Treasury Division - Quarterly Investment Report

The Treasury Division is responsible for managing the City’s $6 billion investment portfolio investment portfolio in accordance with state law and the City’s investment policy. Fitch has awarded the City’s general investment its highest portfolio rating, AAA. The City of Houston invest public funds in a manner which will provide the highest investment return with the maximum security while meeting the daily cash flow demands of the City and conforming to all state and local statutes governing the investment of public funds. Public funds are invested through programs such as General Funds, Special Revenue Funds, General Debt Service Funds, Capital Project Funds, Enterprise Funds, and Trust and Agency Funds. The City’s investment portfolio shall be designed with the objective of attaining the best feasible rate of return, throughout budgetary and economic cycles, commensurate with the City’s investment risk constraints and the cash flow.

The City of Houston invest public funds in a manner which will provide the highest investment return with the maximum security while meeting the daily cash flow demands of the City and conforming to all state and local statutes governing the investment of public funds. Public funds are invested through programs such as General Funds, Special Revenue Funds, General Debt Service Funds, Capital Project Funds, Enterprise Funds, and Trust and Agency Funds. As of September 30, 2023 the City’s investment portfolio's dollar-weighted average maturity was 1.378 years. As of September 30, 2023, the general pool was yielding 2.806% based on the amortized cost of the portfolio. The following describes the investment positions of the City's operating funds as of June 30, 2023. The City’s invest in high grade, fixed income investments in three separate investment pools, each serving a specific purpose as described below.