SUBJECT: A Resolution Authorizing The Engagement Of Chandler Asset Management For Cash And Investment Advisory Services
DEPARTMENT: Finance
PRESENTER: Steve Felten, Finance Director
FISCAL INFORMATION:
Cost as Recommended: approximately $50,000 per year
Balance Available:
Budget Line Item Number:
New Appropriation Required: No
STAFF RECOMMENDATION: Staff recommends the Board of Trustees approve the resolution that provides for cash and investment advisory services by Chandler Asset Management
SUMMARY AND BACKGROUND OF SUBJECT MATTER:
During August 2016 the Town solicited proposals for cash and investment advisory services. The Town received five responses to its request. Of those five proposals the finance director and deputy finance director interviewed the top three respondents. In the course of our RFP process the Town was informed that our current advisor, Davidson Fixed Income Management, was exiting the advisory business. Based on the proposals, interviews, and references, staff is recommending the Board of Trustees award the contract for investment advisory services to Chandler Asset Management (CAM).
CAM is a firm headquartered in San Diego, California, with a local office in Denver. The firm manages assets totaling over $12 billion for municipalities, counties, special districts, and universities. The Town's portfolio managers will be Scott Prickett and Julie Hughes who served in the same capacity when they worked for Davidson until 2 1/2 years ago.
CAM's services to the Town will include review and updating of the Town's investment policies, procedures, and strategies; monitor financial markets to identify opportunities consistent with the Town's investment objectives; and execute non-discretionary security transactions consistent with the Town' investment policies. The Town's fee structure, based on assets under management, can be found in the attached agreement. Annual costs based on investments as of September 30, 2016, would be approxima...
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