HomeMy WebLinkAbout05(D) - Approval of 1st Quarter 2023 Investment Report Report
ITEM: 5D
CITY COUNCIL AGENDA REPORT
MEETING DATE: May 01, 2023
PREPARED BY: Jason Etter, Senior Accountant
PRESENTED BY: Cathy Erickson, Finance Director
AGENDA ITEM: Approval of 1st Quarter 2023 Investment Report
RECOMMENDED ACTION:
Approve the 2023 1st Quarter Investment Report as presented.
BACKGROUND:
The purpose of this agenda item is for the Council to consider approval of the investment report
for the first quarter of 2023.
Staff has prepared a list of investments as of March 31, 2023. The Investment Report Summary
Narrative provides some supplementary information with respect to the investments currently held
and the allowable forms of investments permitted by Minnesota Statute.
The investment software provides the ability to generate reports and charts by broker, security
type, maturities, etc. The software also enables staff to track interest earned on an accrual basis
versus a cash basis as well as changes in market value.
ALTERNATIVES:
1. Motion and second as part of the consent agenda to approve the 2023 1st Quarter
Investment Report as presented.
2. Motion and second to remove the Investment Report from the consent agenda for
additional discussion.
ATTACHMENTS:
1. 2023 1st Q Investment Portfolio by Maturity Range (attach 4)
2. 2023 1st Q Investment Portfolio by Security Type (attach 5)
3. 2023 1st Q Investment Portfolio by Security Type graph (attach 3)
4. 2023 1st Q Investment Summary Report (attach 1)
5. 2023 1st Q Year to Year Summary Analysis (attach 2)
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
YTM @
Cost Cost Value
Days to
Maturity
% of
Portfolio
0‐1 Month 4.281 12,954,977 1 27.82%
1‐3 Months 2.355 439,135 50 0.95%
3‐6 Months 1.335 2,821,599 120 6.06%
6‐9 Months 2.841 3,290,632 216 6.97%
9‐12 Months 0.614 461,380 288 0.96%
1‐2 Years 1.899 8,735,278 561 18.64%
2‐3 Years 1.305 5,561,092 931 11.60%
3‐4 Years 1.723 7,148,126 1,300 15.39%
4‐5 Years 3.544 5,224,642 1,346 11.61%
Total / Average 2.670 46,636,861 630 100.00%
CITY OF PRIOR LAKE, MINNESOTA
Investment Portfolio ‐ Diversification, by Maturity Range
March 31, 2023
Description
City of Prior Lake ‐ Quarterly Investment Report
Description CUSIP/Ticker Settlement Date YTM @ Cost Face Amount/Shares Cost Value Book Value Market Value Maturity Date Days To Maturity Accrued Interest % of Portfolio
Cash - Northland Securities Cash CASH5845 2/3/2002 0.000 5,123.67 5,123.67 5,123.67 5,123.67 N/A 1 0.01
Morgan Stanley Cash CASH5089 12/31/2010 0.000 32,956.02 32,956.02 32,956.02 32,956.02 N/A 1 0.07
Oppenheimer Cash MM9905 12/27/2011 0.000 979,269.65 979,269.65 979,269.65 979,269.65 N/A 1 2.10
Sub Total / Average Cash 0.000 1,017,349.34 1,017,349.34 1,017,349.34 1,017,349.34 1 0.00 2.18
1st Security Bk of Wash 4.05 6/16/2026 33625CFL8 12/16/2022 4.050 249,000.00 249,000.00 249,000.00 242,697.81 6/16/2026 1,173 414.43 0.53
Ally Bk Sandy UT 3.4 8/4/2025 02007GXF5 8/4/2022 3.400 245,000.00 245,000.00 245,000.00 236,750.85 8/4/2025 857 1,255.21 0.53
