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06-30-2018 Investment Performance ReviewVillage of North Palm Beach, Florida Investment Advisors 213 Market Street Harrisburg, PA 17101 717.232.2723 717.233.6073 fax PFM Asset Management LLC 300 South Orange Avenue Suite 1170 Orlando, FL 32801 407.648.2208 407.648.1323 fax Investment Performance Review For the Quarter Ended June 30. 2018 Steven Alexander, CTP, CGFO, CPPT, Managing Director Robert Cheddar, CFA, Chief Credit Officer, Managing Director Richard Pengelly, CFA, CTP, Director Jason Human, Client Manager Cody Raulerson, Analyst Page 1 of 57 VILLAGE OF NORTH PALM BEACH, FLORIDA For the Quarter Ended June 30. 2018 Table of Contents PFM Asset Management LLC Tab I Market Update Tab II Executive Summary Investment Portfolio Tab III Asset Allocation Chart Important Disclosures Page 2 of 57 Tab I PFM Asset Management LLC Page 3 of 57 QUARTERLY MARKET SUMMARY For the Quarter Ended June 30, 2018 Fixed Income Management SUMMARY • Economic data continued to indicate strong growth worldwide, despite the myriad of geopolitical and global trade war events hitting the headlines. During the quarter, volatility waned, equity markets gained their footing, the U.S. Dollar (USD) continued its ascent and the Federal Open Market Committee’s (FOMC) dual mandate came into clearer focus. But, with trade wars officially on, it’s now a question of whether the strong fiscal stimulus that is fueling the U.S. economy will be enough to overcome the drag of trade uncertainty. • Positive economic data released in the second quarter included job gains, housing starts, new home sales, factory orders, manufacturing survey indices and consumer sentiment. • At its June FOMC meeting, the Federal Reserve (Fed) increased the overnight federal funds rate by 0.25 percent, to a new range of 1.75 to 2.00 percent. While widely anticipated, the June rate hike was consistent with the Fed’s continuing resolve to gradually tighten monetary policy. Fed expectations – as measured by the FOMC’s updated “dot plot” – indicated two more rate hikes in the second half of 2018 and three more in 2019. Market estimates – as measured by Fed funds futures contracts – similarly imply two more hikes in 2018, but are less optimistic for 2019. • The S&P 500 Index (S&P) rebounded by 3.4 percent over the quarter, following the first quarterly decline (first quarter 2018) in nearly three years. International indices followed suit, posting gains in local currencies for the quarter; however, the stronger USD tempered those gains for domestic investors. Meanwhile, bond yields generally rose, while the yield curve flattened. ECONOMIC SNAPSHOT • Real gross domestic product (GDP) in the U.S. increased at an annual rate of 2 percent in the first quarter. The deceleration in growth was driven by weaker consumer spending, despite being boosted by a significant improvement in net exports. Looking forward, federal tax cuts and expanded spending point toward accelerated growth estimates for the second quarter. • U.S. labor market conditions – part one of the Fed’s dual mandate – remained strong during the quarter. Despite the quarter-end uptick in the headline unemployment rate to 4 percent (previously 3.8 percent), it remains near multi- decade lows. In addition, job growth remains robust (monthly average of 211,000 new jobs in the second quarter), weekly jobless claims reached a generational low and job openings reached a new record high. In fact, for the first time, there are more job openings than the number of unemployed persons. • Inflation – the second part of the Fed’s dual mandate – continued to march higher. As measured by the personal consumption expenditures (PCE) core price index, year-over-year (YoY) inflation reached the Fed’s target of 2 percent for the first time since 2012. INTEREST RATES • U.S. Treasury yields generally rose over the quarter, with maturities less than three years increasing 20 to 25 basis points (bps) (0.20 to 0.25 percent), while maturities greater than five years increased by a lesser amount and 30-year Treasury bonds were nearly unchanged. The result was a flatter yield curve; the difference between 10-year and two-year Treasury yields narrowed to 33 bps (0.33 percent) by quarter- end, a level not hit since June 2007. • Money market investments, like commercial paper and bank Certificates of Deposit (CDs), continued to offer attractive yields, reacting quickly to the periodic Fed rate hikes. • After widening in the first quarter, credit spreads remained volatile in the second quarter, but ended the quarter only modestly wider. Healthy corporate fundamentals remained supportive. SECTOR PERFORMANCE • Rising yields caused shorter-maturity to outperform longer-maturity Treasury indices; the exception was 30-year Treasury bonds, which were buoyed by incremental income amid relatively unchanged yields over the quarter. For example, the three-month Treasury bill index generated +0.45 percent of total return for the quarter, while the five-year Treasury returned -0.05 percent, and the 30-year Treasury returned +0.51 percent. • Federal agency returns were in line with similar-duration U.S. Treasury securities for the quarter, as spreads across the majority of the curve continued to trade very narrowly. The incremental income benefit from the sector continues to be minimal. • For the second consecutive quarter, the municipal sector was a top performer, as the sector continued to reap the benefits of a sharp slowdown in supply following the year-end flurry of issuance. From both an absolute and excess return perspective, the sector was a positive contributor to portfolio performance for the quarter. • Shorter-term corporates generated positive excess returns in the quarter as incremental income offset modestly wider yield spreads. But, longer-term corporates (five years and longer) underperformed Treasuries as the impact of wider yield spreads on longer-duration securities overwhelmed the benefit of higher yields. • After a general underperformance of mortgage-backed securities (MBS) in the first quarter, the sector found its footing in the second quarter. Nevertheless, returns in the MBS sector continue to be very much