HomeMy WebLinkAboutFin City Quarterly Investment Report____________________________________________________________________________________
FOR CITY CLERK ONLY
Council Meeting: November 18, 2024
Disposition: Accepted Report
Agenda Item No: 4.d
Meeting Date: November 18, 2024
SAN RAFAEL CITY COUNCIL AGENDA REPORT
Department: Finance
Prepared by: Paul Navazio, Finance Director City Manager Approval: _________
TOPIC: CITY QUARTERLY INVESTMENT REPORT
SUBJECT: ACCEPTANCE OF CITY OF SAN RAFAEL QUARTERLY INVESTMENT REPORT FOR
THE QUARTER ENDING SEPTEMBER 30, 2024
RECOMMENDATION:
Accept the investment report for the quarter ending September 30, 2024, as presented.
BACKGROUND:
Under the State of California Government Code Section 53601 and the City’s investment policy, last
approved by the City Council on June 17, 2024, staff provides the City Council with a quarterly report on
the City's investment activities and liquidity. The report includes the cost of each investment, the interest
rates (yield), maturity dates, and market value. Separate reports are prepared for the City and the
Successor Agency to the San Rafael Redevelopment Agency.
The City invests some of its pooled funds in the Local Agency Investment Fund (LAIF), a State-run
investment pool. Beginning in March 2014, the City incorporated an investment strategy that added
purchases of securities outside of LAIF with the assistance of an investment advisor. The City’s current
investment advisor is Chandler Asset Management.
ANALYSIS:
As of September 30, 2024, the City’s Treasury consisted of investments with a total market value of
$109,898,780 consisting of $61,188,584 in the City’s primary Local Agency Investment Fund (LAIF)
account and $48,710,196 in externally managed investments (which includes $893,500 of Pt. San Pedro
Assessment District bonds). An additional $5,499,359 represents cash balances in the City’s various
operating bank accounts, including Westamerica Bank ($4,406,842), Bank of the Marin ($790,229), and
Bank of Montreal ($302,288).
As of September 30, 2024, the weighted average yield on the total portfolio was 4.43%, which results
from an effective yield of 4.52% for the City’s investments in the Local Agency Investment Fund and a
yield of 4.32% for the externally managed investments. The overall return on the total portfolio for the
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2
quarter ending September 30, 2024, was 4.01%, with a weighted average maturity of 0.97 years, and
compares favorably to the benchmark (1-3 Year Treasury Index) of 3.71%. This favorable variance is
due to the improved interest rate environment over the past year, as new higher-yield investments are
being made, replacing lower-yield investments, primarily upon maturity.
The City’s investment portfolio maintains strong diversification and is experiencing growth in interest
income due to higher market rates. All investments comply with the City’s investment policy and the
California Government Code.
Economic Outlook:
The Federal Open Market Committee (FOMC) delivered the first rate cut of the easing cycle with a 50
basis point cut at the September meeting. Although a reduction in the Federal 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. The Federal Reserve released the
quarterly Summary of Economic Projections (SEP), which now forecasts a substantially lower median
Federal Funds Rate expectation among the Board of Governors of the Federal Reserve System (“Federal
Reserve Board”) in 2025 due to lower inflation expectations and a higher projected unemployment rate.
We believe the Federal Reserve Board 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 City will continue to watch market trends and refine its investment strategy, as appropriate, to
improve the investment portfolio’s performance while ensuring its primary goals of preservation of
principal, liquidity, and yield.
The attachments include:
1.Quarterly Investment Portfolio Report
2.Historical Activity by Quarter summarizing the City’s investments
3. The City’s Investment Report from Chandler Asset Management for the period ending September
30, 2024, which includes a listing of all holdings and transaction activity details for the reporting
period
FISCAL IMPACT:
No financial impact occurs when accepting the report. The City continues to meet the priority investment
principles - safety, liquidity, yield, and diversification. The portfolio is still conservatively invested, and
sufficient liquidity exists to meet daily operating and capital project requirements for the next six months.
As defined for this report, operating funds exclude cash held with fiscal agents to pay bond principal and
interest.
RECOMMENDED ACTION:
Accept the investment report for the quarter ending September 30, 2024, as presented. Microsoft
ATTACHMENTS:
1.Quarterly Investment Portfolio Report
2.Historical Activity by Quarter Report
3.Chandler Asset Management – Investment Report: Period Ending September 30, 2024
SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3
I CERTIFY THAT ALL INVESTMENTS MADE ARE IN CONFORMANCE WITH THE CITY’S APPROVED
INVESTMENT POLICY AND STATE INVESTMENT REGULATIONS. THE CITY HAS SUFFICIENT
LIQUIDITY TO MEET ALL OF THE OBLIGATIONS REQUIRED DURING THE NEXT SIX-MONTH
PERIOD.
Paul Navazio
Finance Director
Attachment 1
%Yield
LAIF 60,496,038$ 98.9%4.57%
Cash (Receivable)692,545$ 1.1%0.00%
Total Internally Managed 61,188,584$ 55.7%
Weighted Average Yield 4.52%
Days
Effective Average Duration - Internal 1
Weighted Average Maturity - Internal 1
%Yield
Money Market Fund 1,110,193$ 2.3%4.49%
Treasury Securities 15,268,781$ 31.3%3.80%
Instrumentality Securities 9,099,833$ 18.7%4.42%
Corporate Notes 11,999,405$ 24.6%4.82%
Asset-Backed 5,432,707$ 11.2%4.84%
Cash (Receivable)1,427$ 0.0%0.00%
Commercial Paper 739,604$ 1.5%5.43%
CMO 3,849,645$ 7.9%4.44%
Supranational 315,102$ 0.6%4.53%
Pt. San Pedro Assessment District 893,500$ 1.8%5.25%
Total Externally Managed 48,710,196$ 44.3%
Weighted Average Yield 4.32%
Years
Effective Average Duration - External 1.84
Weighted Average Maturity - External 2.22
Total Portfolio Assets %Yield
LAIF 60,496,038$ 55.0%4.57%
Money Market Fund 1,110,193$ 1.0%4.49%
Treasury Securities 15,268,781$ 13.9%3.80%
Instrumentality Securities 9,099,833$ 8.3%4.42%
Corporate Notes 11,999,405$ 10.9%4.82%
Asset-Backed 5,432,707$ 4.9%4.84%
Cash (Receivable)693,972$ 0.6%0.00%
Commercial Paper 739,604$ 0.7%5.43%
CMO 3,849,645$ 3.5%4.44%
