Chief Financial Officer's (CFO) Report to the Board
II. Investments Results - Fourth Quarter 2018
DIF Investment Portfolio
- On December 31, 2018, the total liquidity (also total market value) of the DIF investment portfolio stood at $99.0 billion, up $13.4 billion from its December 31, 2017, balance of $85.6 billion. During the year, interest revenue, receivership dividends, and deposit insurance assessment collections far exceeded resolution-related outlays and operating expenses.
- On December 31, 2018, the DIF investment portfolio’s yield was 2.05 percent, up 53 basis points from its 1.52 percent yield on December 31, 2017. The new Treasury securities purchased during the year had higher yields than the maturing securities’ yields..
- In accordance with the fourth quarter 2018 DIF portfolio investment strategy, staff purchased 14 short- to intermediate-maturity conventional Treasury securities, all designated as available-for-sale. The 14 securities had a total par value of $7.750 billion, a weighted average yield of 2.87 percent, and a weighted average maturity of 2.60 years.