structure-dependent as specific maturity and coupon characteristics drove relative performance. • Short-term commercial paper and bank CDs continued to offer incremental value relative to both short- and intermediate-term government securities. The incremental yield advantage offered in these sectors continues to be a valuable return attribute in the face of rising rates. PFM Asset Management LLC Page 4 of 57 QUARTERLY MARKET SUMMARY For the Quarter Ended June 30, 2018 Fixed Income Management Economic Snapshot Labor Market Mar '18 Jun '17 Unemployment Rate Jun '18 4.0%4.1%4.3% Change In NonFarm Payrolls Jun '18 213,000 155,000 239,000 Average Hourly Earnings (YoY)Jun '18 2.7%2.6%2.5% Personal Income (YoY)May '18 4.0%3.7%2.4% Initial Jobless Claims (week)6/30/18 231,000 242,000 251,000 Growth Real GDP (QoQ SAAR)2018Q1 2.0%2.9%1.2% GDP Personal Consumption (QoQ SAAR)2018Q1 0.9%4.0%1.9% Retail Sales (YoY)May '18 5.9%5.1%3.5% ISM Manufacturing Survey (month)Jun '18 60.2 59.3 56.7 Existing Home Sales SAAR (month) May '18 5.43 mil. 5.60 mil. 5.50 mil. Inflation / Prices Personal Consumption Expenditures (YoY) May '18 2.3%2.0%1.4% Consumer Price Index (YoY)May '18 2.8%2.4%1.6% Consumer Price Index Core (YoY)May '18 2.2%2.1%1.7% Crude Oil Futures (WTI, per barrel)Jun 30 $74.15 $64.94 $46.04 Gold Futures (oz.)Jun 30 $1,255 $1,323 $1,242 Latest 0 150K 300K 450K 3% 4% 5% 6% Jun '15 Dec '15 Jun '16 Dec '16 Jun '17 Dec '17 Jun '18 Unemployment Rate (left) vs. Change in Nonfarm Payrolls (right) Change In NonFarm Payrolls Unemployment Rate 0% 2% 4% Mar '15 Sep '15 Mar '16 Sep '16 Mar '17 Sep '17 Mar '18 Real GDP (QoQ) 0% 1% 2% 3% Jun '15 Dec '15 Jun '16 Dec '16 Jun '17 Dec '17 Jun '18 Consumer Price Index CPI (YoY)Core CPI (YoY) 2 2 1 1 1. Data as of Fourth Quarter 2017. 2. Data as of First Quarter 2017. Note: YoY = year-over-year, QoQ = quarter over quarter, SAAR = seasonally adjusted annual rate, WTI = West Texas Intermediate crude oil. Source: Bloomberg. PFM Asset Management LLC Page 5 of 57 QUARTERLY MARKET SUMMARY For the Quarter Ended June 30, 2018 Fixed Income Management Source: Bloomberg. Interest Rate Overview U.S. Treasury Note Yields U.S. Treasury Yield Curve U.S. Treasury Yields Yield Curves as of 6/30/18 0% 1% 2% 3% 4%3-mo1-yr2-yr3-yr5-yr7-yr10-yr30-yrYieldMaturity June 30, 2018 March 31, 2018 June 30, 2017 Maturity Jun '18 Mar '18 Change Over Quarter Jun '17 Change Over Year 3-month 1.92% 1.71% 0.21% 1.01% 0.91% 1-year 2.31% 2.09% 0.22% 1.23% 1.08% 2-year 2.53% 2.27% 0.26% 1.38% 1.15% 5-year 2.74% 2.56% 0.18% 1.89% 0.85% 10-year 2.86% 2.74% 0.12% 2.31% 0.55% 30-year 2.99% 2.97% 0.02% 2.84% 0.15% 0% 1% 2% 3% 4% 5%3-mo1-yr2-yr3-yr5-yr7-yr10-yr25-yr30-yrYieldMaturity U.S. Treasury Federal Agency Corporates, A Rated 0.0% 0.5% 1.0% 1.5% 2.0% 2.5% 3.0% 3.5% 6/30/17 9/30/17 12/31/17 3/31/18 6/30/18Yield 2-Year 5-Year 10-Year PFM Asset Management LLC Page 6 of 57 QUARTERLY MARKET SUMMARY For the Quarter Ended June 30, 2018 Fixed Income Management Source: ICE BofAML Indices. June 30, 2018 Duration Yield 3 Month 1 Year 3 Years 1-3 Year Indices U.S. Treasury 1.81 2.51% 0.22% 0.08% 0.42% Federal Agency 1.67 2.55% 0.23% 0.30% 0.60% U.S. Corporates, A-AAA rated 1.89 3.11% 0.47% 0.57% 1.28% Agency MBS (0 to 3 years)2.40 2.84%(0.05%)0.34% 1.06% Taxable Municipals 1.58 2.83% 0.40% 1.74% 2.21% 1-5 Year Indices U.S. Treasury 2.58 2.58% 0.13%(0.35%)0.50% Federal Agency 2.01 2.59% 0.20% 0.08% 0.69% U.S. Corporates, A-AAA rated 2.66 3.26% 0.30% 0.08% 1.45% Agency MBS (0 to 5 years)3.29 3.04%(0.21%) (0.35%)1.00% Taxable Municipals 2.29 2.96% 0.33% 1.39% 2.37% Master Indices (Maturities 1 Year or Greater) U.S. Treasury 6.22 2.71% 0.11%(0.60%)1.13% Federal Agency 3.78 2.75%(0.02%) (0.04%)1.16% U.S. Corporates, A-AAA rated 6.90 3.74%(0.70%) (0.80%)2.62% Agency MBS (0 to 30 years)5.09 3.38% 0.31% 0.15% 1.48% Taxable Municipals 10.53 3.99%(0.28%)2.81% 5.49% As of 6/30/18 Returns for Periods ended 6/30/18 Returns for periods greater than one year are annualized. PFM Asset Management LLC ICE BofAML Index Returns Page 7 of 57 QUARTERLY MARKET SUMMARY For the Quarter Ended June 30, 2018 Fixed Income Management DISCLOSURES PFM is the marketing name for a group of affiliated companies providing a range of services. All services are provided through separate agreements with each company. This material is for general information purposes only and is not intended to provide specific advice or a specific recommendation. Investment advisory services are provided by PFM Asset Management LLC which is registered with the Securities and Exchange Commission under the Investment Advisers Act of 1940. The information contained is not an offer to purchase or sell any securities. Additional applicable regulatory information is available upon request. For more information regarding PFM’s services or entities, please visit www.pfm.com. The views expressed within this material constitute the perspective and judgment of PFM Asset Management LLC at the time of distribution and are subject to change. Information is obtained from sources generally believed to be reliable and available to the public; however, PFM Asset Management LLC cannot guarantee its accuracy, completeness, or suitability. This material is for general information purposes only and is not intended to provide specific advice or recommendation. The information contained in this report is not an offer to purchase or sell any securities. © 2018 PFM Asset Management LLC. Further distribution is not permitted without prior written consent. PFM Asset Management LLC Page 8 of 57 Tab II PFM Asset Management LLC Page 9 of 57 VILLAGE OF NORTH PALM BEACH, FLORIDA For the Quarter Ended June 30. 