Providing custom investment solutions to enhance your portfolio

What is a Separately Managed Account?

A separately managed account (SMA) is a flexible, professionally managed investment portfolio, either discretionary or non-discretionary, for public sector clients created based on unique investment objectives, risk tolerances, and cashflows. Public Trust will recommend and implement an appropriate strategy for each SMA by constructing a portfolio guided by the governing investment policy or statute.

The funds managed by Public Trust support a broad range of services that are vital to communities both large and small. Our public sector client portfolios consist of operating funds, capital reserves, insurance reserves, proceeds from the sale of bonds, and other funds with an investment horizon of up to ten years.

Determining the strategy that meets your needs

Our team will examine your current financial situation to determine a strategy that will best suit your needs. Our investment strategy is guided by the following:

  • Investment Policy and State Statutes
  • Cash Flow Analysis
  • Client Risk Assessment
  • Diversification Requirements
  • Investment Parameters & Objectives
  • Reporting Requirements

Common Investment Strategies

Although most of our clients utilize one of the below strategies, we will work with you to ensure that your unique needs are met. Click each strategy to learn more.

Seeks to achieve consistent returns over cash equivalents with low market volatility. This is accomplished through sector allocation, security selection, and yield curve positioning, all of which play an important role in helping us build and maintain a yield advantage throughout market cycles. Enhanced cash portfolios work best for funds not needed for six months to one year. 

Seeks to enhance income and return targeting operating, core, or reserve funds not needed for more than one year. The goal is to generate consistent excess returns through actively managed sector, security, and yield curve strategies while minimizing interest rate and credit risk. The team leverages fundamental credit research and analytical capabilities to enhance returns. 

Seeks to achieve consistent returns throughout market cycles with low volatility. This strategy is appropriate for a client’s core and reserve funds with a longer-term investment horizon. The portfolio is positioned along the yield curve to capture value as the yield curve shifts over time while the portfolio managers strategically allocate assets to market sectors and rotate sectors as markets change. 

We coordinate with financial advisors, bond counsel, and rebate providers to clarify permitted investments, flow of funds, marked-to-market requirements, and arbitrage regulations. We then implement a sound strategy by fund type for your construction funds, capitalized interest, and debt service reserve funds. 

Which strategy best fits your needs?

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Your best option is:

Enhanced Cash

Seeks to achieve consistent returns over cach equivalents with low volatility. This is accomplished through sector allocation, security selection, and yield curve positioning, all of which play an important role in helping us build and maintain a yield advantage throughout market cycles. Enhanced cash portfolios work best for funds not needed for six months to one year.

To discover which of our strategies best suits your needs,
select one characteristic from each column below and click submit.
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YOUR BEST OPTION IS:

Enhanced Cash

Seeks to achieve consistent returns over cash equivalents with low volatility. This is accomplished through sector allocation, security selection, and yield curve positioning, all of which play an important role in helping us build and maintain a yield advantage throughout market cycles. Enhanced cash portfolios work best for funds not needed for six months to one year.

Current Economic Releases

Monthly Economic Update

December 2019 Economic Update

As the weather changes and we find ourselves in the midst of the holiday season, the markets remain squarely focused on the trade negotiations…

Monthly Economic Update

November 2019 Economic Update

As was widely expected, the Federal Reserve delivered its third consecutive 25 basis point rate cut at the October 30 FOMC meeting. The Fed noted…

Monthly Economic Update

October 2019 Economic Update

With another month and two interest rate cuts under our belts, the U.S. economy looks no less uncertain. Economic indicators appear to…

How can we serve you?

Have a question? Send us a message, and we will be in touch.