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Fin City Quarterly Investment Report
____________________________________________________________________________________ FOR CITY CLERK ONLY Council Meeting: July 20, 2020 Disposition: Accepted report Agenda Item No: 4.e Meeting Date: July 20, 2020 SAN RAFAEL CITY COUNCIL AGENDA REPORT Department: Finance Department Prepared by: Nadine Atieh Hade Finance Director City Manager Approval: ______________ TOPIC: QUARTERLY INVESTMENT REPORT SUBJECT: ACCEPTANCE OF CITY OF SAN RAFAEL QUARTERLY INVESTMENT REPORT FOR THE QUARTER ENDING JUNE 30, 2020 RECOMMENDATION: Accept investment report for the quarter ending June 30, 2020, as presented. BACKGROUND: Pursuant to the State of California Government Code Section 53601, and the City’s investment policy, last approved by the City Council on June 15, 2020, staff provides the City Council a quarterly report on the City's investment activities and liquidity. Included in the report are 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 San Rafael Redevelopment Agency. The City invests a portion 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 its investment advisor, Insight Investment. In addition to operational funds the City manages, the City is also directing the investment of funds held by a Trustee for the Essential Public Safety Facilities. As of June 30, 2020, the balance was $10,935,070 and the portfolio had a yield of 0.51 percent. ANALYSIS: As of June 30, 2020, the primary LAIF account had a balance of $32,962,961. The other LAIF account holding housing funds for future administrative expenses contained $153,640. Portfolio returns on LAIF deposits were 1.22% for the quarter ending June 30, 2020. The remaining investment assets included the $1,315,100 balance of Pt. San Pedro Assessment District bonds, and $23,230,078 in government agency securities and corporate bonds (including American Honda Finance, Bank of America, Wells Fargo, Walt Disney, JP Morgan Chase, American Express, US Bancorp, Citibank, Pfizer Inc., Caterpillar Inc., Walmart Inc., Apple Inc., and PNC Bank). The overall total portfolio returns for the quarter ended June 30, 2020 were 1.53%. The City’s Westamerica general operating bank account had a balance of $3,154,721 at quarter end. SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2 Exhibit A is composed of four parts: (1) Quarterly Investment Portfolio Report; (2) Historical Activity By Quarter summarizing the City’s investments; (3) the three monthly investment reports from Insight Investment for the quarter; and (4) the two CAMP Lease Revenue Bonds Series 2018 Project Fund Account 7023-001 and Capitalized Interest Account 7023-002 for the month ending June 2020. FISCAL IMPACT: No financial impact occurs by adopting the report. The City continues to meet the priority principles of investing - safety, liquidity, and yield in respective order. The portfolio remains conservatively invested. Sufficient liquidity exists to meet daily operating and capital project requirements for the next six months. Operating funds, as defined for this report, exclude cash held with fiscal agents for the payment of bond principal and interest. RECOMMENDATION: Accept investment report for the quarter ending June 30, 2020, as presented. ATTACHMENTS: Exhibit A: 1. Quarterly Investment Portfolio Report 2. Historical Activity by Quarter Report 3. Insight Investment Statements, April through June 2020 4. CAMP Lease Revenue Bonds Series 2018 Project Fund & Capitalize Interest Statements for the Month Ending June 30, 2020 SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3 I CERTIFY THAT ALL INVESTMENTS MADE ARE IN CONFORMANCE WITH THE CITY’S APPROVED INVESTMENT POLICY AND STATE INVESTMENT REGULATIONS. THE CITY HAS SUFFICIENT LIQUIDITY TO MEET ALL OF THE OBLIGATIONS REQUIRED DURING THE NEXT SIX-MONTH PERIOD. NADINE ATIEH HADE FINANCE DIRECTOR Exhibit A %Return LAIF 32,200,595$ 97.2%1.22% LAIF - RDA 153,640$ 0.5%1.22% LAIF - RDA 02 TARB 762,366$ 2.3%1.22% Total Internally Managed 33,116,601$ 57.4% Weighted Average Yield 1.22% Days Effective Average Duration - Internal 1 Weighted Average Maturity - Internal 1 %Return Cash 1,784,838$ 7.3%0.00% Treasury Securities 2,476,872$ 10.1%1.49% Instrumentality Securities 12,218,650$ 49.8%1.80% Corporate Notes 6,749,718$ 27.5%2.23% Municipal 1,315,100$ 5.4%5.25% Total Externally Managed 24,545,178$ 42.6% Weighted Average Yield 1.94% Years Effective Average Duration - External 1.83 Weighted Average Maturity - External 2.07 Total Portfolio Assets %Return LAIF 33,116,601$ 57.4%1.22% Cash 1,784,838$ 3.1%0.00% Treasury Securities 2,476,872$ 4.3%1.49% Instrumentality Securities 12,218,650$ 21.2%1.80% Corporate Notes 6,749,718$ 11.7%2.23% Municipal 1,315,100$ 2.3%5.25% Total Portfolio Assets 57,661,779$ Weighted Average Yield 1.53% Years Effective Average Duration - Total 0.78 Weighted Average Maturity - Total 0.88 Based on Market Values June 30, 2020 City of Rafael Quarterly Investment Portfolio Report Externally Managed Assets Internally Managed Assets LAIF, 97.2% LAIF -RDA, 0.5% LAIF -RDA 02 TARB, 2.3% Cash , 7.3%Treasury Securities, 10.1% Instrumentality Securities, 49.8% Corporate Notes, 27.5% Municipal, 5.4% LAIF 58% Cash 3%Treasury Securities 4% Instrumentality Securities 21% Corporate Notes 12%Municipal 2% Exhibit A Internally Managed Assets %Return %Return %Return %Return %Return %Return LAIF 32,962,961$ 99.5%1.22%22,847,933$ 99.3%1.78%22,767,096$ 99.3%2.04%12,680,946$ 98.8%2.28%17,597,984$ 99.2%2.43%12,519,411$ 98.8%2.44% LAIF - Housing 153,640$ 0.5%1.22%152,871$ 0.7%1.78%151,998$ 0.7%2.04%151,067$ 1.2%2.28%150,108$ 0.8%2.43%149,172$ 1.2%2.44% Total Internally Managed 33,116,601$ 57.4%23,000,804$ 48.6%22,919,094$ 49.0%12,832,013$ 34.9%17,748,092$ 42.8%12,668,583$ 35.0% Weighted Average Yield 1.22%1.78%2.04%2.28%2.43%2.44% Externally Managed Assets %Return %Return %Return %Return %Return %Return Cash 1,784,838$ 135.7%0.00%57,810$ 4.4%0.00%39,382$ 3.0%0.00%-$ 0.0%0.00%52,950$ 3.8%0.00%137,947$ 0.6%0.00% Commercial Paper -$ 0.0%0.00%-$ 0.0%0.00%-$ 0.0%0.00%-$ 0.0%0.00%-$ 0.0%0.00%-$ 0.0%0.00% Treasury Securities 2,476,872$ 10.1%1.49%3,083,104$ 12.7%1.54%3,010,993$ 12.6%1.55%4,569,064$ 19.1%1.47%4,064,551$ 17.1%1.64%4,469,213$ 19.0%1.61% Instrumentality Securities 12,218,650$ 49.8%1.80%13,227,918$ 54.4%1.81%13,379,064$ 56.0%1.80%15,010,194$ 62.8%1.83%14,234,066$ 60.0%1.68%14,048,805$ 59.6%1.70% Corporate Notes 6,749,718$ 27.5%2.23%6,636,962$ 27.3%2.23%6,157,409$ 25.8%2.25%2,994,607$ 12.5%2.51%3,988,410$ 16.8%2.68%3,534,412$ 15.0%2.52% Municipal/Assessment District 1,315,100$ 5.4%5.25%1,315,100$ 5.4%5.25%1,315,100$ 5.5%5.25%1,315,100$ 5.5%5.25%1,387,200$ 5.8%5.25%1,387,200$ 5.9%5.25% Total Externally Managed 24,545,178$ 42.6%24,320,894$ 51.4%23,901,948$ 51.0%23,888,965$ 65.1%23,727,176$ 57.2%23,577,577$ 65.0% Weighted Average Yield 1.94%2.07%2.07%2.03%2.05%2.00% Years Years Years Years Years Years Effective Average Duration - External 1.83 2.07 2.10 1.86 1.34 1.34 Weighted Average Maturity - External 2.07 2.32 2.39 2.13 1.60 1.60 Total Portfolio Assets %Return %Return %Return %Return %Return %Return LAIF 33,116,601$ 57.4%1.22%23,000,804$ 48.6%1.78%22,919,094$ 49.0%2.04%12,832,013$ 34.9%2.28%17,748,092$ 42.8%2.43%12,668,583$ 35.0%2.44% Cash 1,784,838$ 3.1%0.00%57,810$ 0.1%0.00%39,382$ 0.1%0.00%-$ 0.0%0.00%52,950$ 0.1%0.00%137,947$ 0.4%0.00% Treasury Securities 2,476,872$ 4.3%1.49%3,083,104$ 6.5%1.54%3,010,993$ 6.4%1.55%4,569,064$ 12.4%1.47%4,064,551$ 9.8%1.64%4,469,213$ 12.3%1.61% Instrumentality Securities 12,218,650$ 21.2%1.80%13,227,918$ 28.0%1.81%13,379,064$ 28.6%1.80%15,010,194$ 40.9%1.83%14,234,066$ 34.3%1.68%14,048,805$ 38.8%1.70% Corporate Notes 6,749,718$ 11.7%2.23%6,636,962$ 14.0%2.23%6,157,409$ 13.2%2.25%2,994,607$ 8.2%2.51%3,988,410$ 9.6%2.68%3,534,412$ 9.8%2.52% Municipal/Assessment District 1,315,100$ 2.3%5.25%1,315,100$ 2.8%5.25%1,315,100$ 2.8%5.25%1,315,100$ 3.6%5.25%1,387,200$ 3.3%5.25%1,387,200$ 3.8%5.25% 57,661,778$ 47,321,697$ 46,821,041$ 36,720,977$ 41,475,267$ 36,246,160$ Total Portfolio Assets Weighted Average Yield 1.53%1.93%2.06%2.12%2.21%2.16% Years Years Years Years Years Years Effective Average Duration - Total 0.78 1.07 1.07 1.21 0.77 0.87 Weighted Average Maturity - Total 0.88 1.19 1.22 1.39 0.92 1.04 Performance Recap -The weighted average quarterly portfolio yield decreased from 1.93% to 1.53% during the past quarter. The yield has decrease over the past year, from 2.21% in the quarter ended June 30, 2019 to 1.53% in the most recent quarter. This trend is reflective of the general decrease in interest rates that occurred througout the year. -The effective average duration has decreased, from 1.07 to 0.78 years since last quarter due to an increase in LAIF assets. -The total portfolio assets increased by approximately $10 million during the quarter. This is due to the investment of a portion of property tax receipts received in April. City of San Rafael Historical Activity-By Quarter March 31, 2020 December 31, 2019 September 30, 2019 June 30, 2019 March 31, 2019June 30, 2020 W:\Accounting and Budgeting\Finance\Bank Reconciliations\Statements\19-20\12 - June 2020\Insight-Quarterly Report combined 06-30-20 FOR PROFESSIONAL CLIENTS ONLYNOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVALPLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENTSAN RAFAELApril 2020 SECURITIES HELDPar value or Trade Purchase % PortfolioCusip DescriptionCoupon Maturity shares Historical cost date yield hist costCash and Cash EquivalentsCash and Cash Equivalents92,344.00 92,344.000.38Total Cash and Cash Equivalents92,344.0092,344.000.38Corporate Bonds02665WBT7 AMERICAN HONDA FINANCE CORP1.950 07/20/2020 500,000.00 492,340.00 01/02/2019 2.98 2.0506051GFT1 BANK OF AMERICA CORP - BOA2.625 10/19/2020 500,000.00 504,515.00 03/11/2020 1.11 2.1094974BFR6 WELLS FARGO AND CO3.000 01/22/2021 500,000.00 501,180.00 03/18/2020 2.71 2.09254687CK0 WALT DISNEY CO4.500 02/15/2021 500,000.00 515,190.00 12/17/2019 1.83 2.1446625HQJ2 JP MORGAN CHASE & CO2.550 03/01/2021 500,000.00 494,725.00 01/25/2019 3.08 2.060258M0EB1 AMERICAN EXPRESS CREDIT CORP2.250 05/05/2021 550,000.00 552,667.50 12/17/2019 1.89 2.3091159HHA1 US BANCORP/MN4.125 05/24/2021 500,000.00 514,880.00 12/18/2019 1.98 2.1417325FAQ1 CITIBANK NA - CITIBANK3.400 07/23/2021 500,000.00 507,030.00 05/29/2019 2.72 2.11717081DZ3 PFIZER INC2.200 12/15/2021 500,000.00 503,615.00 12/17/2019 1.83 2.10149123BX8 CATERPILLAR INC2.600 06/26/2022 500,000.00 500,300.00 05/16/2019 2.58 2.08931142DH3 WAL-MART STORES INC2.550 04/11/2023 500,000.00 509,155.00 09/17/2019 2.01 2.12037833AK6 APPLE INC2.400 05/03/2023 500,000.00 506,880.00 09/17/2019 2.00 2.11693475AV7 PNC FINANCIAL SERVICES GROUP I3.500 01/23/2024 500,000.00 523,455.00 07/26/2019 2.39 2.18Total Corporate Bonds6,550,000.006,625,932.502.2327.58Government Agencies313383HU8 FEDERAL HOME LOAN BANKS1.750 06/12/2020 1,000,000.00 996,870.00 11/27/2017 1.884.153133EHVX8 FEDERAL FARM CREDIT BANKS FUNDING CORP 1.50008/24/2020 1,000,000.00 999,190.00 09/12/2017 1.53 4.163135G0RM7 FEDERAL NATIONAL MORTGAGE ASSOCIATION 1.63010/30/2020 1,000,000.00 1,003,410.00 08/31/2017 1.52 4.183133EJ4Q9 FEDERAL FARM CREDIT BANKS FUNDING CORP 2.550 01/11/2021 500,000.00 499,100.00 01/25/2019 2.64 2.08313373ZY1 FEDERAL HOME LOAN BANKS3.625 06/11/2021 1,000,000.00 1,024,040.00 03/07/2019 2.52 4.26313378JP7 FEDERAL HOME LOAN BANKS2.375 09/10/2021 600,000.00 602,430.00 05/15/2019 2.19 2.513135G0Q89 FEDERAL NATIONAL MORTGAGE ASSOCIATION 1.37510/07/2021 1,100,000.00 1,099,318.00 02/10/2020 1.41 4.583137EADB2 FEDERAL HOME LOAN MORTGAGE COR2.375 01/13/2022 1,650,000.00 1,676,634.30 09/30/2019 1.65 6.98313378WG2 FEDERAL HOME LOAN BANKS2.500 03/11/2022 1,000,000.00 1,016,330.00 06/13/2019 1.89 4.233135G0T78 FEDERAL NATIONAL MORTGAGE ASSOCIATION 2.00010/05/2022 600,000.00 601,716.00 07/09/2019 1.91 2.503130A3KM5 FEDERAL HOME LOAN BANKS2.500 12/09/2022 1,000,000.00 1,021,240.00 07/01/2019 1.86 4.253135G0U43 FEDERAL NATIONAL MORTGAGE ASSOCIATION 2.87509/12/2023 1,000,000.00 1,047,553.22 09/24/2019 1.63 4.363135G0V34 FEDERAL NATIONAL MORTGAGE ASSOCIATION 2.500 02/05/2024 600,000.00 621,262.80 10/21/2019 1.64 2.593135G0V75 FEDERAL NATIONAL MORTGAGE ASSOCIATION 1.750 07/02/2024 750,000.00 753,426.75 11/04/2019 1.65 3.14Total Government Agencies12,800,000.0012,962,521.071.8153.96Government BondsSAN RAFAELAs of April 30, 2020 SECURITIES HELDPar value or Trade