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Home My WebLink AboutHighland Capital Management, LLCSebastian Police Officers' Pension Fund Investment Review Period Ending September 30, 2021 Hi�hland Capital MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Commentary Page 1 Total Return Summary and Portfolio Allocation Page 8 Performance Returns for Various Periods Page9 Equity Sector Allocation and Returns Page 10 Top Ten Holdings = Page 11 International ADR Country Allocation Page 13 Fixed Income Characteristics Page 14 Portfolio Holdings Page 18 Purchase d Sales Page 29 FEP, and Capital )MANAGEMENT, LLC An Argent Company and Cap idtal AAIA E EDIT, LL n Argent Company This page intentionally left blank. Sebastian Police Officers' Pension Fund 3Q21 Equity Commentary Period Ending 9/30/2021 The third quarter of 2021 ended with a host of issues on investor's minds good condition. In the 5 years prior to Covid average monthly consumer including rising inflation, proposed higher taxes, the debt ceiling, savings were $91 billion. Today that number is $243 billion. The cumulative Evergrande, timing of the Fed taper, the Delta variant, and finally - slowing "excess" savings for consumers since the onset of Covid is roughly $2.4 growth in 2022 as government stimulus wanes. The list is long and trillion! We believe this represents monies that will find their way into the complex, but even withstanding this the market was able to climb the economy, providing a strong foundation for future growth. We also expect proverbial "wall of worry" and posted a small gain of 0.58% for Q3 and is capex to improve after having taken a hit from the trade tariffs, as supply now up 15.9% for 2021. September was a tough month with the market chains had to be reorganized, and then were again upended by Covid supply down 4.6% and was the worst monthly performance since March of 2020. and demand uncertainty. This should provide an additional leg of economic And while the market has generated good YTD returns, investor sentiment growth as inventories are replenished and supply chains rebuilt. There is not exuberant with the AAII (American Association of Individual appears to be plenty of demand in the economy at present, just not enough Investors) Investor Survey now showing just 22% of investors being bullish, supply of goods. ranking in the bottom 5% of readings since 2010. The market has also Our biggest macro concern at present is inflation, with higher prices being exhibited lower than normal volatility in 2021, with the S&P, Nasdaq 100, seen across the spectrum. Implications of rising inflation impact interest and the Russell 2000 (Small Caps) only correcting 5%, 6.3%, and 6.5% rates, profit margins, stock valuations, wages, consumer spending and respectively from their 2021 highs. However, the situation under the surface has not been as calm with the "average stock" correcting from their highs a more pronounced 12.5% for the S&P 500, 13.9% for the Nasdaq, and 28.2% for the Russell 2000. The larger technology names that dominate the S&P 500 have bolstered the index performance as the market rotated back to growth -oriented sectors, and away from cyclicals as economic data showed a deceleration. It has made for a strange summer in the equity market, with no clear trends and constant rotation. The Economy While the economy may have downshifted slightly due to the Delta variant, we view the growth traiectory as delaved, not derailed. Solid growth will resume as Delta subsides, and we expect 2021 GDP to be roughly 6%, and 2022 GDP may exceed 4%. Our confidence in the economy is based on the strength of the US consumer, and the consumer is in very confidence. The Fed has insisted that inflation is transitory, but how long is transitory? The Conference Board Consumer Confidence Index fell over 6 points from August with consumers more concerned about the near -term outlook, driven primarily by higher inflation. More and more companies are highlighting inflation as an issue in their public comments. Net profit margins are at a record 13%, but this may not be sustainable. At some point companies will have to absorb the extra costs if they are unable to pass it on to the consumer. If this happens then forecasts for earnings growth in 2022 are likely too high and will need to be revised lower. The economy has over 10 million unfilled jobs according to the JOLTS report, and jobs posted on Indeed.com are 43.6% higher than the pre - pandemic baseline. Yet workers seem unwilling to accept positions at prevailing wages.. Average hourly earnings are up 4.3% year over year in the August jobs report but, run the risk of being for naught if inflation runs Hip -Wand Capital 1, Argen[ Company Sebastian Police Officers' Pension Fund 3Q21 Equity Commentary at a rate above the wage increases.. How high must wages rise before jobs are filled? The Fed's favorite inflation gauge, the Core PCE, is at 3.6%, above their longer term 2% inflation target. Both core CPI and core PPI are running at 4% and 6.3% respectively. Energy prices are rising as demand is rebounding faster than supply, and with natural gas at $5.80 per MCF versus $2.10 an MCF last year, consumers are bound to feel the impact in winter heating bills. And while consumer demand is strong at present Period Ending 9/30/2021 Market Review The top performing sector in the quarter was Financials +2.7% driven by a late quarter move in interest rates that aided the group. Truist, JP Morgan, and US Bank all gained over 5% in the quarter. Utilities were the second- best sector up 1.7%, but have been a weak relative performer YTD only gaining 4.2%. Healthcare and Technology rounded out the top performers with each gaining 1.4% and 1.3%. Within the tech space, Salesforce, (partially due to pent up demand - retail sales expected to be up 19% over Microsoft, and Apple added 11%, 4.2%, and 3.4% respectively. Consistent 2020), higher prices of everyday items could eventually depress disposable with the weaker economic data in Q3, the Industrial sector was the poorest personal income and lower demand. The economy (i.e. job market) has performer losing 4.2%, followed by Materials declining 3.5%. FedEx was now healed to the point that the Fed can begin their taper program in November. How will the markets react to a slightly tighter monetary policy? A question that we must ask ourselves is will this round of Fed tapering create another 2013 "Taper Tantrum"? We do have a precedent symbolic of the profit margin and workforce pressures exhibited in Q3 as inefficiencies caused by high demand and lack of drivers caused the company to lower earnings guidance. The stock lagged as a result, but demand is strong and earnings should still grow over 10%, as price increases and can probably learn lessons from that experience. Volatility did increase and fuel surcharges recoup part of the margin pressures. There was a in the first Fed tapering, and the market gained 3.6% from the trough in rotation from cyclicals to growth for a predominance of the quarter, but as rates on May 2, 2013 until rates peaked on September 5th. However, the gain was anything but linear. Over that four- month period the market experienced two near 5% pullbacks. The groups that outperformed the most were banks (higher interest rates), and oil (prices moving higher because of strengthening economy). Small cap stocks and semiconductors performed well during that period. In the current market if we use September 22 as the date the market started pricing in tapering, we are seeing a similar trend to 2013. Banks, energy stocks, and small caps have performed well, while yield oriented sectors such as REITS have lagged. The one group that worked well in 2013 that is not working so far in this mini cycle is Semiconductors. The supply chain issues the group is experiencing