Supranational 315,102$ 0.3%4.53%
Pt. San Pedro Assessment District 893,500$ 0.8%5.25%
Total Portfolio Assets 109,898,780$ 100.0%
Weighted Average Yield 4.43%
Years
Effective Average Duration - Total 0.81
Weighted Average Maturity - Total 0.97
Based on Market Values
September 30, 2024
City of San Rafael
Quarterly Investment Portfolio Report
Externally Managed Assets
Internally Managed Assets
LAIF
98.9%
Cash
(Receivable)
1.1%
Money Market
Fund
2.3%
Treasury
Securities
31.3%
Instrumentality
Securities
18.7%
Corporate Notes
24.6%
Asset-Backed
11.2%
Cash
(Receivable)
0.0%
Commercial
Paper
1.5%CMO
7.9%
Supranational
0.6%Pt. San
Pedro
Assessme
nt District
1.8%
LAIF
55.0%
Money Market
Fund
1.0%
Treasury
Securities
13.9%
Instrumentality
Securities
8.3%
Corporate Notes
10.9%
Asset-Backed
4.9%
Cash
(Receivable)
0.6%
Commercial
Paper
0.7%
CMO
3.5%
Supranational
0.3%
Pt. San Pedro
Assessment
District
0.8%
Attachment 2
Internally Managed Assets %Return %Return %Return %Return
LAIF 60,496,038$ 98.9%4.57%59,849,234$ 100.0%4.52%53,463,594$ 100.0%4.27%53,749,175$ 100.0%3.95%
Cash (Receivable)692,545$ 1.1%0.00%
Total Internally Managed 61,188,583$ 55.7%59,849,234$ 55.8%53,463,594$ 52.9%53,749,175$ 53.5%
Weighted Average Yield 4.52%4.52%4.27%3.95%
Externally Managed Assets %Return %Return %Return %Return
Cash 1,427$ 0.0%0.00%38,820$ 0.1%0.00%608,112$ 0.0%0.00%144,864$ 0.3%4.95%
Commercial Paper 739,604$ 1.5%0.00%727,857$ 1.5%5.43%-$ 0.0%0.00%-$ 0.0%0.00%
Money Market Fund 1,110,193$ 2.3%4.49%59,761$ 0.1%4.89%287,457$ 0.6%4.89%-$ 0.0%0.00%
Treasury Securities 15,268,781$ 31.3%3.80%16,576,763$ 34.5%3.40%13,932,479$ 29.3%2.79%14,202,153$ 31.1%2.62%
Instrumentality Securities 9,099,833$ 18.7%4.42%7,976,068$ 16.6%4.22%12,165,418$ 25.6%2.91%12,158,514$ 26.7%2.92%
Corporate Notes 11,999,405$ 24.6%4.82%11,494,546$ 23.9%4.77%10,855,380$ 22.8%4.45%10,338,726$ 22.7%3.79%
Asset Backed 5,432,707$ 11.2%4.84%5,524,308$ 11.5%4.85%5,253,902$ 11.0%4.82%4,980,172$ 10.9%5.03%
Negotiable CD -$ 0.0%5.34%-$ 0.0%0.00%-$ 0.0%0.00%374,910$ 0.8%5.34%
Collateralized Mortgage Obligations (CMO)3,849,645$ 7.9%4.44%3,737,626$ 7.8%4.44%3,212,043$ 6.7%4.36%3,232,602$ 7.1%4.57%
Supranational 315,102$ 0.6%4.53%305,116$ 0.6%4.53%306,643$ 0.6%4.53%311,379$ 0.7%4.53%
Municipal/Assessment District 893,500$ 1.8%5.25%986,700$ 2.1%5.25%986,700$ 2.1%5.25%986,700$ 2.2%5.25%
Total Externally Managed 48,710,196$ 44.3%47,427,565$ 44.2%47,608,135$ 47.1%46,730,020$ 46.5%
Weighted Average Yield 4.32%4.20%3.57%3.53%
Years Years Years Years
Effective Average Duration - External 1.84 1.83 1.71 1.71
Weighted Average Maturity - External 2.22 2.20 2.13 2.13
Total Portfolio Assets %Return %Return %Return %Return
LAIF 60,496,038$ 55.0%4.57%59,849,234$ 55.8%4.52%53,463,594$ 55.2%4.27%53,749,175$ 53.5%3.95%
Cash 693,972$ 0.6%0.00%38,820$ 0.0%0.00%608,112$ 0.6%0.00%144,864$ 0.1%4.95%
Commercial Paper 739,604$ 0.7%0.00%727,857$ 0.7%5.43%-$ 0.0%0.00%-$ 0.0%0.00%
Money Market Fund 1,110,193$ 1.0%4.49%59,761$ 0.1%4.89%287,457$ 0.3%4.89%-$ 0.0%0.00%
Treasury Securities 15,268,781$ 13.9%3.80%16,576,763$ 15.5%3.40%13,932,479$ 14.4%2.79%14,202,153$ 14.1%2.62%
Instrumentality Securities 9,099,833$ 8.3%4.42%7,976,068$ 7.4%4.22%12,165,418$ 12.6%2.91%12,158,514$ 12.1%2.92%
Corporate Notes 11,999,405$ 10.9%4.82%11,494,546$ 10.7%4.77%10,855,380$ 11.2%4.45%10,338,726$ 10.3%3.79%
Asset Backed 5,432,707$ 4.9%4.84%5,524,308$ 5.1%4.85%5,253,902$ 5.4%4.82%4,980,172$ 5.0%5.03%
Negotiable CD -$ 0.0%0.00%-$ 0.0%0.00%-$ 0.0%0.00%374,910$ 0.4%5.34%
Collateralized Mortgage Obligations (CMO)3,849,645$ 3.5%4.44%3,737,626$ 3.5%4.44%3,212,043$ 3.3%4.36%3,232,602$ 3.2%4.57%
Supranational 315,102$ 0.3%4.53%305,116$ 0.3%4.53%306,643$ 0.3%4.53%311,379$ 0.3%4.53%
Municipal/Assessment District 893,500$ 0.8%5.25%986,700$ 0.9%5.25%986,700$ 1.0%5.25%986,700$ 1.0%5.25%
Total Portfolio Assets 109,898,779$ 100.0%107,276,798$ 100.0%101,071,729$ 104%100,479,195$ 100.0%
Weighted Average Yield 4.43%4.38%3.94%3.72%
Years Years Years Years
Effective Average Duration - Total 0.81 0.79 0.81 0.79
Weighted Average Maturity - Total 0.97 0.96 0.99 0.98
City of San Rafael
Historical Activity-By Quarter
March 31, 2024 December 31, 2023June 30, 2024September 30, 2024
INVESTMENT REPORT
City of San Rafael | As of September 30, 2024
CHANDLER ASSET MANAGEMENT | 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.
Attachment 31-,,a CHANDLER
"'--ASSET MANAGEMENT
TABLE OF CONTENTS
ECONOMIC UPDATE
ACCOUNT PROFILE
CONSOLIDATED INFORMATION
PORTFOLIO HOLDINGS
TRANSACTIONS
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ECONOMIC UPDATE
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▪
▪
▪
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 &ĞĚ͛Ɛtarget. 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 with a 50 basis point cut 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.
ECONOMIC UPDATE
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-400
-200
0
200
400
600
800
1,000
MO
M
C
h
a
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g
e
I
n
T
h
o
u
s
a
n
d
s
(
0
0
0
'
s
)
Nonfarm Payroll (000's)
Non-farm Payroll (000's)
3-month average (000's)
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
Unemployment Rate
Underemployment Rate (U6)
Unemployment Rate (U3)
Ra
t
e
(
%
)
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.
Source: US Department of Labor Source: US Department of Labor
EMPLOYMENT
4
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0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
Job Openings
Recession
Historical Average
In
T
h
o
u
s
a
n
d
s
(
0
0
0
'
s
)
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.
Source: US Department of Labor
JOB OPENINGS & LABOR TURNOVER SURVEY
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0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
10.0%
Consumer Price Index (CPI)
CPI YOY % Change
Core CPI YOY % Change
YO
Y
(
%
)
C
h
a
n
g
e
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
7.0%
8.0%
9.0%
10.0%
Personal Consumption Expenditures (PCE)
PCE Price Deflator YOY % Change
PCE Core Deflator YOY % Change
Fed Target
YO
Y
(
%
)
C
h
a
n
g
e
In September, the Consumer Price Index (CPI) rose 0.2% month-over-month and 2.4% year-over-year, down from 2.5%in August,but
slightly higher than expected. The Core CPI, which excludes volatile food and energy components, rose by 0.3% month-over-month and
3.3% year-over-year, also exceeding consensus forecasts. 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.