Purchase % PortfolioCusip DescriptionCoupon Maturity shares Historical cost date yield hist costSAN RAFAELAs of April 30, 2020912828X96 UNITED STATES TREASURY NOTE/BOND1.500 05/15/2020 600,000.00 596,554.69 11/10/2017 1.74 2.48912828XM7 UNITED STATES TREASURY NOTE/BOND1.625 07/31/2020 1,000,000.00 1,005,742.19 08/31/2017 1.42 4.19912828M80 UNITED STATES TREASURY NOTE/BOND2.000 11/30/2022 750,000.00 762,072.83 01/27/2020 1.42 3.17912828U57 UNITED STATES TREASURY NOTE/BOND2.125 11/30/2023 650,000.00 661,529.52 10/28/2019 1.67 2.75Total Government Bonds3,000,000.003,025,899.231.5412.60Municipal/Provincial Bonds888599LS4 PT. SAN ASSESS DISTRICT5.250 09/02/2032 1,315,100.00 1,315,100.00 03/01/2014 5.25 5.47Total Municipal/Provincial Bonds1,315,100.001,315,100.005.255.47Grand Total23,757,444.0024,021,796.802.07100.00 ADDITIONAL INFORMATIONAs of April 30, 2020SAN RAFAELPast performance is not a guide to future performance. The value of investments and any income from them will fluctuate and is not guaranteed (this may partly be due to exchange rate changes) and investors may not getback the amount invested. Transactions in foreign securities may be executed and settled in local markets. Performance comparisons will be affected by changes in interest rates. Investment returns fluctuate due to changesin market conditions. Investment involves risk, including the possible loss of principal. No assurance can be given that the performance objectives of a given strategy will be achieved. The information contained herein is foryour reference only and is being provided in response to your specific request and has been obtained from sources believed to be reliable; however, no representation is made regarding its accuracy or completeness. Thisdocument must not be used for the purpose of an offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or otherwise not permitted. This document should not beduplicated, amended, or forwarded to a third party without consent from Insight. This is a marketing document intended for professional clients only and should not be made available to or relied upon by retail clientsInvestment advisory services in North America are provided through two different SEC-registered investment advisers using the brand Insight Investment: Insight North America LLC (INA) and Insight Investment InternationalLimited (IIIL). The North American investment advisers are associated with a broader group of global investment managers that also (individually and collectively) use the corporate brand Insight Investment and may bereferred to as Insight, Insight Group or Insight Investment.INA is an investment adviser registered with the Securities and Exchange Commission (SEC), under the Investment Advisers Act of 1940, as amended. Registration with the SEC does not imply a certain level of skill or training.You may request, without charge, additional information about Insight. Moreover, specific information relating to Insights strategies, including investment advisory fees, may be obtained from INA's Form ADV Part 2A, which isavailable without charge upon request.Where indicated, performance numbers used in the analysis are gross returns. The performance reflects the reinvestment of all dividends and income. INA charges management fees on all portfolios managed and these feeswill reduce the returns on the portfolios. For example, assume that $30 million is invested in an account with INA, and this account achieves a 5.0% annual return compounded monthly, gross of fees, for a period of five years.At the end of five years that account would have grown to $38,500,760 before the deduction of management fees. Assuming management fees of 0.25% per year are deducted monthly from the account, the value at the end ofthe five year period would be $38,022,447. Actual fees for new accounts are dependent on size and subject to negotiation. INA's investment advisory fees are discussed in Part 2A of its Form ADV.Unless otherwise stated, the source of information is Insight. Any forecasts or opinions are Insight’s own at the date of this document (or as otherwise specified) and may change. Material in this publication is for generalinformation only and is not advice, investment advice, or the recommendation of any purchase or sale of any security. Insight makes no implied or expressed recommendations concerning the manner in which an accountshould or would be handled, as appropriate investment strategies depend upon specific investment guidelines and objectives and should not be construed to be an assurance that any particular security in a strategy willremain in any fund, account, or strategy, or that a previously held security will not be repurchased. It should not be assumed that any of the security transactions or holdings referenced herein have been or will prove to beprofitable or that future investment decisions will be profitable or will equal or exceed the past investment performance of the securities listed.Please compare the information provided in this statement to the information provided in the statement received from your Custodian.For trading activity the Clearing broker will be reflected. In certain cases the Clearing broker will differ from the Executing broker.In calculating ratings distributions and weighted average portfolio quality, Insight assigns U.S Treasury and U.S agency securities a quality rating based on the methodology used within the respective benchmark index. WhenMoody’s, S&P and Fitch rate a security, Bank of America and Merrill Lynch indexes assign a simple weighted average statistic while Barclays indexes assign the median statistic. Insight assigns all other securities the lower ofMoody’s and S&P ratings.Information about the indices shown here is provided to allow for comparison of the performance of the strategy to that of certain well-known and widely recognized indices. There is no representation that such index is anappropriate benchmark for such comparison. You cannot invest directly in an index and the indices represented do not take into account trading commissions and/or other brokerage or custodial costs. The volatility of theindices may be materially different from that of the strategy. In addition, the strategy’s holdings may differ substantially from the securities that comprise the indices shown.The BofA Merrill Lynch 3 Mo US T-Bill index is an unmanaged market index of U.S. Treasury securities maturing in 90 days that assumes reinvestment of all income.The BofA Merrill Lynch 6 Mo US T-Bill index measures the performance of Treasury bills with time to maturity of less than 6 months.The BofA Merrill Lynch Current 1-Year US Treasury Index is a one-security index comprised of the most recently issued 1-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 1-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 3-Year US Treasury Index is a one-security index comprised of the most recently issued 3-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 3-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 5-Year US Treasury Index is a one-security index comprised of the most recently issued 5-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 5-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch 1-3 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.The BofA Merrill Lynch 1-5 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than five years. ADDITIONAL INFORMATIONAs of April 30, 2020SAN RAFAELInsight does not provide tax or legal advice to its clients and all investors are strongly urged to consult their tax and legal advisors regarding any potential strategy or investment.Insight is a group of wholly owned subsidiaries of The Bank of New York Mellon Corporation. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to referencethe Corporation as a whole or its various subsidiaries generally. Products and services may be provided under various brand names and in various countries by subsidiaries, affiliates and joint ventures of The Bank of New YorkMellon Corporation where authorized and regulated as required within each jurisdiction. Unless you are notified to the contrary, the products and services mentioned are not insured by the FDIC (or by any governmental entity)and are not guaranteed by or obligations of The Bank of New York Mellon Corporation or any of its affiliates. The Bank of New York Corporation assumes no responsibility for the accuracy or completeness of the above data anddisclaims all expressed or implied warranties in connection therewith.© 2020 Insight Investment. All rights reserved. FOR PROFESSIONAL CLIENTS ONLYNOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVALPLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENTSAN RAFAELMay 2020 ContentsFixed income market review 3Activity and performance summary 4Recap of securities held6Maturity distribution of securities held 7Securities held8GASB 40 - Deposit and investment risk disclosure 12Securities sold and matured 16Transaction report17Additional information18 FIXED INCOME MARKET REVIEWAs of May 31, 2020SAN RAFAELChart 1: Continuing jobless claims remain at extreme levels but potentially peakSource:BloombergFinanceLP May31, 2020.Chart 2: Core CPI suffered largest drop on recordSource: Bloomberg Finance LP May 31, 2020.Economic Indicators and Monetary PolicyDuring the month, all states partially rolled back the most stringent of their ‘lockdown’measures as the growth of new reported COVID-19 cases and fatalities slowedmaterially.Economic data releases continued to be severely depressed. The unemploymentreport showed 22 million job losses in April and a 14.7% unemployment rate which,although not as bad as expected, was the worst since the Great Depression. The UScomposite PMI was 36.4, up from 27.0. Towards the end of the month, continuingjobless claims fell for the first time since the pandemic began, to 21m from 24.9m(Chart 1). Although still at extreme levels, this has historically signaled a peak in adownturn. Elsewhere, core CPI experienced a record decline of -0.4% in April (seeChart 2).On the political front, tensions with China continued to escalate as President Trumpthreatened tocut offthe relationship. China responded with threats of retaliatorymeasures against US companies and individuals. The House voted almostunanimously to pass a Senate bill authorizing sanctions against Chinese officials forhuman rights abuses against Muslim minorities. Reports also stated the US waslooking to sanction China over implementing a new national security law, curtailingthe rights of Hong Kong citizens. The US also offered to mediate India and China’sescalating Himalayan border conflict.The minutes of the latest Federal Reserve meeting struck a cautious note, stating“Members agreed that the Federal Reserve was committed to using its full range oftools to support the U.S. economy in this challenging time”, and there was significantdiscussion around providing forward guidance. Although markets projected negativerates in 2021, “respondents to Desk surveys attached almost no probability to theFOMC implementing negative policy rates."Interest Rate SummaryThe yield curve modestly steepened over the month, with 30-year yields increasing byaround 10bp, although the rest of the curve was not materially changed. At the end ofMay, the 3-month US Treasury bill yielded 0.15%, the 6-month US Treasury bill yielded0.19%, the 2-year US Treasury note yielded 0.16%, the 5-year US Treasury note yielded0.30% and the 10-year US Treasury note yielded 0.65%.330 25 20 5 0 Oct-17 Feb-18 Jun-18 2.6 2.4 2.2 2 1.8 1.6 1.4 1.2 Oct-18 Feb-19 Jun-19 Oct-19 Feb-20 --Continuingjobless claims Oct-14 May-15 Dec-15 Jul-16 Feb-17 Sep-17 Apr-18 1 ov-18 Jun-19 Jan-20 --Core CPI ACTIVITY AND PERFORMANCE SUMMARYFor the period May 1, 2020 - May 31, 2020SAN RAFAELAmortized Cost Basis Activity Summary23,965,855.09Opening balance27,000.38Income received27,000.38Total receipts(144.60)Expenses paid(144.60)Total disbursements0.00Interportfolio transfers0.00Total Interportfolio transfers0.00Realized gain (loss)0.00Change in accruals from security movement(9,474.52)Total amortization expense874.28Total OID/MKT accretion income0.00Return of capitalClosing balance23,984,110.63Ending fair value24,509,772.20525,661.57Unrealized gain (loss)Comparative Rates of Return (%)* Twelvemonth trailing* Sixmonth trailing* One monthFed Funds1.48 0.45 0.00Overnight Repo1.51 0.45 0.01Merrill Lynch 3m US Treas Bill 1.33 