today are clearly having an impact. we neared quarter -end we saw some reversion back toward cyclicals and the "reopening and reflation" trade. However, even as the market weakened the price action didn't seem to presage a major drawdown as the Consumer Discretionary sector (cyclical) continued to outperform Consumer Staples (defensive), the opposite of what we would expect to see if the market were taking a "risk off" stance. For the YTD Energy is the top sector at +43%, followed by Financials +29%, while Utilities +4.2% and Consumer Staples +4.7% are the laggards. If the year were to end now, this would be the best yearly performance for the energy sector in 30 years, with 2007 being the next best year at +32%. Highland Capital 1, Argen[ Company Sebastian Police Officers' Pension Fund 3Q21 Equity Commentary Period Ending 9/30/2021 Outlook Earnings revisions have been upward in 2021, but have moved down for US politicians love political theatre, yet we fully expect the debt ceiling to 2022 from 11.6% in June, to the current 9.5% rate. It is possible that some be raised, and some form of physical and social infrastructure bills to be earnings growth has been pulled forward into 2021, and the number of passed, just in somewhat smaller dollar amounts than initially proposed. potential headwinds for 2022 earnings have increased. We expect market Infrastructure will be spent over years, not months, therefore fiscal stimulus will be lower in 2022 than 2021. Supply shortages will continue in the intermediate term, with some items such as semiconductor chips for autos perhaps not meeting demand until late 2022. These shortages will keep prices up, yet we believe that demand for products and services will remain solid. The holiday shopping season should be strong with forecasted sales rising 7%. Even with some items unavailable due to delays and shortages, consumers will be willing to spend. Jobs will continue to be abundant, and we are hopeful that the labor shortage will moderate as schools reopen and vaccinations increase. The September and October labor reports will shed more light on whether this trend improves. The job situation will be one of the primary determinants of the course of inflation. If workers return bottlenecks can be alleviated reducing pressure on inflation. If not, the "transitory" theme will need to be abandoned. The equity market is still a relative value versus bonds. The 10- year US Treasury bond has recently surpassed the 1.5% yield level, still equating to a 64X multiple, versus the S&P 500 at 20.5X. The dividend yield of the S&P is just over 1.3% and has only been lower one time in the last 150 years (the late 1990's), but should move higher with strong cash flows. The combination of dividends and stock buybacks ($950 billion in buybacks expected over next 12 months) should provide investors with an estimated shareholder capital return of about 4%. This is a significant valuation support for stocks when the reflation risk for bonds is high. Earnings are poised to continue good growth, with S&P earnings projected to grow over 42% in 2021, and another 9.5% in 2022. returns to moderate as the Fed slowly begins to tighten monetary conditions and rates rise. And as we've said before, there are limited alternatives to the equity market at present that offer attractive returns. So, we will be keeping an eye on inflation, and primarily its impact on interest rates and earnings (possible margin erosion). Our opinion is that inflation will run higher than the Fed would like, but will moderate into 2022 as supply chains recover; and while rates should move higher, they also will stay within a range of acceptance that allows the equity market to advance modestly. Hip -Wand Capital 1, Argen[ Company and Cap idtal AAIA E EDIT, LL n Argent Company This page intentionally left blank. Sebastian Police Officers' Pension Fund 3Q21 Large Cap Value Equity Commentary The Value Index pulled back during the third quarter likely as a "profit taking opportunity" by traders. Judging by the rise in rates in the bond market, it would seem to signal a preference for more cyclical exposed equities that fill the Value benchmark, but with Washington fiscal priorities still not clearly defined, it's difficult to be positioned bearishly for the rest of the year. Reviewing the quarter, the strategy fell short of the benchmark largely due to negative security selection in the Healthcare, Consumer Discretionary, Info Tech and Materials sectors. Offsetting this was superior security selection in Financials, Real Estate, Consumer Staples and Energy sectors. Our modeling seemed to be more successful within the sectors more exposed to interest rate/yield volatility which we think Period Ending 9/30/2021 will continue to be a theme for the future. Our portfolio strategy looking out is to constantly improve the portfolios by reducing exposure to securities that are falling in our ranking and adding to those that are high and/or rising. To that end, the quarter saw the select transactions during the period: Reduced exposure to: ABBVIE Activision Blizzard Boeing Citigroup Home Depot Las Vegas Sands Regions Financial Added exposure to: Davita Envista Holdings Ford Motor Knight -Swift Transportation Kohls MKS Instruments Molson Coors Synchrony Financial United Health Group As noted above, the transactions are less reflective of any theme and represent our constant attempt to adjust portfolios for the better when model dynamics point us to better security options. 5 Hi9Wand Capital MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 3Q21 Fixed Income Portfolio Manager Commentary The Federal Open Market Committee (FOMC) met towards the end of etc). On September 20th, Federal Express announced an average increase of September and provided further guidance to the markets regarding the path of short-term interest rates. The Federal Reserve did not change monetary policy, however provided a clear signal to the market that tightening was on the horizon. Federal Reserve Chair, Jerome Powell, stated the central bank could begin reducing asset purchases in November and wind down the program by the middle of 2022. The Federal Reserve took ten months to exit the previous bond buying program in 2014. The Fed has reiterated that increasing interest rates won't happen until after completing the taper process. The median projection for short term rates in 2023 has increased to 1%, up from 0.6% projected during the June meeting. Projections for 2024 were published for the first time, with the median suggesting a federal funds rate of 1.8% by the end of that year. A survey of fifty two economists have predicted that the central bank will keep interest rates near zero throughout 2022. Most economists believe the uncertainty surrounding the delta variant and possibly inflation moderating will keep the Fed ultra -accommodative for years to come. Most economists surveyed by Bloomberg expect the first rate increase will not be until 2023. As a bond investor, the main investing fear is related to inflation. Most of the conversation of 2021 has been focused on whether inflation would spin out of control in the United States. Even the Federal Reserve, which keeps repeating that this spike in inflation is transitory, ratcheted up inflation expectations during the last Federal Reserve meeting. The Fed believes inflation will prove to be transitory because most of it stems from supply chain disruptions. We are not so sure about that. On recent 5.9% next year across most of its services. This is the first time in eight years UPS or FDX has increased rates in excess of 5%, highlighting transportation costs rising because of strong demand and wage increases (drivers/warehouse workers). Brazil, one of the largest exporters of food, faced devastating weather conditions earlier