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This report examines the performance of the public funds currently invested by the Will County Treasurer’s Office. This narrative covers investment activity and performance in May 2012.
Total Investment Portfolio
The county’s total holdings at the end of May had aof $308.5-million, a decrease of $14.5-million from April. The decrease was the result of our office taking proceeds from maturing investments to cover the county’s and vendor obligations.
The Treasurer’s Office has invested $152.9-million (49.5%) across a variety ofsecurity types. The total portfolio has a Yield-to-Maturity of 1.25% with an average maturity of 1,336 days (3.6 years). The projected cash flow in April was $694,161.
Corporate Class C Fund
The Corporate Class C Fund is the principal operating account for the county. The Treasurer’s Office uses this fund to pay employees, vendors, and other operating liabilities.
As of May 31, 2012, the market value of the Corporate Class C Fund was $122.3-million, a month-over-month decrease of $12.4-million. Excluding cash, yield in the Corporate Class C Fund was 72.1 basis points.
The Treasurer’s Office began distributing real estate tax distributions.on May 17, 2012. Over the next six months, our office expects to invest $70-million of the county’s total levy. We will structure the investment into 14 equal portions that will mature between December 2012 and June 2013, months where the county receives no property
Our goal for the $70-million investment ladder is to achieve yield that is 50 basis points higher than the Six Month US Treasury Bill. As of May 31, we have invested $15.2-million (21.7%) of the total $70-million, returning 67 basis points yield. Compared to ourGoal, we are 5.6 basis points ahead of the Six Month T-Bill and 50 Basis Points.
|Goldman 11/1/12||JPM||$ 2,000,000||0.7000 %|
|Union Bank 12/3/12||BAML||$ 2,500,000||0.4700 %|
|IBM Corp 11/29/12||UBS||$ 500,000||0.3700 %|
|GE Cap Corp 12/17/12||US Bank||$ 2,000,000||0.3000 %|
|Blackrock 12/10/12||UBS||$ 3,000,000||0.4000 %|
|JPM 1/2/13||JPM||$ 2,500,000||1.0700 %|
|UBS 1/8/13||UBS||$ 2,500,000||1.0300 %|
|Joliet Park B 2/1/14||FITB||$ 100,000||1.1500 %|
|Joliet Park C 3/1/15||FITB||$ 100,000||2.0000 %|
|Total||$ 15,200,000||0.6661 %|
Treasurer’s Class C Fund
The Treasurer’s Class C Fund is the county’s capital improvements fund. The Treasurer’s Office holds proceeds from the county and township motor fuel tax, automation funds, and other revenue.
As of May 31, 2012, the market value of the Treasurer’s Class C Fund was $186.2-million, a month-over-month decrease of $2.2-million. Excluding cash, yield in the Treasurer’s Class C Fund was 3.17%.
The Will County Treasurer’s Investment Policy sets two benchmarks to which we will compare investment performance:
- The 3-month average of the 90-day Treasury Bill as quoted by Bloomberg LP
- The Money Funds Report of all taxable 7-day simple yield as reported on www.IMoneyNet.com
As of June 1, 2012, both the Corporate Class C Fund and Treasurer’s Class C Fund exceed our policy benchmarks. The funds also exceed informal benchmarks against the 12-Month Treasury and 52-Week CDAR. The yields reported for Benchmark Tests include cash holdings.
|June 1, 2012||Corporate Class C||Treasurer’s Class C|
|7-Day Net Simple||0.0300 %||0.3571 % (Exceed)||1.8616 % (Exceed)|
|90-Day Treasury Bill||0.0600 %||0.3571 % (Exceed)||1.8616 % (Exceed)|
|12-Month Treasury||0.1700 %||0.3571 % (Exceed)||1.8616 % (Exceed)|
|52-Week CDAR||0.2200 %||0.3571 % (Exceed)||1.8616 % (Exceed)|