0.41 0.01Merrill Lynch 6m US Treas Bill 1.30 0.40 0.01ML 1 Year US Treasury Note 1.32 0.43 0.01ML 2 Year US Treasury Note 1.28 0.44 0.01ML 5 Year US Treasury Note 1.31 0.49 0.03* rates reflected are cumulativeSummary of Amortized Cost Basis Return for the PeriodTotal portfolioInterest earned50,965.05Accretion (amortization)(8,600.24)Realized gain (loss) on sales0.00Total income on portfolio42,364.81Average daily amortized cost23,976,650.90Period return (%)Weighted average final maturity in days787YTD return (%)Detail of Amortized Cost Basis ReturnInterestearnedRealizedgain (loss)Accretion(amortization)Totalincome0.00Cash and Cash Equivalents 0.38 0.00 0.380.00Corporate Bonds 16,307.27 (3,565.05) 12,742.220.00Government Agencies 24,516.84 (4,324.61) 20,192.230.00Government Bonds 4,195.21 (710.58) 3,484.630.00Municipal/Provincial Bonds 5,945.35 0.00 5,945.35Total 50,965.05 (8,600.24) 0.00 42,364.810.180.864 ACTIVITY AND PERFORMANCE SUMMARYFor the period May 1, 2020 - May 31, 2020SAN RAFAELFair Value Basis Activity Summary24,450,438.02Opening balance27,000.38Income received27,000.38Total receipts(144.60)Expenses paid(144.60)Total disbursements0.00Interportfolio transfers0.00Total Interportfolio transfers0.00Unrealized gain (loss) on security movements0.00Change in accruals from security movement0.00Return of capitalChange in fair value for the period32,478.40Ending fair value24,509,772.20Comparative Rates of Return (%)* Twelvemonth trailing* Sixmonth trailing* One monthFed Funds1.48 0.45 0.00Overnight Repo1.51 0.45 0.01ICE BofAML 3 Months US T-BILL 1.84 0.73 0.00ICE ML 6m US Treas Bill 2.37 1.08 (0.02)ICE ML 1 Year US Treasury Note 3.23 1.83 (0.02)ICE ML US Treasury 1-3 4.58 3.14 0.07ICE ML US Treasury 1-5 5.87 4.18 0.14* rates reflected are cumulativeDetail of Fair Value Basis ReturnInterestearnedChange infair valueTotalincomeCash and Cash Equivalents 0.38 0.00 0.38Corporate Bonds 16,307.27 34,908.04 51,215.31Government Agencies 24,516.84 (1,216.81) 23,300.03Government Bonds 4,195.21 (1,212.83) 2,982.38Municipal/Provincial Bonds 5,945.35 0.00 5,945.35Total50,965.05 32,478.40 83,443.45Summary of Fair Value Basis Return for the PeriodTotal portfolioInterest earned50,965.05Total income on portfolio83,443.45Average daily total value *24,641,925.12Period return (%)0.34Weighted average final maturity in days787Change in fair value32,478.40YTD return (%)2.74* Total value equals market value and accrued interest5 RECAP OF SECURITIES HELDAs of May 31, 2020SAN RAFAELWeightedaveragefinalmaturity (days)Weightedaverageeffectiveduration (years)PercentofportfolioAmortizedcostHistoricalcostFair value Unrealizedgain (loss)Cash and Cash Equivalents719,199.78 719,199.78 719,199.780.002.990.001Corporate Bonds6,625,932.50 6,610,353.85 6,757,463.77 147,109.92530 27.551.34Government Agencies12,962,521.07 12,918,646.53 13,238,410.31 319,763.78611 53.891.62Government Bonds2,429,344.54 2,420,810.47 2,479,598.34 58,787.87662 10.101.76Municipal/Provincial Bonds1,315,100.00 1,315,100.00 1,315,100.000.004,479 5.478.95Total24,052,097.89 23,984,110.63 24,509,772.20 525,661.57787 100.001.91Cash and Cash EquivalentsCorporate BondsGovernment AgenciesGovernment BondsMunicipal/Provincial BondsPortfolio diversification (%)Cash and Cash Equivalents2.99Corporate Bonds27.55Government Agencies53.89Government Bonds10.10Municipal/Provincial Bonds5.47Portfolio diversification (%)6■ ■ ■ ■ ■ Total 100.00 MATURITY DISTRIBUTION OF SECURITIES HELDAs of May 31, 2020SAN RAFAELMaturityHistoric cost PercentUnder 90 days4,213,341.97 17.5290 to 179 days1,507,925.00 6.27180 days to 1 year3,077,742.50 12.801 to 2 years6,929,697.30 28.812 to 3 years3,401,063.83 14.143 to 4 years2,853,800.54 11.874 to 5 years753,426.75 3.13Over 5 years1,315,100.00 5.4724,052,097.89 100.00Maturity distribution0.002.004.006.008.00Historical cost (mm)Under 90 days90 to 179 days180 days to 1 year1 to 2 years2 to 3 years3 to 4 years4 to 5 yearsOver 5 years7 SECURITIES HELDAs of May 31, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesCash and Cash Equivalents0.000719,199.78 719,199.780.000.00 0.00 0.00 0.000.00 0.00Cash and Cash Equivalents2.99719,199.78719,199.78Total Cash and Cash Equivalents719,199.78 719,199.78 719,199.78 0.00 0.00 0.000.00 0.002.990.000.00719,199.78Corporate Bonds02665WBT7 1.950 07/20/2020 492,340.00 499,314.85297.411,527.56 0.00 839.59 3,547.920.00 411.09AMERICAN HONDA FINANCE1.95% 20JUL20202.05500,842.41500,000.0006051GFT1 2.625 10/19/2020 504,515.00 502,865.68935.821,473.47 0.00 1,130.21 1,531.250.00 (618.50)BANK OF AMERICA CORP2.625% 19OCT20202.10504,339.15500,000.0094974BFR6 3.000 01/22/2021 501,180.00 500,897.571,383.906,790.96 0.00 1,291.67 5,375.000.00 (116.07)WELLS FARGO & COMPANY 3%22JAN20212.08507,688.53500,000.00254687CK0 4.500 02/15/2021 515,190.00 509,244.511,020.714,520.85 0.00 1,937.50 6,625.000.00 (1,087.59)WALT DISNEY COMPANY/THE4.5% 15FEB20212.14513,765.36500,000.0046625HQJ2 2.550 03/01/2021 494,725.00 498,111.59797.458,748.55 0.00 1,097.92 3,187.5002/01/2021 0.00 209.05JPMORGAN CHASE & CO 2.55%01MAR2021 (CALLABLE01FEB21)2.06506,860.14500,000.000258M0EB1 2.250 05/05/2021 552,667.50 551,732.742,347.686,373.63 6,187.50 1,065.62 893.7504/04/2021 0.00 (170.99)AMERICAN EXPRESS CREDIT2.25% 05MAY2021 (CALLABLE04APR21)2.30558,106.37550,000.0091159HHA1 4.125 05/24/2021 514,880.00 509,889.381,155.806,913.04 10,312.50 1,776.04 401.0404/23/2021 0.00 (918.52)US BANCORP 4.125%24MAY2021 (CALLABLE23APR21)2.14516,802.42500,000.008 SECURITIES HELDAs of May 31, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesCorporate Bonds17325FAQ1 3.400 07/23/2021 507,030.00 503,614.083,364.8111,747.32 0.00 1,463.88 6,044.4406/23/2021 0.00 (283.09)CITIBANK NA 3.4% 23JUL2021(CALLABLE 23JUN21)2.11515,361.40500,000.00717081DZ3 2.200 12/15/2021 503,615.00 502,790.445,151.3813,385.33 0.00 947.22 5,072.220.00 (150.83)PFIZER INC 2.2% 15DEC20212.09516,175.77500,000.00149123BX8 2.600 06/26/2022 500,300.00 500,190.882,082.4917,281.61 0.00 1,119.44 5,597.2203/26/2022 0.00 (8.73)CATERPILLAR INC 2.6%26JUN2022 (CALLABLE26MAR22)2.08517,472.49500,000.00931142DH3 2.550 04/11/2023 509,155.00 507,209.081,049.0219,575.00 0.00 1,097.91 1,770.8301/11/2023 0.00 (229.84)WALMART INC 2.55%11APR2023 (CALLABLE11JAN23)2.12526,784.08500,000.00037833AK6 2.400 05/03/2023 506,880.00 505,542.955,080.4423,666.30 6,000.00 1,033.33 933.330.00 (157.92)APPLE INC 2.4% 03MAY20232.11529,209.25500,000.00693475AV7 3.500 01/23/2024 523,455.00 518,950.1010,241.1325,106.30 0.00 1,506.94 6,222.2212/24/2023 0.00 (443.11)PNC FINANCIAL SERVICES 3.5%23JAN2024 (CALLABLE23DEC23)2.18544,056.40500,000.00Total Corporate Bonds6,625,932.50 6,610,353.85 6,757,463.77 147,109.92 22,500.00 16,307.270.00 (3,565.05)27.5547,201.7234,908.046,550,000.00Government Agencies313383HU8 1.750 06/12/2020 996,870.00 999,959.00(1,379.70)538.97 0.00 1,506.95 8,215.280.00 102.52FEDERAL HOME LOAN BANK1.75% 12JUN20204.141,000,497.971,000,000.003133EHVX8 1.500 08/24/2020 999,190.00 999,935.99(1,247.63)4,041.94 0.00 1,291.67 4,041.670.00 22.86FEDERAL FARM CREDIT BANK1.5% 24AUG20204.151,003,977.931,000,000.009 SECURITIES HELDAs of May 31, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesGovernment Agencies3135G0RM7 1.630 10/30/2020 1,003,410.00 1,000,448.68(693.80)4,449.23 0.00 1,358.33 1,358.330.00 (86.75)FANNIE MAE 1.63%30OCT2020 CALLABLE4.171,004,897.911,000,000.003133EJ4Q9 2.550 01/11/2021 499,100.00 499,718.67(965.12)6,723.08 0.00 1,097.91 4,958.330.00 38.19FEDERAL FARM CREDIT BANK2.55% 11JAN20212.08506,441.75500,000.00313373ZY1 3.625 06/11/2021 1,024,040.00 1,010,943.36(1,269.39)24,493.53 0.00 3,121.53 17,118.060.00 (884.91)FEDERAL HOME LOAN BANK3.625% 11JUN20214.261,035,436.891,000,000.00313378JP7 2.375 09/10/2021 602,430.00 601,337.08(451.43)14,817.34 0.00 1,227.08 3,206.250.00 (87.20)FEDERAL HOME LOAN BANK2.375% 10SEP20212.50616,154.42600,000.003135G0Q89 1.375 10/07/2021 1,099,318.00 1,099,444.59(609.21)18,030.96 0.00 1,302.43 2,268.750.00 34.21FANNIE MAE 1.375%07OCT20214.571,117,475.551,100,000.003137EADB2 2.375 01/13/2022 1,676,634.30 1,668,876.74(503.07)39,144.04 0.00 3,374.48 15,021.880.00 (937.37)FREDDIE MAC 2.375%13JAN20226.971,708,020.781,650,000.00313378WG2 2.500 03/11/2022 1,016,330.00 1,010,583.95(2,244.99)29,359.06 0.00 2,152.78 5,555.560.00 (495.35)FEDERAL HOME LOAN BANK2.5% 11MAR20224.231,039,943.011,000,000.003135G0T78 2.000 10/05/2022 601,716.00 601,242.52744.2523,725.82 0.00 1,033.34 1,866.670.00 (44.11)FANNIE MAE 2% 05OCT20222.50624,968.34600,000.003130A3KM5 2.500 12/09/2022 1,021,240.00 1,015,582.86(172.90)39,790.70 0.00 2,152.77 11,944.440.00 (514.28)FEDERAL HOME LOAN BANK2.5% 09DEC20224.251,055,373.561,000,000.003135G0U43 2.875 09/12/2023 1,047,553.22 1,039,333.732,360.2945,801.04 0.00 2,475.70 6,309.030.00 (998.32)FANNIE MAE 2.875%12SEP20234.361,085,134.771,000,000.0010 SECURITIES HELDAs of May 31, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesGovernment Agencies3135G0V34 2.500 02/05/2024 621,262.80 618,235.092,189.7730,138.06 0.00 1,291.66 4,833.330.00 (412.87)FANNIE MAE 2.5% 05FEB20242.58648,373.15600,000.003135G0V75 1.750 07/02/2024 753,426.75 753,004.273,026.1238,710.01 0.00 1,130.21 5,432.290.00 (61.23)FANNIE MAE 1.75% 02JUL20243.13791,714.28750,000.00Total Government Agencies12,962,521.07 12,918,646.53 13,238,410.31 319,763.78 0.00 24,516.840.00 (4,324.61)53.8992,129.87(1,216.81)12,800,000.00Government Bonds912828XM7 1.625 07/31/2020 1,005,742.19 1,000,328.90(1,331.33)2,150.30 0.00 1,383.93 5,401.790.00 (167.14)USA TREASURY 1.625%31JUL20204.181,002,479.201,000,000.00912828M80 2.000 11/30/2022 762,072.83 760,618.97(117.19)23,336.11 0.00 1,270.49 7,500.000.00 (360.56)USA TREASURY 2%30NOV20223.17783,955.08750,000.00912828U57 2.125 11/30/2023 661,529.52 659,862.60558.5933,301.46 0.00 1,169.91 6,906.250.00 (239.24)USA TREASURY 2.125%30NOV20232.75693,164.06650,000.00Total Government Bonds2,429,344.54 2,420,810.47 2,479,598.34 58,787.87 0.00 3,824.330.00 (766.94)10.1019,808.04(889.93)2,400,000.00Municipal/Provincial Bonds888599LS4 5.250 09/02/2032 1,315,100.00 1,315,100.000.000.00 0.00 5,945.35 17,068.900.00 0.00PT. SAN ASSESS DISTRICT5.25% 144A 02SEP2032SANRAF$015.471,315,100.001,315,100.00Total Municipal/Provincial Bonds1,315,100.00 1,315,100.00 1,315,100.00 0.00 0.00 5,945.350.00 0.005.4717,068.900.001,315,100.00Grand total24,052,097.89 23,984,110.6332,801.30525,661.57 22,500.00 50,593.7923,784,299.780.00 (8,656.60)100.00176,208.5324,509,772.2011 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of May 31, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesFederal National Mortgage Association3135G0RM7FANNIE MAE 1.63% 1.630 10/30/2020 AA+ Aaa 1,000,000.00 1,003,410.00 4.17 1,004,897.91 4.10 0.423135G0Q89FANNIE MAE 1.375% 1.375 10/07/2021 AA+ Aaa 1,100,000.00 1,099,318.00 4.57 1,117,475.55 4.56 1.343135G0T78FANNIE MAE 2% 2.000 10/05/2022 AA+ Aaa 600,000.00 601,716.00 2.50 624,968.34 2.55 2.293135G0U43FANNIE MAE 2.875% 2.875 09/12/2023 AA+ Aaa 1,000,000.00 1,047,553.22 4.36 1,085,134.77 4.43 3.143135G0V34FANNIE MAE 2.5% 2.500 02/05/2024 AA+ Aaa 600,000.00 621,262.80 2.58 648,373.15 2.65 3.513135G0V75FANNIE MAE 1.75% 1.750 07/02/2024 AA+ Aaa 750,000.00 753,426.75 3.13 791,714.28 3.23 3.93Issuer total5,050,000.00 5,126,686.77 21.31 5,272,564.00 21.51 2.28Federal Home Loan Banks313383HU8FEDERAL HOME LOAN 1.750 06/12/2020 AA+ Aaa 1,000,000.00 996,870.00 4.14 1,000,497.97 4.08 0.04313373ZY1FEDERAL HOME LOAN 3.625 06/11/2021 AA+ Aaa 1,000,000.00 1,024,040.00 4.26 1,035,436.89 4.22 1.00313378JP7FEDERAL HOME LOAN 2.375 09/10/2021 AA+ Aaa 600,000.00 602,430.00 2.50 616,154.42 2.51 1.26313378WG2FEDERAL HOME LOAN 2.500 03/11/2022 AA+ Aaa 1,000,000.00 1,016,330.00 4.23 1,039,943.01 4.24 1.733130A3KM5FEDERAL HOME LOAN 2.500 12/09/2022 AA+ Aaa 1,000,000.00 1,021,240.00 4.25 1,055,373.56 4.31 2.43Issuer total4,600,000.00 4,660,910.00 19.38 4,747,405.85 19.37 1.30United States Treasury Note/Bond912828XM7USA TREASURY 1.625% 1.625 07/31/2020 AA+ Aaa 1,000,000.00 1,005,742.19 4.18 1,002,479.20 4.09 0.17912828M80USA TREASURY 2% 2.000 11/30/2022 AA+ Aaa 750,000.00 762,072.83 3.17 783,955.08 3.20 2.45912828U57USA TREASURY 2.125% 2.125 11/30/2023 AA+ Aaa 650,000.00 661,529.52 2.75 693,164.06 2.83 3.39Issuer total2,400,000.00 2,429,344.54 10.10 2,479,598.34 10.12 1.76Federal Home Loan Mortgage Corp3137EADB2FREDDIE MAC 2.375% 2.375 01/13/2022 AA+ Aaa 1,650,000.001,676,634.30 6.97 1,708,020.78 6.97 1.58Issuer total1,650,000.00 1,676,634.30 6.97 1,708,020.78 6.97 1.5812 