Intersections: A Monthly Go-To for Reliable Facts and Analysis About California's Debt, Investments and Economy

Vol. 1, No. 1, Published May 6, 2015

 
What does it cost for California to borrow? As of late May 2015, the representative investment yield for 20-year, AAA-rated general obligation bonds was 2.8 percent, according to a major national market index. As of late May 2015, the representative investment yield for 20-year, California general obligation bonds was 3.1 percent. As of late May 2014, the representative investment yield for 20-year, California general obligation bonds was 4.0 percent.
Debt issuance was $15.9 billion from January through March 2015. The Pooled Money Investment Account balance was $63.5 billion as of March 31. During March, Centralized State Treasury System deposits totaled $99.6 billion, while disbursements totaled $99.2 billion.
A total of $1.8 billion in taxpayer money was saved from six refinancings orchestrated by Treasurer Chiang from February through April. The Pooled Money Investment Account average effective yield was 0.278 percent as of March 31. A total of 6.2 million transactions were processed in March.

Intersections is prepared by staff of the State Treasurer's Office. This newsletter should not be used for making investment decisions about State of California bonds or notes. Potential investors always should obtain and read the Official Statement published by the State for each issue of bonds or notes. Send us suggestions and feedback.