Source: US Department of Labor Source: US Department of Commerce
INFLATION
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-30.0%
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
Retail Sales YOY % Change
YO
Y
(
%
)
C
h
a
n
g
e
Retail Sales grew more than expected month-over-month in September at 0.4% after growth of 0.1%in August.On a year-over-year basis,
Retail Sales grew 1.7%in September versus 2.2%in August. Control-group sales, which are used to calculate gross domestic product, rose
0.7% month-over-month in September after last month’s increase of 0.3%. Apparel, grocery stores, and miscellaneous store retailers led
the advance, while gas station sales fell reflecting lower gas prices. 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, declining savings
rates, growing credit card debt, higher delinquencies, and a moderating labor market pose potential risks to future spending.
0
20
40
60
80
100
120
140
160
In
d
e
x
L
e
v
e
l
Consumer Confidence
Recession
Source: US Department of Commerce Source: The Conference Board
All time high is 144.70 (1/31/00); All time low is 25.30 (2/28/09)
CONSUMER
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-25.0%
-20.0%
-15.0%
-10.0%
-5.0%
0.0%
5.0%
10.0%
15.0%
Leading Economic Indicators (LEI)
Recession
YO
Y
(%
)
C
h
a
n
g
e
-1.00
-0.75
-0.50
-0.25
0.00
0.25
0.50
0.75
1.00
Chicago Fed National Activity Index (CFNAI)
Recession
3
M
o
n
t
h
A
v
e
r
a
g
e
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.
Source: The Conference Board Source: Federal Reserve Bank of Chicago
LEADING INDICATORS OF ECONOMIC ACTIVITY
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0
200
400
600
800
1,000
1,200
1,400
1,600
1,800
2,000
2,200
2,400
In
T
h
o
u
s
a
n
d
s
o
f
U
n
i
t
s
Annualized Housing Starts
Multi Family Housing Starts
Single Family Housing Starts
Housing starts surprised to the downside in September, declining -0.5% month-over-month to 1.354 million units after an increase of 7.8%
in August. The decline can be attributed to a drop in multi-family housing projects. Total starts were down 0.7% year-over-year. The
Freddie Mac average rate for a 30-year fixed mortgage dropped to 6.18%in September from 6.44%in August. 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.
Source: US Department of Commerce Source: S&P
-20.0%
-16.0%
-12.0%
-8.0%
-4.0%
0.0%
4.0%
8.0%
12.0%
16.0%
20.0%
24.0%
S&P/Case-Shiller 20 City Composite Home Price Index
Recession
YO
Y
(
%
)
C
h
a
n
g
e
HOUSING
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40
45
50
55
60
65
70
Institute of Supply Management (ISM) Surveys
ISM Manufacturing ISM Services
EXPANDING
CONTRACTING
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 to stronger production and new orders. A reading
over 50 indicates expansion, while a reading under 50 indicates contraction.
Source: Institute for Supply Management
SURVEY BASED MEASURES
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Components of GDP 9/23 12/23 3/24 6/24
1.7% 2.3% 1.3% 1.9%
1.8% 0.2% 0.6% 1.5%
-0.1% 0.1% -0.6% -0.9%
0.3% 0.0% 0.0% 0.3%
0.6% 0.6% 0.3% 0.3%
4.4% 3.2% 1.6% 3.0%
State and Local (Consumption and Gross
Investment)
Personal Consumption Expenditures
Gross Private Domestic Investment
Net Exports and Imports
Federal Government Expenditures
Total
-40.0%
-30.0%
-20.0%
-10.0%
0.0%
10.0%
20.0%
30.0%
40.0%
Gross Domestic Product (GDP)
GDP QOQ % Change
GDP YOY % Change
Source: US Department of Commerce 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.
GROSS DOMESTIC PRODUCT (GDP)
11
,-._,.. CHANDLER
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Source: Federal Reserve Source: Bloomberg
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
10,000,000
Federal Reserve Balance Sheet Assets
Recession
In
$
m
i
l
l
i
o
n
s
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.
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
Effective Federal Funds Rate
Recession
Yi
e
l
d
(
%
)
FEDERAL RESERVE
12
,, •• CHANDLER
~, •• ASSET MANAGEMENT
■ ■
Source: Bloomberg Source: Bloomberg
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
US Treasury Note Yields
2-Year
5-Year
10-Year
Y
i
e
l
d
(
%
)
0.0%
1.0%
2.0%
3.0%
4.0%
5.0%
6.0%
US Treasury Yield Curve
Sep-24
Jun-24
Sep-23
Yi
e
l
d
(
%
)
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.
BOND YIELDS
13
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__ _,,~•,., ___________________ _ ' ... .._ --..: · ........................... :.: :.: :: :.: :.: :: :.: :.: :: :.: ---------------
ACCOUNT PROFILE
14
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"'--ASSET MANAGEMENT
OBJECTIVES
Investment Objectives
Safety of principal is the foremost objective of the investment program. The investment portfolio shall remain sufficiently
liquid to meet all requirements that may be reasonably anticipated. The investment portfolio shall be designed with
the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the
investment risk constraints and liquidity needs.
Chandler Asset Management Performance Objective
The performance objective for the portfolio is to earn a total rate of return through a market cycle that is equal to or
above the return on the benchmark index.
Strategy
In order to achieve this objective, the portfolio invests in high-quality fixed income securities that comply with the
investment policy and all regulations governing the funds.
