38 0.12% NA/BBB 0.35 1,246.67 (714.23) BBB 0.34 239,231.14 0.12% A/BB13 0.36 1,162.52 (684.12) A 0.35 Goldman Sachs Bank USA 1.05 000.00 08/17/2021 243,775.00 95.89 234,930.21 0.12% A/A 1.40 08/25/2026 245,1.15% 244,657.19 4.10% 246.68 (9,726.98) AA 1.37 UNITED STATES TREASURY 04/17/2025 UNITED STATES TREASURY 2.75 05/15/2025 UNITED STATES TREASURY 2.875 05/31/2025 UNITED STATES TREASURY 2.875 06/15/2025 UNITED STATES TREASURY 3.0 07/15/2025 1,201,615.00 98.94 1,191,966.57 0.60% 0.56 1,205,000.00 3.03% 1,204,407.92 4.26% 5,200.85 (12,441.35) 0.54 3,000,000.00 07/10/2024 2,886,629.17 99.81 2,994,321.33 1.50% A/AAA 0.05 5.07% 2,993,521.67 4.33% 0.00 799.66 AAA 0.04 05/30/2024 2,443,164.06 99.82 2,495,410.15 2,500,000.00 5.22% 2,492,834.44 4.22% 26,018.65 10/15/2024 2,972,343.75 99.75 2,992,421.88 3,000,000.00 4.39% 2,992,689.98 4.38% 28,907.97 1.25% AAA/AA 0.12 2,575.71 AA 0.12 1.50% AAA/AA 0.17 (268.10) AA 0.16 11/05/2024 2,478,515.63 99.70 2,492,441.40 1.25% AAA/AA 0.21 2,500,000.00 4.32% 2,492,708.92 4.32% 21,128.09 (267.52) AA 0.20 11/15/2024 2,973,632.81 99.62 2,988,671.88 1.50% AAA/AA 0.29 3,000,000.00 4.36% 2,988,416.09 4.29% 18,895.03 255.79 AA 0.29 U N ITE D STATES TR EAS U RY 0.375 04/27/2021 1,957,500.00 96.96 1,939,156.24 0.97% AAA/AA 0.84 91282CBH3 01/31/2026 2,000,000.00 0.83% 1,992,546.00 4.12% 1,243.09 (53,389.76) AA 0.82 91282CBT7 U N ITE D STATES TR EAS U RY 0.75 2,000,000.00 04/27/2021 1,989,531.25 96.80 1,935,984.38 0.97% AAA/AA 1.00 03/31/2026 0.86% 1,997,880.63 4.06% 40.98 (61,896.25) AA 0.98 U N ITE D STATES TR EAS U RY 4.12 5 -- 3,719,978.91 100.58 3,761,767.96 1.89% AAA/AA 2.50 91282CFM8 09/30/2027 3,740,000.00 4.27% 3,727,634.00 3.88% 421.52 34,133.96 AA 2.35 U N ITE D STATES TR EAS U RY 4.125 02/18/2025 2,487,792.97 100.57 2,514,355.48 1.26% AAA/AA 2.63 91282CLX7 11/15/2027 2,500,000.00 4.31% 2,488,282.23 3.89% 39,027.97 26,073.25 AA 2.43 UNITED STATES TREASURY 3.5 02/23/2023 1,458,281.25 98.95 1,484,296.88 0.75% AAA/AA 2.84 91282CGH8 01/31/2028 1,500,000.00 4.13% 1,475,985.04 3.89% 8,701.66 8,311.84 AA 2.66 30 Docusign Envelope ID: 3EFE5DE9-C71E-480B-80BO-BFC4B657B312 HOLDINGS REPORT ,,,CHANDLER ASSET MANAGEMENT City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 9128283W8 UNITED STATES TREASURY2.75 02/15/2028 91282CHA2 UNITED STATES TREASURY 3.5 04/30/2028 9128285M8 UNITED STATES TREASURY 3.125 11/15/2028 11/08/2024 1,338,039.06 96.94 1,357,125.00 1,400,000.00 4.22% 1,345,328.58 3.88% 4,785.91 02/07/2025 975,898.44 98.85 988,476.56 1,000,000.00 4.31% 976,924.04 3.90% 14,696.13 0.68% AAA/AA 2.88 11,796.42 AA 2.72 0.50% AAA/AA 3.08 11,552.52 AA 2.85 1,500,000.00 02/29/2024 1,425,351.56 97.36 1,460,390.63 0.73% AAA/AA 3.63 4.30% 1,442,538.06 3.91% 17,739.99 17,852.56 AA 3.34 9128286T2 91282CEV9 91282CFCO