Laserfiche WebLink
Page 2 of 5 <br />portfolio managed by Chandler Asset Management, market value increased by $7.8 million, <br />from $193.2 million to $201.0 million, with an average market yield of 4.26 percent, and <br />average days to maturity (ADM) of 1,009 days. The average market yield is slightly higher <br />than the 4.16 percent for the ICE BofA 1-5 Year Unsubordinated US Treasury & Agency <br />Index. <br /> <br />Local Agency Investment Fund <br />The City's investment in the Local Agency Investment Fund (LAIF) increased from $66.5 <br />million to $74.0 million for the quarter ending March 31, 2026. The quarterly LAIF <br />apportionment interest rate was 3.92 percent with an ADM of 269 days. The average monthly <br />effective yield was 3.82 percent in June, 3.81 percent in May, and 3.81 percent in April. The <br />average monthly effective yield for the twelve months ended June 30, 2026 is 4.00 percent. <br /> <br />The returns for the two Certificates of Deposit with Fremont Bank and United Business Bank <br />are 3.25 percent and 3.35 percent, respectively. <br /> <br />Asset Composition <br />Table 1 summarizes the Asset Composition of the portfolio as of June 30, 2026. <br /> <br />Table 1. Asset Composition <br /> <br /> <br />The entire portfolio, exclusive of CDs and LAIF was held in third-party safekeeping for the <br />benefit of the City of Pleasanton at Bank of New York Mellon. Bank of New York Mellon is a <br />contractual agent for the City. As of June 30, 2026, all investments in the portfolio are <br />authorized by State of California Government Section 53600 et. Seq. and the City's <br />investment policy. <br /> <br />Economic Update Highlights <br />The following are some highlights from the Economic Update included in the Investment <br />Report prepared by Chandler Asset Management in Attachment 1. <br /> <br />The Federal Reserve has held the funds rate at 3.50%–3.75%. Updated projections expect at <br />least one rate hike this year, with the possibility of multiple increases. Front-end rates <br />absorbed the bulk of the Federal Reserve's updated rate outlook, while longer maturities were <br />partially anchored by a late-month decline in oil profits. <br /> <br />Page 165 of 373