15
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PORTFOLIO CHARACTERISTICS
City of San Rafael | Account #11045 | As of September 30, 2024
Benchmark*9/30/2024
Portfolio
6/30/2024
Portfolio
Average Maturity (yrs)1.84 2.22 2.20
Average Modified Duration 1.76 1.84 1.83
Average Purchase Yield 4.39%4.17%
Average Market Yield 3.71%4.01%5.02%
Average Quality**AA+AA AA
Total Market Value 48,130,638 46,777,101
*Benchmark: ICE BofA 1-3 Year US Treasury & Agency Index
**The credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch.
16
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SECTOR DISTRIBUTION
City of San Rafael | Account #11045 | As of September 30, 2024
Sector as a Percentage of Market Value
Sector 09/30/2024 06/30/2024
US Treasury 31.93%35.69%
Corporate 25.09%24.75%
Agency 19.03%17.17%
ABS 11.36%11.90%
Agency CMBS 8.05%8.05%
Money Mkt Fd 2.32%0.13%
Comm Paper 1.55%1.57%
Supras 0.66%0.66%
Cash 0.00%0.08%
17
50%
25 %
0% US Treasury Corporat e Agency ABS Agency CMBS Money Mkt Fd
■ 09/30/2024 ■ 06/30/2024
Comm Paper
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
Supras Cash
ISSUERS
City of San Rafael | Account #11045 | As of September 30, 2024
Issuer Investment Type % Portfolio
United States US Treasury 31.93%
Federal Home Loan Banks Agency 12.00%
FHLMC Agency CMBS 8.05%
Farm Credit System Agency 7.03%
U.S. Bancorp Money Mkt Fd 2.32%
American Express Credit Master Trust ABS 2.29%
John Deere Owner Trust ABS 1.85%
Bank of America Credit Card Trust ABS 1.57%
Mitsubishi UFJ Financial Group, Inc.Comm Paper 1.55%
Chevron Corporation Corporate 1.44%
Toyota Auto Receivables Owner Trust ABS 1.37%
Honda Auto Receivables Owner Trust ABS 1.32%
Bank of Montreal Corporate 1.29%
The Home Depot, Inc.Corporate 1.29%
PACCAR Inc Corporate 1.26%
Bank of America Corporation Corporate 1.24%
The Toronto-Dominion Bank Corporate 1.24%
Toyota Motor Corporation Corporate 1.23%
Caterpillar Inc.Corporate 1.18%
Cisco Systems, Inc.Corporate 1.18%
National Rural Utilities Cooperative Corporate 1.17%
Royal Bank of Canada Corporate 1.16%
NextEra Energy, Inc.Corporate 1.16%
Prologis, Inc.Corporate 1.13%
State Street Corporation Corporate 1.12%
PepsiCo, Inc.Corporate 1.08%
Deere & Company Corporate 1.06%
Chase Issuance Trust ABS 1.06%
Chubb Limited Corporate 1.03%
Realty Income Corporation Corporate 1.03%
18
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ISSUERS
City of San Rafael | Account #11045 | As of September 30, 2024
Issuer Investment Type % Portfolio
Morgan Stanley Corporate 1.02%
BNY Mellon Corp Corporate 0.74%
Public Service Enterprise Group Inco Corporate 0.69%
International Finance Corporation Supras 0.66%
Eli Lilly and Company Corporate 0.64%
BMW Vehicle Owner Trust ABS 0.64%
BMW Vehicle Lease Trust ABS 0.53%
MERCEDES-BENZ AUTO RECEIVABLES TRUST ABS 0.47%
JPMorgan Chase & Co.Corporate 0.43%
Merck & Co., Inc.Corporate 0.27%
Mercedes-Benz Auto Lease Trust ABS 0.26%
Cash Cash 0.00%
TOTAL 100.00%
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QUALITY DISTRIBUTION
Rating 09/30/2024 06/30/2024
AAA 9.9%8.2%
AA 60.6%62.5%
A 24.1%22.2%
NR 5.4%7.1%
Rating 09/30/2024 06/30/2024
AAA 71.3%71.6%
AA 1.4%1.5%
A 23.7%23.4%
NR 3.5%3.6%
Rating 09/30/2024 06/30/2024
AAA 17.8%15.8%
AA 59.7%63.0%
A 9.2%9.2%
NR 13.3%12.0%
City of San Rafael | Account #11045 | As of September 30, 2024
S&P Rating Moody’s Rating Fitch Rating
20
75 % 100%
75 %
50%
25 %
0% AAA AA A NR AA
■ 09/30/2024 ■ 06/30/2024 ■ 09/30/2024
75 %
50%
25 %
A NR 0%
■ 06/30/2024
AAA
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AA A NR
■ 09/30/2024 ■ 06/30/2024
0-.25 .25-.5 .5-1 1-2 2-3 3-4 4-5 5-7 7+
Portfolio 6.4%3.8%11.9%35.3%29.8%8.4%4.4%0.0%0.0%
ICE BofA 1-3 Year US Treasury & Agency
Index 0.1%0.1%3.6%58.6%37.6%0.0%0.0%0.0%0.0%
DURATION DISTRIBUTION
City of San Rafael | Account #11045 | As of September 30, 2024
Portfolio Compared to the Benchmark
21
80%
60%
40%
20%
0% 0-.25 .25-.5 .5 -1 1-2
■ City of San Rafael
2-3 3-4 4-5
■ ICE BofA 1-3 Year US Treasury & Agency Index
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
5-7 7+
3 Months 12 Months 2 Years 3 Years 5 Years 10 Years Since
Inception
TOTAL RATE OF RETURN
City of San Rafael 2.92%7.32%5.38%
Benchmark 2.86%6.74%4.64%
*Periods over 1 year are annualized.
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.
INVESTMENT PERFORMANCE
City of San Rafael | Account #11045 | As of September 30, 2024
Total Rate of Return : Inception |02/01/2023
0.00%
1.00%
2.00%
3.00%
4.00%
5.00%
6.00%
7.00%
8.00%
3 months 12 months 2 years 3 years 5 years 10 years Since Inception
City of San Rafael Benchmark
22
■ ■
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HISTORICAL AVERAGE PURCHASE YIELD