UNITED STATES TREASURY 2.375 05/15/2029 UNITED STATES TREASURY 3.25 06/30/2029 UNITED STATES TREASURY 2.625 07/31/2029 1,350,000.00 1,500,000.00 1,500,000.00 05/16/2024 4.41% 08/15/2024 3.82% 08/15/2024 3.81% 1,228,130.86 1,249,444.60 1,462,089.84 1,466,948.48 1,420,078.13 1,430,145.64 94.15 3.93% 97.34 3.93% 94.83 3.93% 1,271,003.91 12,134.15 1,460,157.00 12,254.83 1,422,421.88 6,526.24 0.64% 21,559.32 0.73% (6,791.48) 0.71% (7,723.76) AAA/AA AA AAA/AA AA AAA/AA AA 4.12 3.83 4.25 3.89 4.33 4.02 UNITED STATES TREASURY 3.125 09/11/2024 2,455,664.06 96.74 2,418,457.03 1.21% AAA/AA 4.42 91282CFJ5 08/31/2029 2,500,000.00 3.52% 2,460,576.70 3.94% 6,793.48 (42,119.67) AA 4.06 UNITED STATES TREASURY4.0 12/16/2024 2,717,666.02 100.22 2,756,123.04 1.38% AAA/AA 4.59 91282CFT3 10/31/2029 2,750,000.00 4.33% 21719,574.43 3.95% 46,187.85 36,548.61 AA 4.08 UNITED STATES TREASURY4.125 12/04/2024 1,503,339.84 100.77 1,511,601.57 0.76% AAA/AA 4.67 91282CMA6 11/30/2029 1,500,000.00 4.08% 1,503,125.25 3.94% 20,738.32 8,476.32 AA 4.15 UNITED STATES TREASURY4.375 12/30/2024 1,998,984.38 101.82 2,036,328.12 1.02% AAA/AA 4.75 91282CMD0 12/31/2029 2,000,000.00 4.39% 11999,034.99 3.95% 21,995.86 37,293.13 AA 4.22 41,892,611.99 98.96 42,280,912.30 21.24% 2.27 Total US Treasury 42,740,000.00 4.02% 42,236,139.77 4.06% 308,237.72 44,772.53 2.09 198,811,581.65 51.81 199,076,938.75 100.00% 1.20 Total Portfolio 199,901,140.00 4.02% 199,100,936.79 4.20% 743,371.72 (23,998.04) 1.08 Total Market Value + Accrued 199,820,310.47 31 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 it%CHANDLER OR CHANDLER ASSET MANAGEMENT ASSET MANAGEMENT 32 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80BO-BFC4B657B312 TRANSACTION LEDGER City of Tustin Cons Account I Account #10795 1 02/28/2025 Through 03/31/2025 1 CHANDLER ASSET MANAGEMENT ACQUISITIONS Purchase 03/06/2025 40139LBJ1 1,000,000.00 GUARDIAN LIFE GLOBAL 98.584 4.53% (985,840.00) (18,573.33) (1,004,413.33) 0.00 FUNDING 4.179 09/26/2029 Purchase 03/06/2025 00287YDY2 1,000,000.00 ABBVIE INC 4.65 03/15/2028 100.668 4.40% (1,006,680.00) (1,291.67) (1,007,971.67) 0.00 Purchase 03/06/2025 857477CW1 1,000,000.00 STATE STREET CORP 4.729 100.366 4.62% (1,003,660.00) (1,050.89) (1,004,710.89) 0.00 02/28/2030 Purchase 03/10/2025 3137FLN91 1,000,000.00 FHMS K-091 A2 3.505 97.023 4.31% (970,234.38) (876.25) (971,110.63) 0.00 03/25/2029 Total Purchase 4,000,000.00 (3,966,414.38) (21,792.14) (3,988,206.52) 0.00 TOTAL ACQUISITIONS 4,000,000.00 (3,966,414.38) (21,792.14) (3,988,206.52) 0.00 DISPOSITIONS Maturity 03/03/2025 57636QAN4 (500,000.00) MASTERCARD INC 2.0 100.000 1.03% 500,000.00 0.00 500,000.00 0.00 03/03/2025 Maturity 03/04/2025 62479LQ40 (2,000,000.00) MUFG Bank, Ltd. -New York 100.000 5.24% 2,000,000.00 0.00 2,000,000.00 