this year which altered crop production. Coffee, orange juice and sugar exported from Brazil have all seen double digit price increases this year. Global food producers lock in longer term contracts for commodities. The recent increases in price (i.e. coffee) are yet to be recognized by the consumer. General Mills, a global food producer, expects input cost inflation between 7% and 8% in its fiscal year 2022. The semiconductor shortage, which we discussed last quarter, might stretch into 2023 as the industry continues to be impacted by rising costs and a shortage of workers. Annual wage growth for the 25% lowest - earning workers was running at 4.8% in August, according to the Federal Reserve Bank of Atlanta. That was the highest rate of growth since 2002. The Federal Reserve's latest Beige Book listed numerous examples across the country of how retaining employees is a growing problem for businesses. Walmart is investing $1 billion over five years to pay tuition costs to help retain existing workers, and Charles Schwab announced a special 5% pay increase for most employees last month. In recent months, the University of Michigan index has shown consumers view on inflation rising. For the first time in decades, consumers have become concerned that inflation will have a significant negative impact on their financial situations. Grocery prices have risen at a 4.3% annual pace since February 2020, according to Labor Department data, the sharpest increase since 2012. Sticker shock is being experienced in all parts of the world. The United company conference calls with management, inflation was prevalent in Kingdom, along with much of Europe, is experiencing a surge in natural gas most aspects of the conversation (purchasing, production, delivery, wages, prices triggered by low inventories and a demand surge coming out of the lockdown. Highland Capital An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 3Q21 Fixed Income Portfolio Manager Commentary Riskier asset classes have provided extra protection during this rising interest rate environment. Our strong relative returns this year have been generated through dynamic asset allocation and fundamental portfolio selections that we added towards the second half of 2020. The market dislocation last year presented unique and attractive opportunities. We have rotated out of some of these trades after quickly meeting fair value. We believe there are two main variables that will ultimately bring interest rates higher. First, growth forecasts in the coming quarters need to stabilize. The market needs to finally confirm the Delta variant will have a limited impact on the medium -term growth outlook. Second, which is probably going to have the bigger impact, will be the eventual liquidity removal from the Federal Reserve. The removal will weaken the artificial demand we have seen in the Treasury market. Some money managers have simply "followed the Fed" and made investment decisions not based on economic rationale. We believe increased volatility heading into year- end will create additional opportunities. Hip -Wand Capital An Argent Company Sebastian Police Officers' Pension Fund Total Return Summary Period Ending 9/30/2021 Quarter $9 900,586 $9,821,400-$79,187 $0-$21,837-$57,349 -0.58% (7/1/21 - 9/30/21) Fiscal Year to Date $12,908,198 $9,821,400-$3,086,798 $503,579-$5,577,798 $1,987,420 17.77% (10/1/20 - 9/30/21) Five Year $12,489,040 $9,821,400-$2,667,641 $5,555,083-$14,199,271 $5,976,548 64.94% 10.53% (10/1/16 - 9/30/21) Asset Allocation o Cash U Value U International _I Fixed Income o Cash LI Value Ll International _I Fixed Income Cash $278,433 2.8% Cash $196,497 2.0% Value $4,269,196 43.1% Value $4,224,317 43.0% International $1,044,133 10.5% International $1,036,069 10.5% Fixed Income $4,308,825 43.5% Fixed Income $4,364,517 44.4% Highland Capital 8 ) MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Performance Returns for Various Periods -4% -3% -2% -1% 0% 1% -20% 0% 20% 40% Value Value International International Fixed Income Fixed Income Period Ending 9/30/2021 Value International Fixed Income 0% 5% 10% 15% Value R1000V -1.27% -0.78% 36.57% 34.98% 10.93% 10.92% International -1.50% 25.18% 8.48% MSCI EAFE -0.33% 26.29% 9.33% MSCI ACWI ex US -2.99% 23.92% 8.94% Fixed Income *BBCGC *BBCAG 0.28% 0.04% 0.05% 1.43% -1.13% -0.90% 3.52% 3.24% 2.94% *Source: Bl000mberg Index Services Limited HizNand Capital 9 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Domestic Equity Sector Allocation vs. R1000V 25% ---------------------------------- 20% ------------------------------- --------------------- 17.4 15%------------------------•---------- ------ - 12.5 13.2 - 11.6 6.9 6.7 7.0 7.1 5.6 5.1 5.6 5% 3.6 - - 0% L .. ENERGY MATERIALS INDUSTRIALS CONS. CONSUMER HEALTH CARE DISCRETION STAPLES 21.7 21.4 FINANCIALS INFO. TECH. Period Ending 9/30/2021 - • 8.3------------------------- ' 4.6 4.9 3.9 4.7 COMM. SERV. UTILITIES REAL ESTATE Domestic Equity Quarterly Sector Returns vs. R1000V 10% -, ---------------------------------- 5%- --------------------------------------- --------- -------------------------------------•-- 1.4 1.0 i 0% 1 6`� -1.4 1.3 i _l , 1510 i -10% ' -7.9 -7.7 ENERGY MATERIALS INDUSTRIALS CONS. CONSUMER DISCRETION STAPLES J Accounl --------------- ---- 3.5 ---- 2.5 0.3 3.7 -2.3 2.3 ---------•------- -3.2 -5.4 8.6 - 3.3 2.2 1.3 HEALTH CARE FINANCIALS INFO. TECH. COMM. SERV. UTILITIES REAL ESTATE ill IR1000V Hiy, and Capital } MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Top Ten Domestic Equity Holdings NTOP TEN HOLDINGS LJ OTHER HOLDINGS Security Weight % QTD Return JP MORGAN CHASE & CO 3.09 5.84 BANK OF AMERICA CORP 2.43 3.47 ALPHABET INC 2.21 6.34 JOHNSON &JOHNSON 2.20 -1.33 PROCTER & GAMBLE CO 1.82 4.27 CONOCOPHILLIPS 1.79 12.01 UNITEDHEALTH GROUP INC 1.74 -9.98 WALT DISNEY CO 1.72 -3.75 ANTHEM INC 1.68 -2.06 CHEVRON CORP 1.63 -1.87 I 17.44 W TOP TEN HOLDINGS LJ OTHER HOLDINGS Security Weight % BERKSHIRE HATHAWAY INC-CL B 2.56 -1.79 JPMORGAN CHASE & CO 2.46 5.85 JOHNSON & JOHNSON 2.15 -1.38 UNITEDHEALTH GROUP INC 1.73 -2.07 PROCTER & GAMBLE CO/THE 1.72 4.26 BANK OF AMERICA CORP 1.59 3.49 WALT DISNEY CO 1.47 -3.75 COMCAST CORP - CLASS A 1.29 -1.49 EXXON MOBIL CORP 1.26 -5.34 PFIZER INC 1.21 10.83 Period Ending 9/30/2021 28.04 71.96 i TOP TEN HOLDINGS J OTHER HOLDINGS Security eight % QTD Return APPLE INC 6.06 3.47 MICROSOFT CORP 5.78 4.27 AMAZON.COM INC 3.90 -4.51 FACEBOOK INC-A 2.21 -2.39 ALPHABET INC-CLA 2.20 9.49 ALPHABET INC-CL C 2.05 6.34 TESLA INC 1.72 14.09 NVIDIA CORP 1.41 3.59 BERKSHIRE HATHAWAY INC-CL B 1.38 -1.79 JP MORGAN CHASE & CO 1.33 5.85 Hiy, and Capital ) MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Top Ten International Equity Holdings 40.55 59.45 W TOP TEN HOLDINGS J OTHER HOLDINGS Security Weight % SONY GROUP 7.50 13.74 STMICROELECTRONICS NV -NY SHS 4.28 23.48 SIEMENS AG SPINS ADR 4.19 3.14 HITACHI LIMITED 3.99 2.81 DAIMLER AG 3.60 -0.78 KYOCERA CORP 3.55 2.33 GLAXOSMITHKLINE PLC ADR 3.49 -2.77 KONINKLIJKE ELECTRS 3.48 -10.58 SAP SE 3.25 -3.86 TAIWAN SEMICONDUCTOR MFG 3.22 6.81 11TOP TEN HOLDINGS LIOTHER HOLDINGS Security Weight % NESTLE 2.06 -3.63 ASML HLDG 1.86 7.86 ROCHE HOLDING GENUSS 1.53 -3.23 LVMH MOET HENNESSY 1.18 -9.35 TOYOTA MOTOR CORP 1.13 1.66 ASTRAZEN ECA 1.11 1.05 NOVARTIS 1.08 -10.37 NOVO NORDISK b 0.97 15.22 UNILEVER PLC 0.84 -6.50 SAP 0.84 -3.86 Period Ending 9/30/2021 10.99 89.01 11TOP TEN HOLDINGS LJOTHER HOLDINGS Security Weight % TAIWAN SEMICONDUCTOR MF 1.93 -6.70 NESTLE 1.31 -3.63 TENCENT HOLDINGS LI 1.28 -20.62 ASML HLDG 1.18 7.86 SAMSUNG ELECTRONICS 1.12 -12.39 ALI BABA GRP HLDG 1.04 -34.72 ROCHE HOLDING GENUSS 0.97 -3.23 LVMH MOET HENNESSY 0.75 9.35 TOYOTA MOTOR CORP 0.71 1.66 ASTRAZEN ECA 0.70 1.05 Hnhland Capital 12 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 International Equity Country Allocation 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% AUSTRALIA `, 1.1% BELGIUM 1.6% CANADA 4.e % CHINA 5.4% FRANCE `, 1.4% GERMANY — 9.:'.