Title
Adopt a Resolution to Accept the 2025 Fourth Quarter Investment Report Ended December 31, 2025
Staffreport
COUNCIL PRIORITY
? Fiscal Sustainability and Transparency
SUMMARY
City of San Leandro Investment Report for the quarter ended December 31, 2025 is for information only.
RECOMMENDATION
Staff recommend the City Council adopt a Resolution to accept the City's Investment Report for the quarter ended December 31, 2025.
BACKGROUND
The purpose of the City of San Leandro Investment Report is to inform the City Council of the investment portfolio status as of the quarter ended, December 31, 2025. The City's Investment Policy Statement requires quarterly reporting on specific investments, amounts invested with approved institutions, purchases, maturity dates and interest yields.
In July 2025, through a request for proposal process, the City transitioned investment management services from Chandler Asset Management to PFM Asset Management (PFMAM), a subsidiary of U.S. Bancorp Asset Management, Inc.
Analysis
CITY INVESTMENT REPORT
As of December 31, 2025, the City's investment portfolio had a market value of $163.3 million, invested through the City's investment advisor, PFMAM; $21.5 million on deposit with Local Agency Investment Fund (LAIF), and $14.9 million in the City's general bank accounts.
This report focuses on the quarterly investment report ended December 31, 2025 prepared by PFMAM, who manages the City's investment portfolio. (Attachment B).
The rate of return for cash deposits at LAIF for the quarter was 4.20%, the bank transactions yielding 0.17% rate of return, while the average market yield for the PFMAM managed funds was 3.76%. The total return on the PFMAM managed investments for the three-month period was 1.12%, compared to the benchmark of 1.10%. LAIF's investment return is an annualized number reflecting the earnings rate for the three months ended December 31, 2025 (the quarterly apportionment rate), while the PFMAM total...
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