City of San Rafael | Account #11045 | As of September 30, 2024
Purchase Yield as of 09/30/24 = 4.39%
23
5%
4 %
3 %
2%
1%
,-._,.. CHANDLER
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PORTFOLIO CHARACTERISTICS
San Rafael Reporting | Account #11046 | As of September 30, 2024
9/30/2024
Portfolio
6/30/2024
Portfolio
Average Maturity (yrs)0.00 0.00
Average Modified Duration 0.00 0.00
Average Purchase Yield 4.52%4.51%
Average Market Yield 4.52%4.51%
Average Quality**AAA AAA
Total Market Value 61,188,584 60,471,882
*Benchmark: NO BENCHMARK REQUIRED
**The credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch.
24
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SECTOR DISTRIBUTION
San Rafael Reporting | Account #11046 | As of September 30, 2024
Sector as a Percentage of Market Value
Sector 09/30/2024 06/30/2024
LAIF 98.87%98.97%
Cash 1.13%1.03%
25
■ 09/30/2024 ■ 06/30/2024
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CONSOLIDATED INFORMATION
26
1-,,a CHANDLER
"'--ASSET MANAGEMENT
PORTFOLIO CHARACTERISTICS
San Rafael Cons | Account #11047 | As of September 30, 2024
9/30/2024
Portfolio
6/30/2024
Portfolio
Average Maturity (yrs)0.97 0.96
Average Modified Duration 0.81 0.79
Average Purchase Yield 4.46%4.37%
Average Market Yield 4.30%4.73%
Average Quality**AA AA
Total Market Value 109,319,222 107,248,983
*Benchmark: NO BENCHMARK REQUIRED
**The credit quality is a weighted average calculation of the highest of S&P, Moody’s and Fitch.
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SECTOR DISTRIBUTION
San Rafael Cons | Account #11047 | As of September 30, 2024
Sector as a Percentage of Market Value
Sector 09/30/2024 06/30/2024
LAIF 55.50%55.98%
US Treasury 14.01%15.50%
Corporate 11.01%10.75%
Agency 8.35%7.46%
ABS 4.98%5.17%
Agency CMBS 3.53%3.50%
Money Mkt Fd 1.02%0.06%
Comm Paper 0.68%0.68%
Cash 0.64%0.62%
Supras 0.29%0.29%
28
75 %
50%
25 %
0% LAIF US Treasury Corporate Agency ABS
■ 09/30/2024
AgencyCMBS Money Mkt Fd Comm Paper
■ 06/30/2024
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Cash Supras
PORTFOLIO HOLDINGS
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"'--ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
ABS
05593AAC3 BMWLT 2023-1 A3 5.16
11/25/2025 254,894.31 --
5.32%
255,331.23
254,976.07
100.08
4.88%
255,104.68
219.21
0.53%
128.61
Aaa/AAA
NA
1.15
0.25
43815JAC7 HAROT 2023-1 A3 5.04 120,000.00 02/16/2023 119,977.70 100.51 120,606.74 0.25%Aaa/NA 2.56
04/21/2027 5.09%119,986.30 4.49%168.00 620.44 AAA 0.84
02582JJT8 AMXCA 2022-2 A 05/17/2027 600,000.00 04/17/2023 585,632.81 99.28 595,680.60 1.25%NA/AAA 0.62
4.65%594,191.55 4.61%904.00 1,489.05 AAA 0.60
58768PAC8 MBART 2022-1 A3 5.21 223,333.20 02/15/2023 224,484.76 100.50 224,452.81 0.47%Aaa/AAA 2.88
08/16/2027 5.03%223,962.77 4.50%517.14 490.04 NA 0.65
89239HAD0 TAOT 2022-D A3 5.3 350,000.00 02/10/2023 354,128.91 100.83 352,899.75 0.74%Aaa/NA 2.96
09/15/2027 4.86%352,294.18 4.41%824.44 605.57 AAA 0.87
47800CAC0 JDOT 2023 A3 5.01 880,000.00 --882,243.24 100.69 886,035.92 1.85%Aaa/NA 3.13
11/15/2027 3.66%881,323.07 4.46%1,959.47 4,712.85 AAA 1.14
58770JAD6 MBALT 2024-A A3 5.32 120,000.00 05/17/2024 119,985.96 102.19 122,631.17 0.26%Aaa/NA 3.30
01/18/2028 5.73%119,987.34 4.33%283.73 2,643.83 AAA 2.06
891941AD8 TAOT 2023-B A3 4.71 300,000.00 10/03/2023 294,058.59 100.52 301,550.76 0.63%Aaa/NA 3.38
02/15/2028 5.68%295,422.89 4.34%628.00 6,127.87 AAA 1.23
05592XAD2 BMWOT 2023-A A3 5.47 90,000.00 07/11/2023 89,984.05 101.24 91,115.56 0.19%NA/AAA 3.41
02/25/2028 5.47%89,988.23 4.43%82.05 1,127.33 AAA 1.12
05522RDF2 BACCT 2022-2 A 5.0 440,000.00 04/18/2023 444,812.50 100.76 443,349.10 0.93%Aaa/AAA 3.55
04/17/2028 4.59%442,342.89 4.34%977.78 1,006.22 NA 1.07
438123AC5 HAROT 2023-4 A3 5.67 500,000.00 12/07/2023 507,480.47 102.32 511,617.65 1.07%Aaa/NA 3.73
06/21/2028 5.10%505,893.80 4.18%787.50 5,723.85 AAA 1.47
02582JKD1 AMXCA 2023-3 A 5.23 490,000.00 09/12/2023 489,978.10 102.30 501,269.90 1.05%NA/AAA 3.96
09/15/2028 5.29%489,982.64 4.04%1,138.98 11,287.26 AAA 1.82
161571HT4 CHAIT 2023-1 A 5.16 495,000.00 09/07/2023 494,862.79 102.17 505,743.68 1.06%NR/AAA 3.96
09/15/2028 5.17%494,891.48 4.04%1,135.20 10,852.20 AAA 1.82
05522RDH8 BACCT 2023-2 A 4.98 300,000.00 02/20/2024 301,125.00 102.02 306,045.06 0.64%Aaa/NA 2.13
11/16/2026 4.88%300,874.75 4.02%664.00 5,170.31 AAA 1.98
096919AD7 BMWOT 2024-A A3 5.18
02/26/2029 210,000.00 06/04/2024
5.24%
209,968.10
209,970.18
102.19
4.05%
214,603.77
181.30
0.45%
4,633.59
Aaa/AAA
NA
4.41
1.84
30
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HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
Total ABS 5,373,227.51 4.84%
5,374,054.21
5,376,088.12
101.12
4.33%
5,432,707.15
10,470.80
11.36%
56,619.03
Aaa/AAA
AAA
2.99
1.25
AGENCY
3130AV7L0 FEDERAL HOME LOAN BANKS
5.0 02/28/2025 1,100,000.00 03/02/2023
5.07%
1,098,548.00
1,099,700.82
100.13
4.67%
1,101,381.14
5,041.67
2.30%
1,680.31
Aaa/AA+
AA+
0.41
0.40
3130AWER7 FEDERAL HOME LOAN BANKS
4.625 06/06/2025 775,000.00 06/09/2023
4.67%
774,356.75
774,779.96
100.37
4.06%
777,866.58
11,450.09
1.63%
3,086.61
Aaa/AA+
AA+
0.68
0.66
3130ATHT7 FEDERAL HOME LOAN BANKS
4.375 09/12/2025 1,300,000.00 01/12/2023
4.28%
1,303,159.00
1,301,122.19
100.20
4.15%
1,302,609.49
3,001.74
2.72%
1,487.30
Aaa/AA+
AA+
0.95
0.92
3130ATUC9 FEDERAL HOME LOAN BANKS
4.5 12/12/2025 1,000,000.00 02/13/2023
4.32%
1,004,720.00
1,001,998.68
100.73
3.86%
1,007,324.55
13,625.00
2.11%
5,325.87
Aaa/AA+
AA+
1.20
1.14
3130AWGR5 FEDERAL HOME LOAN BANKS
4.375 06/12/2026 525,000.00 06/28/2023
4.43%
524,165.25
524,521.12
101.05
3.73%
530,486.34
6,954.43
1.11%
5,965.22
Aaa/AA+
AA+
1.70
1.60
3133EPSW6
FEDERAL FARM CREDIT
BANKS FUNDING CORP 4.5
08/14/2026
560,000.00 08/09/2023
4.58%
558,712.00
559,198.53
101.54
3.64%
568,597.29
3,290.00
1.19%
9,398.76
Aaa/AA+
AA+
1.87
1.77
3130AXU63 FEDERAL HOME LOAN BANKS
4.625 11/17/2026 500,000.00 12/18/2023
4.23%
505,325.00
503,888.65
102.01
3.63%
510,069.52
8,607.64
1.07%
6,180.86
Aaa/AA+
AA+
2.13
1.98
3133EP6K6
FEDERAL FARM CREDIT