2018 Executive Summary PFM Asset Management LLC The Investment Portfolio is of high credit quality and invested in U.S. Treasury,federal agency/GSE, federal agency/CMO, supranational,municipal,asset-backed, and corporate note securities. The Investment Portfolio’s quarterly total return performance of 0.35%outperformed the benchmark performance of 0.22% by 0.13%.The last 12 months total return performance for the Portfolio was 0.38% versus the benchmark’s return of 0.08%. Despite the myriad of global headwinds to economic growth,including global trade wars and geopolitical uncertainty,the strength and resolve of domestic economic themes continued to rule the day: –U.S. GDP grew at 2% in Q1 with YOY growth up to 2.8%; –Inflation trended higher, as the personal consumption expenditures (PCE) core price index grew at 2%YOY for the first time since 2012; –The labor market saw continued strength as the U.S.unemployment rate reached a multi-decade low of 3.8%(before bouncing back to 4% in June), job growth remained robust, and wages trended modestly higher; –The S&P 500 Index grinded out a 3.4% return for the quarter; –The Fed increased short-term rates by an additional ¼percent in June and is expected to continue to pursue additional gradual rate hikes over the near-term. In light of continued economic growth, inflation near the Fed’s symmetric target of 2%,and strong labor market conditions, the Fed appears poised to raise rates further. As a result of the expectation for one or two additional hikes in 2018 and three to four more in 2019,our view remains that the general trend of interest rates will be to increase gradually over the near-term.Therefore,we plan to maintain a defensive duration posture to mitigate a portion of interest rate risk relative to benchmarks. Page 10 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Snapshot Portfolio Statistics As of June 30, 2018 $9,248,603 $9,161,120 $9,116,517 $34,596 $10,007 Accrued Interest: Cash: Par Value: Total Market Value: Security Market Value: $9,232,381 2.65% 1.84% AAAverage Credit: * Yield at Cost: Amortized Cost: Yield at Market: Effective Duration:1.72 Years Duration to Worst:1.79 Years Average Maturity:2.10 Years Credit Quality (S&P Ratings) 4.8% A 3.8% A- 12.5% A+ 3.1% AA 7.7% AA- 43.0% AA+ 17.9% AAA 0.9% BBB+ 6.3% Not Rated 0% 5% 10% 15% 20% 25% 30% 35% 40% 0 - 1 Year 1 - 2 Years 2 - 3 Years 3 - 4 Years 4 - 5 Years > 5 Years 10.4% 38.9% 36.1% 9.3% 3.9% 1.4% Maturity Distribution Sector Allocation 15.4% Asset-Backed 31.5% Corporate 1.3% Federal Agency/CMO 10.4% Federal Agency/GSE 3.1% Municipal 7.6% Supra-Sov / Supra-Natl Agency 30.7% U.S. Treasury PFM Asset Management LLC * An average of each security’s credit rating assigned a numeric value and adjusted for its relative weighting in the portfolio. Account ****0001Page 11 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Performance Portfolio Performance (Total Return) Effective DurationPortfolio/Benchmark Annualized Return 10 Year1 Year 3 Year 5 Year Since Inception (06/30/09) ** Current Quarter NORTH PALM BEACH INVESTMENT PORTFOLIO 1.72 0.35%-0.38%0.75%0.79%0.99% ICE BofAML 1-3 Year U.S. Treasury Index 1.80 0.22%-0.08%0.42%0.58%0.89% Difference 0.30% 0.13%0.33%0.21%-0.10% 0.0% 0.2% 0.4% 0.6% 0.8% 1.0% Current Quarter 1 Year 3 Year 5 Year 10 Year Since Inception 0.35%0.38% 0.75%0.79% 0.99% 0.22% 0.08% 0.42% 0.58% 0.89%Total ReturnNORTH PALM BEACH INVESTMENT PORTFOLIO ICE BofAML 1-3 Year U.S. Treasury Index PFM Asset Management LLC Portfolio performance is gross of fees unless otherwise indicated. **Since Inception performance is not shown for periods less than one year. Account ****0001Page 12 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Performance Portfolio Performance (Total Return) Effective DurationPortfolio/Benchmark Annualized Return 03/31/18 09/30/1706/30/18 12/31/17 Quarter Ended 5 Year1 Year 3 Year NORTH PALM BEACH INVESTMENT PORTFOLIO 1.72 0.35%0.38%0.75%0.79%-0.17% -0.15% 0.35% ICE BofAML 1-3 Year U.S. Treasury Index 1.80 0.22%0.08%0.42%0.58%-0.13% -0.25% 0.24% Difference 0.30% 0.13%0.33%0.21%-0.04% 0.10% 0.11% -0.4% -0.2% 0.0% 0.2% 0.4% 0.6% 0.8% 06/30/18 03/31/18 12/31/17 09/30/17 1 Year 3 Year 5 Year 0.35% -0.17%-0.15% 0.35%0.38% 0.75%0.79% 0.22% -0.13% -0.25% 0.24% 0.08% 0.42% 0.58%Total ReturnNORTH PALM BEACH INVESTMENT PORTFOLIO ICE BofAML 1-3 Year U.S. Treasury Index PFM Asset Management LLC Portfolio performance is gross of fees unless otherwise indicated. Account ****0001Page 13 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Performance Portfolio Performance (Total Return) 03/31/18 09/30/1706/30/18 12/31/17 Quarter Ended Annualized Return 5 Year1 Year 3 YearPortfolio/Benchmark Effective Duration 0.38%0.75%0.79%-0.17% -0.15% 0.35%NORTH PALM BEACH INVESTMENT PORTFOLIO 0.35%1.72 0.30%0.67%0.71%-0.19% -0.17% 0.33% Net of Fees ** 0.33%- 0.08%0.42%0.58%-0.13% -0.25% 0.24%ICE BofAML 1-3 Year U.S. Treasury Index 0.22%1.80 0.30% 0.13%0.33%0.21%-0.04% 0.10% 0.11%Difference (Gross) Difference (Net) 0.11% -0.06% 0.08% 0.09%0.22%0.25%0.13% -0.4% -0.2% 0.0% 0.2% 0.4% 0.6% 0.8% 06/30/18 03/31/18 12/31/17 09/30/17 1 Year 3 Year 5 Year 0.35% -0.17%-0.15% 0.35%0.38% 0.75%0.79% 0.22% -0.13% -0.25% 0.24% 0.08% 0.42% 0.58%Total ReturnNORTH PALM BEACH INVESTMENT PORTFOLIO ICE BofAML 1-3 Year U.S. Treasury Index PFM Asset Management LLC Portfolio performance is gross of fees unless otherwise indicated. ** Fees were calculated based on average assets during the period at the contractual rate. Account ****0001Page 14 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Performance Portfolio Earnings Quarter-Ended June 30, 2018 Market Value Basis Accrual (Amortized Cost) Basis Net Purchases/Sales Change in Value Interest Earned $9,035,700.03 $87,540.87 ($6,724.32) $38,960.78 $32,236.46 $9,116,516.58 $9,152,902.68 $87,540.87 ($8,062.52) $38,960.78 $30,898.26 $9,232,381.03 Portfolio Earnings Beginning Value (03/31/2018) Ending Value (06/30/2018) PFM Asset Management LLC Account ****0001Page 15 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Sector Allocation June 30, 2018 March 31, 2018 December 31, 2017 September 30, 2017 % of TotalMV ($MM)Sector % of Total% of Total% of Total MV ($MM)MV ($MM)MV ($MM) Corporate 2.9 31.5% 2.7 30.4% 3.0 32.7% 2.9 31.9% U.S. Treasury 2.8 30.7% 3.0 33.4% 2.5 28.1% 2.4 26.6% Asset-Backed 1.4 15.4% 1.4 15.0% 1.3 14.2% 1.2 13.1% Federal Agency/GSE 0.9 10.4% 0.9 10.5% 1.4 15.7% 1.7 19.0% Supra-Sov / Supra-Natl Agency 0.7 7.6% 0.8 8.5% 0.6 7.0% 0.6 7.1% Municipal 0.3 3.1% 0.2 2.0% 0.2 2.0% 0.2 2.0% Federal Agency/CMO 0.1 1.3% 0.0 0.2% 0.0 0.3% 0.0 0.3% $9.1 100.0%$9.0 100.0%$9.1 100.0%$9.0 100.0%Total 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% June 2018 March 2018 December 2017 September 2017 