Texas Permanent School Fund Comprehensive Annual Financial Report: 2015 Page: 33
This report is part of the collection entitled: Texas State Publications and was provided to The Portal to Texas History by the UNT Libraries Government Documents Department.
Extracted Text
The following text was automatically extracted from the image on this page using optical character recognition software:
and invested as described in the preceding
paragraph; therefore, those deposits are not exposed
to custodial credit risk.
C. Custodial Credit Risk for Investments
The-custodial credit risk for investments is the risk that
in the event of a failure of the counterparty, the Fund
will not be able to recover the value of the investment
or securities held as collateral that are in the
possession of an outside party. PSF(SBOE)
investments are registered in the name of the Fund or
are registered in the nominee name of The Bank of
New York Mellon Corporation and held in the name of
the Fund at The Bank of New York Mellon
Corporation. PSF(SBOE) investments are not subject
to custodial credit risk. However, the invested
securities lending collateral detailed below as of
August 31, 2015, is subject to custodial credit risk
because the collateral is purchased and held by the
counterparty, The Bank of New York Mellon
Corporation, which is contracted to serve as both the
custodian and the securities lending agent. The cost
basis of invested securities lending collateral at
August 31, 2015 was $575,807,211 and the fair value
was $524,451,933, which is detailed below.Invested Securities Lending
Collateral
Asset Backed Floating Rate Notes
Corporate Floating Rate Notes
Repurchase Agreements
Commercial Paper
Certificates of Deposit
Time Deposits
Total Securities
Lending Collateral (Exh. I)Cost Basis Fair Value
$107,682,048 $107,564,508
91,297,663 40,057,790
269,340,420 269,340,420
24,197,035 24,198,649
34,600,045 34,600,566
48,690,000 48,690,000
$575,807,211 $524,451,933The State Constitution, applicable statutes, and the
PSF(SBOE) investment policies do not contain legal
or policy requirements that would limit the exposure to
custodial credit risk for investments, including
securities lending collateral investments.
D. Credit Risk for Debt investments
Credit risk is the risk that an issuer or other
counterparty of an investment will not fulfill its
obligation to pay interest and repay principal. This is
measured by the assignment of a rating by a
nationally recognized statistical rating organization
(NRSRO).The rated debt investments of the PSF(SBOE) as of
August 31, 2015 are as follows. If ratings are
comparable between all NRSROs, the S&P rating
scale is used to rate the securities. On securities with
split or different ratings between the NRSROs, the
rating indicative of the greatest level of risk is
disclosed.Investment Type
Asset Backed Securities
Asset Backed Securities
Asset Backed Securities
Asset Backed Securities
Collateralized Loan Obligations
Collateralized Loan Obligations
Commercial Mortgage Backed Obligations
Commercial Mortgage Backed Obligations
Corporate Obligations
Corporate Obligations
Corporate Obligations
Corporate Obligations
Corporate Obligations
Corporate Obligations
Corporate Obligations
Yankee - Corporate Obligations
Yankee - Corporate Obligations
Yankee - corporate Obligations
Non-Agency Mortgage Backed Securities
Non-Agency Mortgage Backed Securities
Non-U.S. Government Agency Obligations
Non-U.S. Government Agency Obligations
Non-U.S. Government Agency Obligations
Non-U.S. Government Agency Obligations
Non-U.S. Sovereign Government Debt
Non-U.S. Sovereign Government Debt
Non-U.S. Sovereign Government Debt
Non-U.S. Sovereign Government Debt
Non-U.S. Sovereign Government Debt
U.S. Government Agency Commercial
Mortgage Backed Securities
U.S. Government Agency Commercial
Mortgage Backed Securities
U.S. Government Agency Commercial
Mortgage Backed Securities
U.S. Government Agency Mortgage
Backed Securities
U.S. Government Agency Obligations
U.S. Government Agency Obligations
U.S. Taxable Municipal Bonds
U.S. Taxable Municipal Bonds
U.S. Taxable Municipal Bonds
U.S. Taxable Municipal Bonds
U.S. Taxable Municipal Bonds
USTreasurySecurities
U.S. Treasury Inflation Protected Securities
Total Credit Risk Rated
Debt Securities
Corporate Obligations
Total Fixed IncomeRating
AAA
Aa
A
A
BBB
Baa
Aaa
AA
AA
Aa
A
A
BBB
Baa
Ba
A
Baa
BBB
AAA
ccc
Aaa
Aa
BBB
Baa
Aa
AA
A
BBB
Baa
AA
A
A
AA
AA
A
AAA
AA
Aa
A
A
AA
AARating
Service
S&P
Moodys
S&P
Moodys
S&P
Moodys
Moodys
S&P
S&P
Moodys
Moodls
S&P
S&P
Moodys
Moodys
S&P
Moodys
S&P
S&P
S&P
Moody's
Moodys
S&P
Moody's
Moodys
S&P
S&P
S&P
Moodys
S&P
Moodys
Fitch
S&P
S&P
S&P
S&P
S&P
Moodys
S&P
Moodys
S&P
S&PWithdrawn
Rating MoodysFair Value
$ 14,097,820
14,935,514
6,6312188
2,480,628
104,718,284
43,788,880
53,129,911
9,655,303
23,215,212
29,793,648
184,700,714
34,002,690
1 27,74,488
538,398,420
4,337,500
5,171,950
28,419,030
10,470,970
67,208,120
5,786,260
9,168,382
9,885,160
25,111,250
6,052,500
11,090,618
5,125,000
11,204,900
30,650,000
31,462,500
27,262,383
19,949,891
7,835,064
914,388,419
117,179,464
10,136,310
28,299,213
9,694,590
45,817,255
6,824,802
7,768,659
1,444,564,684
955,662,280
$5,043,823,854
7,500$5,043,831,354
33
TEXAS PERMANENT SCHOOL FUND
NOTES TO THE FINANCIAL STATEMENTS
Upcoming Pages
Here’s what’s next.
Search Inside
This report can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Report.
Permanent School Fund (Texas). Texas Permanent School Fund Comprehensive Annual Financial Report: 2015, report, Autumn 2015; Austin, Texas. (https://texashistory.unt.edu/ark:/67531/metapth838482/m1/39/?rotate=90: accessed July 17, 2024), University of North Texas Libraries, The Portal to Texas History, https://texashistory.unt.edu.; crediting UNT Libraries Government Documents Department.