BANKS FUNDING CORP 4.5
03/26/2027
1,000,000.00 04/24/2024
4.84%
990,700.00
992,088.45
101.93
3.68%
1,019,281.54
625.00
2.13%
27,193.09
Aaa/AA+
AA+
2.48
2.34
3133ERMB4
FEDERAL FARM CREDIT
BANKS FUNDING CORP 4.25
07/23/2027
750,000.00 07/18/2024
4.26%
749,767.50
749,782.36
101.64
3.63%
762,308.95
6,020.83
1.59%
12,526.58
Aaa/AA+
AA+
2.81
2.61
3133ERNP2
FEDERAL FARM CREDIT
BANKS FUNDING CORP 4.0
08/06/2027
1,000,000.00 08/19/2024
3.92%
1,002,290.00
1,002,201.03
101.00
3.62%
1,010,046.17
6,111.11
2.11%
7,845.14
Aaa/AA+
AA+
2.85
2.66
3130ATUS4 FEDERAL HOME LOAN BANKS
4.25 12/10/2027 500,000.00 05/15/2023
3.66%
512,310.00
508,592.66
101.97
3.59%
509,861.25
6,552.08
1.07%
1,268.59
Aaa/AA+
AA+
3.19
2.93
31
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HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
9,024,053.50 101.00 9,099,832.81 19.03%Aaa/AA+1.72
Total Agency 9,010,000.00 4.42%9,017,874.46 3.90%71,279.58 81,958.35 AA+1.62
AGENCY CMBS
3137BVZ82 FHMS K-063 A2 3.43
01/25/2027 700,000.00 06/07/2023
4.53%
674,542.97
683,890.93
98.82
3.92%
691,720.75
2,000.83
1.45%
7,829.82
Aaa/AA+
AAA
2.32
2.06
3137F1G44 FHMS K-065 A2 3.243 450,000.00 06/08/2023 431,736.33 98.18 441,829.31 0.92%Aaa/AA+2.57
04/25/2027 4.39%437,999.66 3.95%1,216.13 3,829.64 AAA 2.34
3137F2LJ3 FHMS K-066 A2 3.117 350,000.00 04/18/2024 330,654.30 97.84 342,428.03 0.72%Aaa/AA+2.73
06/25/2027 5.06%333,400.91 3.94%909.13 9,027.12 AAA 2.45
3137FBBX3 FHMS K-068 A2 3.244 240,000.00 06/08/2023 229,940.63 98.16 235,579.44 0.49%Aaa/AA+2.90
08/25/2027 4.34%233,111.66 3.88%648.80 2,467.78 AA+2.66
3137FBU79 FHMS K-069 A2 3.187 498,244.74 06/09/2023 474,928.44 97.89 487,725.84 1.02%Aaa/AAA 2.99
09/25/2027 4.41%482,120.15 3.92%1,323.26 5,605.69 AA+2.70
3137FETN0 FHMS K-073 A2 3.35 670,000.00 05/24/2023 643,932.81 98.31 658,678.21 1.38%Aaa/AA+3.32
01/25/2028 4.27%651,549.34 3.87%1,870.42 7,128.86 AAA 2.99
3137FG6X8 FHMS K-077 A2 3.85 780,000.00 05/24/2023 765,679.69 99.59 776,764.01 1.62%Aaa/AA+3.65
05/25/2028 4.24%769,582.33 3.93%2,502.50 7,181.68 AAA 3.28
3137FMTY8 FHMS K-094 A2 2.903 225,000.00 06/21/2024 207,764.65 95.52 214,919.89 0.45%Aaa/AA+4.73
06/25/2029 4.65%208,692.93 3.95%544.31 6,226.96 AAA 4.27
Total Agency 3,759,179.82 98.38 3,849,645.47 8.05%Aaa/AA+3.08
CMBS 3,913,244.74 4.44%3,800,347.92 3.92%11,015.37 49,297.55 AAA 2.77
CASH
CCYUSD Receivable 1,426.95 --
0.00%
1,426.95
1,426.95
1.00
0.00%
1,426.95
0.00
0.00%
0.00
Aaa/AAA
AAA
0.00
0.00
1,426.95 1.00 1,426.95 0.00%Aaa/AAA 0.00
Total Cash 1,426.95 0.00%1,426.95 0.00%0.00 0.00 AAA 0.00
32
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
COMMERCIAL
PAPER
62479LNG6 MUFG Bank, Ltd. - New York
Branch 01/16/2025 750,000.00 05/16/2024
5.43%
723,152.08
738,274.58
98.61
4.73%
739,603.50
0.00
1.55%
1,328.92
P-1/A-1
NA
0.30
0.29
Total Commercial
Paper 750,000.00 5.43%
723,152.08
738,274.58
98.61
4.73%
739,603.50
0.00
1.55%
1,328.92
P-1/A-1
NA
0.30
0.29
CORPORATE
166764BW9 CHEVRON CORP 1.554
05/11/2025 700,000.00 01/12/2023
3.65%
667,380.00
691,480.42
98.25
4.48%
687,782.05
4,230.33
1.44%
(3,698.38)
Aa2/AA-
NA
0.61
0.59
78016FZT4 ROYAL BANK OF CANADA
4.875 01/12/2026 550,000.00 07/19/2023
5.34%
544,197.50
547,002.68
100.96
4.09%
555,285.28
5,883.85
1.16%
8,282.60
A1/A
AA-
1.28
1.22
69371RS49 PACCAR FINANCIAL CORP 4.45
03/30/2026 600,000.00 03/28/2023
4.47%
599,634.00
599,818.00
100.70
3.96%
604,219.34
74.17
1.26%
4,401.34
A1/A+
NA
1.50
1.44
00440EAV9 CHUBB INA HOLDINGS LLC
3.35 05/03/2026 500,000.00 03/09/2023
5.09%
475,060.00
487,410.41
98.82
4.12%
494,115.30
6,886.11
1.03%
6,704.89
A3/A
A
1.59
1.51
341081GR2 FLORIDA POWER & LIGHT CO
4.45 05/15/2026 550,000.00 05/18/2023
4.65%
547,030.00
548,388.18
100.74
3.97%
554,049.80
9,246.11
1.16%
5,661.62
A1/A
A+
1.62
1.45
24422EWX3 JOHN DEERE CAPITAL CORP
4.75 06/08/2026 500,000.00 06/05/2023
4.72%
500,470.00
500,263.73
101.40
3.88%
507,022.55
7,454.86
1.06%
6,758.82
A1/A
A+
1.69
1.59
74340XBK6 PROLOGIS LP 3.25 10/01/2026 550,000.00 01/16/2024
4.53%
532,240.50
536,864.81
98.46
4.06%
541,524.69
8,937.50
1.13%
4,659.88
A3/A
WR
2.00
1.91
89236TDR3 TOYOTA MOTOR CREDIT CORP
3.2 01/11/2027 600,000.00 01/22/2024
4.57%
577,398.00
582,636.32
98.37
3.95%
590,241.91
4,266.67
1.23%
7,605.58
A1/A+
A+
2.28
2.16
63743HFM9
NATIONAL RURAL UTILITIES
COOPERATIVE FINANCE CORP
4.8 02/05/2027
550,000.00 01/25/2024
4.75%
550,792.00
550,614.26
101.84
3.97%
560,108.72
4,106.67
1.17%
9,494.45
A2/A-
A
2.35
2.11
17275RBQ4 CISCO SYSTEMS INC 4.8
02/26/2027 550,000.00 --
4.82%
549,759.00
549,806.45
102.19
3.84%
562,036.52
2,566.67
1.18%
12,230.07
A1/AA-
NA
2.41
2.17
857477CL5 STATE STREET CORP 4.993
03/18/2027 525,000.00 03/13/2024
4.99%
525,000.00
525,000.00
102.36
3.98%
537,412.29
946.59
1.12%
12,412.29
A1/A
AA-
2.46
2.23
33
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
06406RBQ9 BANK OF NEW YORK MELLON
CORP 4.947 04/26/2027 350,000.00 04/19/2023
4.90%
350,497.00
350,259.38
100.97
4.90%
353,388.07
7,454.85
0.74%
3,128.69
A1/A
AA-
2.57
1.47
14913UAL4
CATERPILLAR FINANCIAL
SERVICES CORP 5.0
05/14/2027
550,000.00 05/13/2024
5.01%
549,818.50
549,841.56
102.77
3.88%
565,244.89
10,465.28
1.18%
15,403.33
A2/A
A+
2.62
2.40
74456QBS4 PUBLIC SERVICE ELECTRIC AND
GAS CO 3.0 05/15/2027 337,000.00 04/18/2023
4.48%
318,673.94
325,210.15
97.47
4.03%
328,468.90
3,819.33
0.69%
3,258.75
A1/A
WR
2.62
2.46
437076DB5 HOME DEPOT INC 4.875
06/25/2027 600,000.00 06/20/2024
4.92%
599,208.00
599,278.88
102.60
3.86%
615,587.28
7,800.00
1.29%
16,308.40
A2/A
A
2.73
2.44
532457CP1 ELI LILLY AND CO 4.15
08/14/2027 305,000.00 08/12/2024
4.18%
304,752.95
304,763.78
100.93
3.80%
307,848.89
1,652.51
0.64%
3,085.11
A1/A+
NA
2.87
2.60
89115A2M3 TORONTO-DOMINION BANK
5.156 01/10/2028 575,000.00 07/12/2023
5.29%
571,929.50
572,762.15
103.00
4.17%
592,239.59
6,670.58
1.24%
19,477.44
A1/A
AA-
3.28
2.96
756109AU8 REALTY INCOME CORP 3.65
01/15/2028 500,000.00 04/10/2023
4.87%
474,240.00
482,209.45
98.18
4.25%
490,911.62
3,852.78
1.03%
8,702.16
A3/A-
WR
3.29
3.04
06051GGF0 BANK OF AMERICA CORP