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of May 31, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesFederal Farm Credit Banks Funding Corp3133EHVX8FEDERAL FARM CREDIT 1.500 08/24/2020 AA+ Aaa 1,000,000.00 999,190.00 4.15 1,003,977.93 4.10 0.243133EJ4Q9FEDERAL FARM CREDIT 2.550 01/11/2021 AA+ Aaa 500,000.00 499,100.00 2.08 506,441.75 2.07 0.61Issuer total1,500,000.00 1,498,290.00 6.23 1,510,419.68 6.16 0.36PT. SAN ASSESS DISTRICT888599LS4PT. SAN ASSESS 5.250 09/02/2032 NR NR 1,315,100.00 1,315,100.00 5.47 1,315,100.00 5.37 8.95Issuer total1,315,100.00 1,315,100.00 5.47 1,315,100.00 5.37 8.95Cash and Cash EquivalentsINVESTED CASH 0.000719,199.78 719,199.78 0.00 719,199.78 2.93 0.00Issuer total719,199.78 719,199.78 0.00 719,199.78 2.93 0.00American Express Credit Corp0258M0EB1AMERICAN EXPRESS 2.250 05/05/2021 04/04/2021 A- A2 550,000.00 552,667.50 2.30 558,106.37 2.28 0.84Issuer total550,000.00 552,667.50 2.30 558,106.37 2.28 0.84PNC Financial Services Group Inc/The693475AV7PNC FINANCIAL 3.500 01/23/2024 12/24/2023 A- A3 500,000.00 523,455.00 2.18 544,056.40 2.22 3.34Issuer total500,000.00 523,455.00 2.18 544,056.40 2.22 3.34Apple Inc037833AK6APPLE INC 2.4% 2.400 05/03/2023 AA+ Aa1 500,000.00 506,880.00 2.11 529,209.25 2.16 2.83Issuer total500,000.00 506,880.00 2.11 529,209.25 2.16 2.83Walmart Inc931142DH3WALMART INC 2.55% 2.550 04/11/2023 01/11/2023 AA Aa2 500,000.00 509,155.00 2.12 526,784.08 2.15 2.55Issuer total500,000.00 509,155.00 2.12 526,784.08 2.15 2.5513 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of May 31, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesCaterpillar Inc149123BX8CATERPILLAR INC 2.6% 2.600 06/26/2022 03/26/2022 A A3 500,000.00 500,300.00 2.08 517,472.49 2.11 1.77Issuer total500,000.00 500,300.00 2.08 517,472.49 2.11 1.77US Bancorp91159HHA1US BANCORP 4.125% 4.125 05/24/2021 04/23/2021 A+ A1 500,000.00 514,880.00 2.14 516,802.42 2.11 0.89Issuer total500,000.00 514,880.00 2.14 516,802.42 2.11 0.89Pfizer Inc717081DZ3PFIZER INC 2.2% 2.200 12/15/2021 AA- A1 500,000.00 503,615.00 2.09 516,175.77 2.11 1.50Issuer total500,000.00 503,615.00 2.09 516,175.77 2.11 1.50Citibank NA17325FAQ1CITIBANK NA 3.4% 3.400 07/23/2021 06/23/2021 A+ Aa3 500,000.00 507,030.00 2.11 515,361.40 2.10 1.04Issuer total500,000.00 507,030.00 2.11 515,361.40 2.10 1.04Walt Disney Co/The254687CK0WALT DISNEY 4.500 02/15/2021 A- A2 500,000.00 515,190.00 2.14 513,765.36 2.10 0.70Issuer total500,000.00 515,190.00 2.14 513,765.36 2.10 0.70Wells Fargo & Co94974BFR6WELLS FARGO & 3.000 01/22/2021 A- A2 500,000.00 501,180.00 2.08 507,688.53 2.07 0.64Issuer total500,000.00 501,180.00 2.08 507,688.53 2.07 0.64JPMorgan Chase & Co46625HQJ2JPMORGAN CHASE & CO 2.550 03/01/2021 02/01/2021 A- A2 500,000.00 494,725.00 2.06 506,860.14 2.07 0.67Issuer total500,000.00 494,725.00 2.06 506,860.14 2.07 0.6714 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of May 31, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesBank of America Corp06051GFT1BANK OF AMERICA CORP 2.625 10/19/2020 A- A2 500,000.00 504,515.00 2.10 504,339.15 2.06 0.39Issuer total500,000.00 504,515.00 2.10 504,339.15 2.06 0.39American Honda Finance Corp02665WBT7AMERICAN HONDA 1.950 07/20/2020 A- A3 500,000.00 492,340.00 2.05 500,842.41 2.04 0.14Issuer total500,000.00 492,340.00 2.05 500,842.41 2.04 0.14Grand total23,784,299.78 24,052,097.89 100.00 24,509,772.20 100.001.9115 SECURITIES SOLD AND MATUREDFor the period May 1, 2020 - May 31, 2020SAN RAFAELHistorical cost Amortized costat sale or maturity/Accr (amort)Fair value atsale or maturity /Chg.in fair valueRealizedgain(loss)PriceCouponTrade dateSettle dateMaturity/Call datePar value orsharesCusip/Description/BrokerAccruedinterestsoldInterestreceivedInterestearnedGovernment Bonds912828X96UNITED STATES TREAS NTS1.5% DUE 05-15-2020 REG1.50005/15/2020 (600,000.00) 596,554.69 600,000.0056.360.00(322.90)600,000.00 0.00 0.00 4,500.00 370.8805/15/2020(600,000.00)0.00596,554.6956.36600,000.00(322.90)600,000.00 0.00 4,500.00 370.88Total (Government Bonds)Grand totalGrand total(600,000.00)0.00596,554.6956.36600,000.00 600,000.00 0.00 4,500.00 370.88(322.90)16 TRANSACTION REPORTFor the period May 1, 2020 - May 31, 2020SAN RAFAELMaturity Par value orsharesInterest Transaction totalPrincipalTransactionCusip Sec type DescriptionTrade dateSettle dateRealizedgain(loss)6,000.0005/03/202005/03/2020Income037833AK6 Corporate Bonds APPLE INC 2.4% 03MAY2023 05/03/2023 500,000.00 0.00 6,000.000.006,187.5005/05/202005/05/2020Income0258M0EB1 Corporate Bonds AMERICAN EXPRESS CREDIT 05/05/2021 550,000.00 0.00 6,187.500.004,500.0005/15/202005/15/2020Income912828X96 Government Bonds UNITED STATES TREAS NTS 05/15/2020 600,000.00 0.00 4,500.000.000.0005/15/202005/15/2020Capital Change912828X96 Government Bonds UNITED STATES TREAS NTS 05/15/2020 (600,000.00) 600,000.00 600,000.000.0010,312.5005/24/202005/24/2020Income91159HHA1 Corporate Bonds US BANCORP 4.125% 05/24/2021500,000.00 0.00 10,312.500.000.38Income Cash and Cash Equivalents Cash0.380.00 0.000.0005/31/202017 ADDITIONAL INFORMATIONAs of May 31, 2020SAN RAFAELPast performance is not a guide to future performance. The value of investments and any income from them will fluctuate and is not guaranteed (this may partly be due to exchange rate changes) and investors may not getback the amount invested. Transactions in foreign securities may be executed and settled in local markets. Performance comparisons will be affected by changes in interest rates. Investment returns fluctuate due to changesin market conditions. Investment involves risk, including the possible loss of principal. No assurance can be given that the performance objectives of a given strategy will be achieved. The information contained herein is foryour reference only and is being provided in response to your specific request and has been obtained from sources believed to be reliable; however, no representation is made regarding its accuracy or completeness. Thisdocument must not be used for the purpose of an offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or otherwise not permitted. This document should not beduplicated, amended, or forwarded to a third party without consent from Insight. This is a marketing document intended for professional clients only and should not be made available to or relied upon by retail clientsInvestment advisory services in North America are provided through two different SEC-registered investment advisers using the brand Insight Investment: Insight North America LLC (INA) and Insight Investment InternationalLimited (IIIL). The North American investment advisers are associated with a broader group of global investment managers that also (individually and collectively) use the corporate brand Insight Investment and may bereferred to as Insight, Insight Group or Insight Investment.INA is an investment adviser registered with the Securities and Exchange Commission (SEC), under the Investment Advisers Act of 1940, as amended. Registration with the SEC does not imply a certain level of skill or training.You may request, without charge, additional information about Insight. Moreover, specific information relating to Insights strategies, including investment advisory fees, may be obtained from INA's Form ADV Part 2A, which isavailable without charge upon request.Where indicated, performance numbers used in the analysis are gross returns. The performance reflects the reinvestment of all dividends and income. INA charges management fees on all portfolios managed and these feeswill reduce the returns on the portfolios. For example, assume that $30 million is invested in an account with INA, and this account achieves a 5.0% annual return compounded monthly, gross of fees, for a period of five years.At the end of five years that account would have grown to $38,500,760 before the deduction of management fees. Assuming management fees of 0.25% per year are deducted monthly from the account, the value at the end ofthe five year period would be $38,022,447. Actual fees for new accounts are dependent on size and subject to negotiation. INA's investment advisory fees are discussed in Part 2A of its Form ADV.Unless otherwise stated, the source of information is Insight. Any forecasts or opinions are Insight’s own at the date of this document (or as otherwise specified) and may change. Material in this publication is for generalinformation only and is not advice, investment advice, or the recommendation of any purchase or sale of any security. Insight makes no implied or expressed recommendations concerning the manner in which an accountshould or would be handled, as appropriate investment strategies depend upon specific investment guidelines and objectives and should not be construed to be an assurance that any particular security in a strategy willremain in any fund, account, or strategy, or that a previously held security will not be repurchased. It should not be assumed that any of the security transactions or holdings referenced herein have been or will prove to beprofitable or that future investment decisions will be profitable or will equal or exceed the past investment performance of the securities listed.Please compare the information provided in this statement to the information provided in the statement received from your Custodian.For trading activity the Clearing broker will be reflected. In certain cases the Clearing broker will differ from the Executing broker.In calculating ratings distributions and weighted average portfolio quality, Insight assigns U.S Treasury and U.S agency securities a quality rating based on the methodology used within the respective benchmark index. WhenMoody’s, S&P and Fitch rate a security, Bank of America and Merrill Lynch indexes assign a simple weighted average statistic while Barclays indexes assign the median statistic. Insight assigns all other securities the lower ofMoody’s and S&P ratings.Information about the indices shown here is provided to allow for comparison of the performance of the strategy to that of certain well-known and widely recognized indices. There is no representation that such index is anappropriate benchmark for such comparison. You cannot invest directly in an index and the indices represented do not take into account trading commissions and/or other brokerage or custodial costs. The volatility of theindices may be materially different from that of the strategy. In addition, the strategy’s holdings may differ substantially from the securities that comprise the indices shown.The BofA Merrill Lynch 3 Mo US T-Bill index is an unmanaged market index of U.S. Treasury securities maturing in 90 days that assumes reinvestment of all income.The BofA Merrill Lynch 6 Mo US T-Bill index measures the performance of Treasury bills with time to maturity of less than 6 months.The BofA Merrill Lynch Current 1-Year US Treasury Index is a one-security index comprised of the most recently issued 1-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 1-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 3-Year US Treasury Index is a one-security index comprised of the most recently issued 3-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 3-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 5-Year US Treasury Index is a one-security index comprised of the most recently issued 5-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 5-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch 1-3 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.The BofA Merrill Lynch 1-5 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than five years.18 ADDITIONAL INFORMATIONAs of May 31, 2020SAN RAFAELInsight does not provide tax or legal advice to its clients and all investors are strongly urged to consult their tax and legal advisors regarding any potential strategy or investment.Insight is a group of wholly owned subsidiaries of The Bank of New York Mellon Corporation. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to referencethe Corporation as a whole or its various subsidiaries generally. Products and services may be provided under various brand names and in various countries by subsidiaries, affiliates and joint ventures of The Bank of New YorkMellon Corporation where authorized and regulated as required within each jurisdiction. Unless you are notified to the contrary, the products and services mentioned are not insured by the FDIC (or by any governmental entity)and are not guaranteed by or obligations of The Bank of New York Mellon Corporation or any of its affiliates. The Bank of New York Corporation assumes no responsibility for the accuracy or completeness of the above data anddisclaims all expressed or implied warranties in connection therewith.