Alma Bank 1.8 9/11/2023 020080BM8 9/11/2019 1.800 245,000.00 245,000.00 245,000.00 241,511.20 9/11/2023 164 241.64 0.53
American Express Natl 3 5/4/2027 02589ACK6 4/30/2022 3.000 245,000.00 245,000.00 245,000.00 227,823.05 5/4/2027 1,495 2,960.14 0.53
Banc Calif Irvine 3.2 7/1/2024 05961SNS9 6/29/2022 3.200 245,000.00 245,000.00 245,000.00 239,485.05 7/1/2024 458 1,976.11 0.53
Bank Baroda New York 3.55 11/30/2023 06062R-7R-7 11/30/2018 3.550 245,000.00 245,000.00 245,000.00 242,505.90 11/30/2023 244 2,899.17 0.53
Bank Hapoalim 0.95 7/23/2026 06251A2Y5 7/23/2021 0.950 245,000.00 245,000.00 245,000.00 215,663.70 7/23/2026 1,210 427.24 0.53
Bank of Belleville 4 6/15/2027 06063PDD4 12/15/2022 4.000 249,000.00 249,000.00 249,000.00 240,471.75 6/15/2027 1,537 436.60 0.53
Bank of New England 3.25 7/31/2023 06426KAN8 7/31/2018 3.250 245,000.00 245,000.00 245,000.00 243,561.85 7/31/2023 122 0.00 0.53
Bankers Bank West Denver CO 1.8 9/30/2024 06610T-EE-1 9/30/2019 1.800 245,000.00 245,000.00 245,000.00 233,590.35 9/30/2024 549 12.08 0.53
BankUnited Savings Miami 0.95 3/31/2026 066519QT9 3/31/2021 0.950 245,000.00 245,000.00 245,000.00 218,059.80 3/31/2026 1,096 0.00 0.53
BMW Bk 4.75 3/17/2028 055180AW83 3/17/2023 4.750 245,000.00 245,000.00 245,000.00 243,936.70 3/17/2028 1,813 446.37 0.53
Bridgewater Bk 4.8 3/29/2028 108622NK3 3/29/2023 4.800 245,000.00 245,000.00 245,000.00 244,495.30 3/29/2028 1,825 64.44 0.53
CalPrivate Bk La Jolla 4 9/23/2027-23 13135NAS9 9/28/2022 4.400 249,000.00 244,545.39 244,995.50 240,237.69 9/23/2027 1,637 221.33 0.53
Capital One Bk USA Natl 1.8 3/17/2025 14042TEM5 3/16/2022 1.800 245,000.00 245,000.00 245,000.00 230,638.10 3/17/2025 717 181.23 0.53
Capital One Nat'l Assn McLean 2.1 8/14/2024 14042RMW8 8/14/2019 2.100 247,000.00 247,000.00 247,000.00 237,411.46 8/14/2024 502 639.49 0.53
Celtic Bank 1.8 8/30/2023 15118RRF6 8/30/2019 1.800 245,000.00 245,000.00 245,000.00 241,746.40 8/30/2023 152 0.00 0.53
CF Bank 3.15 9/18/2023 15721UCQ0 9/18/2018 3.150 245,000.00 245,000.00 245,000.00 242,883.20 9/18/2023 171 274.87 0.53
Charles Schwab Bank 4.7 11/21/2023 159877UAC2 11/21/2022 4.700 238,000.00 238,000.00 238,000.00 237,264.58 11/21/2023 235 3,984.05 0.51
City Natl Bk Los Ang 4.9 11/24/2025 178180GS8 11/23/2022 4.900 245,000.00 245,000.00 245,000.00 244,879.95 11/24/2025 969 4,209.97 0.53
Discover Bank 1.9 5/11/2023 254672YR3 9/17/2019 2.001 245,000.00 244,135.15 244,973.38 244,152.30 5/11/2023 41 1,785.48 0.53
Enerbank USA 0.55 9/25/2025 29278TRL6 9/25/2020 0.550 245,000.00 245,000.00 245,000.00 219,963.45 9/25/2025 909 22.15 0.53
Enterprise Bank & Trust 1.8 11/8/2024 29367SJQ8 11/8/2019 1.800 245,000.00 245,000.00 245,000.00 232,882.30 11/8/2024 588 277.89 0.53
Enterprise Bank Allison Park PA 1.8 9/27/2024 29367R-LA-2 9/27/2019 1.800 245,000.00 245,000.00 245,000.00 233,698.15 9/27/2024 546 48.33 0.53
Fifth Third Bk2.95 6/30/2023 316777XV8 6/30/2022 2.950 242,000.00 242,000.00 242,000.00 242,000.00 6/30/2023 91 5,359.14 0.52
First Commercial Bank MS 0.3 3/31/2025 31984GFK0 3/7/2022 1.700 225,000.00 215,588.25 218,857.15 205,116.75 3/31/2025 731 1.85 0.48
