Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Public Finance topic
No spam. Unsubscribe anytime.
TD, Fidelity and private advisers pitch options to boost town returns on operating cash
Summary
Three presenters — TD Bank, Fidelity’s Ocean State pool, and a private wealth adviser — outlined alternatives for investing Portsmouth’s operating cash, including treasury-ladder brokerage accounts, a state money‑market pool, and adviser-managed portfolios; councilors discussed current practice, state-law constraints, and potential RFPs.
Representatives from TD Bank, the state treasurer/Fidelity partnership, and a private advisory firm presented distinct options for how Portsmouth might earn higher returns on operating cash without sacrificing liquidity or compliance with Rhode Island law.
TD Bank’s institutional team described a non‑discretionary brokerage approach using a ladder of U.S. Treasury bills to increase yield while maintaining liquidity; Anthony Slovik suggested a 12‑month ladder could yield roughly "3.8 to 3.85" percent in current market conditions. Jason Wagner described the Ocean State Investment Pool (a Fidelity‑managed state pool) and said it is designed for Rhode Island public entities, reporting an annualized yield around "3.61%" and emphasizing same‑day liquidity under SEC Rule 2a‑7. Christopher Yolanas, a private wealth adviser, summarized how adviser‑managed solutions and FDIC‑insured CDs could be structured to match the town’s cash‑flow needs and described possible fee arrangements; he noted that exact fees must be transparent and tailored to invested amounts.
Councilors asked whether the town currently uses an advisory manager or simply holds funds in interest‑bearing checking accounts; TD and other presenters said the town’s operating cash had been placed in checking/money‑market style accounts and that an RFP would be required to retain an adviser or manager. The presentations prompted discussion about a potential RFP and next steps for the finance director and council oversight.