Federal Agency/CMO Municipal Supra-Sov / Supra-Natl Agency Federal Agency/GSE Asset-Backed U.S. Treasury Corporate PFM Asset Management LLC Detail may not add to total due to rounding. Account ****0001Page 16 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Maturity Distribution As of June 30, 2018 >5 Years 4-5 Years 3-4 Years 2-3 Years 1-2 Years 0-1 Years Yield at MarketPortfolio/Benchmark Average Maturity NORTH PALM BEACH INVESTMENT PORTFOLIO 2.65% 10.4% 38.9% 36.1% 9.3% 3.9% 1.4%2.10 yrs ICE BofAML 1-3 Year U.S. Treasury Index 2.53% 2.9% 54.0% 43.1% 0.0% 0.0% 0.0%1.94 yrs 0% 10% 20% 30% 40% 50% 60% 0-1 Years 1-2 Years 2-3 Years 3-4 Years 4-5 Years > 5 Years 10.4% 38.9% 36.1% 9.3% 3.9%1.4%2.9% 54.0% 43.1% 0.0%0.0%0.0% NORTH PALM BEACH INVESTMENT PORTFOLIO ICE BofAML 1-3 Year U.S. Treasury Index PFM Asset Management LLC Account ****0001Page 17 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition As of June 30, 2018 Duration Distribution > 5 YEARS4-5 YEARS3-4 YEARS2-3 YEARS1-2 YEARS0-1 YEARSEffective DurationPortfolio / Benchmark NORTH PALM BEACH INVESTMENT PORTFOLIO 1.72 17.2% 44.2% 38.6% 0.0% 0.0% 0.0% ICE BofAML 1-3 Year U.S. Treasury Index 1.80 2.9% 55.4% 41.7% 0.0% 0.0% 0.0% 0% 10% 20% 30% 40% 50% 60% 0-1 Years 1-2 Years 2-3 Years 3-4 Years 4-5 Years > 5 Years 17% 44% 39% 0%0%0%3% 55% 42% 0%0%0% Distribution by Effective Duration NORTH PALM BEACH INVESTMENT PORTFOLIO ICE BofAML 1-3 Year U.S. Treasury Index 0% 10% 20% 30% 40% 50% 60% 0-1 Years 1-2 Years 2-3 Years 3-4 Years 4-5 Years > 5 Years 8% 37% 55% 0%0%0%2% 44% 54% 0%0%0% Contribution to Portfolio Duration ICE BofAML 1-3 Year U.S. Treasury Index NORTH PALM BEACH INVESTMENT PORTFOLIO PFM Asset Management LLC Account ****0001Page 18 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Credit Quality As of June 30, 2018 S&P Rating Market Value ($)% of Portfolio 43.0%$3,920,658AA+ 17.9%$1,629,599AAA 12.5%$1,140,942A+ 7.7%$702,088AA- 6.3%$571,455Not Rated 4.8%$435,137A 3.8%$349,354A- 3.1%$283,798AA 0.9%$83,486BBB+ Totals 100.0%$9,116,517 4.8% A 3.8% A- 12.5% A+ 3.1% AA 7.7% AA- 43.0% AA+ 17.9% AAA 0.9% BBB+ 6.3% Not Rated PFM Asset Management LLC Detail may not add to total due to rounding. Account ****0001Page 19 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Issuer Distribution As of June 30, 2018 Market Value ($)% of PortfolioIssuer UNITED STATES TREASURY 2,800,017 30.7% FANNIE MAE 505,275 5.5% FEDERAL HOME LOAN BANKS 402,199 4.4% TOYOTA MOTOR CORP 250,278 2.8% AFRICAN DEVELOPMENT BANK 231,888 2.5% CITIGROUP INC 198,313 2.2% AMERICAN EXPRESS CO 181,852 2.0% FLORIDA ST HURRICAN CAT FUND 178,886 2.0% CNH EQUIPMENT TRUST 178,469 2.0% CHEVRON CORPORATION 178,372 2.0% FREDDIE MAC 159,100 1.8% WELLS FARGO & COMPANY 148,656 1.6% BANK OF NOVA SCOTIA 148,379 1.6% INTER-AMERICAN DEVELOPMENT BANK 143,212 1.6% WESTPAC BANKING CORP 138,568 1.5% INTL BANK OF RECONSTRUCTION AND DEV 137,486 1.5% HONDA AUTO RECEIVABLES 123,981 1.4% BANK OF AMERICA CO 122,662 1.4%Top 5 = 46.0%Top 10 = 56.0% PFM Asset Management LLC Account ****0001Page 20 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Market Value ($)% of PortfolioIssuer HYUNDAI AUTO RECEIVABLES 108,860 1.2% WAL-MART STORES INC 104,912 1.2% CALIFORNIA ST 99,762 1.1% ALLY AUTO RECEIVABLES TRUST 99,127 1.1% AMERICAN HONDA FINANCE 98,945 1.1% BANK OF MONTREAL 98,623 1.1% ROYAL BANK OF CANADA 98,575 1.1% CANADIAN IMPERIAL BANK OF COMMERCE 98,529 1.1% HSBC HOLDINGS PLC 98,453 1.1% NISSAN AUTO RECEIVABLES 96,099 1.1% CARMAX AUTO OWNER TRUST 89,256 1.0% INTERNATIONAL FINANCE CORPORATION 89,219 1.0% BP PLC 89,136 1.0% ASIAN DEVELOPMENT BANK 88,846 1.0% MICROSOFT CORP 88,675 1.0% INTEL CORPORATION 88,592 1.0% THE WALT DISNEY CORPORATION 87,990 1.0% TORONTO-DOMINION BANK 77,942 0.9% JOHN DEERE OWNER TRUST 76,604 0.8% TOTAL SA 74,651 0.8% PACCAR FINANCIAL CORP 73,965 0.8% PFM Asset Management LLC Account ****0001Page 21 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Market Value ($)% of PortfolioIssuer JP MORGAN CHASE & CO 73,499 0.8% CAPITAL ONE FINANCIAL CORP 68,583 0.8% CATERPILLAR INC 63,298 0.7% CHARLES SCHWAB 60,240 0.7% DEERE & COMPANY 59,621 0.7% FORD CREDIT AUTO OWNER TRUST 59,310 0.7% GENERAL DYNAMICS CORP 54,940 0.6% APPLE INC 54,068 0.6% UNITED PARCEL SERVICE INC 53,650 0.6% VISA INC 49,188 0.5% MORGAN STANLEY 48,834 0.5% HERSHEY COMPANY 44,944 0.5% BB&T CORPORATION 44,249 0.5% HOME DEPOT INC 44,191 0.5% NATIONAL RURAL UTILITIES CO FINANCE CORP 39,702 0.4% GLAXOSMITHKLINE PLC 35,059 0.4% GOLDMAN SACHS GROUP INC 34,652 0.4% PEPSICO INC 29,775 0.3% HONEYWELL INTERNATIONAL 24,689 0.3% JOHNSON & JOHNSON 19,671 0.2% 9,116,517 100.0%Grand Total: PFM Asset Management LLC Account ****0001Page 22 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition Sector/Issuer Distribution As of June 30, 2018 % of SectorSector / Issuer Market Value ($)% of Total Portfolio Asset-Backed ALLY AUTO RECEIVABLES TRUST 1.1% 7.1% 99,127 AMERICAN EXPRESS CO 1.1% 7.0% 98,038 BANK OF AMERICA CO 0.7% 4.6% 64,005 CAPITAL ONE FINANCIAL CORP 0.8% 4.9% 68,583 CARMAX AUTO OWNER TRUST 1.0% 6.4% 89,256 CITIGROUP INC 2.2% 14.1% 198,313 CNH EQUIPMENT TRUST 2.0% 12.7% 178,469 FORD CREDIT AUTO OWNER TRUST 0.7% 4.2% 59,310 HONDA AUTO RECEIVABLES 1.4% 8.8% 123,981 HYUNDAI AUTO RECEIVABLES 1.2% 7.8% 108,860 JOHN DEERE OWNER TRUST 0.8% 5.5% 76,604 NISSAN AUTO RECEIVABLES 1.1% 6.9% 96,099 TOYOTA MOTOR CORP 1.6% 10.1% 141,410 100.0% 15.4% 1,402,057 Sector Total Corporate AMERICAN EXPRESS CO 0.9% 2.9% 83,813 AMERICAN HONDA FINANCE 1.1% 3.4% 98,945 APPLE INC 0.6% 1.9% 54,068 BANK OF AMERICA CO 0.6% 2.0% 58,656 PFM Asset Management LLC Account ****0001Page 23 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition % of SectorSector / Issuer Market Value ($)% of Total Portfolio BANK OF MONTREAL 1.1% 3.4% 98,623 BANK OF NOVA SCOTIA 1.6% 5.2% 148,379 BB&T CORPORATION 0.5% 1.5% 44,249 BP PLC 1.0% 3.1% 89,136 CANADIAN IMPERIAL BANK OF COMMERCE 1.1% 3.4% 98,529 CATERPILLAR INC 0.7% 2.2% 63,298 CHARLES SCHWAB 0.7% 2.1% 60,240 CHEVRON CORPORATION 2.0% 6.2% 178,372 DEERE & COMPANY 0.7% 2.1% 59,621 GENERAL DYNAMICS CORP 0.6% 1.9% 54,940 GLAXOSMITHKLINE PLC 0.4% 1.2% 35,059 GOLDMAN SACHS GROUP INC 0.4% 1.2% 34,652 HERSHEY COMPANY 0.5% 1.6% 44,944 HOME DEPOT INC 0.5% 1.5% 