% IRELAND 4.8% ITALY 2.0% JAPAN 20.8% LUXEMBOURG 2.4% NETHERLANDS 9.9% NORWAY 0.4% PANAMA yrj 0.8% SWEDEN 5.3% SWITZERLAND 4.3% TAIWAN 3.2% UNITED KINGDOM 21.0% UNITED STATES 1.7% CASH j 0.5% Highland Capital 13 ) MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund *Source: Bloomberg Index Services Limited Fixed Income Portfolio o Corporate Bonds L! US Treasuries LJ Gov't Sponsored _J Mortgage Pools I Other Corporate Bonds 32.5% US Treasuries 1.6% Gov't Sponsored 2.4% Mortgage Pools 53.7% Other Total00 1 9.7 , , Fixed Income Sector Allocation Bloomberg Barclays Capital Government/Credit Index W Corporate Bonds I Gov't Sponsored U US Treasuries Corporate Bonds 37.2% US Treasuries 54.8% Gov't Sponsored 8.0% Total0i , 14 Period Ending 9/30/2021 Bloomberg Barclays Capital Aggregate Index o Corporate Bonds V US Treasuries LJ Gov't Sponsored LJ CMBS I ABS I US MBS Corporate Bonds 26.1% US Treasuries 38.5% Gov't Sponsored 5.6% CMBS 2.1 ABS 0.3 US MBS 27.4% Other Total 0.0% ��, FEP, and Capital )MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomberg Index Services Limited Fixed Income Portfolio o Aaa U Aa U A LJ Baa I Other Bond Quality Allocation Average Quality: .. Bloomberg Barclays Capital Government/Credit Index W Aaa LJ Aa LJ A I Baa I Other Period Ending 9/30/2021 Bloomberg Barclays Capital Aggregate Index W Aaa U Aa o A U Baa LJ Other Aaa 62.6% Aaa 59.5% Aaa 71.3% Aa 6.0% Aa 4.5% Aa 3.3% A 18.3% A 16.0% A 11.3% Baa 4.1% Baa 20.1% Baa 14.1% Other 9.1% Other 0.0% Other 0.0% Hnhland Capital 15 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomber Index Services Limited Fixed Income Portfolio U <3 Yrs o 3-5 Yrs o 5-7 Yrs 17-10 Yrs I >10 Yrs Bond Maturity Allocation Average Maturity: 9.80 Years Bloomberg Barclays Capital Government/Credit Index ■ <3 Yrs o 3-5 Yrs o 5-7 Yrs 7-10 Yrs ' I >10 Yrs Period Ending 9/30/2021 Average Maturity: 8.63 Years Bloomberg Barclays Capital Aggregate Index ■ <3 Yrs w 3-5 Yrs U 5-7 Yrs 0 7-10 Yrs LI >10 Yrs <3 Yrs 9.8% <3 Yrs 26.1% <T"T 19.6% 3-5 Yrs 19.2% 3-5 Yrs 20.6% 3-5 Yrs 21.9% 5-7 Yrs 14.9% 5-7 Yrs 13.5% 5-7 Yrs 22.2% 7-10 Yrs 5.6% 7-10 Yrs 12.1% 7-10 Yrs 16.8% >10 Yrs 50.5% >10 Yrs 27.7% >10 Yrs 19.5% Highland Capital 16 ) MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomberg Index Services Limited Fixed Income Portfolio Duration Allocation Bloomberg Barclays Capital Gov/Credit Index o <3 Yrs W 3-5 Yrs U 5-7 Yrs o <3 Yrs W 3-5 Yrs LJ 5-7 Yrs LJ 7-10 Yrs _I >10 Yrs 17-10 Yrs .-I >10 Yrs <3 Yrs 27.4% <3 Yrs 27.3% 3-5 Yrs 36.0% 3-5 Yrs 21.6% 5-7 Yrs 18.7% 5-7 Yrs 14.3% 7-10 Yrs 3.1% 7-10 Yrs 10.4% >10 Yrs 14.6% >10 Yrs 26.3% Totalii i1 Portfolio Duration vs. Index Duration (Ratio) 1.8% 1.4% 1.0% V 0.6% 0.2% 1 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 12/31/2020 17 Period Ending 9/30/2021 Bloomberg Barclays Capital Aggregate Index o <3 Yrs U 3-5 Yrs LJ 5-7 Yrs u 7-10 Yrs I >10 Yrs <3 Yrs 22.6% 3-5 Yrs 29.2% 5-7 Yrs 21.1% 7-10 Yrs 8.6% >10 Yrs 18.5% Index t t 3/31/2021 6/30/2021 Acct 9/30/2021 Hi Wand Capital MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund CASH AND EQUIVALENTS (USD) CASH COMMON STOCK (USD) Portfolio Holdings 196,496.60 196,496.60 2.0 1.7 Energy 679 CHEVRON CORP 112.82 76,603.17 101.45 68,884.55 0.7 5.3 1118 CONOCOPHILLIPS 48.39 54,097.15 67.77 75,766.86 0.8 2.5 900 EXXON MOBIL CORP 59.41 53,466.93 58.82 52,938.00 0.5 5.9 2012 MARATHON OIL CORP 19.39 39,017.12 13.67 27,504.04 0.3 10.5 380 OCCIDENTAL PETE CORP DEL 60.91 -------------------------------------------------------------------------- 23,144.22 29.58 11,240.40 0.1 0.1 246,328.60 236,333.90 2.4 4.9 Materials 380 EASTMAN CHEMICAL CO 83.28 31,645.87 100.74 38,281.20 0.4 2.7 190 FMC CORPORATION 108.92 20,694.71 91.56 17,396.40 0.2 2.1 1600 FREEPORT McMORAN COPPER & GOLD INC 27.96 44,737.51 32.53 52,048.00 0.5 0.9 455 LYONDELLBASELL INDUSTRIES N V 90.15 41,019.39 93.85 42,701.75 0.4 4.8 300 MKS INSTRUMENTS INC 148.95 44,684.58 150.91 45,273.00 0.5 0.5 350 NEWMONT MINING CORPORATION 63.64 22,275.57 54.30 19,005.00 0.2 4.1 911 OLIN CORP 18.33 16,696.77 48.25 43,955.75 0.4 1.7 640 WESTROCK COMPANY 38.85 -------------------------------------------------------------------------- 24,864.45 49.83 31,891.20 0.3 1.9 246,618.90 290,552.30 3.0 2.2 Industrials 250 BOEING CO 165.12 41,279.45 219.94 54,985.00 0.6 0.0 575 CARRIER GLOBAL CORP 35.45 20,384.58 51.76 29,762.00 0.3 0.9 200 CATERPILLAR INC DEL 214.44 42,888.60 191.97 38,394.00 0.4 2.3 235 CUMMINS INC 178.18 41,873.21 224.56 52,771.60 0.5 2.6 370 EATON CORP PLC 71.04 26,282.96 149.31 55,244.70 0.6 2.0 240 FORTIVE CORP 61.28 14,707.22 70.57 16,936.80 0.2 0.4 240 HONEYWELL INTL INC 157.18 37,723.45 212.28 50,947.20 0.5 1.8 420 KNIGHT -SWIFT TRANSPORTATION 49.87 20,945.65 51.15 21,483.00 0.2 0.8 230 L3HARRIS TECHNOLOGIES INC 180.01 41,402.18 220.24 50,655.20 0.5 1.9 233 NORFOLK SOUTHERN CORP 113.09 26,349.93 239.25 55,745.25 0.6 1.8 637 RAYTHEON TECHNOLOGIES CORP 66.19 42,161.35 85.96 54,756.52 0.6 2.4 975 UNITED AIRLINES HOLDINGS INC 43.80 -------------------------------------------------------------------------- 42,709.68 47.57 46,380.75 0.5 0.0 398,708.30 528,062.00 5.4 1.5 Period Ending 9/30/2021 Highland Capital 18 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Portfolio Holdings Consumer Discretionary 200 ADVANCE AUTO PARTS INC 199.50 39,899.60 208.89 41,778.00 0.4 1.9 100 CAPRI HOLDINGS LTD 34.68 3,468.17 48.41 4,841.00 0.0 0.0 3300 FORD MOTOR CO 12.76 42,109.64 14.16 46,728.00 0.5 0.0 845 GENERAL MOTORS CO 41.11 34,739.29 52.71 44,539.95 0.5 0.0 325 HILTON WORLDWIDE HOLDINGS INC 81.43 26,463.24 132.11 42,935.75 0.4 0.0 540 KOHLS CORPORATION 55.49 29,966.33 47.09 25,428.60 0.3 5.2 881 PULTE GROUP INC 31.79 28,008.88 45.92 40,455.52 0.4 1.2 178 TARGET CORP 102.67 18,275.62 228.77 40,721.06 0.4 1.6 •-------------------------------------------------------------------------- 222,930.80 287,427.90 2.9 1.1 Consumer Staples 130 COSTCO WHOLESALE CORP 384.64 50,003.55 449.35 58,415.50 0.6 0.7 295 INGREDION INC 94.08 27,752.53 89.01 26,257.95 0.3 2.9 1050 MOLSON COORS BREWING CO 50.34 52,854.43 46.38 48,699.00 0.5 2.9 293 PEPSICO INC 120.48 35,299.71 150.41 44,070.13 0.4 2.9 551 PROCTER & GAMBLE CO 92.92 51,197.61 139.80 77,029.80 0.8 2.5 855 WALGREENS BOOTS ALLIANCE INC 43.85 37,489.96 47.05 40,227.75 0.4 4.1 •-------------------------------------------------------------------------- 254,597.80 294,700.10 3.0 2.5 Health Care 190 ANTHEM INC 253.17 48,101.72 372.80 70,832.00 0.7 1.2 200 BECTON DICKINSON & CO 247.31 49,462.42 245.82 49,164.00 0.5 1.4 731 BRISTOL-MYERS SQUIBB CO 48.78 35,654.96 59.17 43,253.27 0.4 3.3 245 CIGNA CORP 164.92 40,406.18 200.16 49,039.20 0.5 2.0 576 CVS HEALTH CORPORATION 56.24 32,394.71 84.86 48,879.36 0.5 2.4 350 DAVITA INC 122.67 42,933.35 116.26 40,691.00 0.4 0.0 900 ENVISTA HOLDINGS CORP 42.81 38,531.46 41.81 37,629.00 0.4 0.0 576 JOHNSON & JOHNSON 138.13 79,565.35 161.50 93,024.00 0.9 2.6 190 LABRATORY CORPORATION OF AMERICA HOLE 195.85 37,211.03 281.44 53,473.60 0.5 0.0 200 MEDTRONIC PLC 126.21 25,241.18 125.35 25,070.00 0.3 2.0 188 UNITEDHEALTH GROUP INC 376.05 •-------------------------------------------------------------------------- 70,696.88 390.74 73,459.12 0.7 1.5 500,199.20 584,514.60 6.0 1.6 Period Ending 9/30/2021 Hi�hland Capital 19 MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Portfolio Holdings Financials 325 AMERICAN EXPRESS CO 125.40 40,755.75 167.53 54,447.25 0.6 1.0 766 AMERICAN INTERNATIONAL GROUP INC 38.55 29,531.24 54.89 42,045.74 0.4 2.3 160 AMERIPRISE FINANCIAL INC 165.21 26,433.97 264.12 42,259.20 0.4 1.7 2422 BANK OF AMERICA CORP 24.53 59,407.39 42.45 102,813.90 1.0 2.0 150 BERKSHIRE HATHAWAY INC 182.43 27,364.82 272.94 