First Finl Bk3.3 8/2/2027 32022RSG3 8/1/2022 3.300 245,000.00 245,000.00 245,000.00 229,770.80 8/2/2027 1,585 664.52 0.53
First Natl Bank of Albany 1.6 2/28/2025 32117WAN2 2/28/2020 1.600 245,000.00 245,000.00 245,000.00 230,003.55 2/28/2025 700 32.22 0.53
First Utd Bk4.4 8/8/2025 33742CCR6 2/8/2023 4.400 245,000.00 245,000.00 245,000.00 242,106.55 8/8/2025 861 679.29 0.53
Flagstar Bank FSB 0.2 6/30/2023 33847E4Q7 6/30/2021 0.200 245,000.00 245,000.00 245,000.00 242,045.30 6/30/2023 91 122.16 0.53
Goldman Sachs Bk 1 7/28/2026 38149MXK4 7/28/2021 1.000 245,000.00 245,000.00 245,000.00 215,418.70 7/28/2026 1,215 416.16 0.53
Harden County 3.1 9/28/2023 412022CJ2 9/28/2018 3.100 245,000.00 245,000.00 245,000.00 242,697.00 9/28/2023 181 62.42 0.53
Iowa State Clarksville 3.15 9/28/2023 46256YAY5 9/28/2018 3.150 245,000.00 245,000.00 245,000.00 242,741.10 9/28/2023 181 63.43 0.53
Israel Discount Bk 0.75 7/14/2023 465076TA5 1/28/2022 0.750 249,000.00 249,000.00 249,000.00 245,932.32 7/14/2023 105 317.22 0.53
Legacy Bk & Tr Co 3.5 7/29/2027-22 52470QBK9 8/1/2022 3.500 245,000.00 245,000.00 245,000.00 231,703.85 7/29/2027 1,581 46.99 0.53
Live Oak Bkg Co 3.55 8/2/2027-23 538036WY6 8/2/2022 3.550 249,000.00 249,000.00 249,000.00 235,952.40 8/2/2027 1,585 702.32 0.53
Luana Savings Bank 0.2 5/7/2024 549104XH5 11/22/2021 0.699 240,000.00 237,081.60 238,688.83 227,560.80 5/7/2024 403 189.37 0.52
Manufacturers 4.9 12/9/2024 564759RJ9 12/7/2022 4.900 245,000.00 245,000.00 245,000.00 244,593.30 12/9/2024 619 3,749.51 0.53
Morgan Stanley Bank Step 11/28/2027 61765QP52 9/2/2021 1.004 249,000.00 249,000.00 249,000.00 209,341.77 11/28/2027 1,703 211.48 0.53
MS Private Bank 3.55 11/8/2023 61760ARS0 11/8/2018 3.550 245,000.00 245,000.00 245,000.00 242,677.40 11/8/2023 222 3,407.51 0.53
National Cooperative Bank3.4 12/21/2023 635573AL2 12/24/2018 3.400 245,000.00 245,000.00 245,000.00 241,974.25 12/21/2023 265 2,282.19 0.53
New York Community Bank 0.2 7/3/2023 649447VA4 6/30/2021 0.200 245,000.00 245,000.00 245,000.00 241,966.90 7/3/2023 94 122.16 0.53
Oceanfirst Bk Natl 3.25 7/1/2024 67523TBE2 6/29/2022 3.250 245,000.00 245,000.00 245,000.00 239,632.05 7/1/2024 458 2,006.99 0.53
Ponce De Leon Fed Bk 3.5 9/15/2027 732329BD8 9/15/2022 3.500 245,000.00 245,000.00 245,000.00 231,436.80 9/15/2027 1,629 375.89 0.53
Preferred Bank LA Calif 1.95 8/30/2024 740367HR1 8/30/2019 1.950 249,000.00 249,000.00 249,000.00 238,492.20 8/30/2024 518 0.00 0.53
Sallie Mae Bank Utah 1.9 9/18/2024 7954504D4 9/18/2019 1.900 245,000.00 245,000.00 245,000.00 234,210.20 9/18/2024 537 165.79 0.53
Savibank 4.05 1/19/2027 80517LAC5 1/18/2023 4.050 249,000.00 249,000.00 249,000.00 241,554.90 1/19/2027 1,390 359.17 0.53
Signature Bk New York 4.7 12/9/2024 82669GFM1 12/9/2022 4.700 240,000.00 240,000.00 240,000.00 238,831.20 12/9/2024 619 3,461.26 0.52
Spring Bank3.25 10/24/2023 849430AY9 10/24/2018 3.250 245,000.00 245,000.00 245,000.00 242,523.05 10/24/2023 207 152.71 0.53
State Bk India New York 0.65 12/29/2023 856285A92 12/29/2021 0.650 245,000.00 245,000.00 245,000.00 236,988.50 12/29/2023 273 401.40 0.53
