Item 4B Investment Reportlb ofSoutblake � Texas
Quarterly Investment Report
For the Month Ended
December 31, 2001
Prepared by
City of Southlake
Quarterly Investment Report
Investment Officers' Certification
For the Quarter Ended
December 31, 2001
This report is prepared for the City of Southlake (the "City ") in accordance with Chapter 2256 of the Public Funds
Investment Act ( "PFIA "). Section 2256.023(a) of the PFIA states that "Not less than quarterly, the investment officer shall
prepare and submit to the governing body of the entity a written report of the investment transactions for all funds
covered by this chapter for the preceding reporting period." This report, which covers the quarter ended December 31,
2001, is signed by the City's investment officers and includes the disclosures required in the PFIA. Market prices were
obtained from independent pricing sources, including Interactive Data Corporation and /or Bloomberg.
The investment portfolio complied with the PFIA and the City's approved Investment Policy and Strategy throughout the
quarter. All investment transactions made in the City's portfolio during this quarter were made on behalf of the City and
were made in full compliance with the PFIA and the City's approved Investment Policy.
City of Southlake
PORTFOLIO SUMMARY
December 31, 2001
47%
■Agency Securities
31, 411, 593.69
■ Money Markets & Pools
53% 28, 035, 748.73
City of Southlake
Maturity Summary
December 31, 2001
Maturity Schedule by Percentage
181 to 365 Days 30 Days or Less
41% 48
91 to 180 Days
11%
$30,000,000
$25,000,000
$20,000,000
$15,000,000
$10,000,000
$5,000,000
$0
Maturity Schedule by Amount
30 Days or Less 31 to 90 Days 91 to 180 Days 181 to 365 Days 1 year or More
City of Southlake
DETAIL OF SECURITY HOLDINGS
As of December 31, 2001
Yield
Security
Security
Settlement
Maturity
Par Purchase
Purchase
Book Market
Accrued
Market
Days to
to
Description
CUSIP
Coupon
Date
Date
Value Price
Cost
Value Price
Interest
Value
Maturity
Maturity
General Operating
FEDERAL NATL MTG ASSN DISC NT
313589xm0
0.000
06 -14 -01
05 -31 -02
5,000,000 96.334
4,816,700.00
4,921,666.67 99.280
0.00
4,963,999.94
151
3.92
FEDERAL HOME LN BKS
3133m9fe7
6.000
05 -15 -01
08 -15 -02
5,000,000 102.053
5,102,650.00
5,050,678.16 102.375
113,333.33
5,118,750.00
227
4.29
FEDERAL NATL MTG ASSN
31359mfz1
6.750
08 -16 -01
08 -15 -02
9,000,000 103.071
9,276,417.00
9,171,621.54 102.844
229,500.00
9,255,937.50
227
3.59
FEDERAL HOME LN BKS
3133macz0
6.250
07 -20 -01
11 -15 -02
6,000,000 102.890
6,173,400.00
6,114,011.60 103.469
47,916.67
6,208,125.00
319
3.97
FEDERAL HOME LN BKS
3133macz0
6.250
08 -09 -01
11 -15 -02
4,000,000 102.981
4,119,240.00
4,081,827.29 103.469
31,944.44
4,138,750.00
319
3.81
TEXPOOL
texpool
2.360
25,385,799.53
25,385,799.53
25,385,799.53
2.36
29,000,000
54,874,206.53
54,725,604.80
422,694.44
55,071,361.97
3.17
Parks Development Corporation
TEXPOOL
texpool
2.360
2,649,949.20
2,649,949.20
2,649,949.20
2.36
Series 2000 Bonds
FEDERAL HOME LN BKS
3133mber4
6.750
05 -15 -01
05 -01 -02
1,700,000 102.451
1,741,667.00
1,714,245.13 101.531
19,125.00
1,726,031.25
121
4.12
TOTAL PORTFOLIO
30,700,000
59,265,822.73
59,089,799.13
441,819.44
59,447,342.42
3.17
Security
Description
Security
CUSIP
Agency Securities
FEDERAL HOME LN BKS
3133mber4
FEDERAL NATL MTG ASSN DISC NT
313589xm0
FEDERAL HOME LN BKS
3133m9fe7
FEDERAL NATL MTG ASSN
31359mfz1
FEDERAL HOME LN BKS
3133macz0
FEDERAL HOME LN BKS
3133macz0
Money Markets & Pools
TEXPOOL texpool
TOTAL PORTFOLIO
28,035,748.73 47.16 2.36
30,700,000 69,447,342.42 100.00 126.63 3.17
First Southwest Asset Management, Inc.
City of Southlake
YIELD SUMMARY
December 31, 2001
Weighted
Settlement
Maturity Par
Market
Percent of
Days to
Average
Yield to
Date
Date Value
Value
Assets
Maturity
Maturity
Maturity
05 -15 -01
05 -01 -02 1,700,000
1,726,031.25
2.90
121
3.51
4.12
06 -14 -01
05 -31 -02 5,000,000
4,963,999.94
8.35
151
12.61
3.92
05 -15 -01
08 -15 -02 5,000,000
5,118,750.00
8.61
227
19.55
4.29
08 -16 -01
08 -15 -02 9,000,000
9,255,937.50
15.57
227
35.34
3.59
07 -20 -01
11 -15 -02 6,000,000
6,208,125.00
10.44
319
33.31
3.97
08 -09 -01
11 -15 -02 4,000,000
4,138,750.00
6.96
319
22.21
3.81
30,700,000
31,411,593.69
52.84
126.53
3.89
28,035,748.73 47.16 2.36
30,700,000 69,447,342.42 100.00 126.63 3.17
First Southwest Asset Management, Inc.