40,941.00 0.4 0.0 74 BLACKROCK INC 687.70 50,889.90 838.66 62,060.84 0.6 2.0 225 CHUBB LIMITED 145.24 32,678.20 173.48 39,033.00 0.4 1.8 312 CITIGROUP INC 43.09 13,444.54 70.18 21,896.16 0.2 2.9 726 CITIZENS FINANCIAL GROUP INC 35.43 25,719.34 46.98 34,107.48 0.3 3.3 183 CME GROUP INC 171.27 31,341.93 193.38 35,388.54 0.4 1.9 90 GOLDMAN SACHS GROUP INC 239.55 21,559.70 378.03 34,022.70 0.3 2.1 12.5 JACKSON FINANICAL INC 25.11 313.93 26.00 325.00 0.0 0.0 799 JP MORGAN CHASE & CO 88.12 70,405.08 163.69 130,788.30 1.3 2.2 330 LINCOLN NATL CORP IND 51.85 17,111.97 68.75 22,687.50 0.2 2.4 310 NASDAQ STK MKT INC 98.29 30,470.97 193.02 59,836.20 0.6 1.1 880 SYNCHRONY FINANCIAL 49.09 43,203.34 48.88 43,014.40 0.4 1.8 300 THE BANK OF NOVA SCOTIA 61.85 18,554.37 61.53 18,459.00 0.2 5.9 646 TRUIST FINANCIAL CORP 41.86 27,042.50 58.65 37,887.90 0.4 3.3 821 US BANCORP 46.24 37,966.44 59.44 48,800.24 0.5 3.1 1367 WELLS FARGO CO 53.92 73,705.06 46.41 63,442.47 0.6 1.7 -------------------------------------------------------------------------- 677,900.50 934,256.80 9.5 2.1 Information Technology 50 ACCENTURE PLC 203.40 10,170.13 319.92 15,996.00 0.2 1.1 190 ALLIANCE DATA SYSTEMS CORP 71.30 13,546.51 100.89 19,169.10 0.2 0.8 100 BROADCOM INC 377.97 37,796.92 484.93 48,493.00 0.5 3.0 1064 CORNING INC 28.86 30,702.39 36.49 38,825.36 0.4 2.6 355.9998 DELL TECHNOLOGIES INC 67.79 24,132.48 104.04 37,038.22 0.4 0.0 233 FIDELITY NATIONAL INFORMATION SERVICES 118.60 27,633.62 121.68 28,351.44 0.3 1.3 2506 HEWLETT PACKARD ENTERPRISE CO 13.13 32,902.38 14.25 35,710.50 0.4 3.4 255 MICRON TECHNOLOGY INC 44.30 11,295.30 70.98 18,099.90 0.2 0.6 353 ORACLE CORP 50.52 17,835.13 87.13 30,756.89 0.3 1.5 330 QORVO INC 173.70 57,320.14 167.19 55,172.70 0.6 0.0 230 SKYWORKS SOLUTIONS INC 109.09 25,090.52 164.78 37,899.40 0.4 1.4 240 TEXAS INSTRUMENTS INC 154.12 36,988.20 192.21 46,130.40 0.5 2.4 -------------------------------------------------------------------------- 325,413.70 411,642.90 4.2 1.6 Highland Capital 20 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Portfolio Holdings Communication Services 395 ACTIVISION BLIZZARD INC 59.05 23,325.88 77.39 30,569.05 0.3 0.6 35 ALPHABET INC 2,265.76 79,301.77 2,665.31 93,285.85 0.9 0.0 1344 AT&T INC 35.73 48,017.69 27.01 36,301.44 0.4 7.7 678 COMCAST CORP 42.46 28,784.95 55.93 37,920.54 0.4 1.8 240 ELECTRONIC ARTS INC 131.45 31,546.85 142.25 34,140.00 0.3 0.5 125 FOX CORP 91.78 11,472.05 37.12 4,640.00 0.0 1.3 1090 VERIZON COMMUNICATIONS INC 56.53 61,613.76 54.01 58,870.90 0.6 4.7 431 WALT DISNEY CO 124.39 -------------------------------------------------------------------------- 53,610.99 169.17 72,912.27 0.7 0.0 337,673.90 368,640.10 3.8 1.8 Utilities 360 AMERICAN ELEC PWR INC 73.47 26,448.90 81.18 29,224.80 0.3 3.6 431 DUKE ENERGY CORP 77.73 33,502.84 97.59 42,061.29 0.4 4.0 1050 EXELON CORP 41.10 43,155.79 48.34 50,757.00 0.5 3.2 510 NEXTERA ENERGY INC 57.52 29,337.02 78.52 40,045.20 0.4 2.0 1280 NISOURCE INC 25.50 -------------------------------------------------------------------------- 32,643.09 24.23 31,014.40 0.3 3.6 165,087.60 193,102.70 2.0 3.3 Real Estate 400 BOSTON PROPERTIES INC 102.39 40,957.84 108.35 43,340.00 0.4 3.6 940 GAMING AND LEISURE PROPERTIES INC 43.94 41,304.34 46.32 43,540.80 0.4 5.8 220 JONES LANG LASALLE INC 137.35 30,218.04 248.09 54,579.80 0.6 0.0 183 PROLOGIS INC 71.92 -------------------------------------------------------------------------- 13,162.03 125.43 22,953.69 0.2 2.0 -------------------------------------------------------------------------- 125,642.30 164,414.30 1.7 2.8 3,501,302.00 4,293,648.00 43.7 2.1 INTERNATIONAL EQUITY (USD) Energy 785 BP PLC SPONSORED ADR 32.79 25,736.69 27.33 21,454.05 0.2 4.7 350 OVINTIV INC 53.49 18,721.01 32.88 11,508.00 0.1 1.7 250 ROYAL DUTCH SHELL PLC - ADR B 59.61 14,902.36 44.27 11,067.50 0.1 4.3 650 TENARIS SA 23.39 -------------------------------------------------------------------------- 15,203.50 21.11 13,721.50 0.1 2.7 74,563.56 57,751.05 0.6 3.6 FlWand Capital 21 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Portfolio Holdings Materials 233 ARCELORMITTAL S A 42.73 9,955.73 30.16 7,027.28 0.1 0.9 645 BARRICK GOLD CORP 14.14 9,123.45 18.05 11,642.25 0.1 2.0 335 CRH PLC ADR ONE ADR REPSTG ONE ORD SHS 28.11 9,417.55 46.74 15,657.90 0.2 1.0 50 LINDE PLC 177.60 -------------------------------------------------------------------------- 8,879.80 293.38 14,669.00 0.1 0.6 37,376.53 48,996.43 0.5 1.1 Industrials 200 ATLAS COPCO AB 55.07 11,014.87 60.43 12,087.00 0.1 1.1 65 COPA HOLDINGS SA CL A 110.89 7,207.68 81.38 5,289.70 0.1 0.0 814 KONINKLIJKE PHILIPS ELECTRS N V SPON ADR 32.65 26,579.60 44.44 36,174.16 0.4 2.0 125 SENSATA TECHNOLOGIES HOLDING PLC 55.53 6,940.82 54.72 6,840.00 0.1 0.0 530 SIEMENS AG SPONS ADR 58.17 30,831.74 82.14 43,534.20 0.4 1.9 82,574.71 103,925.10 1.1 1.6 Consumer Discretionary 420 DAIMLER AG REG SHS 85.86 36,062.20 89.20 37,464.00 0.4 1.5 50 FERRARI NV 199.87 9,993.50 209.12 10,456.00 0.1 0.4 980 HONDA MOTOR CO LTD ADR 34.82 34,125.19 30.67 30,056.60 0.3 5.7 425 INTERCONTINENTAL HOTELS ADR 53.03 22,537.62 64.29 27,323.25 0.3 0.0 200 JD.COM INC 29.85 5,969.90 72.24 14,448.00 0.1 0.0 100 LVMH MOET HENNESSY LOUIS VUITTON SE 166.10 16,609.89 143.28 14,328.00 0.1 1.1 305 ROYAL CARIBBEAN CRUISES LTD 77.02 23,492.39 88.95 27,129.75 0.3 0.0 705 SONY GROUP CORPORATION - ADR 24.17 17,041.84 110.58 77,958.90 0.8 0.4 200 YUM CHINA HOLDINGS INC 46.71 -------------------------------------------------------------------------- 9,342.82 58.11 11,622.00 0.1 0.8 175,175.40 250,786.50 2.6 1.2 Consumer Staples 410 ANHEUSER-BUSCH INBEV NV SPIN ADR 109.07 44,719.73 56.38 23,115.80 0.2 1.6 165 DIAGEO PLC SPONSORED ADR NEW 141.04 23,272.41 193.00 31,845.00 0.3 2.6 120 MOWI ASA 13.64 1,637.10 25.30 3,036.00 0.0 1.3 340 UNILEVER PLC 44.02 14,965.40 2 54.22 ------------- 18,434.80 0.2 3.7 76,431.60 0.8 2.5 Health Care 950 GLAXOSMITHKLINE PLC ADR 39.24 37,277.95 38.21 36,299.50 0.4 5.4 100 NOVARTIS AG ADR 93.04 9,303.78 81.78 8,178.00 0.1 2.5 180 SMITH AND NEPHEW PLC SPON ADR 37.47 -------------------------------------------------------------------------- 6,743.93 34.34 6,181.20 0.1 1.6 53,325.66 50,658.70 0.5 4.5 Highland Capital 22 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Financials 825 AEGON N V ORD AMER REG ADR 1425 CREDIT SUISSE GROUP 425 DEUTSCHE BANK AG 1235 ING GROEP N V 375 INVESCO LTD 250 PRUDENTIAL PLC SPON ADR 300 TORONTO DOMINION BK ONT NEW (USD) 975 UBS GROUP AG Information Technology 350 HITACHI LIMITED 590 KYOCERA CORP 250 SAP SE 1020 STMICROELECTRONICS NV -NY SHS 300 TAIWAN SEMICONDUCTOR MFG Portfolio Holdings 7.02 5,789.47 5.09 4,199.25 0.0 33.2 18.47 26,317.37 9.86 14,050.50 0.1 0.4 27.64 11,745.74 12.70 5,397.50 0.1 0.0 14.18 17,506.70 14.49 17,895.15 0.2 1.7 35.53 13,324.03 24.11 9,041.25 0.1 2.8 39.45 9,862.07 39.18 9,795.00 0.1 0.5 59.36 17,806.79 66.15 19,845.00 0.2 4.8 19.16 18,681.50 15.94 15,541.50 0.2 1.2 •-------------------- --------------------------- 121,033.70 --------------- 95,765.15 -----------• 1.0 3 .3 67.90 23,764.50 118.62 41,517.00 0.4 1.5 51.60 30,446.21 62.61 36,939.90 0.4 2.5 92.47 23,118.03 135.04 33,760.00 0.3 1.2 9.24 9,425.46 43.63 44,502.60 0.5 0.5 63.25 18,974.33 111.65 33,495.00 0.3 1.4 •-------------------------------------------------------------------------- 105,728.50 190,214.50 1.9 1.4 Communication Services 50 ALIBABA GROUP HOLDING ADR 170.99 8,549.50 148.05 7,402.50 0.1 0.0 80 BAIDU INC ADR 176.84 14,146.81 153.75 12,300.00 0.1 0.0 2001QIYIINC 20.08 4,016.98 8.03 1,606.00 0.0 0.0 920 NIPPON TELEG & TEL CORP 16.27 14,965.70 27.76 25,539.20 0.3 3.0 350 SOFTBANK GROUP CORP 26.58 9,304.24 29.04 10,164.00 0.1 0.5 364 VODAFONE GROUP PLC 31.04 11,297.34 15.45 5,623.80 0.1 6.7 •-------------------------------------------------------------------------- 62,280.57 62,635.50 0.6 