Synchrony Bank 0.9 8/6/2026 87165GD58 8/6/2021 0.900 248,000.00 248,000.00 248,000.00 218,624.40 8/6/2026 1,224 324.10 0.53
Texas Exchange Bk 0.45 8/21/2024 88241TJE1 8/21/2020 0.450 245,000.00 245,000.00 245,000.00 229,895.75 8/21/2024 509 30.21 0.53
Third Fed Sav & Ln 3.3 8/19/2027 88413QDN5 8/19/2022 3.300 245,000.00 245,000.00 245,000.00 229,765.90 8/19/2027 1,602 886.03 0.53
Toyota Finl Svgs Bk 0.95 7/15/2026 89235MLC3 7/15/2021 0.950 245,000.00 245,000.00 245,000.00 215,847.45 7/15/2026 1,202 478.25 0.53
Transportation Alliance Bk 4.8 9/9/2024 89388CGG7 12/9/2022 4.800 240,000.00 240,000.00 240,000.00 239,205.60 9/9/2024 528 694.36 0.52
Uinta Bk Mtn 4.4 3/22/2028 903572FT7 3/22/2023 4.400 245,000.00 245,000.00 245,000.00 240,156.35 3/22/2028 1,818 265.81 0.53
Veritex Cmnty Bk 0.2 9/15/2023 923450CP3 9/15/2021 0.200 245,000.00 245,000.00 245,000.00 239,651.65 9/15/2023 168 21.48 0.53
Washington Federal 1.95 8/28/2024 938828BN9 8/28/2019 1.950 245,000.00 245,000.00 245,000.00 234,697.75 8/28/2024 516 39.27 0.53
Webbank 0.4 10/30/2023-22 947547NL5 11/8/2021 0.449 245,000.00 244,755.00 244,927.62 238,434.00 10/30/2023 213 5.37 0.53
Wells Fargo BK NA Sioux Falls 2.75 5/17/2024 949763-B6-2 6/11/2019 2.650 200,000.00 200,924.00 200,211.77 194,872.00 5/17/2024 413 210.96 0.43
Wex Bk Midvale 0.25 6/30/2023 92937CKM9 6/30/2021 0.250 232,000.00 232,000.00 232,000.00 229,229.92 6/30/2023 91 144.60 0.50
Winter Hill Bank 3.5 8/26/2027-23 975875BH7 8/26/2022 3.500 245,000.00 245,000.00 245,000.00 231,600.95 8/26/2027 1,609 117.47 0.53
Sub Total / Average Certificate Of Deposit 2.558 15,124,000.00 15,107,029.39 15,112,654.25 14,535,564.25 757 51,349.28 32.48
FFCB 0.69 7/22/2025-21 3133ELX33 4/15/2021 0.750 600,000.00 598,488.00 599,181.44 551,922.00 7/22/2025 844 793.50 1.29
FFCB 0.72 10/27/2026-21 3133EMES7 6/18/2021 1.000 500,000.00 492,715.00 495,138.37 444,815.00 10/27/2026 1,306 1,540.00 1.07
FFCB 0.74 11/24/2026-21 3133EMHC9 4/14/2021 1.053 450,000.00 442,350.00 445,021.90 398,722.50 11/24/2026 1,334 1,174.75 0.97
FFCB 2.62 11/17/2025 3133EHJR5 9/24/2021 0.810 500,000.00 536,830.00 523,386.44 481,320.00 11/17/2025 962 4,876.11 1.07
Sub Total / Average FFCB Bond 0.892 2,050,000.00 2,070,383.00 2,062,728.15 1,876,779.50 1,093 8,384.36 4.40
City of Prior Lake
Portfolio Holdings
Investment Portfolio - by Security Type
As of 3/31/2023
Cash
Certificate Of Deposit
FFCB Bond
Description CUSIP/Ticker Settlement Date YTM @ Cost Face Amount/Shares Cost Value Book Value Market Value Maturity Date Days To Maturity Accrued Interest % of Portfolio
City of Prior Lake
Portfolio Holdings
Investment Portfolio - by Security Type
As of 3/31/2023
FHLB 1 12/30/2026-21 3130ANY87 10/20/2021 1.205 500,000.00 494,850.00 496,280.71 446,815.00 12/30/2026 1,370 1,250.00 1.07
FHLB 1.25 11/10/2026-22 3130APLR4 11/10/2021 1.250 450,000.00 450,000.00 450,000.00 406,611.00 11/10/2026 1,320 2,203.12 0.97
FHLB Step 12/15/2025-21 3130AKJ72 4/13/2021 0.894 500,000.00 497,500.00 498,550.09 459,685.00 12/15/2025 990 662.50 1.07