0.00 Branch 03/04/2025 Maturity 03/06/2025 89233GQ66 (1,000,000.00) Toyota Motor Credit 100.000 5.32% 1,000,000.00 0.00 1,000,000.00 0.00 Corporation 03/06/2025 Total Maturity (3,500,000.00) 3,500,000.00 0.00 3,500,000.00 0.00 Sale 02/28/2025 90LAIF$00 (2,771,000.00) Local Agency Investment 1.000 4.32% 2,771,000.00 0.00 2,771,000.00 0.00 Fund State Pool Sale 03/31/2025 90CAMP$00 (5,500,000.00) CAMP 1.000 4.47% 5,500,000.00 0.00 5,500,000.00 0.00 Total Sale (8,271,000.00) 8,271,000.00 0.00 8,271,000.00 0.00 TOTAL DISPOSITIONS (11,771,000.00) 11,771,000.00 0.00 11,771,000.00 0.00 33 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 IMPORTANT DISCLOSURES City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 2025 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. 34 Docusign Envelope ID: 3EFE5DE9-C71 E-48013-80130-13FC41365713312 BENCHMARK DISCLOSURES City of Tustin Cons Account I Account #10795 1 As of March 31, 2025 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. 35 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 CITY OF TUSTIN Monthly Investment Report March 31, 2025 Restricted Deposits with Fiscal Agents Ill Description / Limits [21 [31 [4] Face Amount Shares YTM@Cost Credit Rating Cost Value +Accrued Interest 151 Market Value 2016 Successor Agency Tax Allocation Bonds, Refunding 3,270.03 N/A 3,270.03 3,270.03 2016 Water Revenue Bonds, Refunding 1,260,918.64 N/A 1,260,918.64 1,260,918.64 2020 Water Revenue Bonds 639,945.06 N/A 639,945.06 639,945.06 2024 Water Revenue Bonds 2,869,490.36 N/A 2,869,490.36 2,869,490.36 CFD 04-1 914,593.87 N/A 914,593.87 914,593.87 CFD 06-1 5,462,956.52 N/A 5,462,956.52 5,462,956.52 CFD 07-1 1,578,732.73 N/A 1,578,732.73 1,578,732.73 CFD 14-1 3,200,745.53 N/A 3,200,745.53 3,200,745.53 15,930,652.74 15,930,652.74 15,930,652.74 Restricted Deposits with Fiscal Agents TOTAL 15,930,652.74 15,930,652.74 Docusign Envelope ID: 3EFE5DE9-C71 E-480B-80B0-BFC4B657B312 �� ■PUBLIC AGENCY RETIREMENT SERVICES CITY OFTUSTIN Account Report for the Period PARS Post -Employment Benefits Trust 3/ 1/20 25 to 3/ 31120 25 Aldo Schindler City Manager City of Tustin 300 Centennial Way Tustin, CA 92780 Account Summary Balance as of Balance as of Source 3/1/2025 Contributions Earnings Expenses Distributions Transfers 3/31/2025 OPEB $4,583,499.39 $0.00-$101,263.35 $1,709.14 $0.00 $0.00 $4,480,526.90 PENSION $15,057,230.32 $0.00-$332,615.95 $5,614.64 $0.00 $0.00 $14,718,999.73 Totals $19,640,729.71 $0.00-$433,879.30 $7,323.78 $0.00 $0.00 $19,199,526.63 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 3-Years 5-Years 10-Years Plan's Inception Date OPEB-2.21°% 0.06% 6.28% 4.06% 7.96% 6/26/2018 PENSION -2.21% 0.06% 6.32% 4.08% 7.97% 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 949.250.1250 www.pars.org