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Item 22 - Investment Manager and Portfolio Services
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Item 22 - Investment Manager and Portfolio Services
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5/13/2024 12:40:59 PM
Creation date
5/2/2024 5:45:31 PM
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City Clerk
Doc Type
Agenda Packet
Agency
Finance & Management Services
Item #
22
Date
5/7/2024
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Approve an Agreement with Meeder Public Funds, Inc. for Investment Manager and <br />Portfolio Services <br />May 7, 2024 <br />Page 2 <br />Based on the Committee's evaluation and review of references, Meeder Public Funds, <br />Inc. was selected as the most qualified firm for Investment Manager and Portfolio <br />Services. They demonstrated extensive experience in the field of investment advisory <br />services with governments of similar size. In addition, the firm demonstrated the ability <br />to evaluate the entire financial picture and tailor their recommendations based on the <br />City's unique needs. <br />Meeder will provide the following services: <br />• Portfolio Management in an SEC registered fiduciary capacity with <br />discretion/non-discretionary authority <br />• Deep understanding and review of investment policy and cash flow to inform a <br />highly customized plan <br />• Consistent investment solutions via a highly quantitative strategy <br />• Safety and liquidity while maximizing investment income over the long term <br />• Diversified and liquid investment options permitted by state law <br />Staff recommends awarding an agreement to Meeder Public Funds, Inc. Their proposal <br />demonstrated the firm has the necessary resources and expertise to complete the <br />required services as specified in the RFP. <br />FISCAL IMPACT <br />Although the agreement is for a total aggregate amount not -to -exceed of $750,000 for a <br />three-year term, with provisions for two, one-year extensions, the annual cost will vary <br />depending on the assets under management. The total annual investment fee is <br />estimated to be approximately $150,000, subject to change -based assets under <br />management. The estimated cost of $25,000 for this current fiscal year will be <br />presented with the third quarter budget report for City Council consideration. The costs <br />for investment services will be paid out from the Finance Management & Support — <br />Professional Services (Account No. 01110100-62300). The fees are expected to be <br />offset by the interest earnings generated by the agreement. <br />EXHIBIT(S) <br />1. Agreement <br />Submitted By: Kathryn Downs, Executive Director of Finance and Management <br />Services <br />Approved By: Alvaro Nunez, Acting City Manager <br />
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