44,191 HONEYWELL INTERNATIONAL 0.3% 0.9% 24,689 HSBC HOLDINGS PLC 1.1% 3.4% 98,453 INTEL CORPORATION 1.0% 3.1% 88,592 JOHNSON & JOHNSON 0.2% 0.7% 19,671 JP MORGAN CHASE & CO 0.8% 2.6% 73,499 MICROSOFT CORP 1.0% 3.1% 88,675 MORGAN STANLEY 0.5% 1.7% 48,834 NATIONAL RURAL UTILITIES CO FINANCE CORP 0.4% 1.4% 39,702 PACCAR FINANCIAL CORP 0.8% 2.6% 73,965 PEPSICO INC 0.3% 1.0% 29,775 ROYAL BANK OF CANADA 1.1% 3.4% 98,575 PFM Asset Management LLC Account ****0001Page 24 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition % of SectorSector / Issuer Market Value ($)% of Total Portfolio THE WALT DISNEY CORPORATION 1.0% 3.1% 87,990 TORONTO-DOMINION BANK 0.9% 2.7% 77,942 TOTAL SA 0.8% 2.6% 74,651 TOYOTA MOTOR CORP 1.2% 3.8% 108,868 UNITED PARCEL SERVICE INC 0.6% 1.9% 53,650 VISA INC 0.5% 1.7% 49,188 WAL-MART STORES INC 1.2% 3.6% 104,912 WELLS FARGO & COMPANY 1.6% 5.2% 148,656 WESTPAC BANKING CORP 1.5% 4.8% 138,568 100.0% 31.6% 2,878,571 Sector Total Federal Agency/CMO FANNIE MAE 0.9% 69.3% 81,270 FREDDIE MAC 0.4% 30.7% 36,074 100.0% 1.3% 117,345 Sector Total Federal Agency/GSE FANNIE MAE 4.7% 44.7% 424,005 FEDERAL HOME LOAN BANKS 4.4% 42.4% 402,199 FREDDIE MAC 1.3% 13.0% 123,025 100.0% 10.4% 949,229 Sector Total Municipal CALIFORNIA ST 1.1% 35.8% 99,762 PFM Asset Management LLC Account ****0001Page 25 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Composition % of SectorSector / Issuer Market Value ($)% of Total Portfolio FLORIDA ST HURRICAN CAT FUND 2.0% 64.2% 178,886 100.0% 3.1% 278,648 Sector Total Supra-Sov / Supra-Natl Agency AFRICAN DEVELOPMENT BANK 2.5% 33.6% 231,888 ASIAN DEVELOPMENT BANK 1.0% 12.9% 88,846 INTER-AMERICAN DEVELOPMENT BANK 1.6% 20.7% 143,212 INTERNATIONAL FINANCE CORPORATION 1.0% 12.9% 89,219 INTL BANK OF RECONSTRUCTION AND DEV 1.5% 19.9% 137,486 100.0% 7.6% 690,651 Sector Total U.S. Treasury UNITED STATES TREASURY 30.7% 100.0% 2,800,017 100.0% 30.7% 2,800,017 Sector Total 100.0% 9,116,517 Portfolio Total 100.0% PFM Asset Management LLC Account ****0001Page 26 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Quarterly Portfolio Transactions Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon BUY 4/10/18 4/18/18 30,000 FANNIE MAE NOTES 6/22/21 64,985.05 2.76%2.75% 1,096,264 1,093,718.78Total BUY INTEREST 4/1/18 4/1/18 55,000 MONEY MARKET FUND 94.00 PFM Asset Management LLC Account ****0001Page 27 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon 4/9/18 4/9/18 40,000 US TREASURY NOTES 4/30/20 1,478.13 1.37% PFM Asset Management LLC Account ****0001Page 28 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon 4/30/18 4/30/18 30,000 JOHN DEERE ABS 2017-B A3 10/15/21 45.50 1.82% PFM Asset Management LLC Account ****0001Page 29 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon 5/15/18 5/15/18 50,000 ALLY ABS 2017-1 A3 6/15/21 42.50 1.70% 6/15/18 6/15/18 24,058 47788NAC2 JOHN DEERE ABS 2016-B A3 6/15/20 25.06 1.25% PFM Asset Management LLC Account ****0001Page 30 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon 6/15/18 6/15/18 50,000 US TREASURY NOTES 6/30/20 1,990.63 1.62% 7,162,945 34,773.95Total INTEREST MATURITY 4/30/18 4/30/18 40,000 PEPSICO, INC CORP NOTES 4/30/18 40,000.00 0.00 1.25% PFM Asset Management LLC Account ****0001Page 31 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon 5/22/18 5/22/18 140,000 BANK OF NEW YORK MELLON CORP (CALLABLE)5/22/18 140,000.00 0.00 1.60% 180,000 180,000.00 0.00Total MATURITY PAYDOWNS 4/1/18 4/25/18 2,203 HONDA ABS 2016-3 A3 6/18/19 4,726.44 0.00 1.16% 77,021 77,021.12 0.00Total PAYDOWNS PFM Asset Management LLC Account ****0001Page 32 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Trade Date Settle Date Maturity DatePar ($) CUSIP Security Description Transact Amt ($) Yield at Market Realized G/L (BV)Coupon SELL 4/12/18 4/17/18 100,000 912828G61 US TREASURY NOTES 11/30/19 99,267.90 2.32% (1,368.67)1.50% 4/18/18 4/25/18 100,000 912828G61 US TREASURY NOTES 11/30/19 99,199.31 2.40% (1,469.31)1.50% 5/9/18 5/11/18 20,000 912828G61 US TREASURY NOTES 11/30/19 19,835.08 2.48% (311.47)1.50% 5/11/18 5/15/18 70,000 037833BQ2 APPLE INC CORP NOTES 2/22/19 69,943.46 2.32% (324.52)1.70% 5/14/18 5/16/18 20,000 084664CG4 BERKSHIRE HATHAWAY INC NOTES 3/15/19 19,948.81 2.36% (104.59)1.70% 6/4/18 6/6/18 65,000 3130AAE46 FHLB NOTES 1/16/19 64,948.07 2.19% (367.14)1.25% 6/4/18 6/6/18 130,000 458182DX7 INTER-AMERICAN DEVELOPMENT BANK 5/13/19 128,376.16 2.43% (1,588.79)1.00% 6/6/18 6/8/18 125,000 912828G61 US TREASURY NOTES 11/30/19 123,297.82 2.47% (1,820.57)1.50% 6/13/18 6/18/18 25,000 912828G61 US TREASURY NOTES 11/30/19 24,666.88 2.49% (366.76)1.50% 6/21/18 6/27/18 50,000 912828G61 US TREASURY NOTES 11/30/19 49,356.11 2.50% (729.09)1.50% 6/22/18 6/25/18 40,000 912828G61 US TREASURY NOTES 11/30/19 39,486.29 2.49% (578.68)1.50% 6/22/18 6/25/18 10,000 912828H52 US TREASURY NOTES 1/31/20 9,853.59 2.51% (155.30)1.25% 755,000 748,179.48 -9,184.89Total SELL PFM Asset Management LLC Account ****0001Page 33 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Quarterly Portfolio Transactions Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 4/1/18 4/1/18 55,000.00 TOYOTA ABS 2016-C A3INTEREST 8/15/20 45.79 1.14% 4/15/18 4/15/18 30,000.00 COMET 2017-A4 A4INTEREST 7/17/23 116.08 1.99% PFM Asset Management LLC Account ****0001Page 34 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 4/15/18 4/15/18 39,999.28 US TREASURY NOTESSELL 11/30/19 99,199.31 2.40%(1,469.31)1.50% PFM Asset Management LLC Account ****0001Page 35 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 4/21/18 4/21/18 45,000.00 INTER-AMERICAN DEVELOPMENT BANKINTEREST 5/13/19 650.00 1.00% PFM Asset Management LLC Account ****0001Page 36 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 5/13/18 5/13/18 25,000.00 JDOT 2018-A A3INTEREST 4/15/22 55.42 2.66% PFM Asset Management LLC Account ****0001Page 37 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 5/15/18 5/15/18 50,000.00 US TREASURY NOTESINTEREST 11/30/19 1,800.00 1.50% PFM Asset Management LLC Account ****0001Page 38 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 5/31/18 6/5/18 20,000.00 TOYOTA ABS 2016-C A3INTEREST 8/15/20 39.16 1.14% PFM Asset Management LLC Account ****0001Page 39 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 