FHLN 5159508 1.25 10/16/2026-21 3130ALW83 4/16/2021 1.250 216,666.67 216,666.67 216,666.67 196,573.00 10/16/2026 1,295 1,241.32 0.47
FHLN 5214149 Step 7/22/2026-21 3130AN4W7 7/22/2021 1.057 1,000,000.00 1,000,000.00 1,000,000.00 916,330.00 7/22/2026 1,209 2,300.00 2.15
Sub Total / Average FHLB Bond 1.103 2,666,666.67 2,659,016.67 2,661,497.47 2,426,014.00 1,224 7,656.94 5.73
FHLMC 0.5 12/9/2024 3134GWA71 9/9/2020 0.500 200,000.00 200,000.00 200,000.00 187,174.00 12/9/2024 619 311.11 0.43
Sub Total / Average FHLMC Bond 0.500 200,000.00 200,000.00 200,000.00 187,174.00 619 311.11 0.43
League of Minnesota Cities - 4M Fund LGIP LGIP5101M 11/30/2010 4.683 7,897,588.00 7,897,588.00 7,897,588.00 7,897,588.00 N/A 1 16.96
League of Minnesota Cities - 4M Plus Fund LGIP LGIP5101MP 11/30/2010 4.686 3,785,040.12 3,785,040.12 3,785,040.12 3,785,040.12 N/A 1 8.13
Sub Total / Average Local Government Investment Pool 4.684 11,682,628.12 11,682,628.12 11,682,628.12 11,682,628.12 1 0.00 25.09
Allen Park MI Public Sch Dist 2 11/2/2024 018033HR4 7/30/2020 0.751 290,000.00 305,140.90 295,663.24 278,275.30 11/2/2024 582 2,416.67 0.62
Cabot-Las Positas 1.287 8/1/2027 15722TJS1 4/28/2022 3.500 550,000.00 491,991.50 502,167.90 477,884.00 8/1/2027 1,584 1,179.75 1.18
Canadian Cnty Okla Indpt Sch Dist 2 11/1/2024 135537-GT-9 11/7/2019 2.000 285,000.00 285,000.00 285,000.00 273,634.20 11/1/2024 581 2,375.00 0.61
Cecil Cnty MD 1.05 11/1/2026 1498433N2 9/23/2021 0.970 500,000.00 501,985.00 501,395.35 446,550.00 11/1/2026 1,311 2,187.50 1.07
Central Cmnty Sch 2 3/1/2026 153135FJ2 3/4/2021 0.700 300,000.00 319,098.00 311,167.56 280,527.00 3/1/2026 1,066 500.00 0.64
Edgewood Ohio City 5 12/1/2023 280455ET9 12/19/2019 2.101 215,000.00 238,512.40 218,992.06 215,088.15 12/1/2023 245 3,583.33 0.46
El Paso TX ISD 0 8/15/2024 283770NS0 10/30/2020 0.700 500,000.00 486,925.00 495,251.46 469,430.00 8/15/2024 503 0.00 1.07
Enfield Conn Taxable 1.39 8/1/2027 292749UK2 4/6/2022 3.000 335,000.00 308,658.95 313,525.88 296,334.30 8/1/2027 1,584 776.08 0.72
Falmouth ME Taxable 3 10/15/2025 306783NF4 10/15/2021 0.800 340,000.00 369,386.20 358,685.68 329,079.20 10/15/2025 929 4,703.33 0.73
Federal Way Wash2.2 12/1/2024 314031-HH-1 12/11/2019 2.150 475,000.00 476,111.50 475,373.76 456,731.50 12/1/2024 611 3,483.33 1.02
Goose Creek Tex 4.5 2/15/2027 382604Z25 11/3/2022 4.700 500,000.00 496,125.00 496,491.45 503,680.00 2/15/2027 1,417 2,875.00 1.07
Hawaii St GO Ref 2.802 10/1/2027-26 419792KL9 7/28/2022 3.350 100,000.00 97,413.00 97,749.54 94,357.00 10/1/2027 1,645 1,401.00 0.21
Hawaii St Taxable 1.033 8/1/2025 419792F92 10/12/2021 0.950 300,000.00 300,924.00 300,568.10 277,770.00 8/1/2025 854 516.50 0.64
Indiana Bond Bank 3.326 7/15/2025 45462TER9 3/26/2021 0.900 240,000.00 264,516.00 253,053.37 233,390.40 7/15/2025 837 1,685.17 0.52
Iowa Westn Comm2.8 6/1/2023 462612SE3 2/12/2018 2.800 195,000.00 195,000.00 195,000.00 194,346.75 6/1/2023 62 1,820.00 0.42
Liberty Center Ohio 0 11/1/2025 530336DV5 8/18/2020 1.051 215,000.00 203,589.95 209,321.98 191,651.00 11/1/2025 946 0.00 0.46
