The Illinois Funds

The Illinois Public Treasurers' Investment Pool (IPTIP)

Investing on behalf of state and local governments

The Illinois Public Treasurers’ Investment Pool (referred to as “The Illinois Funds”) is a local government investment pool (LGIP) operated by the Office of the Illinois State Treasurer for state and local government agencies.

 

This program provides a critical service for state and local agencies, enabling them to pool their money and invest in a safe, liquid investment vehicle that exceeds industry benchmarks, and has received the highest rating (AAAmmf) from national credit ratings agencies.

 

Created in 1975, The Illinois Funds was one of the first local government investment pools established in the nation.

 

The Illinois Funds is comprised of approximately 1,500 participating entities, holding over 3,000 accounts, with net assets of over $15 billion.

LaSalle Street. Bank of America, Chicago Board of Trade, Federal Reserve Bank

Monthly Investment Summary

As of March 28, 2024

 

• Net Portfolio Assets*: $ 19,541,020,509

• Present Market Value: $ 19,525,224,175

• Monthly Investment Earnings: $ 90,217,122

• 7-Day Effective Yield**: 5.420%

• One Month Gross Yield: 5.476%

• One Month Effective Yield**: 5.403%

• Net Asset Value (per share): $1.00

• Weighted Average Maturity: 49.1 days

• Weighted Average Life: 116.2 days

 

*This total includes a State Investment of $ 10,2315,263,811

**Yield, Net of Fees

 


Illinois Funds Performance Update

2024 1st Quarter

Analytical Comment

 

In the Chicago Fed summary of economic activity, they noted overall modest increases in economic activity, though unemployment rate remains about 1 percentage point above the national rate. CoGFA has recently updated its projections slightly upward (up $2B, to $52.6B) on FY24 revenues against the base forecast. UIUC Institute of Government and Public Affairs notes a marginal increase in their U of I Flash Index, with individual income tax receipts up 7% (while corporate income and sales taxes are down).

 

Based on current yields, The Illinois Funds predicts that allocations across asset classes during the Second Quarter 2024 will hold relatively steady at current levels—except for prime money market funds, which may increase slightly (from 12% to 15%), balancing the technical pressures of limiting US Treasuries in the portfolio. This is done to ensure enough liquidity to meet your needs. The Illinois Funds closed the quarter with $18.9 billion in net assets. The monthly net yield (less expenses) over the previous three months was 5.40%, bringing in $259 million in quarterly net income to Fund participants, and over $1 billion in net income over the last twelve months—more than double the $487 million in net income over the same twelve month period April 2022-March 2023.

 

Thomas Gary

Director, The Illinois Funds




Benchmarks

The Office of the Illinois State Treasurer uses industry benchmarks to ensure dollars are placed in safe, yet lucrative, investments. The Illinois Treasurer's goal is to consistently outperform the competition and exceed benchmarks.

These graphs compares the yield on the Illinois Funds' [Local Government Investment Pool (LGIP)] portfolio to a blended benchmark produced by the Treasurer’s Office. The blended benchmark reflects the actual mix of assets in the Illinois Funds portfolio. For example, if the Illinois Funds invested half of its assets in Repurchase Agreements, 25% in US Government Agency debt, and the other 25% in Commercial Paper, this benchmark would combine standards from each of those asset classes to produce a new, blended standard. This is the most accurate indicator of the Illinois Funds' overall portfolio performance.





Inventory Reports

Below are links to inventory reports from the last three months, each listing individual security holding as of the reported date:

 

 

To see a report of all holdings since 2015, please see the Security Holdings page.