1.9 Utilities 158 NATIONAL GRID GROUP PLC SPONSORED ADR 70.86 11,195.37 59.63 9,421.54 0.1 7.6 Equitys ETF 400 iSHARES MSCI EMERGING MKT IN 44.77 •-------------------------------------------------------------------------- 17,906.75 50.38 20,152.00 0.2 1.0 825,755.40 966,738.00 9.8 2.0 Period Ending 9/30/2021 Hi�hland Capital 23 MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Portfolio Holdings CORPORATE BONDS (USD) Period Ending 9/30/2021 35000 GILEAD SCIENCES INC 101.83 35,639.45 102.24 35,784.45 0.4 3.2 A3 3.250% 9/1/22 40000 PECO ENERGY CO 98.84 39,538.00 101.57 40,628.64 0.4 2.3 Aa3 2.380% 9/15/22 30000 AT&T BROADBAND CORP 134.68 40,403.70 110.19 33,058.38 0.3 8.6 A3 9.460% 11/15/22 50000 ATHENE GLOBAL FUNDING 144A 99.97 49,985.50 101.27 50,632.95 0.5 1.2 NR 1.200% 10/13/23 25000 XCEL ENERGY INC 99.91 24,976.50 100.10 25,026.02 0.3 0.5 Baal 0.500% 10/15/23 25000 PROASSURANCE CORP 107.50 26,875.00 106.99 26,747.12 0.3 5.0 Baa3 5.300% 11/15/23 40000 ATHENE GLOBAL FUNDING 100.78 40,314.00 104.93 41,970.72 0.4 2.6 NR 2.750% 6/25/24 45000 GA GLOBAL FUNDING TRUST 144A 99.89 44,949.60 100.46 45,208.62 0.5 1.0 A3 1.000% 7/8/24 45000 TRUIST FINANCIAL CORP VR 100.00 45,000.00 100.39 45,177.75 0.5 0.4 A3 0.450% 6/9/25 25000 BOEING CO 129.16 32,291.25 119.08 29,771.02 0.3 6.1 Baal 7.250% 6/15/25 40000 CUMMINS INC 99.82 39,927.20 99.16 39,663.20 0.4 0.8 A2 0.750% 9/1/25 35000 NORTHERN TRUST CORP 104.64 36,624.35 111.62 39,065.49 0.4 3.5 A2 3.950% 10/30/25 20000 STATE STREET CORP 100.00 20,000.00 104.49 20,898.74 0.2 2.3 Al 2.350% 11/1/25 25000 FS KKR CAPITAL CORP 98.83 24,707.50 104.40 26,100.12 0.3 3.3 Baa3 3.400% 1/15/26 40000 FIDUS INVESTMENT CORP 100.00 40,000.00 106.03 42,411.60 0.4 4.5 NR 4.750% 1/31/26 25000 MONROE CAPITAL CORP 99.44 24,860.50 100.83 25,208.12 0.3 4.7 NR 4.750% 2/15/26 20000 BRIGHTHSE FIN GLOBAL FUND 144A 99.77 19,955.00 100.40 20,080.00 0.2 1.5 A3 1.550% 5/24/26 70000 WELLS FARGO & CO 105.20 73,640.00 111.31 77,917.91 0.8 3.7 A3 4.100% 6/3/26 40000 NATIONAL AUSTRLIA BK/NY 99.27 39,709.20 106.04 42,414.04 0.4 2.4 Aa3 2.500% 7/12/26 40000 SUMITOMO MITSUI FINANCIAL GROUP INC 100.00 40,000.00 105.21 42,082.64 0.4 2.5 Al 2.630% 7/14/26 7000 WALMART INC 99.81 6,986.77 99.82 6,987.35 0.1 1.1 NR 1.050% 9/17/26 65000 PROSPECT CAPITAL CORP 98.76 64,194.65 101.53 65,995.34 0.7 3.3 Baa3 3.360% 11/15/26 54000 JPMORGAN CHASE & CO 100.00 54,000.00 98.44 53,159.92 0.5 1.1 A2 1.050% 11/19/26 38000 RELIANCE STAND LIFE II 99.72 37,894.36 105.28 40,006.48 0.4 2.6 A2 2.750% 1/21/27 40000 BLACKROCK INC 99.59 39,838.00 109.50 43,799.12 0.4 2.9 Aa3 3.200% 3/15/27 40000 BANK OF AMERICA CORP 110.40 44,161.60 107.93 43,170.48 0.4 3.0 A2 3.250% 10/21/27 40000 MANULIFE FINANCIAL CORP 100.00 40,000.00 109.70 43,878.52 0.4 3.7 NR 4.060% 2/24/32 20000 FIRST UNION CORP 123.80 24,759.40 137.15 27,429.60 0.3 4.8 A3 6.550% 10/15/35 50000 MICROSOFT CORP 99.61 49,806.50 114.36 57,178.10 0.6 3.0 Aaa 3.450% 8/8/36 35000 JOHNSON AND JOHNSON SR BND CALL 99.70 34,896.05 112.54 39,388.30 0.4 3.0 Aaa 3.400% 1/15/38 13000 SOUTHERN CALIF EDISON CO 140.26 18,234.45 133.33 17,332.28 0.2 4.5 A3 6.050% 3/15/39 8000 MANULIFE FINANCIAL CORP SR 99.64 7,971.60 139.82 11,185.23 0.1 3.8 NR 5.380% 3/4/46 16000 SAN DIEGO GAS & ELECTRIC CO 99.55 15,928.64 112.75 18,040.29 0.2 3.3 Al 3.750% 6/1/47 30000 COMMONSPIRIT HEALTH 100.00 30,000.00 111.40 33,419.85 0.3 3.4 A2 3.820% 10/1/49 40000 MEMORIAL SLOAN-KETTERING 100.00 40,000.00 101.00 40,401.60 0.4 2.9 Aa3 2.960% 1/1/50 20000 KKR GROUP FINANCE CO VII 99.47 19,894.80 107.15 21,429.28 0.2 3.4 NR 3.630% 2/25/50 FlWand Capital 24 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Portfolio Holdings 43000 CALIFORNIA ENDOWMENT 100.00 43,000.00 96.01 41,282.45 0.4 2.6 Aaa 2.500% 4/1/51 40000 OHIO POWER COMPANY 99.52 39,808.40 96.37 38,546.88 0.4 3.0 A3 2.900% 10/1/51 35000 WESTERN & SOUTHERN LIFE 99.53 34,834.45 107.59 37,655.48 0.4 3.5 A2 3.750% 4/28/61 49000 PENN MUTUAL LIFE INS CO 144A 100.00 49,000.00 103.73 50,828.92 0.5 3.7 A2 3.800% 4/29/61 Accrued Interest 11,913.38 0.1 •-------------------------------------------------------------------------- 1,434,606.00 1,492,876.00 15.2 3.0 MUNICIPAL BONDS (USD) 35000 WASHINGTON ST 109.51 38,328.15 103.69 36,290.10 0.4 4.5 Aaa 4.640% 8/1/22 30000 UNIV OF NC CHAPEL HIL 101.04 30,312.00 102.20 30,659.40 0.3 2.0 Aaa 2.000% 12/1/22 20000 COMMONWEALTH FING AUTH PA 100.00 20,000.00 107.57 21,514.40 0.2 5.3 Al 5.650% 6/1/24 15000 SAN FRANCISCO CA CITY & CNTY PUB UTILS 100.00 15,000.00 110.67 16,600.35 0.2 3.3 Aa2 3.700% 11/1/32 6000 METRO GOVT NASH & DAVD CNTY TN WTR &! 134.47 8,067.96 144.87 8,692.20 0.1 4.5 Aa2 6.570% 7/1/37 35000 SAN FRANCISCO CALIF CITY & CNTY CMNTY 97.21 34,023.85 108.21 37,873.85 0.4 3.5 NR 3.750% 9/1/37 20000 MIAMI-DADE CNTY FLA AVIATION 100.00 20,000.00 107.50 21,499.60 0.2 3.5 NR 3.730% 10/1/37 10000 VIRGINIA PORT AUTH PORT FAC 100.00 10,000.00 108.80 10,880.00 0.1 4.1 Al 4.480% 7/1/45 25000 UNIV OF TEXAS TX PERM UNIV FND REV 100.00 25,000.00 112.86 28,215.50 0.3 3.0 Aaa 3.380% 7/1/47 25000 CONNECTICUT ST HLTH & ED FACS AUTH REV 100.00 25,000.00 97.10 24,274.75 0.2 3.0 Aa3 2.870% 7/1/51 Accrued Interest •-------------------------------------------------------------------------- 2,096.76 0.0 225,732.00 238,596.90 2.4 3.5 GOVERNMENT BONDS (USD) 12000 US TREASURY N/B 96.18 11,541.09 96.77 11,611.87 0.1 1.2 Aaa 1.130% 2/15/31 30000 US TREASURY N/B 99.35 29,805.23 97.45 29,235.93 0.3 1.3 Aaa 1.250% 8/15/31 9000 US TREASURY N/B 98.11 8,829.84 95.36 8,582.35 0.1 1.8 Aaa 1.750% 8/15/41 23000 US TREASURY N/B 101.47 23,338.71 97.98 22,536.41 0.2 2.0 Aaa 2.000% 8/15/51 Accrued Interest 140.94 0.0 •-------------------------------------------------------------------------- 73,514.87 72,107.50 0.7 1.6 GOVERNMENT SPONSORED BOND (USD) 40000 MANITOBA PROV OF 99.23 39,692.80 104.51 41,805.32 0.4 2.0 Aa2 2.130% 6/22/26 43000 TVA 137.08 58,943.80 160.26 68,909.86 0.7 3.4 Aaa 5.380% 4/1/56 Accrued Interest 1,380.59 0.0 98,636.60 112,095.80 1.1 2.9 Hi�hland Capital 25 MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Portfolio Holdings MORTGAGE POOLS (USD) Period Ending 9/30/2021 35000 FHMS KBX1 Al 99.69 34,890.63 105.75 37,010.75 0.4 2.8 Aaa 2.920% 9/25/24 6984.7 FN AD4398 106.25 7,421.24 105.94 7,399.79 0.1 3.8 Aaa 4.000% 6/1/25 31318.74 FN AM9049 102.66 32,150.80 101.96 31,933.63 0.3 3.0 Aaa 3.050% 6/25/25 16497.16 FHMS KJ 17 A2 102.00 16,827.05 106.39 17,551.22 0.2 2.8 Aaa 2.980% 11/25/25 60000 HERTZ 2021-1A A 99.98 59,990.52 100.30 60,181.90 0.6 1.2 Aaa 1.210% 12/25/25 75000 FHMS KCO3 A2 102.01 76,510.15 105.63 79,223.46 0.8 3.3 Aaa 3.500% 1/25/26 100000 CRDBL 2021-1A A 101.09 101,089.80 100.96 100,964.60 1.0 2.4 Aaa 2.390% 4/15/26 35000 FHMS KG01 A7 103.00 36,048.64 107.31 37,557.76 0.4 2.7 Aaa 2.880% 4/25/26 31996.36 FHMS K068 Al 102.00 32,636.03 106.03 33,926.44 0.3 2.8 Aaa 2.950% 2/25/27 57000 FHMS K068 A2 103.00 58,708.12 110.37 62,912.49 0.6 2.9 Aaa 3.240% 8/25/27 100000 CROP 2021-T1 A 100.00 99,997.74 99.54 99,544.63 1.0 2.4 Aaa 2.430% 11/15/27 50000 FHMS KHG1 A3 110.48 55,242.19 108.20 54,099.36 0.6 3.1 Aaa 3.340% 12/25/27 7547.44 FN MA1387 103.69 7,825.75 105.66 7,974.59 0.1 2.8 Aaa 3.000% 3/25/28 40000 FN AN9038 100.66 40,262.50 107.31 42,923.01 0.4 3.2 Aaa 3.460% 5/1/28 100000 SCFET 2021-1A A3 100.00 99,998.35 99.75 99,750.51 1.0 0.8 Aaa 0.830% 8/21/28 20000 FN 387873 102.66 20,531.25 112.27 22,454.95 0.2 3.3 Aaa 3.750% 11/1/28 32000 FN BL0484 105.99 33,917.50 112.36 35,954.37 0.4 3.8 Aaa 4.220% 11/1/28 18000 FHMS K088 A2 103.00 18,539.21 114.55 20,618.29 0.2 3.2 Aaa 3.690% 1/25/29 43200.14 FN BL1409 103.84 44,860.61 109.56 47,328.33 0.5 3.5 Aaa 3.800% 1/25/29 37000 FHLMC MF KG01 103.00 38,109.45 109.54 40,529.92 0.4 2.7 Aaa 2.940% 4/25/29 16107.14 FG J34676 105.50 16,993.03 106.00 17,073.38 0.2 2.8 Aaa 3.000% 7/1/31 19121.82 FN A57986 103.06 19,707.42 