3.824 01/20/2028 600,000.00 07/12/2023
5.53%
567,738.00
578,901.76
98.92
4.94%
593,508.20
4,525.07
1.24%
14,606.45
A1/A-
AA-
3.31
2.16
46647PEA0 JPMORGAN CHASE & CO 5.04
01/23/2028 200,000.00 01/17/2024
4.99%
200,292.00
200,224.86
101.67
4.78%
203,345.24
1,904.00
0.43%
3,120.38
A1/A-
AA-
3.31
2.15
06368LGV2 BANK OF MONTREAL 5.203
02/01/2028 600,000.00 09/05/2023
5.48%
593,520.00
595,091.64
103.12
4.19%
618,713.08
5,203.00
1.29%
23,621.43
A2/A-
AA-
3.34
2.95
58933YBH7 MERCK & CO INC 4.05
05/17/2028 130,000.00 05/08/2023
4.07%
129,894.70
129,923.69
100.84
3.80%
131,094.29
1,959.75
0.27%
1,170.60
A1/A+
NA
3.63
3.23
61744YAK4 MORGAN STANLEY 3.591
07/22/2028 500,000.00 08/10/2023
5.22%
465,070.00
473,086.09
97.99
4.17%
489,927.01
3,441.38
1.02%
16,840.92
A1/A-
A+
3.81
2.62
713448FX1 PEPSICO INC 4.5 07/17/2029 500,000.00 07/16/2024
4.52%
499,490.00
499,511.23
103.07
3.79%
515,329.06
4,625.00
1.08%
15,817.83
A1/A+
NA
4.79
4.19
Total Corporate 11,922,000.00 4.82%
11,694,085.59
11,780,349.90
100.68
4.11%
11,999,404.55
117,973.04
25.09%
219,054.65
A1/A
A+
2.49
2.16
34
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
MONEY MARKET
FUND
31846V807 FIRST AMER:TRS OBG Y 1,110,192.88 --
4.49%
1,110,192.88
1,110,192.88
1.00
4.49%
1,110,192.88
0.00
2.32%
0.00
Aaa/AAAm
AAA
0.00
0.00
Aaa/
Total Money 1,110,192.88 1.00 1,110,192.88 2.32%AAAm 0.00
Market Fund 1,110,192.88 4.49%1,110,192.88 4.49%0.00 0.00 AAA 0.00
SUPRANATIONAL
45950KDD9 INTERNATIONAL FINANCE
CORP 4.5 07/13/2028 305,000.00 07/06/2023
4.53%
304,661.45
304,744.10
103.31
3.56%
315,101.69
2,973.75
0.66%
10,357.59
Aaa/AAA
NA
3.79
3.43
Total 304,661.45 103.31 315,101.69 0.66%Aaa/AAA 3.79
Supranational 305,000.00 4.53%304,744.10 3.56%2,973.75 10,357.59 NA 3.43
US TREASURY
912828YM6 UNITED STATES TREASURY 1.5
10/31/2024 1,000,000.00 01/12/2023
0.66%
1,014,925.23
1,000,680.48
99.72
4.89%
997,224.01
6,277.17
2.09%
(3,456.47)
Aaa/AA+
AA+
0.08
0.08
912828YV6 UNITED STATES TREASURY 1.5 700,000.00 01/12/2023 722,889.06 99.46 696,206.06 1.46%Aaa/AA+0.17
11/30/2024 (0.18%)701,938.11 4.81%3,528.69 (5,732.06)AA+0.16
91282CAJ0 UNITED STATES TREASURY 0.25 1,200,000.00 01/12/2023 1,095,937.50 96.61 1,159,350.00 2.42%Aaa/AA+0.92
08/31/2025 3.74%1,163,870.19 4.06%256.91 (4,520.19)AA+0.90
91282CAM3 UNITED STATES TREASURY 0.25 500,000.00 01/12/2023 456,445.31 96.39 481,953.13 1.01%Aaa/AA+1.00
09/30/2025 3.65%484,018.24 3.98%3.43 (2,065.11)AA+0.98
91282CJE2 UNITED STATES TREASURY 5.0 1,000,000.00 05/28/2024 998,671.88 101.10 1,011,015.62 2.11%Aaa/AA+1.08
10/31/2025 5.09%998,991.14 3.95%20,923.91 12,024.48 AA+1.03
9128285N6 UNITED STATES TREASURY 500,000.00 01/12/2023 496,212.61 98.86 494,277.35 1.03%Aaa/AA+1.17
2.875 11/30/2025 3.15%498,471.38 3.89%4,830.94 (4,194.03)AA+1.12
91282CGE5 UNITED STATES TREASURY 1,000,000.00 02/06/2023 992,929.69 100.05 1,000,507.81 2.09%Aaa/AA+1.29
3.875 01/15/2026 4.13%996,896.44 3.83%8,213.32 3,611.37 AA+1.24
35
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
91282CBQ3 UNITED STATES TREASURY 0.5 500,000.00 01/12/2023 455,839.84 95.52 477,578.13 1.00%Aaa/AA+1.41
02/28/2026 3.50%480,102.82 3.79%214.09 (2,524.69)AA+1.38
91282CKH3 UNITED STATES TREASURY 4.5 1,000,000.00 04/24/2024 991,679.69 101.05 1,010,546.88 2.11%Aaa/AA+1.50
03/31/2026 4.96%993,556.19 3.77%123.63 16,990.69 AA+1.44
91282CBW0 UNITED STATES TREASURY 0.75 500,000.00 01/12/2023 443,595.43 95.44 477,187.50 1.00%Aaa/AA+1.58
04/30/2026 4.46%473,015.75 3.75%1,569.29 4,171.75 AA+1.54
9128286X3 UNITED STATES TREASURY 500,000.00 01/12/2023 465,958.71 97.45 487,265.63 1.02%Aaa/AA+1.67
2.125 05/31/2026 4.31%483,268.78 3.72%3,570.70 3,996.85 AA+1.60
91282CCJ8 UNITED STATES TREASURY 500,000.00 01/12/2023 443,595.43 95.27 476,347.66 1.00%Aaa/AA+1.75
0.875 06/30/2026 4.42%471,597.07 3.69%1,105.64 4,750.59 AA+1.70
91282CHY0 UNITED STATES TREASURY 900,000.00 09/25/2023 895,429.69 101.79 916,136.72 1.92%Aaa/AA+1.96
4.625 09/15/2026 4.81%896,992.44 3.67%1,839.78 19,144.28 AA+1.86
91282CJC6 UNITED STATES TREASURY 500,000.00 10/19/2023 494,218.75 101.88 509,414.06 1.07%Aaa/AA+2.04
4.625 10/15/2026 5.05%496,057.52 3.66%10,677.94 13,356.54 AA+1.89
91282CKV2 UNITED STATES TREASURY 625,000.00 06/26/2024 627,148.44 102.70 641,870.12 1.34%Aaa/AA+2.71
4.625 06/15/2027 4.50%626,958.00 3.57%8,529.71 14,912.12 AA+2.50
91282CFM8 UNITED STATES TREASURY 750,000.00 12/18/2023 751,669.92 101.61 762,041.02 1.59%Aaa/AA+3.00
4.125 09/30/2027 4.06%751,322.88 3.56%84.99 10,718.14 AA+2.80
91282CGC9 UNITED STATES TREASURY 1,000,000.00 02/06/2023 1,001,445.31 100.95 1,009,531.25 2.11%Aaa/AA+3.25
3.875 12/31/2027 3.84%1,000,958.69 3.56%9,792.80 8,572.56 AA+3.00
91282CHK0 UNITED STATES TREASURY 4.0 750,000.00 03/12/2024 743,496.09 101.50 761,220.71 1.59%Aaa/AA+3.75
06/30/2028 4.22%744,332.90 3.57%7,581.52 16,887.81 AA+3.42
91282CJA0 UNITED STATES TREASURY 500,000.00 10/19/2023 492,968.75 103.88 519,414.06 1.09%Aaa/AA+4.00
4.625 09/30/2028 4.95%494,318.97 3.57%63.53 25,095.09 AA+3.64
91282CEM9 UNITED STATES TREASURY 750,000.00 09/18/2024 729,931.64 97.04 727,763.67 1.52%Aaa/AA+4.58
2.875 04/30/2029 3.51%730,074.64 3.58%9,023.44 (2,310.97)AA+4.19
91282CLK5 UNITED STATES TREASURY 650,000.00 09/26/2024 651,955.08 100.30 651,929.69 1.36%Aaa/AA+4.92
3.625 08/31/2029 3.56%651,950.73 3.56%2,017.78 (21.05)AA+4.45
14,966,944.05 99.69 15,268,781.04 31.93%Aaa/AA+2.02
Total US Treasury 15,325,000.00 3.80%15,139,373.35 3.86%100,229.21 129,407.69 AA+1.89
36
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
City of San Rafael | Account #11045 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
Total Portfolio 47,710,092.07 4.39%
46,957,750.53
47,268,672.26
97.96
4.01%
47,816,696.04
313,941.75
100.00%
548,023.79
Aa2/AA-
AA
2.22
1.84
Total Market
Value + Accrued 48,130,637.79
37
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
HOLDINGS REPORT
San Rafael Reporting | Account #11046 | As of September 30, 2024
Cusip Security Description Par Value/
Units
Purchase
Date
Purchase
Yield
Cost Value
Book Value
Mkt
Price
Mkt
YTM
Market Value
Accrued Int.