© 2020 Insight Investment. All rights reserved.19 FOR PROFESSIONAL CLIENTS ONLYNOT TO BE REPRODUCED WITHOUT PRIOR WRITTEN APPROVALPLEASE REFER TO ALL RISK DISCLOSURES AT THE BACK OF THIS DOCUMENTSAN RAFAELJune 2020 ContentsFixed income market review 3Activity and performance summary 4Recap of securities held6Maturity distribution of securities held 7Securities held8GASB 40 - Deposit and investment risk disclosure 12Securities sold and matured 16Transaction report17Additional information18 FIXED INCOME MARKET REVIEWAs of June 30, 2020SAN RAFAELChart 1: Unemployment rate remains at post-Great Depression highsSource:BloombergFinanceLP,June 5,2020.Chart 2: Retail sales reboundSource: Bloomberg Finance LP, June 16, 2020.Economic Indicators and Monetary PolicyEconomic data, particularly relating to the consumer, generally came in better-than-expected. Monthly payrolls data increased by 2.5 million, beating expectations byaround $10 million – roughly the equivalent of New York State’s workforce.Nonetheless, this still left the unemployment rate at post-Great Depression highs of13.3%. May retail sales outperformed expectations at 17.7%, the biggest monthly gainsince 1992, after recording the largest monthly decline in April. However, therecovery in retailsales is only about halfway to its pre-COVIDFebruary level.A resurgence of new COVID-19 infections, particularly in southern and western statessuch as Arizona, Texas and Florida, led to concerns that healthcare systems couldbecome overstretched. Some reopening initiatives may be paused or even rolledback.The Federal Reserve (Fed) released its first ‘dot-plot’ this year, after March’s releasewas abandoned due to the uncertainty at the height of the crisis. FederalOpen MarketCommittee members collectively forecasted no change to interest rates until 2022.The Fed also committed to maintaining its Treasury and agency mortgage backedsecurity (MBS) purchasesat least at the current pacein coming months, which isa rate of at least $80 billion of Treasuries and $50 billion of MBS per month. This willlikely expand the Fed’s balance sheet to $8.5-$10trn by the end of 2020from$7.2trn currently and $4.2trn pre-crisis.The Fed also stated that it was considering a ‘yield curve control’ policy, which wouldinvolve the Fed explicitly targeting 2-year to 5-year Treasury yield levels rather thanjust setting the overnight interest rate. Chairman Powell stated yield curve controlremains anopen questionand that discussions would continue at furthermeetings.Interest Rate SummaryYields did not change materially over the month. At the end of June, the 3-month USTreasury bill yielded 0.15%, the 6-month US Treasury bill yielded 0.19%, the 2-year USTreasury note yielded 0.15%, the 5-year US Treasury note yielded 0.29% and the 10-year US Treasury note yielded 0.66%.316 14 12 10 8 6 4 2 0 May-15 20 15 10 5 0 -5 -10 -15 -20 May-15 May-16 May-17 May-18 May-19 May-20 --Unemployment rate (%) May-16 May-17 May-18 May-19 May-20 --Retail sales growth rate (%) ACTIVITY AND PERFORMANCE SUMMARYFor the period June 1, 2020 - June 30, 2020SAN RAFAELAmortized Cost Basis Activity Summary23,984,110.63Opening balance65,783.49Income received65,783.49Total receipts(144.97)Expenses paid(144.97)Total disbursements0.00Interportfolio transfers0.00Total Interportfolio transfers0.00Realized gain (loss)0.00Change in accruals from security movement(9,520.37)Total amortization expense756.41Total OID/MKT accretion income0.00Return of capitalClosing balance24,040,985.19Ending fair value24,545,177.80504,192.61Unrealized gain (loss)Comparative Rates of Return (%)* Twelvemonth trailing* Sixmonth trailing* One monthFed Funds1.29 0.32 0.01Overnight Repo1.32 0.33 0.01Merrill Lynch 3m US Treas Bill 1.16 0.29 0.01Merrill Lynch 6m US Treas Bill 1.14 0.29 0.01ML 1 Year US Treasury Note 1.17 0.31 0.01ML 2 Year US Treasury Note 1.15 0.32 0.02ML 5 Year US Treasury Note 1.19 0.38 0.03* rates reflected are cumulativeSummary of Amortized Cost Basis Return for the PeriodTotal portfolioInterest earned46,667.92Accretion (amortization)(8,763.96)Realized gain (loss) on sales0.00Total income on portfolio37,903.96Average daily amortized cost24,024,882.25Period return (%)Weighted average final maturity in days755YTD return (%)Detail of Amortized Cost Basis ReturnInterestearnedRealizedgain (loss)Accretion(amortization)Totalincome0.00Cash and Cash Equivalents 2.24 0.00 2.240.00Corporate Bonds 15,255.21 (3,565.03) 11,690.180.00Government Agencies 22,147.73 (4,456.73) 17,691.000.00Government Bonds 3,700.96 (742.20) 2,958.760.00Municipal/Provincial Bonds 5,561.78 0.00 5,561.78Total 46,667.92 (8,763.96) 0.00 37,903.960.161.024 ACTIVITY AND PERFORMANCE SUMMARYFor the period June 1, 2020 - June 30, 2020SAN RAFAELFair Value Basis Activity Summary24,509,772.20Opening balance65,783.49Income received65,783.49Total receipts(144.97)Expenses paid(144.97)Total disbursements0.00Interportfolio transfers0.00Total Interportfolio transfers0.00Unrealized gain (loss) on security movements0.00Change in accruals from security movement0.00Return of capitalChange in fair value for the period(30,232.92)Ending fair value24,545,177.80Comparative Rates of Return (%)* Twelvemonth trailing* Sixmonth trailing* One monthFed Funds1.29 0.32 0.01Overnight Repo1.32 0.33 0.01ICE BofAML 3 Months US T-BILL 1.63 0.60 0.01ICE ML 6m US Treas Bill 2.11 0.93 0.02ICE ML 1 Year US Treasury Note 2.86 1.69 0.04ICE ML US Treasury 1-3 4.07 2.94 0.03ICE ML US Treasury 1-5 5.25 4.10 0.07* rates reflected are cumulativeDetail of Fair Value Basis ReturnInterestearnedChange infair valueTotalincomeCash and Cash Equivalents 2.24 0.00 2.24Corporate Bonds 15,255.21 (7,745.75) 7,509.46Government Agencies 22,147.73 (19,760.72) 2,387.01Government Bonds 3,700.96 (2,726.45) 974.51Municipal/Provincial Bonds 5,561.78 0.00 5,561.78Total46,667.92 (30,232.92) 16,435.00Summary of Fair Value Basis Return for the PeriodTotal portfolioInterest earned46,667.92Total income on portfolio16,435.00Average daily total value *24,680,210.13Period return (%)0.07Weighted average final maturity in days755Change in fair value(30,232.92)YTD return (%)2.80* Total value equals market value and accrued interest5 RECAP OF SECURITIES HELDAs of June 30, 2020SAN RAFAELWeightedaveragefinalmaturity (days)Weightedaverageeffectiveduration (years)PercentofportfolioAmortizedcostHistoricalcostFair value Unrealizedgain (loss)Cash and Cash Equivalents1,784,838.30 1,784,838.30 1,784,838.300.007.400.001Corporate Bonds6,625,932.50 6,606,788.82 6,749,718.02 142,929.20498 27.471.25Government Agencies11,965,651.07 11,914,189.80 12,218,649.59 304,459.79629 49.611.67Government Bonds2,429,344.54 2,420,068.27 2,476,871.89 56,803.62630 10.071.68Municipal/Provincial Bonds1,315,100.00 1,315,100.00 1,315,100.000.004,447 5.458.86Total24,120,866.41 24,040,985.19 24,545,177.80 504,192.61755 100.001.83Cash and Cash EquivalentsCorporate BondsGovernment AgenciesGovernment BondsMunicipal/Provincial BondsPortfolio diversification (%)Cash and Cash Equivalents7.40Corporate Bonds27.47Government Agencies49.61Government Bonds10.07Municipal/Provincial Bonds5.45Portfolio diversification (%)6■ ■ ■ ■ ■ Total 100.00 MATURITY DISTRIBUTION OF SECURITIES HELDAs of June 30, 2020SAN RAFAELMaturityHistoric cost PercentUnder 90 days4,282,110.49 17.7590 to 179 days1,507,925.00 6.25180 days to 1 year4,608,812.50 19.111 to 2 years5,398,627.30 22.382 to 3 years3,401,063.83 14.103 to 4 years2,853,800.54 11.834 to 5 years753,426.75 3.12Over 5 years1,315,100.00 5.4524,120,866.41 100.00Maturity distribution0.002.004.006.00Historical cost (mm)Under 90 days90 to 179 days180 days to 1 year1 to 2 years2 to 3 years3 to 4 years4 to 5 yearsOver 5 years7 SECURITIES HELDAs of June 30, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesCash and Cash Equivalents0.0001,784,838.30 1,784,838.300.000.00 0.00 0.00 0.000.00 0.00Cash and Cash Equivalents7.401,784,838.301,784,838.30Total Cash and Cash Equivalents1,784,838.30 1,784,838.30 1,784,838.30 0.00 0.00 0.000.00 0.007.400.000.001,784,838.30Corporate Bonds02665WBT7 1.950 07/20/2020 492,340.00 499,725.94(491.37)625.10 0.00 785.41 4,333.330.00 411.09AMERICAN HONDA FINANCE1.95% 20JUL20202.04500,351.04500,000.0006051GFT1 2.625 10/19/2020 504,515.00 502,247.19(940.77)1,151.19 0.00 1,057.29 2,588.540.00 (618.49)BANK OF AMERICA CORP2.625% 19OCT20202.09503,398.38500,000.0094974BFR6 3.000 01/22/2021 501,180.00 500,781.51(397.59)6,509.43 0.00 1,208.33 6,583.330.00 (116.06)WELLS FARGO & COMPANY 3%22JAN20212.08507,290.94500,000.00254687CK0 4.500 02/15/2021 515,190.00 508,156.92(1,138.91)4,469.53 0.00 1,812.50 8,437.500.00 (1,087.59)WALT DISNEY COMPANY/THE4.5% 15FEB20212.14512,626.45500,000.0046625HQJ2 2.550 03/01/2021 494,725.00 498,320.64(616.69)7,922.81 0.00 1,027.08 4,214.5802/01/2021 0.00 209.05JPMORGAN CHASE & CO 2.55%01MAR2021 (CALLABLE01FEB21)2.05506,243.45500,000.000258M0EB1 2.250 05/05/2021 552,667.50 551,561.74(548.87)5,995.76 0.00 996.88 1,890.6304/04/2021 0.00 (171.00)AMERICAN EXPRESS CREDIT2.25% 05MAY2021 (CALLABLE04APR21)2.29557,557.50550,000.0091159HHA1 4.125 05/24/2021 514,880.00 508,970.86(1,391.31)6,440.25 0.00 1,661.46 2,062.5004/23/2021 0.00 (918.52)US BANCORP 4.125%24MAY2021 (CALLABLE23APR21)2.13515,411.11500,000.008 SECURITIES HELDAs of June 30, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesCorporate Bonds17325FAQ1 3.400 07/23/2021 507,030.00 503,330.99(450.36)11,580.05 0.00 1,369.45 7,413.8906/23/2021 0.00 (283.09)CITIBANK NA 3.4% 23JUL2021(CALLABLE 23JUN21)2.10514,911.04500,000.00717081DZ3 2.200 12/15/2021 503,615.00 502,639.60(3,791.58)9,744.59 5,500.00 886.11 458.330.00 (150.84)PFIZER INC 2.2% 15DEC20212.09512,384.19500,000.00149123BX8 2.600 06/26/2022 500,300.00 500,182.15(556.00)16,734.34 6,500.00 1,047.22 144.4403/26/2022 0.00 (8.73)CATERPILLAR INC 2.6%26JUN2022 (CALLABLE26MAR22)2.07516,916.49500,000.00931142DH3 2.550 04/11/2023 509,155.00 506,979.25709.0920,513.92 0.00 1,027.09 2,797.9201/11/2023 0.00 (229.83)WALMART INC 2.55%11APR2023 (CALLABLE11JAN23)2.11527,493.17500,000.00037833AK6 2.400 05/03/2023 506,880.00 505,385.03(674.25)23,149.97 0.00 966.67 1,900.000.00 (157.92)APPLE INC 2.4% 03MAY20232.10528,535.00500,000.00693475AV7 3.500 01/23/2024 523,455.00 518,507.002,542.8628,092.26 0.00 1,409.72 7,631.9412/24/2023 0.00 (443.10)PNC FINANCIAL SERVICES 3.5%23JAN2024 (CALLABLE23DEC23)2.17546,599.26500,000.00Total Corporate Bonds6,625,932.50 6,606,788.82 6,749,718.02 142,929.20 12,000.00 15,255.210.00 (3,565.03)27.4750,456.93(7,745.75)6,550,000.00Government Agencies3133EHVX8 1.500 08/24/2020 999,190.00 999,958.85(1,191.29)2,827.79 0.00 1,208.33 5,250.000.00 22.86FEDERAL FARM CREDIT BANK1.5% 24AUG20204.141,002,786.641,000,000.003135G0RM7 1.630 10/30/2020 1,003,410.00 1,000,355.96(71.97)4,469.98 0.00 1,358.34 2,716.670.00 (92.72)FANNIE MAE 1.63%30OCT2020 CALLABLE4.161,004,825.941,000,000.009 SECURITIES HELDAs of June 30, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesGovernment Agencies3133EJ4Q9 2.550 01/11/2021 499,100.00 499,756.86(761.35)5,923.54 0.00 1,027.09 5,985.420.00 38.19FEDERAL FARM CREDIT BANK2.55% 11JAN20212.07505,680.40500,000.00313373ZY1 3.625 06/11/2021 1,024,040.00 1,010,058.45(3,274.33)22,104.11 18,125.00 2,920.13 1,913.190.00 (884.91)FEDERAL HOME LOAN BANK3.625% 11JUN20214.251,032,162.561,000,000.00313378JP7 2.375 09/10/2021 602,430.00 601,249.88(1,274.87)13,629.67 0.00 1,147.92 4,354.170.00 (87.20)FEDERAL HOME LOAN BANK2.375% 10SEP20212.50614,879.55600,000.003135G0Q89 1.375 10/07/2021 1,099,318.00 1,099,478.81(996.90)16,999.84 0.00 1,218.40 3,487.150.00 34.22FANNIE MAE 1.375%07OCT20214.561,116,478.651,100,000.003137EADB2 2.375 01/13/2022 1,676,634.30 1,667,874.72(3,014.61)37,131.45 0.00 3,156.77 18,178.650.00 (1,002.02)FREDDIE MAC 2.375%13JAN20226.951,705,006.171,650,000.00313378WG2 2.500 03/11/2022 1,016,330.00 1,010,088.60(1,376.55)28,477.86 0.00 2,013.88 7,569.440.00 (495.35)FEDERAL HOME LOAN BANK2.5% 11MAR20224.211,038,566.461,000,000.003135G0T78 2.000 10/05/2022 601,716.00 601,198.41(1,985.29)21,784.64 0.00 966.66 2,833.330.00 (44.11)FANNIE MAE 2% 05OCT20222.49622,983.05600,000.003130A3KM5 2.500 12/09/2022 1,021,240.00 1,015,068.57(2,736.39)37,568.60 12,500.00 2,013.89 1,458.330.00 (514.29)FEDERAL HOME LOAN BANK2.5% 09DEC20224.231,052,637.171,000,000.003135G0U43 2.875 09/12/2023 1,047,553.22 1,038,335.42(1,423.46)45,375.89 0.00 2,315.97 8,625.000.00 (998.31)FANNIE MAE 2.875%12SEP20234.341,083,711.311,000,000.003135G0V34 2.500 02/05/2024 621,262.80 617,822.22(1,244.40)29,306.53 0.00 1,208.34 6,041.670.00 (412.87)FANNIE MAE 2.5% 05FEB20242.58647,128.75600,000.0010 SECURITIES HELDAs of June 30, 2020SAN RAFAELAmortized cost/Accretion(amortization)Fair value/Change in fairvalueInterestreceivedInterestearnedUnrealizedgain(loss)Coupon Maturity/Call dateHistorical cost/Accrued interestpurchasedCusip/DescriptionTotalaccruedinterest%PortcostPar value orsharesGovernment Agencies3135G0V75 1.750 07/02/2024 753,426.75 752,943.0588.6638,859.89 0.00 1,057.29 6,489.580.00 (61.22)FANNIE MAE 1.75% 02JUL20243.12791,802.94750,000.00Total Government Agencies11,965,651.07 11,914,189.80 12,218,649.59 304,459.79 30,625.00 21,613.010.00 (4,497.73)49.6174,902.60(19,262.75)11,800,000.00Government Bonds912828XM7 1.625 07/31/2020 1,005,742.19 1,000,167.14(1,281.14)1,030.92 0.00 1,339.28 6,741.070.00 (161.76)USA TREASURY 1.625%31JUL20204.171,001,198.061,000,000.00912828M80 2.000 11/30/2022 762,072.83 760,270.05(937.50)22,747.53 7,500.00 1,229.51 1,229.510.00 (348.92)USA TREASURY 2%30NOV20223.16783,017.58750,000.00912828U57 2.125 11/30/2023 661,529.52 659,631.08(507.81)33,025.17 6,906.25 1,132.17 1,132.170.00 (231.52)USA TREASURY 2.125%30NOV20232.74692,656.25650,000.00Total Government Bonds2,429,344.54 2,420,068.27 2,476,871.89 56,803.62 14,406.25 3,700.960.00 (742.20)10.079,102.75(2,726.45)2,400,000.00Municipal/Provincial Bonds888599LS4 5.250 09/02/2032 1,315,100.00 1,315,100.000.000.00 0.00 5,561.78 22,630.680.00 0.00PT. SAN ASSESS DISTRICT5.25% 144A 02SEP2032SANRAF$015.451,315,100.001,315,100.00Total Municipal/Provincial Bonds1,315,100.00 1,315,100.00 1,315,100.00 0.00 0.00 5,561.780.00 0.005.4522,630.680.001,315,100.00Grand total24,120,866.41 24,040,985.19(29,734.95)504,192.61 57,031.25 46,130.9623,849,938.300.00 (8,804.96)100.00157,092.9624,545,177.8011 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of June 30, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesFederal National Mortgage Association3135G0RM7FANNIE MAE 1.63% 1.630 10/30/2020 AA+ Aaa 1,000,000.00 1,003,410.00 4.16 1,004,825.94 4.09 0.333135G0Q89FANNIE MAE 1.375% 1.375 10/07/2021 AA+ Aaa 1,100,000.00 1,099,318.00 4.56 1,116,478.65 4.55 1.263135G0T78FANNIE MAE 2% 2.000 10/05/2022 AA+ Aaa 600,000.00 601,716.00 2.49 622,983.05 2.54 2.213135G0U43FANNIE MAE 2.875% 2.875 09/12/2023 AA+ Aaa 1,000,000.00 1,047,553.22 4.34 1,083,711.31 4.42 3.063135G0V34FANNIE MAE 2.5% 2.500 02/05/2024 AA+ Aaa 600,000.00 621,262.80 2.58 647,128.75 2.64 3.433135G0V75FANNIE MAE 1.75% 1.750 07/02/2024 AA+ Aaa 750,000.00 753,426.75 3.12 791,802.94 3.23 3.85Issuer total5,050,000.00 5,126,686.77 21.25 5,266,930.64 21.46 2.20Federal Home Loan Banks313373ZY1FEDERAL HOME LOAN 3.625 06/11/2021 AA+ Aaa 1,000,000.00 1,024,040.00 4.25 1,032,162.56 4.21 0.94313378JP7FEDERAL HOME LOAN 2.375 09/10/2021 AA+ Aaa 600,000.00 602,430.00 2.50 614,879.55 2.51 1.18313378WG2FEDERAL HOME LOAN 2.500 03/11/2022 AA+ Aaa 1,000,000.00 1,016,330.00 4.21 1,038,566.46 4.23 1.653130A3KM5FEDERAL HOME LOAN 2.500 12/09/2022 AA+ Aaa 1,000,000.00 1,021,240.00 4.23 1,052,637.17 4.29 2.38Issuer total3,600,000.00 3,664,040.00 15.19 3,738,245.74 15.23 1.58United States Treasury Note/Bond912828XM7USA TREASURY 1.625% 1.625 07/31/2020 AA+ Aaa 1,000,000.00 1,005,742.19 4.17 1,001,198.06 4.08 0.08912828M80USA TREASURY 2% 2.000 11/30/2022 AA+ Aaa 750,000.00 762,072.83 3.16 783,017.58 3.19 2.37912828U57USA TREASURY 2.125% 2.125 11/30/2023 AA+ Aaa 650,000.00 661,529.52 2.74 692,656.25 2.82 3.31Issuer total2,400,000.00 2,429,344.54 10.07 2,476,871.89 10.09 1.68Cash and Cash EquivalentsINVESTED CASH 0.0001,784,838.30 1,784,838.30 0.00 1,784,838.30 7.27 0.00Issuer total1,784,838.30 1,784,838.30 0.00 1,784,838.30 7.27 0.0012 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of June 30, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesFederal Home Loan Mortgage Corp3137EADB2FREDDIE MAC 2.375% 2.375 01/13/2022 AA+ Aaa 1,650,000.001,676,634.30 6.95 1,705,006.17 6.95 1.50Issuer total1,650,000.00 1,676,634.30 6.95 1,705,006.17 6.95 1.50Federal Farm Credit Banks Funding Corp3133EHVX8FEDERAL FARM CREDIT 1.500 08/24/2020 AA+ Aaa 1,000,000.00 999,190.00 4.14 1,002,786.64 4.09 0.153133EJ4Q9FEDERAL FARM CREDIT 2.550 01/11/2021 AA+ Aaa 500,000.00 499,100.00 2.07 505,680.40 2.06 0.53Issuer total1,500,000.00 1,498,290.00 6.21 1,508,467.04 6.15 0.28PT. SAN ASSESS DISTRICT888599LS4PT. SAN ASSESS 5.250 09/02/2032 NR NR 1,315,100.00 1,315,100.00 5.45 1,315,100.00 5.36 8.86Issuer total1,315,100.00 1,315,100.00 5.45 1,315,100.00 5.36 8.86American Express Credit Corp0258M0EB1AMERICAN EXPRESS 2.250 05/05/2021 04/04/2021 A- A2 550,000.00 552,667.50 2.29 557,557.50 2.27 0.75Issuer total550,000.00 552,667.50 2.29 557,557.50 2.27 0.75PNC Financial Services Group Inc/The693475AV7PNC FINANCIAL 3.500 01/23/2024 12/24/2023 A- A3 500,000.00 523,455.00 2.17 546,599.26 2.23 3.26Issuer total500,000.00 523,455.00 2.17 546,599.26 2.23 3.26Apple Inc037833AK6APPLE INC 2.4% 2.400 05/03/2023 AA+ Aa1 500,000.00 506,880.00 2.10 528,535.00 2.15 2.75Issuer total500,000.00 506,880.00 2.10 528,535.00 2.15 2.75Walmart Inc931142DH3WALMART INC 2.55% 2.550 04/11/2023 01/11/2023 AA Aa2 500,000.00 509,155.00 2.11 527,493.17 2.15 2.47Issuer total500,000.00 509,155.00 2.11 527,493.17 2.15 2.4713 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of June 30, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesCaterpillar Inc149123BX8CATERPILLAR INC 2.6% 2.600 06/26/2022 03/26/2022 A A3 500,000.00 500,300.00 2.07 516,916.49 2.11 1.72Issuer total500,000.00 500,300.00 2.07 516,916.49 2.11 1.72US Bancorp91159HHA1US BANCORP 4.125% 4.125 05/24/2021 04/23/2021 A+ A1 500,000.00 514,880.00 2.13 515,411.11 2.10 0.80Issuer total500,000.00 514,880.00 2.13 515,411.11 2.10 0.80Citibank NA17325FAQ1CITIBANK NA 3.4% 3.400 07/23/2021 06/23/2021 A+ Aa3 500,000.00 507,030.00 2.10 514,911.04 2.10 0.95Issuer total500,000.00 507,030.00 2.10 514,911.04 2.10 0.95Walt Disney Co/The254687CK0WALT DISNEY 4.500 02/15/2021 A- A2 500,000.00 515,190.00 2.14 512,626.45 2.09 0.62Issuer total500,000.00 515,190.00 2.14 512,626.45 2.09 0.62Pfizer Inc717081DZ3PFIZER INC 2.2% 2.200 12/15/2021 AA- A1 500,000.00 503,615.00 2.09 512,384.19 2.09 1.44Issuer total500,000.00 503,615.00 2.09 512,384.19 2.09 1.44Wells Fargo & Co94974BFR6WELLS FARGO & 3.000 01/22/2021 A- A2 500,000.00 501,180.00 2.08 507,290.94 2.07 0.56Issuer total500,000.00 501,180.00 2.08 507,290.94 2.07 0.56JPMorgan Chase & Co46625HQJ2JPMORGAN CHASE & CO 2.550 03/01/2021 02/01/2021 A- A2 500,000.00 494,725.00 2.05 506,243.45 2.06 0.58Issuer total500,000.00 494,725.00 2.05 506,243.45 2.06 0.5814 GASB 40 - DEPOSIT AND INVESTMENT RISK DISCLOSUREAs of June 30, 2020SAN RAFAELCusipS&PratingMoodyratingHistoricalcost% Portfoliohist costMarketvalue% Portfoliomkt valueEffectivedur (yrs)Description Coupon MaturitydateCall date Par value orsharesBank of America Corp06051GFT1BANK OF AMERICA CORP 2.625 10/19/2020 A- A2 500,000.00 504,515.00 2.09 503,398.38 2.05 0.30Issuer total500,000.00 504,515.00 2.09 503,398.38 2.05 0.30American Honda Finance Corp02665WBT7AMERICAN HONDA 1.950 07/20/2020 A- A3 500,000.00 492,340.00 2.04 500,351.04 2.04 0.05Issuer total500,000.00 492,340.00 2.04 500,351.04 2.04 0.05Grand total23,849,938.30 24,120,866.41 100.00 24,545,177.80 100.001.8315 SECURITIES SOLD AND MATUREDFor the period June 1, 2020 - June 30, 2020SAN RAFAELHistorical cost Amortized costat sale or maturity/Accr (amort)Fair value atsale or maturity /Chg.in fair valueRealizedgain(loss)PriceCouponTrade dateSettle dateMaturity/Call datePar value orsharesCusip/Description/BrokerAccruedinterestsoldInterestreceivedInterestearnedGovernment Agencies313383HU8FHLB BD 1.75 06-12-20201.75006/12/2020 (1,000,000.00) 996,870.00 1,000,000.0041.000.00(497.97)1,000,000.00 0.00 0.00 8,750.00 534.7206/12/2020(1,000,000.00)0.00996,870.0041.001,000,000.00(497.97)1,000,000.00 0.00 8,750.00 534.72Total (Government Agencies)Grand totalGrand total(1,000,000.00)0.00996,870.0041.001,000,000.00 1,000,000.00 0.00 8,750.00 534.72(497.97)16 TRANSACTION REPORTFor the period June 1, 2020 - June 30, 2020SAN RAFAELMaturity Par value orsharesInterest Transaction totalPrincipalTransactionCusip Sec type DescriptionTrade dateSettle dateRealizedgain(loss)7,500.0005/31/202005/31/2020Income912828M80 Government Bonds USA TREASURY 2% 30NOV2022 11/30/2022 750,000.00 0.00 7,500.000.006,906.2505/31/202005/31/2020Income912828U57 Government Bonds USA TREASURY 2.125% 11/30/2023 650,000.00 0.00 6,906.250.0012,500.0006/09/202006/09/2020Income3130A3KM5 Government Agencies FEDERAL HOME LOAN BANK 12/09/2022 1,000,000.00 0.00 12,500.000.0018,125.0006/11/202006/11/2020Income313373ZY1 Government Agencies FEDERAL HOME LOAN BANK 06/11/2021 1,000,000.00 0.00 18,125.000.008,750.0006/12/202006/12/2020Income313383HU8 Government Agencies FHLB BD 1.75 06-12-202006/12/2020 1,000,000.00 0.00 8,750.000.000.0006/12/202006/12/2020Capital Change313383HU8 Government Agencies FHLB BD 1.75 06-12-202006/12/2020 (1,000,000.00) 1,000,000.00 1,000,000.000.005,500.0006/15/202006/15/2020Income717081DZ3 Corporate Bonds PFIZER INC 2.2% 15DEC2021 12/15/2021 500,000.00 0.00 5,500.000.006,500.0006/26/202006/26/2020Income149123BX8 Corporate Bonds CATERPILLAR INC 2.6% 06/26/2022 500,000.00 0.00 6,500.000.002.24Income Cash and Cash Equivalents Cash2.240.00 0.000.0006/30/202017 ADDITIONAL INFORMATIONAs of June 30, 2020SAN RAFAELPast performance is not a guide to future performance. The value of investments and any income from them will fluctuate and is not guaranteed (this may partly be due to exchange rate changes) and investors may not getback the amount invested. Transactions in foreign securities may be executed and settled in local markets. Performance comparisons will be affected by changes in interest rates. Investment returns fluctuate due to changesin market conditions. Investment involves risk, including the possible loss of principal. No assurance can be given that the performance objectives of a given strategy will be achieved. The information contained herein is foryour reference only and is being provided in response to your specific request and has been obtained from sources believed to be reliable; however, no representation is made regarding its accuracy or completeness. Thisdocument must not be used for the purpose of an offer or solicitation in any jurisdiction or in any circumstances in which such offer or solicitation is unlawful or otherwise not permitted. This document should not beduplicated, amended, or forwarded to a third party without consent from Insight. This is a marketing document intended for professional clients only and should not be made available to or relied upon by retail clientsInvestment advisory services in North America are provided through two different SEC-registered investment advisers using the brand Insight Investment: Insight North America LLC (INA) and Insight Investment InternationalLimited (IIIL). The North American investment advisers are associated with a broader group of global investment managers that also (individually and collectively) use the corporate brand Insight Investment and may bereferred to as Insight, Insight Group or Insight Investment.INA is an investment adviser registered with the Securities and Exchange Commission (SEC), under the Investment Advisers Act of 1940, as amended. Registration with the SEC does not imply a certain level of skill or training.You may request, without charge, additional information about Insight. Moreover, specific information relating to Insights strategies, including investment advisory fees, may be obtained from INA's Form ADV Part 2A, which isavailable without charge upon request.Where indicated, performance numbers used in the analysis are gross returns. The performance reflects the reinvestment of all dividends and income. INA charges management fees on all portfolios managed and these feeswill reduce the returns on the portfolios. For example, assume that $30 million is invested in an account with INA, and this account achieves a 5.0% annual return compounded monthly, gross of fees, for a period of five years.At the end of five years that account would have grown to $38,500,760 before the deduction