6/15/18 6/15/18 70,000.00 JOHN DEERE ABS 2016-B A3PAYDOWNS 6/15/20 1,736.73 0.00 1.25% PFM Asset Management LLC Account ****0001Page 40 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Activity Security DescriptionCUSIPPar ($) Settle Date Trade Date Tran. Type Maturity Date Transact Amt ($)Yield Realized G/L (BV)Coupon 6/15/18 6/15/18 3,280.79 US TREASURY NOTESINTEREST 6/30/20 1,990.63 1.62% TOTALS (53,744.23)(9,184.89) PFM Asset Management LLC Account ****0001Page 41 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity U.S. Treasury Bond / Note AA+ Aaa 1/3/2017 1/5/2017 114,092.58 599.62 114,531.31 112,798.791.51US TREASURY NOTES DTD 02/02/2015 1.250% 01/31/2020 250,000.00 1.80 2,800,016.89 2,841,678.12 10,164.23 2,855,000.00 2,839,286.13Security Type Sub-Total Supra-National Agency Bond / Note AAA Aaa 7/6/2016 7/13/2016 139,970.60 462.78 139,989.31 137,485.600.88INTL BANK OF RECON AND DEV SN NOTE DTD 07/13/2016 0.875% 08/15/2019 140,000.00 PFM Asset Management LLC Account ****0001Page 42 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Supra-National Agency Bond / Note AAA Aaa 9/14/2016 9/20/2016 89,904.60 284.06 89,961.14 88,446.601.16AFRICAN DEVELOPMENT BANK NOTE DTD 09/20/2016 1.125% 09/20/2019 55,000.00 1.77 690,650.53 699,495.11 3,537.44 700,000.00 699,224.60Security Type Sub-Total Municipal Bond / Note AA Aa3 2/23/2016 3/8/2016 180,000.00 1,946.70 180,000.00 178,885.802.16FL ST BOARD ADMIN FIN CORP TXBL REV BD DTD 03/08/2016 2.163% 07/01/2019 100,000.00 2.39 278,647.80 280,003.75 2,460.03 280,000.00 280,004.00Security Type Sub-Total Federal Agency Collateralized Mortgage Obligation AA+ Aaa 6/9/2016 6/30/2016 15,565.94 22.93 15,460.26 15,351.191.05FNMA SERIES 2016-M9 ASQ2 DTD 06/01/2016 1.785% 06/01/2019 15,411.83 PFM Asset Management LLC Account ****0001Page 43 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Federal Agency Collateralized Mortgage Obligation AA+ Aaa 4/11/2018 4/30/2018 66,292.92 192.83 66,227.21 65,919.112.27FNA 2018-M5 A2 DTD 04/01/2018 3.560% 09/25/2021 36,264.01 2.28 117,344.69 117,767.34 296.42 116,675.84 117,937.30Security Type Sub-Total Federal Agency Bond / Note AA+ Aaa 6/2/2016 6/3/2016 39,983.20 12.50 39,994.64 39,514.361.14FHLB GLOBAL NOTE DTD 06/03/2016 1.125% 06/21/2019 65,000.00 1.20 949,228.67 964,249.92 3,275.29 965,000.00 963,324.15Security Type Sub-Total Corporate Note AA- Aa3 7/8/2015 7/13/2015 44,961.75 325.50 44,999.58 44,986.591.58TOYOTA MOTOR CREDIT CORP DTD 07/13/2015 1.550% 07/13/2018 45,000.00 PFM Asset Management LLC Account ****0001Page 44 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Corporate Note A A2 1/3/2017 1/6/2017 34,977.25 121.92 34,996.27 34,919.121.69JOHN DEERE CAPITAL CORP DTD 01/06/2017 1.650% 10/15/2018 60,000.00 PFM Asset Management LLC Account ****0001Page 45 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Corporate Note A+ A1 8/29/2016 9/6/2016 99,982.00 511.11 99,992.90 98,528.701.61CANADIAN IMPERIAL BANK CORP NOTES DTD 09/06/2016 1.600% 09/06/2019 45,000.00 PFM Asset Management LLC Account ****0001Page 46 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Corporate Note A+ A2 6/1/2017 6/6/2017 89,895.60 117.00 89,932.78 87,989.851.84WALT DISNEY COMPANY CORP NOTES DTD 06/06/2017 1.800% 06/05/2020 50,000.00 PFM Asset Management LLC Account ****0001Page 47 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Corporate Note A+ A2 5/10/2018 5/15/2018 34,905.85 139.76 34,909.89 35,058.733.22GLAXOSMITHKLINE CAPITAL DTD 05/15/2018 3.125% 05/14/2021 60,000.00 2.02 2,878,571.26 2,912,370.14 12,062.78 2,915,000.00 2,913,536.00Security Type Sub-Total Asset-Backed Security / Collateralized Mortgage Obligation AAA Aaa 8/15/2016 8/23/2016 49,757.94 20.85 49,762.49 49,395.591.17HONDA ABS 2016-3 A3 DTD 08/23/2016 1.160% 06/18/2019 37,937.18 PFM Asset Management LLC Account ****0001Page 48 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Asset-Backed Security / Collateralized Mortgage Obligation NR Aaa 8/2/2016 8/10/2016 47,313.18 24.82 47,315.10 46,790.261.18NISSAN ABS 2016-C A3 DTD 08/10/2016 1.180% 01/15/2021 25,000.00 PFM Asset Management LLC Account ****0001Page 49 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Portfolio Holdings Managed Account Detail of Securities Held Original Cost Settle Date Trade Date Moody's Rating S&P Rating Accrued Interest Amortized Cost Market Value YTM at Cost Security Type/Description CUSIP ParDated Date/Coupon/Maturity Asset-Backed Security / Collateralized Mortgage Obligation AAA NR 3/15/2017 3/22/2017 44,998.81 41.40 44,999.10 44,467.302.20CNH ABS 2017-A A3 DTD 03/22/2017 2.070% 05/15/2022 70,000.00 1.85 1,402,056.74 1,416,816.65 2,799.70 1,416,927.62 1,416,762.19Security Type Sub-Total 9,230,074.37 9,248,603.46 34,595.89 9,232,381.03 9,116,516.58 1.84 Managed Account Sub Total $34,595.89 $9,232,381.03 $9,116,516.58 Securities Sub-Total Accrued Interest $34,595.89 Total Investments $9,151,112.47 1.84%$9,248,603.46 $9,230,074.37 Bolded items are forward settling trades. PFM Asset Management LLC Account ****0001Page 50 of 57 Tab III PFM Asset Management LLC Page 51 of 57 © 2018 PFM Asset Management LLC For the Quarter Ended June 30, 2018 VILLAGE OF NORTH PALM BEACH Asset Allocation Security Type Amortized Cost (Includes Interest) Allocation Percentage Permitted by Policy In Compliance Florida Prime (SBA)1,536,863.78 8.43%25%YES United States Treasury Securities 2,851,842.35 15.65%100%YES Federal Agency 967,525.21 5.31%75%YES Supranationals 703,032.55 3.86%25%YES Corporate Notes 2,924,432.92 16.05%50%YES Municipals 282,463.78 1.55%25%YES Agency Mortgage-Backed Securities (MBS)118,063.76 0.65%25%YES Asset-Backed Securities 1,419,616.35 7.79%25%YES Certificates of Deposit and Savings Accounts 4,361,667.50 23.93%50%YES Demand Deposit Bank Account - 0.00%100%YES Commercial Paper - 0.00%50%YES Money Market Funds 10,007.15 0.05%50%YES Intergovernmental Pools 3,047,547.94 16.72%50%YES End of month trade-date amortized cost of portfolio holdings, including accrued interest. A balance of 15,184,521.80 in the Florida Education Investment Trust Fund was excluded from calculation as it is a part of the Country Club Clubhouse bank loan and not governed by the investment policy. 