104.64 20,009.05 0.2 2.4 Aaa 2.500% 9/1/31 100000 VCRRL 2021-1A A 100.00 100,000.00 100.00 100,000.00 1.0 2.2 Aaa 2.150% 10/20/31 9963.31 FG G30701 111.00 11,059.27 112.05 11,163.64 0.1 4.5 Aaa 5.000% 11/1/31 23294.32 FN AS8448 99.50 23,177.98 103.35 24,073.70 0.2 1.9 Aaa 2.000% 12/25/31 7854.09 FN MA0976 103.12 8,099.47 106.30 8,348.53 0.1 3.3 Aaa 3.500% 2/25/32 17394.52 G2 784739 102.12 17,763.98 106.31 18,492.18 0.2 3.8 Aaa 4.000% 5/20/34 17271.37 FHR 3342 PZ 104.94 18,124.14 112.23 19,383.17 0.2 4.5 Aaa 5.000% 6/15/37 15000 FNR 2017 134VD 94.00 14,100.00 106.24 15,936.49 0.2 2.8 Aaa 3.000% 4/20/38 2052.51 FN 889579 109.39 2,245.25 118.20 2,426.14 0.0 5.1 Aaa 6.000% 5/1/38 45000 BCP TRUST 21-33ON B VR 99.26 44,666.00 99.29 44,682.54 0.5 1.3 Aaa 1.300% 6/15/38 2480 G2 4194 106.13 2,631.90 113.61 2,817.44 0.0 4.8 Aaa 5.500% 7/20/38 980.48 GNMA 4195 99.89 979.41 117.18 1,148.97 0.0 5.1 Aaa 6.000% 7/20/38 7178.1 GNMA 4447 104.81 7,523.55 113.14 8,121.38 0.1 4.4 Aaa 5.000% 5/20/39 10783.08 G2 4496 109.58 11,815.90 114.01 12,293.57 0.1 4.4 Aaa 5.000% 7/20/39 35638.82 HINTT 2020-AA 99.98 35,633.40 100.71 35,890.55 0.4 1.4 Aaa 1.390% 10/9/39 FlWand Capital 26 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Portfolio Holdings Period Ending 9/30/2021 4912.9 FNR 2010-64 KA 103.05 5,062.56 104.79 5,148.28 0.1 4.3 Aaa 4.500% 6/25/40 100000 PROG 2021-SFR7 A 100.00 99,997.14 98.63 98,629.35 1.0 1.7 Aaa 1.690% 8/17/40 4482.15 FG A95828 104.89 4,701.15 112.15 5,026.66 0.1 4.0 Aaa 4.500% 12/15/40 11582.98 FN 783307 101.38 11,742.29 110.94 12,850.00 0.1 3.6 Aaa 4.000% 4/15/41 100000 FSMT 2021-91NV Al 103.30 103,296.90 102.86 102,855.50 1.0 2.4 Aaa 2.500% 9/25/41 13165.74 FNR 2012-6 MA 103.41 13,614.20 101.61 13,378.31 0.1 3.9 Aaa 4.000% 10/25/41 3415.76 GN AW7430 104.65 3,574.50 110.88 3,787.30 0.0 4.1 Aaa 4.500% 1/25/42 3374.28 FNR 2012 110K1 99.00 3,340.53 102.28 3,451.36 0.0 2.9 Aaa 3.000% 3/20/42 15926.46 FNR 2012-90 DA 100.31 15,976.23 100.53 16,010.08 0.2 1.5 Aaa 1.500% 3/25/42 10023.51 FN MA 3024 102.16 10,239.52 104.51 10,475.30 0.1 3.3 Aaa 3.500% 6/1/42 2670.19 FN MA1136 102.12 2,726.90 104.55 2,791.56 0.0 3.3 Aaa 3.500% 8/25/42 10000 FNR 2013-111 PL 102.12 10,212.50 102.79 10,278.70 0.1 1.9 Aaa 2.000% 12/25/42 7647.65 GNR 2013-100 ME 99.11 7,579.67 102.25 7,819.85 0.1 2.2 Aaa 2.250% 2/20/43 17149.43 FN 2015 2PA 98.92 16,964.54 102.88 17,643.84 0.2 2.2 Aaa 2.250% 3/25/44 793.83 FHR 4710 QA 102.16 810.94 100.16 795.07 0.0 3.5 Aaa 3.500% 4/15/44 11746.2 FHR 4388 MC 99.50 11,687.72 103.62 12,171.01 0.1 2.4 Aaa 2.500% 7/15/44 7565.36 FNR 2016-90 CA 96.25 7,281.66 102.93 7,786.93 0.1 2.9 Aaa 3.000% 2/25/45 8482.71 FNR 2016 31 PC 97.45 8,266.39 101.77 8,633.07 0.1 2.9 Aaa 3.000% 3/25/45 37904.45 FNR 2015-51 KC 101.31 38,401.95 101.64 38,526.61 0.4 3.0 Aaa 3.000% 6/25/45 9730.39 FHR 4546 TH 95.41 9,283.41 103.16 10,037.42 0.1 2.4 Aaa 2.500% 12/15/45 7503.1 FNR 2017 56 PA 98.84 7,416.33 105.12 7,887.45 0.1 2.9 Aaa 3.000% 12/25/45 94188.11 CLIF2021-IAA 100.00 94,186.34 98.55 92,826.10 0.9 1.7 NR 1.640% 2/18/46 95329.38 TMCL 21-IA 99.97 95,300.30 98.41 93,816.26 1.0 2.7 Aaa 2.620% 2/20/46 1720.59 GNR 2017 59P 97.97 1,685.63 100.45 1,728.42 0.0 3.0 Aaa 3.000% 4/20/46 6552.46 G2 MA3725 98.06 6,425.44 102.96 6,746.27 0.1 2.9 Aaa 3.000% 6/20/46 25000 ADC 2021-IA A2 100.00 25,000.00 100.45 25,112.90 0.3 1.9 Aaa 1.940% 8/15/46 99333.33 TMCL 2021-3A A 99.98 99,316.20 98.99 98,326.25 1.0 2.0 Aaa 1.940% 8/20/46 7775.3 FN MA2743 101.31 7,877.24 103.28 8,030.33 0.1 2.9 Aaa 3.000% 9/25/46 1873.74 FN MA2777 101.00 1,892.49 103.28 1,935.24 0.0 2.9 Aaa 3.000% 10/25/46 30000 FNR 2017-55 HW 93.47 28,040.63 104.18 31,252.60 0.3 2.9 Aaa 3.000% 11/25/46 4002.96 FN BE2951 101.81 4,075.39 103.93 4,160.21 0.0 2.9 Aaa 3.000% 1/25/47 4596.85 FHR 4682 LD 94.86 4,360.44 104.54 4,805.73 0.0 2.6 Aaa 2.750% 5/15/47 1629.77 FNR 2018 69 PA 99.32 1,618.68 100.61 1,639.74 0.0 3.5 Aaa 3.500% 5/25/47 3091.78 GNR 2017 991E 100.31 3,101.51 103.76 3,208.12 0.0 2.7 Aaa 2.750% 6/20/47 8960.839 FHR 4713 YH 93.94 8,417.59 102.72 9,204.72 0.1 2.4 Aaa 2.500% 7/15/47 13335.39 FHR 2017 72 GH 99.19 13,227.04 99.86 13,316.94 0.1 2.5 Aaa 2.500% 8/25/47 19234.91 GNR 2017 134PT 98.31 18,910.08 105.12 20,219.34 0.2 2.4 Aaa 2.500% 9/20/47 Highland Capital 27 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Portfolio Holdings 2975.88 FG T65441 98.94 2,944.28 104.26 3,102.78 0.0 2.9 Aaa 3.000% 10/1/47 40000 FNR 2018 1 HB 95.66 38,262.50 102.58 41,031.22 0.4 2.4 Aaa 2.500% 1/20/48 10242.53 FNR 2018-11 KE 98.84 10,124.15 102.36 10,483.76 0.1 2.0 Aaa 2.000% 3/25/48 22250.31 FNR 2018 59D 94.75 21,082.17 107.25 23,862.43 0.2 2.8 Aaa 3.000% 4/20/48 72056.89 GOOD 2021-3CS A 99.95 72,023.34 99.53 71,717.00 0.7 2.1 Aaa 2.100% 5/20/48 36000 GNR 2019-133 EB 92.50 33,300.00 99.65 35,872.65 0.4 2.0 Aaa 2.000% 4/20/49 3992.76 GNR 2019-162 GA 100.00 3,992.76 101.68 4,059.74 0.0 3.0 Aaa 3.000% 10/20/49 100000 CBSLT 2021-BGS A 99.98 99,978.05 99.69 99,687.50 1.0 1.2 Aaa 1.170% 9/25/51 16756.79 GNMA 18-26 AD 98.56 16,516.12 102.36 17,152.61 0.2 2.4 Aaa 2.500% 3/16/52 8848.86 GNR 2013-17 AC 98.25 8,694.01 101.12 8,947.93 0.1 1.8 Aaa 1.790% 5/16/53 33800.81 SORT 2021-1A Al 99.98 33,794.38 100.62 34,010.90 0.3 1.5 Aaa 1.530% 3/15/61 Accrued Interest 4,898.82 0.0 •-------------------------------------------------------------------------- 2,396,402.00 2,448,841.00 24.9 2.4 8,752,245.00 9,821,400.00 100.0 2.3 TOTAL PORTFOLIO •-------------------------------------------------------------------------- 8,752,245.00 9,821,400.00 100.0 2.3 Hizhland Capital 2s MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund BAC Purchases 7/15/21 7/21/21 250,000.00 BANK OF AMERICA CORP 2.972% Due 07-21-52 7/22/21 8/5/21 100,000.00 PROG 2021-SFR7 A 1.692% Due 08-17-40 BANK OF MONTREAL 7/6/21 BARCLAYS-EQ 7/1/21 8/3/21 CITICORP 7/9/21 Period Ending 9/30/2021 100.00 250,000.00 0.00 0.00 100.00 99,997.14 0.00 0.00 ----------------- -------------------------------- 349,997.10 0.00 0.00 7/12/21 34,000.00 BANK OF MONTREAL 100.00 34,000.00 0.00 0.00 0.372% Due 07-09-24 7/6/21 14.00 BLACKROCK INC 878.63 12,300.88 0.04 0.56 8/5/21 100.00 LVMH MOET HENNESSY LOUIS VUITTON 5 166.10 16,609.89 0.04 4.00 28,910.77 0.04 4.56 7/21/21 100,000.00 HPA 2021-1 A 100.00 99,999.15 0.00 0.00 1.736% Due 09-19-29 DEUTSCHE 7/9/21 7/13/21 420.00 KNIGHT -SWIFT TRANSPORTATION DREXEL HAMILTON 9/16/21 9/21/21 125,000.00 HARTFORD FINL SVCS GROUP 2.900% Due 09-15-51 GS 9/13/21 9/21/21 100,000.00 CBSLT 2021-BGS A 1.170% Due 09-25-51 7/16/21 7/22/21 45,000.00 CONNECTICUT ST HLTH & ED FACS AUTH 2.872% Due 07-01-51 7/14/21 7/21/21 38,000.00 GOLDMAN SACHS GROUP INC 2.908% Due 07-21-42 9/8/21 9/16/21 250,000.00 SUMITOMO MITSUI TR BK LT 1.350% Due 09-16-26 29 49.87 20,945.65 0.02 8.40 99.13 123,910.00 0.00 0.00 99.98 99,978.05 100.00 45,000.00 100.00 38,000.00 99.99 249,987.50 -------- 432965,ii;E --- .60 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 --------------------- 0.00 0.00 Hihhland Capital Ar Argem Company Sebastian Police Officers' Pension Fund Purchases GUGGENHEIM SECS 8/11/21 8/25/21 25,000.00 ADC 2021-1A A2 1.937% Due 08-15-46 INTL FCSTONE 9/3/21 9/7/21 9,000.00 US TREASURY N/B 1.750% Due 08-15-41 Jones Trading 9/23/21 9/27/21 350.00 DAVITA INC 9/2/21 9/7/21 500.00 ENVISTA HOLDINGS CORP 9/21/21 9/23/21 400.00 ENVISTA HOLDINGS CORP 8/18/21 8/20/21 1,960.00 FORD MOTOR CO 9/23/21 9/27/21 540.00 KOHLS CORPORATION 8/11/21 8/13/21 200.00 MEDTRONIC PLC 9/10/21 9/14/21 300.00 MKS INSTRUMENTS INC 7/16/21 7/20/21 850.00 MOLSON COORS BREWING CO 7/2/21 7/7/21 880.00 SYNCHRONY FINANCIAL JP MORGAN BB 9/3/21 9/7/21 26,000.00 US TREASURY N/B 1.250% Due 08-15-31 JP MORGAN_O 9/3/21 9/7/21 23,000.00 US TREASURY N/B 2.000% Due 08-15-51 MISCHLER FINANCIAL GROUP 9/9/21 9/13/21 40,000.00 OHIO POWER COMPANY 2.900% Due 10-01-51 MIZUHO SEC USA 9/8/21 9/17/21 7,000.00 WALMART