Mankato Minn ISD 0.7 2/1/2025 563690RP3 10/22/2020 0.700 300,000.00 300,000.00 300,000.00 279,396.00 2/1/2025 673 350.00 0.64
Massachusetts St 0.986 11/1/2026 57582RK96 6/30/2021 1.000 500,000.00 499,635.00 499,754.61 448,735.00 11/1/2026 1,311 2,054.17 1.07
Massachusetts St Dev 2.785 5/1/2024 57584FEM8 12/20/2019 1.920 240,000.00 248,647.20 242,153.66 234,823.20 5/1/2024 397 2,785.00 0.52
Milwaukee Cnty Wis 2 12/1/2026 6022453V2 11/23/2021 1.300 500,000.00 516,960.00 512,400.96 459,620.00 12/1/2026 1,341 3,333.33 1.07
Monmouth OR Bds 2.9 4/1/2023 609694FZ2 1/30/2018 2.900 255,000.00 255,000.00 255,000.00 255,000.00 4/1/2023 1 3,697.50 0.55
Northwest Local Sch District Hamilton & Butler 667712CF8 11/15/2019 2.069 360,000.00 376,408.80 362,721.84 356,238.00 12/1/2023 245 3,900.00 0.77
Northwest Local Sch District Hamilton & Butler 667712CG6 11/15/2019 2.169 370,000.00 389,010.60 376,302.48 361,726.80 12/1/2024 611 4,008.33 0.79
Oak Creek WIS 4 10/1/2023 671137-YP-6 11/27/2018 3.402 280,000.00 287,434.00 280,773.24 278,821.20 10/1/2023 184 5,600.00 0.60
Oklahoma Cnty Okla Metro 2.65 6/1/2024 67869T-AD-7 7/15/2019 2.286 500,000.00 508,255.00 501,981.57 490,800.00 6/1/2024 428 4,416.67 1.07
Oregon Edu Dists 0.312 6/30/2023 68587FAT1 12/17/2021 0.550 385,000.00 383,598.60 384,772.27 380,942.10 6/30/2023 91 300.30 0.83
Orono ME Taxable 5 11/1/2025 687085DR8 10/29/2020 1.000 330,000.00 394,287.30 363,250.84 333,841.20 11/1/2025 946 6,875.00 0.71
Pelican Rapids Minn 0.8 2/1/2025 705863HR2 12/17/2020 0.700 525,000.00 527,126.25 525,949.55 490,917.00 2/1/2025 673 700.00 1.13
Pennsylvania St Univ 1.645 9/1/2025 709235S48 12/6/2021 1.120 250,000.00 254,787.50 253,103.98 234,440.00 9/1/2025 885 342.71 0.54
Rhode IS Infrastructure Bk 2.18 10/1/2023 7622FDD7 6/27/2019 2.151 435,000.00 435,522.00 435,061.69 429,614.70 10/1/2023 184 4,741.50 0.93
Richfield Minn ISD 3 2/1/2024 763342SZ6 9/4/2020 0.570 200,000.00 216,380.00 204,039.08 196,946.00 2/1/2024 307 1,000.00 0.43
Roanoke VA Taxable 2 2/1/2025 770078BD4 5/14/2020 1.250 300,000.00 310,266.00 304,007.55 286,641.00 2/1/2025 673 1,000.00 0.64
Springboro Ohio 5 12/1/2027 85023MAF2 7/12/2022 4.002 245,000.00 256,755.10 255,190.14 251,705.65 12/1/2027 1,706 4,083.33 0.53
St Louis Park Minn 4.5 2/1/2027 791740V34 9/7/2022 3.345 190,000.00 198,863.50 197,733.51 191,480.10 2/1/2027 1,403 4,845.00 0.41
Toledo Ohio City Sch 5 12/1/2027 889294RT3 9/28/2022 4.520 100,000.00 102,186.00 101,973.18 102,227.00 12/1/2027 1,706 1,666.67 0.21
Trussville AL 0.822 10/1/2025 898242ND0 8/25/2020 0.710 300,000.00 301,677.00 300,823.65 273,270.00 10/1/2025 915 1,233.00 0.64
Waukesha Wis 1.2 10/1/2027 943080UZ2 9/1/2022 3.660 375,000.00 332,557.50 337,382.59 327,281.25 10/1/2027 1,645 2,250.00 0.81
Wauwatosa WI 3 12/1/2024-22 9435042U3 10/28/2021 2.014 200,000.00 205,880.00 203,179.36 195,100.00 12/1/2024 611 2,000.00 0.43
Wicomico Cnty MD 2 12/1/2026 967546BA9 5/13/2022 3.450 380,000.00 356,975.80 361,433.88 352,472.80 12/1/2026 1,341 2,533.33 0.82