0.6% 7.8% 16.0% 5.3% 0.1% 1.6% 15.6% 8.4% 23.9% 16.7% 3.9% 0%10%20%30%40%50%60%70%80%90%100% Agency Mortgage-Backed Securities (MBS) Asset-Backed Securities Corporate Notes Federal Agency Money Market Funds Municipals United States Treasury Securities Florida Prime (SBA) Certificates of Deposit and Savings Accounts Intergovernmental Pools Supranationals Page 52 of 57 © 2018 PFM Asset Management LLC For the Quarter Ended June 30, 2018 VILLAGE OF NORTH PALM BEACH Asset Allocation Sector Individual Issuer Breakdown Amortized Cost (Includes Interest) Allocation Percentage Permitted by Policy In Compliance Us Tsy Bond/Note UNITED STATES TREASURY 2,851,842.35 15.65%100%YES Supranatl AFRICAN DEVELOPMENT BANK 235,982.29 1.29%10%YES Supranatl ASIAN DEVELOPMENT BANK 90,721.48 0.50%10%YES Supranatl INTER-AMERICAN DEVELOPMENT BANK 145,245.87 0.80%10%YES Supranatl INTL BANK OF RECONSTRUCTION AND DEV 140,452.09 0.77%10%YES Supranatl INTERNATIONAL FINANCE CORPORATION 90,630.82 0.50%10%YES Muni Bond/Note FLORIDA ST HURRICAN CAT FUND 181,946.70 1.00%5%YES Muni Bond/Note CALIFORNIA ST 100,517.08 0.55%5%YES Mny Mkt/Mutual Fnd MONEY MARKET FUND 10,026.29 0.06%33%YES Mbs / Cmo FANNIE MAE 15,483.19 0.08%25%YES Mbs / Cmo FANNIEMAE-ACES 66,420.04 0.36%25%YES Mbs / Cmo FHLMC MULTIFAMILY STRUCTURED P 36,160.53 0.20%25%YES Intergovernmental Pools FEITF 3,047,547.94 16.72%50%YES Florida Prime (SBA)FLORIDA PRIME (SBA)1,536,863.78 8.43%25%YES Fed Agy Bond/Note FANNIE MAE 431,243.50 2.37%40%YES Fed Agy Bond/Note FEDERAL HOME LOAN BANKS 410,895.42 2.25%40%YES Fed Agy Bond/Note FREDDIE MAC 125,386.29 0.69%40%YES Corporate Note AMERICAN EXPRESS CREDIT CORP 30,070.56 0.17%5%YES Corporate Note AMERICAN HONDA FINANCE 100,566.93 0.55%5%YES Corporate Note APPLE INC 55,102.69 0.30%5%YES Corporate Note BANK OF MONTREAL CHI 100,645.68 0.55%5%YES Corporate Note BANK OF NOVA SCOTIA HOUS 150,260.10 0.82%5%YES Corporate Note BP CAPITAL MARKETS PLC 91,225.41 0.50%5%YES Corporate Note CHEVRON CORP 180,351.23 0.99%5%YES Corporate Note GOLDMAN SACHS GROUP INC 35,297.31 0.19%5%YES Corporate Note JOHN DEERE CAPITAL CORP 60,272.12 0.33%5%YES Corporate Note MICROSOFT CORP 90,452.23 0.50%5%YES Corporate Note ROYAL BANK OF CANADA NY 100,592.42 0.55%5%YES Corporate Note TOYOTA MOTOR CREDIT CORP 110,567.72 0.61%5%YES Corporate Note WESTPAC BANKING CORP 140,306.79 0.77%5%YES Corporate Note AMERICAN EXPRESS CREDIT 55,364.72 0.30%5%YES Corporate Note WALT DISNEY COMPANY/THE 90,049.78 0.49%5%YES Corporate Note TOTAL CAPITAL SA 75,307.21 0.41%5%YES Corporate Note PEPSICO INC 30,066.81 0.16%5%YES Corporate Note INTEL CORP 90,210.03 0.50%5%YES Corporate Note JP MORGAN CHASE & CO 74,251.24 0.41%5%YES Corporate Note WELLS FARGO BANK NA 150,592.39 0.83%5%YES Corporate Note BRANCH BANKING & TRUST 45,237.79 0.25%5%YES Corporate Note MORGAN STANLEY 49,116.34 0.27%5%YES Corporate Note CATERPILLAR FINANCIAL SERVICES CORP 65,351.05 0.36%5%YES Corporate Note CANADIAN IMPERIAL BANK OF COMMERCE 100,504.01 0.55%5%YES Page 53 of 57 © 2018 PFM Asset Management LLC For the Quarter Ended June 30, 2018 VILLAGE OF NORTH PALM BEACH Asset Allocation Sector Individual Issuer Breakdown Amortized Cost (Includes Interest) Allocation Percentage Permitted by Policy In Compliance Corporate Note VISA INC 50,458.81 0.28%5%YES Corporate Note TORONTO DOMINION BANK 80,385.93 0.44%5%YES Corporate Note JOHNSON & JOHNSON 20,038.40 0.11%5%YES Corporate Note HOME DEPOT INC 45,041.71 0.25%5%YES Corporate Note BANK OF AMERICA CORP 60,349.20 0.33%5%YES Corporate Note HONEYWELL INTERNATIONAL 25,063.27 0.14%5%YES Corporate Note WAL-MART STORES INC 105,178.25 0.58%5%YES Corporate Note PACCAR FINANCIAL CORP 75,527.04 0.41%5%YES Corporate Note UNITED PARCEL SERVICE 55,211.11 0.30%5%YES Corporate Note NATIONAL RURAL UTIL COOP 40,363.37 0.22%5%YES Corporate Note HSBC BANK USA NA 99,598.32 0.55%5%YES Corporate Note HERSHEY COMPANY 45,157.28 0.25%5%YES Corporate Note GENERAL DYNAMICS CORP 55,038.50 0.30%5%YES Corporate Note CHARLES SCHWAB CORP 60,209.52 0.33%5%YES Corporate Note GLAXOSMITHKLINE CAPITAL 35,049.65 0.19%5%YES CD / Savings Account WELLS FARGO 2,795,212.35 15.34%100%YES CD / Savings Account BANKUNITED 1,044,134.53 5.73%100%YES CD / Savings Account FLAGLER BANK 522,320.62 2.87%100%YES Asset-Backed ALLY AUTO RECEIVABLES TRUST 100,070.39 0.55%5%YES Asset-Backed CARMAX AUTO OWNER TRUST 89,649.78 0.49%5%YES Asset-Backed CNH EQUIPMENT TRUST 180,159.01 0.99%5%YES Asset-Backed FORD CREDIT AUTO OWNER TRUST 60,044.38 0.33%5%YES Asset-Backed HONDA AUTO RECEIVABLES 49,783.34 0.27%5%YES Asset-Backed HYUNDAI AUTO RECEIVABLES TRUST 110,081.52 0.60%5%YES Asset-Backed JOHN DEERE OWNER TRUST 77,382.85 0.42%5%YES Asset-Backed NISSAN AUTO RECEIVABLES 47,339.92 0.26%5%YES Asset-Backed CITIBANK CREDIT CARD ISSUANCE 201,824.40 1.11%5%YES Asset-Backed AMERICAN EXPRESS CREDIT ACCOUN 100,064.08 0.55%5%YES Asset-Backed BANK OF AMERICA CREDIT CARD TR 65,042.00 0.36%5%YES Asset-Backed TOYOTA AUTO RECEIVABLES OWNER 105,075.17 0.58%5%YES Asset-Backed HONDA AUTO RECEIVABLES OWNER T 75,051.57 0.41%5%YES Asset-Backed NISSAN AUTO RECEIVABLES OWNER 50,034.90 0.27%5%YES Asset-Backed TOYOTA AUTO RECEIVABLES 37,955.86 0.21%5%YES Asset-Backed CAPITAL ONE MULTI-ASSET EXECUT 70,057.18 0.38%5%YES End of month trade-date amortized cost of portfolio holdings, including accrued interest. A balance of 15,184,521.80 in the Florida Education Investment Trust Fund was excluded from calculation as it is a part of the Country Club Clubhouse bank loan and not governed by the investment policy. Page 54 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Appendix IMPORTANT DISCLOSURES This material is based on information obtained from sources generally believed to be reliable and available to the public; however, PFM Asset Management LLC cannot guarantee its accuracy, completeness or suitability. This material is for general information purposes only and is not intended to provide specific advice or a specific recommendation. All statements as to what will or may happen under certain circumstances are based on assumptions, some, but not all of which, are noted in the presentation. Assumptions may or may not be proven correct as actual events occur, and results may depend on events outside of your