Investment Products

PMA Securities and PMA Financial Network offer a broad array of investment products to provide competitive rates of return while preserving a public entity’s principal. These products include:

• U.S. Treasury securities*
• Government agency securities*
• Municipal securities*
• Bank deposit products
• Money market funds

*Sold through PMA Securities, LLC. Municipal Advisory Services provided through PMA Securities, LLC.

Expansive Selection of Bank Products

Through PMA’s deposit programs, public entities gain access to a national marketplace of over 1,000 financial institutions. Utilizing this network of institutions, PMA seeks to provide the best deposit rates available while maintaining safety, liquidity and compliance with state statutes and client investment policies. Our expansive offering of deposit programs includes deposits fully FDIC insured and larger block deposits secured by collateral, letters of credit and reciprocal deposit programs.

The process begins with a thorough investigation of a public body’s historical cash flow. From this process, PMA gains a complete picture from which investment strategies are formulated. Once the cash flow plan has been constructed, PMA builds an investment schedule that optimizes a public entity’s returns and helps extend maturity lengths to take advantage of higher yields that are generally available longer out on the yield curve.

PMA CFMAX gives public entities a complete and accurate picture of their cash flow so they can invest their reserves based on reliable data.

Let PMA Do The Work

PMA gives finance officers the ability to guide the process from the top while leaving the analysis and time consuming details to a professional Portfolio Advisor.

The Power Of A Good Plan

The result of the analysis and collaborative planning process is a daily cash flow plan and investment schedule. The investment schedule matches investments with the critical need dates to meet payroll, accounts payable, bond payments and other anticipated expenses.

PMA CFMAX analyzes large fields of data, draws reliable conclusions and creates value from the newfound insight.

Bond Proceeds Management Program

Tax exempt debt issuers are subject to a long list of Internal Revenue Service (IRS) requirements that dictate how and when they can invest and spend down their bond proceeds. PMA Securities’ Bond Proceeds Management Program seeks to fulfill these obligations with minimal hassle.

Benefits

PMA Securities’ Bond Proceeds Management Program is a comprehensive service that facilitates:

• Establishing a scheduled flow of funds
• Optimizing investment opportunities
• Covering projected expenses
• Providing administrative efficiency

Investing

PMA Securities’ Bond Proceeds Management Program seeks to provide public entities significant benefits in critical areas of investment, arbitrage and reporting.

• PMA competitively bids client investments across its expansive network of banks and dealers to obtain optimal pricing.
• PMA’s local bank participation program allows local institutions to participate in the process.

Arbitrage And Reporting

PMA’s specialized monthly credit reports provide:

• Reliable interest earnings projections
• Arbitrage spend down status
• Spending exception tests
• Monthly updates on potential arbitrage payments
• Comprehensive portfolio reporting
• Coordinates third-party arbitrage calculation, if needed

The role of PMA Securities’ Bond Proceeds Management Program is to maximize earned interest income while complying with the IRS Rules and Regulations.

Credit Research

PMA continues to apply the principals of its PMA Analysis philosophy, which was developed by PMA’s founder to determine the credit quality of financial institutions from a public depositor’s perspective.

• Credit Research is a fundamental component of PMA’s investment process
• Deposits in excess of the FDIC insurance limits are collateralized as permitted under state statute and investment policy
• PMA provides client reporting on collateral positions

PMA Credit Research Process

PMA’s Credit Research Team utilizes ratio and fundamental analysis for all investments on a quarterly basis and continuously monitors the regional and national economic environment. The team is responsible for analyzing the creditworthiness of client investments, as well as the surveillance of collateral positions.

PMA’s credit analysis is part of a robust process designed to help public fund and institutional investors avoid repayment, reinvestment and reputation risks that may be associated with a bank failure or other investment loss. This begins with analyzing an issuer’s credit quality and continues with ongoing risk management throughout the life of the investment.