Wisconsin St Gen Fund 2.877 5/1/2024 977100EA0 12/2/2021 0.700 160,000.00 168,321.60 163,749.92 156,700.80 5/1/2024 397 1,918.00 0.34
Sub Total / Average Municipal Bond 1.902 13,020,000.00 13,166,912.15 13,032,146.88 12,387,468.60 851 95,136.50 27.96
T-Note 0.375 11/30/2025 91282CAZ4 9/24/2021 0.780 300,000.00 295,008.00 296,814.66 273,444.00 11/30/2025 975 373.97 0.64
T-Note 0.625 11/30/2027 91282CAY7 5/5/2022 3.040 500,000.00 438,535.00 448,502.30 435,215.00 11/30/2027 1,705 1,038.80 1.07
Sub Total / Average Treasury Note 2.193 800,000.00 733,543.00 745,316.96 708,659.00 1,431 1,412.77 1.72
Total / Average 2.680 46,560,644.13 46,636,861.67 46,514,321.17 44,821,636.81 630 164,250.96 100
Local Government Investment Pool
Municipal Bond
Treasury Note
FHLB Bond
FHLMC Bond
YTM @
Cost Cost Value
Days to
Maturity
% of
Portfolio
Cash ‐ 1,017,349 1 2.18%
Certificate of Deposit 2.558 15,107,029 757 32.48%
FFCB Bond 0.892 2,070,383 1,093 4.40%
FHLB Bond 1.103 2,659,017 1,224 5.73%
FHLMC Bond 0.500 200,000 619 0.43%
LGIP 4.684 11,682,628 1 25.09%
Municipal Bond 1.902 13,166,912 851 27.96%
Treasury Note 2.193 733,543 1,431 1.73%
Total / Average 2.67 46,636,861 630 100.00%
CITY OF PRIOR LAKE, MINNESOTA
Investment Portfolio ‐ Diversification, by Security Type
March 31, 2023
Description
City of Prior Lake ‐ Quarterly Investment Report
4646 Dakota Street SE
Prior Lake, MN 55372
INVESTMENT REPORT SUMMARY NARRATIVE
The attached “Investment Portfolio – by Security Type” identifies the various types of investments and
the brokers/banks the City of Prior Lake uses for investment purposes.
As of March 31, 2023, the balance of the investment portfolio is $46,636,861. This is a decrease of
$875K from December 31, 2022.
The ‘weighted average yield to maturity at cost’ of the investment portfolio is currently 2.67% which is
an increase from 2.43% as of December 31. The yield will fluctuate due in part to the balances that
are in the short-term money market accounts and the very low rate that is paid on money market
funds. At the end of March, the balance in the 4M money market was $11.7M.
It continues to be challenging to find competitive rates for short-term investments---30 to 120-day ma-
turities. These short-term securities are necessary to meet cash flow needs for payments to vendors
(including construction contracts) and payroll. The following table shows the treasury rates for the 1st
quarter of 2023 compared to the previous two years:
As rates increase, the market value of the existing securities will decrease. As of March 31, 2023, the
cost value of the portfolio is more than the market value of the investments by $1.8M. The change in
the fair value of the securities is adjusted against interest earnings in each of the funds. This is a paper
loss for the first quarter of 2023; no actual gain/loss is realized because the City holds the securities
until maturity.
During the first quarter of 2023, the chart below shows how rates are showing an increase, especially
short to mid-term securities. Current long-term rates being offered by financial institutions continue to
increase slightly.