or our control. Changes in assumptions may have a material effect on results. Past performance does not necessarily reflect and is not a guaranty of future results.The information contained in this presentation is not an offer to purchase or sell any securities. Dime Ã Market values that include accrued interest are derived from closing bid prices as of the last business day of the month as supplied by Interactive Data, Bloomberg, or Telerate. Where prices are not available from generally recognized sources, the securities are priced using a yield based matrix system to arrive at an estimated market value. Ã In accordance with generally accepted accounting principles, information is presented on a trade date basis; forward settling purchases are included in the monthly balances, and forward settling sales are excluded. Ã Performance is presented in accordance with the CFA Institute ’s Global Investment Performance Standards (GIPS). Unless otherwise noted, performance is shown gross of fees. Quarterly returns are presented on an unannualized basis. Returns for periods greater than one year are presented on an annualized basis. Past performance is not indicative of future returns. Ã Bank of America/Merrill Lynch Indices provided by Bloomberg Financial Markets. Ã Money market fund/cash balances are included in performance and duration computations. Ã Standard & Poorʼs is the source of the credit ratings. Distribution of credit rating is exclusive of money market fund/LGIP holdings. Ã Callable securities in the portfolio are included in the maturity distribution analysis to their stated maturity date, although, they may be called prior to maturity. Ã MBS maturities are represented by expected average life. PFM Asset Management LLC Account ****0001Page 55 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Appendix GLOSSARY Ã ACCRUED INTEREST: Interest that is due on a bond or other fixed income security since the last interest payment was made. Ã AGENCIES: Federal agency securities and/or Government-sponsored enterprises. Ã AMORTIZED COST: The original cost of the principal of the security is adjusted for the amount of the periodic reduction of any discount or premium from the purchase date until the date of the report. Discount or premium with respect to short-term securities (those with less than one year to maturity at time of issuance) is amortized on a straight line basis. Such discount or premium with respect to longer-term securities is amortized using the constant yield basis. Ã BANKERS’ ACCEPTANCE: A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill as well as the insurer. Ã COMMERCIAL PAPER: An unsecured obligation issued by a corporation or bank to finance its short-term credit needs, such as accounts receivable and inventory. Ã CONTRIBUTION TO DURATION: Represents each sector or maturity range ’s relative contribution to the overall duration of the portfolio measured as a percentage weighting. Since duration is a key measure of interest rate sensitivity, the contribution to duration measures the relative amount or contribution of that sector or maturity range to the total rate sensitivity of the portfolio. Ã DURATION TO WORST: A measure of the sensitivity of a security ’s price to a change in interest rates, stated in years, computed from cash flows to the maturity date or to the put date, whichever results in the highest yield to the investor. Ã EFFECTIVE DURATION: A measure of the sensitivity of a security’s price to a change in interest rates, stated in years. Ã EFFECTIVE YIELD: The total yield an investor receives in relation to the nominal yield or coupon of a bond. Effective yield takes into account the power of compounding on investment returns, while ominal yield does not. Ã FDIC: Federal Deposit Insurance Corporation. A federal agency that insures bank deposits to a specified amount. Ã INTEREST RATE: Interest per year divided by principal amount and expressed as a percentage. Ã MARKET VALUE: The value that would be received or paid for an investment in an orderly transaction between market participants at the measurement date. Ã MATURITY: The date upon which the principal or stated value of an investment becomes due and payable. Ã NEGOTIABLE CERTIFICATES OF DEPOSIT: A CD with a very large denomination, usually $1 million or more, that can be traded in secondary markets. Ã PAR VALUE: The nominal dollar face amount of a security. PFM Asset Management LLC Account ****0001Page 56 of 57 NORTH PALM BEACH INVESTMENT PORTFOLIO For the Quarter Ended June 30, 2018 Appendix GLOSSARY Ã PASS THROUGH SECURITY: A security representing pooled debt obligations that passes income from debtors to its shareholders. The most common type is the mortgage-backed security. Ã REPURCHASE AGREEMENTS: A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. Ã SETTLE DATE: The date on which the transaction is settled and monies/securities are exchanged. If the settle date of the transaction (i.e., coupon payments and maturity proceeds) occurs on a non-business day, the funds are exchanged on the next business day. Ã TRADE DATE: The date on which the transaction occurred; however, the final consummation of the security transaction and payment has not yet taken place. Ã UNSETTLED TRADE: A trade which has been executed; however, the final consummation of the security transaction and payment has not yet taken place. Ã U.S. TREASURY: The department of the U.S. government that issues Treasury securities. Ã YIELD: The rate of return based on the current market value, the annual interest receipts, maturity value, and the time period remaining until maturity, stated as a percentage on an annualized basis. Ã YTM AT COST: The yield to maturity at cost is the expected rate of return based on the original cost, the annual interest receipts, maturity value, and the time period from purchase date to maturity, stated as a percentage on an annualized basis. Ã YTM AT MARKET: The yield to maturity at market is the rate of return based on the current market value, the annual interest receipts, maturity value, and the time period remaining until maturity, stated as a percentage on an annualized basis. PFM Asset Management LLC Account ****0001Page 57 of 57