Chief Financial Officer's (CFO) Report to the Board
II. Investments Results - Third Quarter 2020
DIF Investment Portfolio
- On September 30, 2020, the total liquidity (also total market value) of the DIF investment portfolio stood at $113.4 billion, up $6.4 billion from its December 31, 2019, balance of $107.0 billion. During the quarter, interest revenue, receivership dividends, and deposit insurance assessment collections far exceeded resolution-related outlays and operating expenses.
- On September 30, 2020, the DIF investment portfolio’s yield was 1.22 percent, down 76 basis points from its 1.98 percent yield on December 31, 2019. The new Treasury securities purchased during the third quarter of the year had significantly lower yields than the maturing securities’ yields.
- In accordance with the approved third quarter 2020 DIF portfolio investment strategy, staff purchased a total of 15 conventional Treasury securities. The 15 securities had a total par value of $24.4 billion, a weighted average yield of 0.184 percent, and a weighted average maturity of 2.20 years.