of management fees. Assuming management fees of 0.25% per year are deducted monthly from the account, the value at the end ofthe five year period would be $38,022,447. Actual fees for new accounts are dependent on size and subject to negotiation. INA's investment advisory fees are discussed in Part 2A of its Form ADV.Unless otherwise stated, the source of information is Insight. Any forecasts or opinions are Insight’s own at the date of this document (or as otherwise specified) and may change. Material in this publication is for generalinformation only and is not advice, investment advice, or the recommendation of any purchase or sale of any security. Insight makes no implied or expressed recommendations concerning the manner in which an accountshould or would be handled, as appropriate investment strategies depend upon specific investment guidelines and objectives and should not be construed to be an assurance that any particular security in a strategy willremain in any fund, account, or strategy, or that a previously held security will not be repurchased. It should not be assumed that any of the security transactions or holdings referenced herein have been or will prove to beprofitable or that future investment decisions will be profitable or will equal or exceed the past investment performance of the securities listed.Please compare the information provided in this statement to the information provided in the statement received from your Custodian.For trading activity the Clearing broker will be reflected. In certain cases the Clearing broker will differ from the Executing broker.In calculating ratings distributions and weighted average portfolio quality, Insight assigns U.S Treasury and U.S agency securities a quality rating based on the methodology used within the respective benchmark index. WhenMoody’s, S&P and Fitch rate a security, Bank of America and Merrill Lynch indexes assign a simple weighted average statistic while Barclays indexes assign the median statistic. Insight assigns all other securities the lower ofMoody’s and S&P ratings.Information about the indices shown here is provided to allow for comparison of the performance of the strategy to that of certain well-known and widely recognized indices. There is no representation that such index is anappropriate benchmark for such comparison. You cannot invest directly in an index and the indices represented do not take into account trading commissions and/or other brokerage or custodial costs. The volatility of theindices may be materially different from that of the strategy. In addition, the strategy’s holdings may differ substantially from the securities that comprise the indices shown.The BofA Merrill Lynch 3 Mo US T-Bill index is an unmanaged market index of U.S. Treasury securities maturing in 90 days that assumes reinvestment of all income.The BofA Merrill Lynch 6 Mo US T-Bill index measures the performance of Treasury bills with time to maturity of less than 6 months.The BofA Merrill Lynch Current 1-Year US Treasury Index is a one-security index comprised of the most recently issued 1-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 1-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 3-Year US Treasury Index is a one-security index comprised of the most recently issued 3-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 3-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch Current 5-Year US Treasury Index is a one-security index comprised of the most recently issued 5-year US Treasury note. The index is rebalanced monthly. In order to qualify for inclusion, a 5-year notemust be auctioned on or before the third business day before the last business day of the month.The BofA Merrill Lynch 1-3 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than three years.The BofA Merrill Lynch 1-5 US Year Treasury Index is an unmanaged index that tracks the performance of the direct sovereign debt of the U.S. Government having a maturity of at least one year and less than five years.18 ADDITIONAL INFORMATIONAs of June 30, 2020SAN RAFAELInsight does not provide tax or legal advice to its clients and all investors are strongly urged to consult their tax and legal advisors regarding any potential strategy or investment.Insight is a group of wholly owned subsidiaries of The Bank of New York Mellon Corporation. BNY Mellon is the corporate brand of The Bank of New York Mellon Corporation and may also be used as a generic term to referencethe Corporation as a whole or its various subsidiaries generally. Products and services may be provided under various brand names and in various countries by subsidiaries, affiliates and joint ventures of The Bank of New YorkMellon Corporation where authorized and regulated as required within each jurisdiction. Unless you are notified to the contrary, the products and services mentioned are not insured by the FDIC (or by any governmental entity)and are not guaranteed by or obligations of The Bank of New York Mellon Corporation or any of its affiliates. The Bank of New York Corporation assumes no responsibility for the accuracy or completeness of the above data anddisclaims all expressed or implied warranties in connection therewith.© 2020 Insight Investment. All rights reserved.19 City of San Rafael ACCOUNT STATEMENT For the Month Ending June 30, 2020 Customer Service PO Box 11813 Harrisburg, PA 17108-1813 Contents Cover/Disclosures Summary Statement Individual Accounts CITY OF SAN RAFAEL NADINE HADE 1400 FIFTH AVENUE SAN RAFAEL, CA 94901 Client Management Team Accounts included in Statement 7023-001 Lease Revenue Bonds Series 2018 Project Fund 7023-002 Lease Revenue Bonds Series 2018 Capitalized Intere www.camponline.comOnline Access 1-800-729-7665Customer Service Important Messages CAMP will be closed on 07/03/2020 for Independence Day (observed). Monique Spyke Managing Director 50 California Street, Suite 2300 San Francisco, CA 94111 415-982-5544 spykem@pfm.com Jeremy King Key Account Manager 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 kingj@pfm.com Rachael Miller Client Consultant 213 Market Street Harrisburg, PA 17101-2141 1-800-729-7665 millerr@pfm.com For the Month Ending June 30, 2020 Account Statement Important Disclosures Important Disclosures 365 and dividing the result by 7. The yields quoted should not be considered a representation of the yield of the fund in the future, since the yield is not fixed. Average maturity represents the average maturity of all securities and investments of a portfolio, determined by multiplying the par or principal value of each security or investment by its maturity (days or years), summing the products, and dividing the sum by the total principal value of the portfolio. The stated maturity date of mortgage backed or callable securities are used in this statement. However the actual maturity of these securities could vary depending on the level or prepayments on the underlying mortgages or whether a callable security has or is still able to be called. Monthly distribution yield represents the net change in the value of one share (normally $1.00 per share) resulting from all dividends declared during the month by a fund expressed as a percentage of the value of one share at the beginning of the month. This resulting net change is then annualized by multiplying it by 365 and dividing it by the number of calendar days in the month. YTM at Cost The yield to maturity at cost is the expected rate of return, based on the original cost, the annual interest receipts, maturity value and the time period from purchase date to maturity, stated as a percentage, on an annualized basis. YTM at Market The yield to maturity at market is the rate of return, based on the current market value, the annual interest receipts, maturity value and the time period remaining until maturity, stated as a percentage, on an annualized basis. Managed Account A portfolio of investments managed discretely by PFM according to the client’s specific investment policy and requirements. The investments are directly owned by the client and held by the client’s custodian. Unsettled Trade A trade which has been executed however the final consummation of the security transaction and payment has not yet taken place. Please review the detail pages of this statement carefully. If you think your statement is wrong, missing account information, or if you need more information about a transaction, please contact PFM within 60 days of receipt. If you have other concerns or questions regarding your account you should contact a member of your client management team or PFM Service Operations at the address below. PFM Asset Management LLC Attn: Service Operations 213 Market Street Harrisburg, PA 17101 This statement is for general information purposes only and is not intended to provide specific advice or recommendations. PFM Asset Management LLC (“PFM”) is an investment advisor registered with the Securities and Exchange Commission, and is required to maintain a written disclosure statement of our background and business experience. If you would like to receive a copy of our current disclosure statement, please contact Service Operations at the address below. Proxy Voting PFM does not normally receive proxies to vote on behalf of its clients. However, it does on occasion receive consent requests. In the event a consent request is received the portfolio manager contacts the client and then proceeds according to their instructions. PFM’s Proxy Voting Policy is available upon request by contacting Service Operations at the address below. Questions About an Account PFM’s monthly statement is intended to detail our investment advisory activity as well as the activity of any accounts held by clients in pools that are managed by PFM. The custodian bank maintains the control of assets and executes (i.e., settles) all investment transactions. The custodian statement is the official record of security and cash holdings and transactions. PFM recognizes that clients may use these reports to facilitate record keeping and that the custodian bank statement and the PFM statement should be reconciled and differences resolved. Many custodians use a settlement date basis which may result in the need to reconcile due to a timing difference. Account Control PFM does not have the authority to withdraw funds from or deposit funds to the custodian. Our clients retain responsibility for their internal accounting policies; implementing and enforcing internal controls and generating ledger entries or otherwise recording transactions. Market Value Generally, PFM’s market prices are derived from closing bid prices as of the last business day of the month as supplied by Refinitiv or Bloomberg. Where prices are not available from generally recognized sources the securities are priced using a yield-based matrix system to arrive at an estimated market value. Prices that fall between data points are interpolated. Non-negotiable FDIC-insured bank certificates of deposit are priced at par. Although PFM believes the prices to be reliable, the values of the securities do not always represent the prices at which the securities could have been bought or sold. Explanation of the valuation methods for a registered investment company, local government investment program,or TERM funds is contained in the appropriate fund offering documentation or information statement. Amortized Cost The original cost of the principal of the security is adjusted for the amount of the periodic reduction of any discount or premium from the purchase date until the date of the report. Discount or premium with respect to short term securities (those with less than one year to maturity at time of issuance) is amortized on a straightline basis. Such discount or premium with respect to longer term securities is amortized using the constant yield basis. Tax Reporting Cost data and realized gains / losses are provided for informational purposes only. Please review for accuracy and consult your tax advisor to determine the tax consequences of your security transactions. PFM does not report such information to the IRS or other taxing authorities and is not responsible for the accuracy of such information that may be required to be reported to federal, state or other taxing authorities. Financial Situation In order to better serve you, PFM should be promptly notified of any material change in your investment objective or