INC 1.050% Due 09-17-26 30 Period Ending 9/30/2021 100.00 25,000.00 0.00 0.00 98.11 8,829.84 0.00 0.00 122.67 42,933.35 0.01 3.50 43.86 21,929.10 0.01 5.00 41.51 16,602.36 0.01 4.00 13.17 25,808.89 0.01 19.60 55.49 29,966.33 0.01 5.40 126.21 25,241.18 0.01 2.00 148.95 44,684.58 0.01 3.00 50.52 42,943.87 0.01 8.50 49.09 43,203.34 0.01 8.80 -------------------------------------------------- 293,313.00 0.01 59.80 99.35 25,830.39 0.00 0.00 101.47 23,338.71 0.00 0.00 99.52 39,808.40 99.81 6,986.77 0.00 0.00 0.00 0.00 Hihland Capital �MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund MORGAN STANLEY 7/22/21 MUFG SECURITIES AMER 7/28/21 RAYMOND JAMES 9/17/21 REDI 7/2/21 9/2/21 7/12/21 Royal Bank of Canada 9/9/21 SMBC NIKKO 7/7/21 strategas 8/18/21 7/23/21 9/24/21 7/19/21 9/2/21 WELLS 8/3/21 9/3/21 PURCHASES SUBTOTAL Purchases 7/28/21 100,000.00 CIMNL 2021-1 Al 2.090% Due 07-20-51 8/10/21 100,000.00 VCRRL 2021-1A A 2.152 % Due 10-20-31 9/24/21 100,000.00 FSMT 2021-91NV Al 2.500% Due 09-25-41 7/7/21 100.00 AMERICAN EXPRESS CO 9/7/21 170.00 CIGNA CORP 7/14/21 420.00 NISOURCE INC 9/15/21 18,000.00 PIEDMONT HEALTHCARE INC 2.864% Due 01-01-52 7/9/21 40,000.00 PACIFICORP 2.900% Due 06-15-52 8/20/21 150.00 GENERAL MOTORS CO 7/27/21 200.00 MOLSON COORS BREWING CO 9/28/21 300.00 THE BANK OF NOVA SCOTIA 7/21/21 250.00 UNITED AIRLINES HOLDINGS INC 9/7/21 120.00 UNITEDHEALTH GROUP INC 8/11/21 100,000.00 TMCL 2021-3A A 1.940% Due 08-20-46 9/7/21 4,000.00 US TREASURY N/B 1.250% Due 08-15-31 31 Period Ending 9/30/2021 99.99 99,988.38 0.00 0.00 100.00 100,000.00 0.00 0.00 103.30 103,296.90 0.00 0.00 168.57 16,856.58 0.01 1.00 218.53 37,149.30 0.01 1.70 25.23 10,594.67 0.01 4.20 64,600.55 0.01 6.90 100.00 18,000.00 0.00 0.00 99.23 39,693.20 0.00 0.00 51.20 7,679.75 0.03 4.50 49.55 9,910.56 0.03 6.00 61.85 18,554.37 0.03 9.00 43.31 10,828.03 0.03 7.50 423.47 50,817.00 0.03 3.60 97,789.71 0.03 30.60 99.98 99,982.75 0.00 0.00 99.37 3,974.84 0.00 0.00 ----------------- -------- ---------------------------------- 103,957.60 0.00 0.00 2,141,162.00 0.00 110.26 0.00 110.26 Hihland Capital �MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Sales 9/9/21 9/9/21 35,000.00 AMERICAN HONDA FINANCE 1.700% Due 09-09-21 7/14/21 7/14/21 20,000.00 SUMITOMO MITSUI FINL GRP 2.058% Due 07-14-21 BANK OF AMERICA BB 7/19/21 BARCLAYS-EQ 7/16/21 CITI BE, 9/10/21 CITICORP 8/17/21 7/19/21 CITIGROUP MARKET AXESS 9/9/21 100.00 35,000.00 100.00 20,000.00 55,000.00 7/21/21 250,000.00 BANK OF AMERICA CORP 100.95 252,385.00 2.972% Due 07-21-52 7/20/21 50.00 HOME DEPOT INC 321.81 16,090.34 9/15/21 18,000.00 PIEDMONT HEALTHCARE INC 100.32 18,057.96 2.864% Due 01-01-52 8/19/21 20,000.00 CONNECTICUT ST HLTH & ED FACS AUTH 1 100.00 19,999.60 2.872% Due 07-01-51 7/21/21 100,000.00 HPA 2021-1 A 100.78 100,781.30 1.736% Due 09-19-29 ----------- 120,780.90 9/13/21 40,000.00 PACIFICORP 100.85 40,338.40 2.900% Due 06-15-52 DEUTSCHE 9/1/21 9/3/21 420.00 ABBVIE INC 7/2/21 7/7/21 120.00 CITIGROUP INC 7/2/21 7/7/21 200.00 CITIGROUP INC 7/2/21 7/7/21 150.00 CITIGROUP INC 7/2/21 7/7/21 170.00 CITIGROUP INC 9/14/21 9/16/21 490.00 LAS VEGAS SANDS CORP 9/14/21 9/16/21 250.00 LAS VEGAS SANDS CORP 32 111.61 46,874.66 70.34 8,441.12 70.34 14,068.53 70.34 10,551.39 70.34 11,958.25 38.47 18,851.08 38.47 9,617.90 Period Ending 9/30/2021 0.00 0.00 0.04 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2.00 0.00 0.00 0.00 0.00 0.00 0.02 8.40 0.02 2.40 0.02 4.00 0.02 3.00 0.02 3.40 0.02 9.80 0.02 5.00 Highland Capital MANAGEMENT, LLC An Argen[ Company Sebastian Police Officers' Pension Fund Sales Period Ending 9/30/2021 9/14/21 9/16/21 99.00 LAS VEGAS SANDS CORP 38.47 3,808.69 0.02 1.98 9/14/21 9/16/21 40.00 LAS VEGAS SANDS CORP 38.47 1 --------------------------------------- 125,710.50 0.02 38.78 Jones Trading 9/7/21 9/9/21 390.00 DIGITAL REALTY TRUST INC 164.84 64,288.21 0.01 3.90 7/27/21 7/29/21 120.00 HCA HEALTHCARE INC 247.78 29,733.68 0.01 1.20 7/27/21 7/29/21 10.00 HCA HEALTHCARE INC 247.78 2,477.81 0.01 0.10 7/27/21 7/29/21 50.00 HCA HEALTHCARE INC 247.78 12,389.03 0.01 0.50 7/27/21 7/29/21 20.00 HCA HEALTHCARE INC 247.78 4,955.61 0.01 0.20 8/11/21 8/13/21 100.00 HITACHI LIMITED 113.04 11,303.94 0.01 1.00 7/9/21 7/13/21 90.00 NORTHROP GRUMMAN CORP 370.66 33,358.99 0.01 0.90 7/9/21 7/13/21 23.00 NORTHROP GRUMMAN CORP 370.66 8,525.07 0.01 0.23 6/30/21 7/2/21 1,020.00 REGIONS FINANCIAL CORP 20.11 20,513.32 0.01 10.20 6/30/21 7/2/21 600.00 REGIONS FINANCIAL CORP 20.11 12,066.66 0.01 6.00 6/30/21 7/2/21 600.00 REGIONS FINANCIAL CORP 20.11 12,066.66 0.01 6.00 6/30/21 7/2/21 145.00 REGIONS FINANCIAL CORP 20.11 2,916.11 0.01 1.45 6/30/21 7/2/21 90.00 REGIONS FINANCIAL CORP 20.11 1,810.00 0.01 0.90 8/6/21 8/10/21 400.00 STMICROELECTRONICS NV -NY SHS 42.17 16,868.11 0.01 4.00 --------------------------------------------------- 233,273.20 0.01 36.58 MARKET AXE55 MARKET AXE55 8/11/21 8/13/21 11,000.00 BANK OF MONTREAL 100.13 11,013.92 0.00 0.00 0.372% Due 07-09-24 7/15/21 7/19/21 6,000.00 DUKE ENERGY CAROLINAS LLC 116.58 6,994.80 0.00 0.00 3.875% Due 03-15-46 7/7/21 7/9/21 40,000.00 INTEL CORP 104.21 41,685.60 0.00 0.00 3.100% Due 02-15-60 8/6/21 8/10/21 45,000.00 NEW YORK LIFE GLOBAL 100.17 45,078.30 0.00 0.00 0.490% Due 06-09-26 7/22/21 7/26/21 9,000.00 PENN MUTUAL LIFE INS CO 144A 106.84 9,615.42 0.00 0.00 3.800% Due 04-29-61 --------------------------------------------------- 114,388.00 0.00 0.00 MILLENNIUM MARKET AXE55 7/14/21 7/16/21 38,000.00 KAISER FOUNDATION HOSPITAL 103.05 39,160.90 0.00 0.00 2.810% Due 06-01-41 33 Hihland Capital �MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2021 Sales MIZUHO SEC USA 8/12/21 8/16/21 23,000.00 BANK OF MONTREAL 100.13 23,029.67 0.00 0.00 0.372% Due 07-09-24 MORGAN STANLEY 7/27/21 7/29/21 100,000.00 CIMNL 2021-1 Al 100.45 100,445.30 0.00 0.00 2.090% Due 07-20-51 7/12/21 7/15/21 100,000.00 FKH 2O21-SFR1 A 100.51 100,507.80 0.00 0.00 1.538% Due 08-17-28 ----------- --------------------------------------- 200,953.10 0.00 0.00 REDI 7/1/21 7/6/21 120.00 GOLDMAN SACHS GROUP INC 375.02 45,002.48 0.01 1.20 9/2/21 9/7/21 220.00 JAZZ PHARMACEUTICALS PLC 134.61 29,614.79 0.01 2.20 8/4/21 8/6/21 124.00 WALT DISNEY CO 172.16 21,347.79 0.01 1.24 --------------------------------------------------- 95,965.06 0.01 4.64 Royal Bank of Canada 7/14/21 7/21/21 38,000.00 GOLDMAN SACHS GROUP INC 100.32 38,120.46 0.00 0.00 2.908% Due 07-21-42 SEELAUS 7/15/21 7/19/21 34,000.00 VERSBANK 144A 102.12 34,722.50 0.00 0.00 5.000% Due 05-01-31 STATE STREET CORP 9/16/21 9/21/21 125,000.00 HARTFORD FINL SVCS GROUP 100.38 125,470.00 0.00 0.00 2.900% Due 09-15-51 9/9/21 9/16/21 250,000.00 SUMITOMO MITSUI TR BK LT 100.26 250,662.50 0.00 0.00 1.350% Due 09-16-26 ----------- --------------------------------------- 376,132.50 0.00 0.00 STONER FINANCIAL 8/19/21 8/23/21 100,000.00 AVIS BUDGET RENTAL 21-1A A 100.23 100,234.40 0.00 0.00 1.391% Due 08-20-27 34 Hi�hland Capital MANAGEMENT, LLC Ar Argem Company Sebastian Police Officers' Pension Fund Sales Period Ending 9/30/2021 strategas 8/18/21 8/20/21 70.00 HOME DEPOT INC 324.17 22,691.66 0.03 2.10 8/18/21 8/20/21 50.00 HOME DEPOT INC 324.17 16,208.33 0.03 1.50 8/18/21 8/20/21 10.00 HOME DEPOT INC 324.17 ---------- 1,241.67 ---------------------------------------- 0.03 0.30 42,141.66 0.03 3.90 TD SECURITIES MARKET AXESS 7/16/21 7/19/21 5,000.00 FNMA 152.65 7,632.75 0.00 0.00 5.625% Due 07-15-37 7/16/21 7/19/21 13,000.00 FNMA 152.65 19,845.15 0.00 0.00 5.625% Due 07-15-37 ----------- ---------------------------------------- 27,477.90 0.00 0.00 SALES SUBTOTAL ......... ----------------------- 1,953,962.00 ----------------- 0.00 -- 85.90 •-------------------------------------------------- 0.00 85.90 Hi Wand Capital 35 MANAGEMENT, LLC Ar Argem Company f r 1 ■ L L 6075 Poplar Avenue, Suite 703, Memphis, TN 38119 Tel: 407-839-8440 1 Fax: 407-841-2814