% of Port.
Gain/Loss
Moody's/
S&P/
Fitch
Maturity
Duration
CASH
CCYUSD Receivable 692,545.43 --
0.00%
692,545.43
692,545.43
1.00
0.00%
692,545.43
0.00
1.13%
0.00
Aaa/AAA
AAA
0.00
0.00
Total Cash 692,545.43 0.00%
692,545.43
692,545.43
1.00
0.00%
692,545.43
0.00
1.13%
0.00
Aaa/AAA
AAA
0.00
0.00
LAIF
90LAIF$00 Local Agency Investment Fund
State Pool 60,496,038.48 --
4.57%
60,496,038.48
60,496,038.48
1.00
4.57%
60,496,038.48
0.00
98.87%
0.00
NA/NA
NA
0.00
0.00
Total LAIF 60,496,038.48 4.57%
60,496,038.48
60,496,038.48
1.00
4.57%
60,496,038.48
0.00
98.87%
0.00
NA/NA
NA
0.00
0.00
Total Portfolio 61,188,583.91 4.52%
61,188,583.91
61,188,583.91
1.00
4.52%
61,188,583.91
0.00
100.00%
0.00
Aaa/AAA
AAA
0.00
0.00
Total Market
Value + Accrued 61,188,583.91
38
,-._,.. CHANDLER
~, •• ASSET MANAGEMENT
TRANSACTIONS
39
1-,,a CHANDLER
"'--ASSET MANAGEMENT
TRANSACTION LEDGER
City of San Rafael | Account #11045|07/01/2024 Through 09/30/2024|
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp
Yield Amount Interest Pur/
Sold Total Amount Gain/Loss
ACQUISITIONS
Purchase 07/17/2024 713448FX1 500,000.00 PEPSICO INC 4.5
07/17/2029 99.898 4.52%0.00 (499,490.00)0.00
Purchase 07/23/2024 3133ERMB4 750,000.00
FEDERAL FARM
CREDIT BANKS
FUNDING CORP 4.25
07/23/2027
99.969 4.26%0.00 (749,767.50)0.00
Purchase 08/14/2024 532457CP1 305,000.00 ELI LILLY AND CO
4.15 08/14/2027 99.919 4.18%0.00 (304,752.95)0.00
Purchase 08/20/2024 3133ERNP2 1,000,000.00
FEDERAL FARM
CREDIT BANKS
FUNDING CORP 4.0
08/06/2027
3.92%(1,555.56)(1,003,845.56)0.00
Purchase 09/19/2024 91282CEM9 750,000.00
UNITED STATES
TREASURY 2.875
04/30/2029
97.324 3.51%(8,320.31)(738,251.95)0.00
Purchase 09/27/2024 91282CLK5 650,000.00
UNITED STATES
TREASURY 3.625
08/31/2029
3.56%(1,757.42)(653,712.50)0.00
Total Purchase 3,955,000.00 (11,633.29)(3,949,820.46)0.00
TOTAL
ACQUISITIONS 3,955,000.00 (11,633.29)(3,949,820.46)0.00
DISPOSITIONS
Maturity 07/02/2024 3135G0V75 (750,000.00)
FEDERAL NATIONAL
MORTGAGE
ASSOCIATION 1.75
07/02/2024
1.75%750,000.00 0.00 750,000.00 0.00
Maturity 08/15/2024 912828D56 (700,000.00)
UNITED STATES
TREASURY 2.375
08/15/2024
2.38%700,000.00 0.00 700,000.00 0.00
40
,-._,.. CHANDLER
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TRANSACTION LEDGER
City of San Rafael | Account #11045|07/01/2024 Through 09/30/2024|
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp
Yield Amount Interest Pur/
Sold Total Amount Gain/Loss
Maturity 09/30/2024 9128282Y5
UNITED STATES
TREASURY 2.125
09/30/2024
2.13%0.00 1,000,000.00 0.00
Total Maturity 0.00 2,450,000.00 0.00
Sale 07/23/2024 912828D56 (300,000.00)
UNITED STATES
TREASURY 2.375
08/15/2024
99.809 0.07%299,425.78 3,112.29 302,538.07 (1,010.10)
Sale 08/14/2024 46647PBH8 (600,000.00)
JPMORGAN
CHASE & CO 2.005
03/13/2026
98.054 3.26%588,324.00 5,045.92 593,369.92 (473.90)
Sale 09/19/2024 91282CEU1
UNITED STATES
TREASURY 2.875
06/15/2025
99.016 5.18%990,156.25 7,540.98 997,697.23 6,523.13
Total Sale 15,699.19 1,893,605.22 5,039.13
TOTAL
DISPOSITIONS 15,699.19 4,343,605.22 5,039.13
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TRANSACTION LEDGER
San Rafael Reporting | Account #11046|07/01/2024 Through 09/30/2024|
Transaction Type Settlement
Date CUSIP Quantity Security Description Price Acq/Disp
Yield Amount Interest Pur/
Sold Total Amount Gain/Loss
ACQUISITIONS
Purchase 07/15/2024 90LAIF$00 646,804.92
Local Agency
Investment Fund
State Pool
1.000 4.53%0.00 (646,804.92)0.00
Total Purchase 646,804.92 0.00 (646,804.92)0.00
TOTAL
ACQUISITIONS 646,804.92 0.00 (646,804.92)0.00
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IMPORTANT DISCLOSURES
2024 Chandler Asset Management, Inc, An Independent Registered Investment Adviser.
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.
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BENCHMARK DISCLOSURES
Benchmark Disclosure
ICE BofA 1-3 Yr US Treasury & Agency Index
The ICE BofA 1-3 Year US Treasury & Agency Index tracks the performance of US dollar denominated US Treasury and
nonsubordinated US agency debt issued in the US domestic market. Qualifying securities must have an investment grade rating
(based on an average of Moody’s, 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.
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