financial situation. Callable Securities Securities subject to redemption prior to maturity may be redeemed in whole or in part before maturity, which could affect the yield represented. Portfolio The securities in this portfolio, including shares of mutual funds, are not guaranteed or otherwise protected by PFM, the FDIC (except for certain non-negotiable certificates of deposit) or any government agency. Investment in securities involves risks, including the possible loss of the amount invested. Actual settlement values, accrued interest, and amortized cost amounts may vary for securities subject to an adjustable interest rate or subject to principal paydowns. Any changes to the values shown may be reflected within the next monthly statement’s beginning values. Rating Information provided for ratings is based upon a good faith inquiry of selected sources, but its accuracy and completeness cannot be guaranteed. Shares of some money market and TERM funds are marketed through representatives of PFM's wholly owned subsidiary, PFM Fund Distributors, Inc. PFM Fund Distributors, Inc. is registered with the SEC as a broker/dealer and is a member of the Financial Industry Regulatory Authority (“FINRA”) and the Municipal Securities Rulemaking Board (“MSRB”). You may reach the FINRA by calling the FINRA Regulator Public Disclosure Hotline at 1-888-289-9999 or at the FINRA Regulation Internet website address www.nasd.com. A brochure describing the FINRA Regulation Public Disclosure Program is also available from the FINRA upon request. Key Terms and Definitions Dividends on money market funds consist of interest earned, plus any discount ratably amortized to the date of maturity, plus all realized gains and losses on the sale of securities prior to maturity, less ratable amortization of any premium and all accrued expenses to the fund. Dividends are accrued daily and may be paid either monthly or quarterly. The monthly earnings on this statement represent the estimated dividend accrued for the month for any program that distributes earnings on a quarterly basis. There is no guarantee that the estimated amount will be paid on the actual distribution date. Current Yield is the net change, exclusive of capital changes and income other than investment income, in the value of a hypothetical fund account with a balance of one share over the seven-day base period including the statement date, expressed as a percentage of the value of one share (normally $1.00 per share) at the beginning of the seven-day period. This resulting net change in account value is then annualized by multiplying it by For the Month Ending June 30, 2020 Account Statement Consolidated Summary Statement City of San Rafael Investment Allocation Investment Type Closing Market Value Percent 10,935,070.01 100.00 Money Market Mutual Fund $10,935,070.01 Total 100.00% Portfolio Summary and Income Closing Market Value Current Portfolio Holdings Cash Dividends Yield CAMP Pool 3,397.91 10,935,070.01 0.48 % CAMP Managed Account 37,716.23 0.00 * N/A $41,114.14 $10,935,070.01 Total * Not Applicable Maturity Distribution (Fixed Income Holdings) Portfolio Holdings Closing Market Value Percent 10,935,070.01 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 100.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Under 30 days 31 to 60 days 61 to 90 days 91 to 180 days 181 days to 1 year 1 to 2 years 2 to 3 years 3 to 4 years 4 to 5 years Over 5 years Total $10,935,070.01 1 100.00% Weighted Average Days to Maturity Sector Allocation 100.00% Mny Mkt Fund Summary Page 1IPFM Asset Management IULC For the Month Ending June 30, 2020 Account Statement Consolidated Summary Statement City of San Rafael and Income Closing Market Value Change in Value Trades MaturitiesDeposits ValueAccount Name Account Number Cash DividendsUnsettled Redemptions / Sales/Purchases /Opening Market 7023-001 8,918,511.56 4,108,884.17 (2,915,439.42)(4,123.45) 10,107,832.86 0.00 40,766.40 Lease Revenue Bonds Series 2018 Project Fund 7023-002 826,997.05 347.74 (107.64) 0.00 827,237.15 0.00 347.74 Lease Revenue Bonds Series 2018 Capitalized Intere $9,745,508.61 $4,109,231.91 ($2,915,547.06)($4,123.45) $10,935,070.01 $41,114.14 Total $0.00 Summary Page 2IPFM Asset Management IULC For the Month Ending June 30, 2020Account Statement - Transaction Summary City of San Rafael - Lease Revenue Bonds Series 2018 Project Fund - 7023-001 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 5,999,388.11 4,108,884.17 (439.42) 0.00 $10,107,832.86 CAMP Pool Unsettled Trades 0.00 3,050.17 Cash Dividends and Income Opening Market Value Purchases Redemptions Change in Value Closing Market Value 2,919,123.45 0.00 (2,915,000.00) (4,123.45) $0.00 CAMP Managed Account Unsettled Trades 0.00 37,716.23 Cash Dividends and Income June 30, 2020 May 31, 2020 Asset Summary CAMP Pool 10,107,832.86 5,999,388.11 CAMP Managed Account 0.00 2,919,123.45 $10,107,832.86 $8,918,511.56 Total Asset Allocation 100.00% CAMP Pool Account 7023-001 Page 1IPF M Asset Management ILJLC For the Month Ending June 30, 2020Managed Account Summary Statement City of San Rafael - Lease Revenue Bonds Series 2018 Project Fund - 7023-001 - (12517708) Dividend Closing Market Value Redemptions Purchases Opening Market Value Closing Market Value Change in Current Value Unsettled Trades Principal Acquisitions Principal Dispositions Maturities/Calls Opening Market Value Closing Market Value Opening Market Value Account Total Total Cash Basis Earnings Plus Net Realized Gains/Losses Less Purchased Interest Related to Interest/Coupons Interest/Dividends/Coupons Received Earnings Reconciliation (Cash Basis) - Managed Account Dividends Less Beginning Accrued Interest Less Beginning Amortized Value of Securities Less Cost of New Purchases Plus Coupons/Dividends Received Plus Proceeds of Maturities/Calls/Principal Payments Plus Proceeds from Sales Ending Accrued Interest Ending Amortized Value of Securities Earnings Reconciliation (Accrual Basis) Reconciling Transactions Net Cash Contribution Security Purchases Principal Payments Coupon/Interest/Dividend Income Sale Proceeds Maturities/Calls Cash Transactions Summary- Managed Account $5,999,388.11 4,108,884.17 (439.42) $10,107,832.86 3,050.17 $2,919,123.45 (2,915,000.00) 0.00 0.00 0.00 (4,123.45) $0.00 $8,918,511.56 $10,107,832.86 32,927.75 0.00 4,788.48 $37,716.23 2,947,927.75 0.00 0.00 0.00 0.00 (2,947,927.75) 0.00 Managed Account Total 0.00 10,107,832.86 0.00 0.00 2,947,927.75 0.00 0.00 (2,916,098.35) (27,781.62) 0.00 0.00 439.42 2,947,927.75 0.00 (4,108,884.17) (8,915,486.46) (27,781.62) 3,050.17 Total Accrual Basis Earnings $4,047.78 $7,097.95 Transaction Summary - Managed AccountTransaction Summary - Money Market _______________________________________________ _______________________________________________ _____________________________________________________ Cash Balance $0.00 Closing Cash Balance Account 7023-001 Page 2IPF M Asset Management ILJLC For the Month Ending June 30, 2020Managed Account Security Transactions & Interest City of San Rafael - Lease Revenue Bonds Series 2018 Project Fund - 7023-001 - (12517708) Transaction Type Trade CUSIPSecurity DescriptionSettle Par Proceeds Principal Accrued Interest Total Cost Realized G/L Realized G/L Sale Amort Cost Method MATURITY 06/30/20 TORONTO DOMINION BANK NY CERT DEPOS DTD 12/04/2019 1.830% 06/30/2020 89114NC52 460,000.00 4,887.12 464,887.12 0.00 0.00 460,000.00 06/30/20 06/30/20 UNITED STATES TREASURY NOTES DTD 07/02/2018 2.500% 06/30/2020 912828XY1 1,850,000.00 23,125.00 1,873,125.00 (6,720.70) 0.00 1,850,000.00 06/30/20 06/30/20 US TREASURY NOTES DTD 06/30/2015 1.625% 06/30/2020 912828XH8 605,000.00 4,915.63 609,915.63 11,509.18 0.00 605,000.00 06/30/20 32,927.75 0.00 4,788.48 2,947,927.75 2,915,000.00 2,915,000.00 Transaction Type Sub-Total 2,915,000.00 32,927.75 2,947,927.75 4,788.48 0.00 Managed Account Sub-Total Total Security Transactions $4,788.48 $2,947,927.75 $32,927.75 $2,915,000.00 $0.00 Account 7023-001 Page 3IPF M Asset Management ILJLC For the Month Ending June 30, 2020Account Statement City of San Rafael - Lease Revenue Bonds Series 2018 Project Fund - 7023-001 Total Settlement Dollar AmountShare or Trade Shares OwnedDate Transaction Description of TransactionUnit PriceDate CAMP Pool 5,999,388.11 Opening Balance 06/01/20 06/01/20 Purchase - Principal 912828VF4 1.00 1,157,906.25 7,157,294.36 06/25/20 06/25/20 IP Fees May 2020 1.00 (366.40) 7,156,927.96 06/25/20 06/25/20 U.S. Bank Fees April 2020 1.00 (73.02) 7,156,854.94 06/30/20 06/30/20 Purchase - Principal 89114NC52 1.00 464,887.12 7,621,742.06 06/30/20 06/30/20 Purchase - Principal 912828XH8 1.00 609,915.63 8,231,657.69 06/30/20 06/30/20 Purchase - Principal 912828XY1 1.00 1,873,125.00 10,104,782.69 06/30/20 07/01/20 Accrual Income Div Reinvestment - Distributions 1.00 3,050.17 10,107,832.86 10,107,832.86 10,107,832.86 10,107,832.86 7,255,572.41 169,015.24 0.00 (33,637,552.54) 28,576,705.21 15,168,680.19 3,050.17 10,107,832.86 0.00 (439.42) 4,108,884.17 5,999,388.11 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance June July-June 0.51% Account 7023-001 Page 4IPF M Asset Management ILJLC For the Month Ending June 30, 2020Account Statement - Transaction Summary City of San Rafael - Lease Revenue Bonds Series 2018 Capitalized Intere - 7023-002 Opening Market Value Purchases Redemptions Change in Value Closing Market Value 826,997.05 347.74 (107.64) 0.00 $827,237.15 CAMP Pool Unsettled Trades 0.00 347.74 Cash Dividends and Income June 30, 2020 May 31, 2020 Asset Summary CAMP Pool 827,237.15 826,997.05 $827,237.15 $826,997.05 Total Asset Allocation 100.00% CAMP Pool Account 7023-002 Page 1IPF M Asset Management ILJLC For the Month Ending June 30, 2020Managed Account Summary Statement City of San Rafael - Lease Revenue Bonds Series 2018 Capitalized Intere - 7023-002 - (12517707) Dividend Closing Market Value Redemptions Purchases Opening Market Value Closing Market Value Change in Current Value Unsettled Trades Principal Acquisitions Principal Dispositions Maturities/Calls Opening Market Value Closing Market Value Opening Market Value Account Total Total Cash Basis Earnings Plus Net Realized Gains/Losses Less Purchased Interest Related to Interest/Coupons Interest/Dividends/Coupons Received Earnings Reconciliation (Cash Basis) - Managed Account Dividends Less Beginning Accrued Interest Less Beginning Amortized Value of Securities Less Cost of New Purchases Plus Coupons/Dividends Received Plus Proceeds of Maturities/Calls/Principal Payments Plus Proceeds from Sales Ending Accrued Interest Ending Amortized Value of Securities Earnings Reconciliation (Accrual Basis) Reconciling Transactions Net Cash Contribution Security Purchases Principal Payments Coupon/Interest/Dividend Income Sale Proceeds Maturities/Calls Cash Transactions Summary- Managed Account $826,997.05 347.74 (107.64) $827,237.15 347.74 $0.00 0.00 0.00 0.00 0.00 0.00 $0.00 $826,997.05 $827,237.15 0.00 0.00 0.00 $0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Managed Account Total 0.00 827,237.15 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 107.64 0.00 0.00 (347.74) (826,997.05) 0.00 347.74 Total Accrual Basis Earnings $0.00 $347.74 Transaction Summary - Managed AccountTransaction Summary - Money Market _______________________________________________ _______________________________________________ _____________________________________________________ Cash Balance $0.00 Closing Cash Balance Account 7023-002 Page 2IPF M Asset Management ILJLC For the Month Ending June 30, 2020Account Statement City of San Rafael - Lease Revenue Bonds Series 2018 Capitalized Intere - 7023-002 Total Settlement Dollar AmountShare or Trade Shares OwnedDate Transaction Description of TransactionUnit PriceDate CAMP Pool 826,997.05 Opening Balance 06/25/20 06/25/20 IP Fees May 2020 1.00 (82.88) 826,914.17 06/25/20 06/25/20 U.S. Bank Fees April 2020 1.00 (24.76) 826,889.41 06/30/20 07/01/20 Accrual Income Div Reinvestment - Distributions 1.00 347.74 827,237.15 827,237.15 827,237.15 827,237.15 826,987.11 13,253.91 0.00 (2,236,059.81) 2,282,162.00 781,134.96 347.74 827,237.15 0.00 (107.64) 347.74 826,997.05 Monthly Distribution Yield Average Monthly Balance Closing Balance Fiscal YTDMonth of Cash Dividends and Income Closing Balance Check Disbursements Redemptions (Excl. Checks) Purchases Opening Balance Closing Balance June July-June 0.51% Account 7023-002 Page 3IPF M Asset Management ILJLC