August 2017                                                                                                                                                        Volume 13 - Number 8
In This Issue
Partners
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 CalTRUST Update
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CalTRUST Service Provider Transitions Complete

It has been a busy summer at CalTRUST as we successfully transitioned our investment management, custody, and fund accounting/recordkeeping services. We know that this has been a lot of change and we appreciate your patience during these transitions! With all the transitions now complete we are excited to be moving forward with our new services providers and partnering with them to find new ways to better serve our participants. Here are some key reminders from the transitions:
  • Login information for the CalTRUST Participant Portal and Online Trading system was updated! If you have not already logged in, the new website for the CalTRUST portal can be accessed here.  In addition to the new site, all user IDs have been updated to each individual's first initial + last name. For accountability and security reasons, agency-wide user IDs are no longer available. If you have any trouble logging in, please contact Laura Labanieh (916.650.8186; laura@caltrust.org) or Kyle Tanaka (916.650.8114; kyle@caltrust.org). If you missed the webinar on the new system, the slides can be accessed here.
  • Our new toll-free telephone number is 833-CalTRUST (833-225-8787). Through this new number you will be able to reach CalTRUST staff (Laura Labanieh and Kyle Tanaka) as well as Gemini Shareholder Services.
  • The Transaction Form has been updated with new wire instructions, effective August 1st. This updated form is available in the online portal.
  • The existing Short- and Medium-Term funds remain in place. The previous government and money market funds were replaced with the following (effective July 3rd):
  • Transaction cut-off times have been updated to the following:
    • Short-Term Fund: 9:30am PST
    • Medium-Term Fund: 9:30am PST
    • FedFund: 1:00pm PST
    • TempFund: 11:00am PST
  • Medium-Term Fund liquidity is now on a t+3 basis. Whereas previously medium-term transactions could only be conducted on Wednesdays with five business days notice, they can now be transacted any day of the week with three business days notice.
  • Follow CalTRUST on Twitter @CalTRUST_JPA to stay up-to-date. 

The CalTRUST Board of Trustees will be meeting in Santa Barbara County on Wednesday, September 13th. At this meeting they will review the transitions and meet with all of our new service providers, as well as the current administrator, to discuss the status of the program and ideas for the future. If you would like more information on the Board meeting or have items that you would like the Board to consider, please contact Laura Labanieh (916.650.8186; laura@caltrust.org).


For more information on the CalTRUST funds, please contact:
 
Laura Labanieh
CSAC Finance Corporation
(916) 650-8186
Norman Coppinger
League of CA Cities
(916) 658-8277
Neil McCormick
CA Special Districts Association
(916) 442-7887

Financial Markets Update
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Float Like a Butterfly

In their August 2017 Fixed Income Strategy newsletter, BlackRock's Thomas Musmanno, Rich Mejzak, and Jeffrey Rosenberg discuss how expectations for rising rates are taking hold globally as policymakers reach to a synchronized and sustained global expansion and abandon emergency levels of policy accommodation. Rising rates boost the appeal of floating rate assets. Yet there are risks. Their approach is best captured by Muhammad Ali's famous quote: "Float like a butterfly, sting like a bee." In a floating rate context, this means staying nimble to avoid being stung. Read their entire Fixed Income Strategy: Float Like a Butterfly newsletter here.
Performance (as of July 31, 2017)
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1. CalTRUST Short-Term and Medium-Term and LAIF yields are net of fees.  Merrill 1-5 Year Indexes are unmanaged; and do not reflect any deduction for administrative fees or expenses.
2. CalTRUST and LAIF returns are net of all investment advisor, administrative and program fees.
3. Annualized.
4. The CalTRUST Short-Term and Medium-Term portfolios commenced operations on February 13, 2005.

 
2017 Calendar  
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September 4, 2017
Labor Day Observed
Closed for Trading

October 9,  2017
Columbus Day Observed
Bond Market Closed for Trading

November 23, 2017
Thanksgiving Day Observed
Closed for Trading

November 24, 2017
Thanksgiving Day Observed
Early Closure - 10:00 am PST

December 22, 2017
Christmas  Observed
Bond Market Early Closure - 11:00 am PST
 
December 25, 2017
Christmas Observed
Closed for Trading

December 29, 2017
New Year's Eve Observed
Bond Market Early Closure - 11:00 am PST

2018 Calendar  
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January 1, 2018
New Year's Day Observed
Closed for Trading
The CalTRUST Monthly Market Update  is prepared monthly by the Investment Trust of California (CalTRUST) for participants in the CalTRUST Joint Powers Authority pooled investment program.  The Newsletter is prepared solely for informational purposes and is not to be construed as the solicitation of an offer to sell or of an offer to buy any security, nor is it intended to constitute a recommendation for the purchase or sale of any security.  The information contained herein is based upon data obtained from sources believed to be reliable, but is not guaranteed by us as being accurate and does not purport to be a complete summary of the available data.  Additional data will be provided upon request. Past performance should not be taken as an indication or guarantee of future performance, and no representation or warranty, express or implied, is made regarding future performance.  Information, opinions and estimates contained in the Monthly Market Update reflect a judgment at its preparation date by CalTRUST and are subject to change without notice.  The price, value of, and income from any securities or financial instruments issued by the entities mentioned in this Monthly Market Update may fall as well as rise.