30 Frances St Randwick 2031 Tel: 02 9399 0999 Fax 02 9319 1510 DX 4121 Maroubra Junction general.manager@randwick.nsw.gov.au |
INCORPORATED AS A MUNICIPALITY 22 FEBRUARY 1859 PROCLAIMED AS A CITY JULY 1990 |
6th May, 2003
ADMINISTRATION AND FINANCE COMMITTEE MEETING
NOTICE IS HEREBY GIVEN THAT AN ADMINISTRATION AND FINANCE COMMITTEE MEETING OF THE COUNCIL OF THE CITY OF RANDWICK WILL BE HELD IN THE COUNCIL CHAMBER, TOWN HALL, 90 AVOCA STREET, RANDWICK, ON TUESDAY, 13TH MAY, 2003 AT 6:00 P.M.
Committee Members: His Worship, the Mayor, Cr D. Sullivan, Crs Andrews (Deputy Chairperson), Daley, Matson, Matthews, Notley-Smith, Procopiadis (Chairperson) and Tracey.
Quorum: Five (5) members.
NOTE: AT THE EXTRAORDINARY MEETING HELD ON 5TH SEPTEMBER, 2000, THE COUNCIL RESOLVED THAT THE ADMINISTRATION AND FINANCE COMMITTEE BE CONSTITUTED AS A COMMITTEE WITH FULL DELEGATION TO DETERMINE MATTERS ON THE AGENDA. |
2 Minutes
CONFIRMATION OF MINUTES OF THE ADMINISTRATION & FINANCE COMMITTEE MEETING HELD ON TUESDAY, 8TH APRIL, 2003.
3 Addresses to Committee by the Public
4 Mayoral Minutes
5 Finance
DIRECTOR GOVERNANCE, MANAGEMENT & INFORMATION SERVICES' REPORT 11/2003 - INVESTMENT OF COUNCIL FUNDS AS AT 31 MARCH 2003. |
2 |
6 General Business
7 Notice of Rescission Motions
………………………………
GENERAL MANAGER
Director Governance, Management & Information Services' Report 11/2003
SUBJECT: |
INVESTMENT OF COUNCIL FUNDS AS AT 31 MARCH 2003 |
DATE: |
10 April, 2003 |
FILE NO: |
REPORT BY: DIRECTOR GOVERNANCE, MANAGEMENT & INFORMATION SERVICES
INTRODUCTION:
To report on Council’s current investments.
ISSUES:
Council is authorised by s625 of the Local Government Act to invest its surplus funds. Funds may only be invested in the form of investment notified by Order of the Minister dated 29 November 2000.
The Local Government Financial Management Regulations prescribe the records that must be maintained in relation to Council’s investments. The regulations also require that the responsible accounting officer provide a written report to each ordinary meeting of the Council giving details of all moneys invested and a certificate as to whether or not the investments have been made in accordance with the Act, the regulations and Council’s Investment Policy No: 3.02.07.
Details of all investments are shown on the attachment sheet titled “Details of cash investments and analysis of investment performance as at 31 March 2003” and in the attached graphs.
CONCLUSION:
All surplus cash has been invested as at 31 March 2003 in accordance with Policy No: 3.02.07 and the provisions of s625 of the Local Government Act have been complied with.
RECOMMENDATION:
That the report dated 10 April 2003 in relation to the investment of Council funds be noted.
ATTACHMENT/S:
1. Details of investments and analysis of investment performance as at 31 March 2003.
2. Graphs (5).
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DETAILS OF CASH INVESTMENTS AND ANALYSIS OF INVESTMENT PERFORMANCE
AS AT 31 MARCH 2003
Investment Manager |
Credit Ratings |
Amount Invested |
|
Interest Earned March
Amount % Return |
**UBSWABank Bill Index % |
|
Interest Earned Financial Year to Date Amount % Return |
**UBSWABank Bill Index % |
|
Interest Earned Last 12 Months Amount % Return |
UBSWABank Bill Index % |
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|
# |
$ |
$ |
Month |
Annualised |
|
$ |
|
|
$ |
|
** |
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LG Financial Services 11am Call |
AA |
276,124 |
9,886 |
0.38 |
4.65 |
0.40
|
115,158 |
4.65 |
5.00 |
139,050 |
- |
4.91 |
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UBS Credit Cash Enhanced |
Af |
11,943,783 |
45,939 |
0.42 |
5.04
|
0.40
|
428,767 |
5.21 |
5.00 |
509,712 |
5.15 |
4.91 |
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Deutsche Cash Plus |
Af |
12,002,992 |
46,507 |
0.42 |
5.04
|
0.40
|
399,175 |
5.06 |
5.00 |
456,624 |
5.08 |
4.91 |
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Macquarie Diversified Treasury |
Af |
12,039,864 |
47,561 |
0.42 |
5.04
|
0.40
|
425,491 |
5.01 |
5.00 |
527,697 |
4.94 |
4.91 |
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CFS Wholesale Premium Cash Enhanced |
AAf |
8,393,655 |
31,626 |
0.40 |
4.80
|
0.40
|
252,092 |
5.10 |
5.00 |
317,180 |
5.14 |
4.91 |
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44,656,419 |
181,519 |
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1,620,683 |
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1,950,263 |
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Credit Ratings Standard & Poors
Extremely strong capacity to pay AAA Very strong capacity to pay AA Adequate capacity to pay BBB Funds valued on a mark to market basis f Funds valued on an accruals basis m
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**UBSWA Bank Bill Index
-Is a performance benchmark published in the Australian Financial Review.
-The index rate can be compared to the interest rate earned by Council on its investments. |
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Interest Earned$
In March 2003 182,168 For 2002/2003 to 31 March – 1,630,493
Original estimate budget for interest earned – 2002/2003 1,500,000 Current estimate budget for interest earned – 2002/2003 1,800,000
|
* ** |
Monthly earning rates for the last three months
LG Financial Services 11am Call UBS Credit Cash Enhanced Deutsche Cash Plus Macquarie Diversified Treasury CFS Wholesale Premium Cash Enhanced
WDR Bank Bill Index
|
Jan%
0.38 0.60 0.48 0.44 0.40
0.41 |
Feb%
0.38 0.44 0.39 0.39 0.38
0.37 |
Mar%
0.38 0.42 0.42 0.42 0.40
0.40 |
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* Includes bank account interest as well as interest on investments with Managed Funds.
** Includes bank account interest and those Managed Funds no longer used.
and Council’s investment policy No. 3.02.07.
________________________
G:\Council\Committee\Finserv\Invest report 31.03.03.doc