Security
AGENCY COUPON SECURITIES
FEDERAL HOME LN BKS
6.750% Due 05 -01 -02
FEDERAL HOME LN BKS
6.000% Due 08 -15 -02
FEDERAL NATL MTG ASSN
6.750% Due 08 -15 -02
FEDERAL HOME LN BKS
6.250% Due 11 -15 -02
Accrued Interest
Average Capital
Total Gain
IRR for 0.25 Years
AGENCY DISCOUNT NOTES
FEDERAL NATL MTG ASSN DISC
0.000% Due 05 -31 -02
Accrued Interest
Average Capital
Total Gain
IRR for 0.25 Years
COMMERCIAL PAPER
DEUTSCHE BANK FINANCIAL CP
0.000% Due 10 -16 -01
Accrued Interest
Average Capital
Total Gain
IRR for 0.25 Years
First Southwest Asset Management, Inc.
NT 4,918,500 0 0 0 45,500 0 4,964,000
0 0 0
4,918,500 0 0 0 45,500 0 4,964,000
4,918,500
45,500
0.93%
1,837,832 0 - 1,840,000 0 0 2,168 0
0 0 0
1,837,832 0 - 1,840,000 0 0 2,168 0
297,832
2,168
0.73%
0
City of Southlake
QUARTERLY MARKET VALUE ASSET RECONCILIATION
From 09 -30 -01 To 12 -31 -01
09 -30 -01 A
Additions Withdrawals Realized U
Unrealized I
Interest 1
12 -31 -01
Market Value P
Purchases Sales Gains G
Gains D
Dividends M
Market Value
1,741,969 0
0 - 57,375 0
0 -
- 15,937 5
57,375 1
1,726,031
5,151,562 0
0 0 0
0 -
- 32,812 0
0 5
5,118,750
9,331,875 0
0 0 0
0 -
- 75,937 0
0 9
9,255,937
10,403,125 0
0 - 312,500 0
0 -
- 56,250 3
312,500 1
10,346,875
399,882 4
41,937 4
441,819
27,028,413 0
0 - 369,875 0
0 -
- 180,937 4
411,812 2
26,889,413
26,830,724
230,875
0.86%
0
City of Southlake
Security
TEXPOOL
TEXPOOL
Average Capital
Total Gain before Fees
IRR for 0.25 Years
TOTAL PORTFOLIO
External Additions
External Withdrawals
Average Capital
Total Gain before Fees
IRR for 0.25 Years
First Southwest Asset Management, Inc.
QUARTERLY MARKET VALUE ASSET RECONCILIATION
From 09 -30 -01 To 12 -31 -01
09 -30 -01
Additions Withdrawals Realized Unrealized
Market Value
Purchases Sales Gains Gains
[Fees]
33,150,786
1,125,124 - 6,432,224 0
33,150,786
1,125,124 - 6,432,224 0
30,293,653
192,063
0.63%
Interest 12 -31 -01
Dividends Market Value
192,063 28,035,749
192,063 28,035,749
66,935,531 1,125,124 - 8,642,099 0 - 135,437 606,043 59,889,162
1,125,124
- 8,642,099
62,340,710
470,605
0.75%
City of Southlake
Series 2000 Bonds
PURCHASE AND SALE /MATURITY
From 10 -01 -01 To 12 -31 -01
Trade Settle
Date Date
Quantity
Security
SALES /MATURITIES
10 -16 -01 10 -16 -01
1,840,000 DEUTSCHE BANK FINANCIAL CP
0.000% Due 10 -16 -01
Unit
Price Amount
100.000 1,840,000.00
1,840,000.00
First Southwest Asset Management, Inc.
City of Southlake
AMORTIZATION AND ACCRETION
December 31, 2001
Purchase Information Amortization /Accretion Information
Purchase Month Year Total Adjusted
Quantity Date Price Total Cost To Date To Date To Date Balance Cost
AGENCY COUPON SECURITIES(Straight Line)
FEDERAL HOME LN BKS 6.000% Due 08 -15 -02 (3133m9fe7)
FEDERAL HOME LN BKS 6.250% Due 11 -15 -02 (3133macz0)
5,000,000
05 -15 -01
6,000,000
07 -20 -01
4,000,000
08 -09 -01
1,700,000
05 -15 -01
9,000,000
08 -16 -01
102.053
5,102,650.00
- 6,974.58
- 51,971.84
- 51,971.84
- 50,678.16
5,050,678.16
102.890
6,173,400.00
- 11,157.82
- 59,388.40
- 59,388.40
- 114,011.60
6,114,011.60
102.981
4,119,240.00
- 7,998.58
- 37,412.71
- 37,412.71
- 81,827.29
4,081,827.29
102.451
1,741,667.00
- 3,679.99
- 27,421.87
- 27,421.87
- 14,245.13
1,714,245.13
103.071
9,276,417.00
- 23,541.01
- 104,795.46
- 104,795.46
- 171,621.54
9,171,621.54
FEDERAL HOME LN BKS 6.750% Due 05 -01 -02 (3133mber4)
FEDERAL NATL MTG ASSN 6.750% Due 08 -15 -02 (31359mfz1)
Total
AGENCY DISCOUNT NOTES(Straight Line)
FEDERAL NATL MTG ASSN DISC NT 0.000% Due 05 -31 -02 (313589xm0)
GRAND TOTAL
26,413,374.00 - 53,351.97 - 280,990.27 - 280,990.27 - 432,383.73 26,132,383.73
5,000,000 06 -14 -01 96.334 4,816,700.00 16,188.89 104,966.67 104,966.67 78,333.33 4,921,666.67
31,230,074.00 - 37,163.09 - 176,023.60 - 176,023.60 - 364,060.40 31,064,060.40
First Southwest Asset Management, Inc.