As the attached chart titled Investment Portfolio – Diversification, by Maturity Range indicates, approx-
imately 28% or $12.9M matures within 1 month. Of that total, $11.7M is in the 4M investment pool.
These funds are being held in the 4M investment pool. These funds will be invested as the appropri-
ate security (type, rate, and maturity) becomes available. Staff continues to look for opportunities to
invest our short-term funds.
The City’s investment portfolio amount is a pool of funds identified on the monthly Treasurer’s Report.
As shown on the March Treasurer’s Report, the balance of cash and investments, is $48.2M. Of this
balance, $46.5M is investments and $1.7M is cash. Because City funds are pooled for investment
purposes, interest is allocated to each fund monthly, and is based upon each individual fund’s propor-
tionate share of the total amount. Overall, the total investment pool does not represent excess re-
serves but rather available financial resources. In most instances, these funds were established and
restricted for specific and designated purposes by either Minnesota Statutes or City Code to accom-
plish the goals and objectives of the City. The constraints for each of the funds are noted on the
Treasurer’s Report.
Investments for local governments are restricted to only those permitted by Minnesota Statutes. Per
the City of Prior Lake Investment Policy, the City has chosen to limit its allowable investments as fol-
lows:
1. Bonds, notes certificates of indebtedness, treasury bills or other securities
now or hereafter issued by the United States of America, its agencies and al-
lowable instrumentalities;
2. Interest bearing checking and savings accounts, or any other investments
constituting direct obligations of any bank;
2
3. Certificates of deposit at state and federally chartered institutions that are lim-
ited to the amount of coverage provided by the Federal Deposit Insurance
Corporation;
4. Money market accounts that are invested in above referenced government se-
curities;
5. State and local securities which have at the time of investment one of the
three highest credit ratings by a nationally recognized rating agency;
6. Investments may be made only in those savings banks or savings and loan
associations the shares, or investment certificates of which are insured by the
Federal Deposit Insurance Corporation;
7. Investment products that are considered as derivatives are specifically ex-
cluded from approved investments.
The breakdown of all security types held by the City is shown graphically in the attached document
titled Investment Portfolio – Diversification, by Security Type.
The investment policy also requires that all investment maturities shall not extend beyond ten (10)
years with no more than 20% maturing beyond five (5) years.
3
Change
from one
3/31/2022 6/30/2022 9/30/2022 12/31/2022 3/31/2023 year prior
Market Value 11,451,561 13,722,257 13,941,365 14,313,568 12,699,977 1,248,416
111110
0.07% 0.90% 2.05% 3.47% 4.31%4.24%
Fixed Income Assets
31,360,176 32,321,683 33,273,875 33,197,884 33,936,884 2,576,708
30,387,293 30,910,391 31,173,111 31,188,237 32,121,659 1,734,366
887 897 938 917 865 (22)
822 838 831 849 826 4
1.57% 1.68% 1.85% 1.98% 2.06%0.49%
Total Portfolio Value
42,811,737 46,043,940 47,215,240 47,511,452 46,636,861 3,825,124
41,838,854 44,632,648 45,114,476 45,501,805 44,821,636 2,982,782
137,024 105,209 145,337 112,064 164,251 27,227
‐972,783 ‐1,411,292 ‐2,100,764 ‐2,009,647 ‐1,815,225 (842,442)
648 629 661 640 630 (18)
601 587 586 593 601 0
1.17% 1.45% 1.91% 2.43% 2.67% 1.50%
BENCHMARK
90 Day T‐Bill 0.52% 1.72% 3.33% 4.42% 4.85% 4.33%
1.06% 2.51% 3.92%4.69% 4.97% 3.91%
1.63% 2.80% 4.05%4.76% 4.94% 3.31%
Weighted Average Yield to
Maturity @ Cost
CITY OF PRIOR LAKE, MINNESOTA
Quarterly Investment Report
March 31, 2023
Local Government
Investment Pools /
Money Market
Quarterly
WAM (1) in Days
Weighted Average Yield to
Maturity
Cost Value
Market Value
WAM (1) in Days
WAM / Callable (1) in Days
Weighted Average Yield
to Maturity @ Cost
6 Month Treasury
1 Year Treasury
Cost Value
Market Value
Accrued Interest
Unrealized Gain / Loss
WAM (1) in Days
WAM / Callable (1) in Days
City of Prior Lake ‐ Quarterly Investment Report