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HomeMy WebLinkAbout3rd Quarter Highland ReportSebastian Police Officers' Pension Fund Investment Review Period Ending September 30, 2023 Hi�hland Capital MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Commentary Total Return Summary and Portfolio Allocation Performance Returns for Various Periods' Equity Sector Allocation and Returns p Ten Holdings International ADR Country Allocation Fixed Income Characteristics Portfolio Holdings Purchasesad Sales Page 9 Page 11 Page 12 Page 14 Page 15 Page 19 Page 29 Period Ending 9/30/2023 HiehNand Capital MANAGEMENT, LLC An Argent Company and Capital Are Argent Company This page intentionally left blank. Sebastian Police Officers' Pension Fund 3Q23 Equity Commentary The third quarter was a period of negative equity and fixed income returns, with the S&P 500 posting a return of -3.2%, and the Aggregate Bond Index also declining by 3.2%. YTD the S&P 500 is up 13% and the Aggregate Bond Index is down 2.1%. Just as the Federal Reserve (Fed) remained "on pause" and reiterated their stance of being data dependent, investors also seemed to be in a holding pattern waiting for clues as to which direction the economy and interest rates might take next. There are arguments for better markets (declining inflation, solid job market, resilient consumer, improving earnings in Q4 and into 2024), while simultaneously there are also valid reasons to be cautious (potentially reaccelerating inflation, higher oil prices, resumption of student loan payments, and the UAW strike). The Fed has repeated their mantra of "higher for longer" interest rates and the markets have begun to take that message to heart. But the fixed income market is also not necessarily believing the Fed's projections as Fed Funds futures in 2024 currently expect 3 rate cuts, versus the Fed's expectation of just two cuts. If one can attempt to boil the reason that the economy has remained resilient down to one thing - it would be jobs. How the job market fares going forward will determine whether the economy slows or remains on solid ground. There are still 2 million fewer people in the labor force today than February of 2020. Most of this can be attributed to 3 million early retirements over the past few years. The Labor Force Participation Rate for those over age 55 is just 38.6% versus 40.4% in February of 2020. These workers are unlikely to return to the workplace due to sizeable real estate nest eggs and accumulated savings. Historically, small businesses have accounted for almost 2/3 of job creation. We have witnessed a sizeable step up in small business creation over the past two years, with over 10 million new business applications filed, which has undoubtedly led to strong job creation. Given the rapid rise in interest rates and tightening credit, it will become harder for these Period Ending 9/30/2023 companies to obtain financing which could lead to job cuts. While the 16-24-year-old age cohort has returned to its pre Covid participation rate, it's possible the resumption of student loan payments and the depletion of excess savings will force more of this group back into the labor pool. Regardless, labor tightness is likely to be with us for some time to come and potentially exert upward pressure on inflation. The Economy — Stronger GDP, Rising Rates, and Soft Landings: The US economy grew at a 2.1% rate in Q2, which was better than consensus forecast of 1.8%, and similar to the Q1 pace of 2.0%. The better-than-expected growth was driven by consumer spending and fixed investment, while inventories were a drag. The third quarter is poised to show some acceleration, with The Blue Chip Consensus expecting GDP growth of just under 3.0%. Inflation at the CPI headline level increased slightly in August and was up 3.7% year over year. The Core CPI (ex food and energy) also increased at a 0.3% rate in August compared to 0.2% in July, but the year over year rate dropped to 4.3% from 4.7% in July, and along with the Core PCE in August at 3.9% the Fed felt that pausing rate hikes and assessing new incoming data is the appropriate course for now. Even as inflation has declined, the 10-year US Treasury yield has risen from its low of the year on April 6th at 3.28%, to approximately 4.59% at quarter end. Part of this rate increase is reflective of a supply -demand imbalance as the Treasury has increased their issuance, and former large buyers such as the Fed and banks are out of the market or participating at a much lower level. This move higher in rates also coincides with the Fed's updated, more optimistic economic outlook, which shows the US economy growing at 2.1% in 2023 versus their Hizhtal land Capi An Argent Company Sebastian Police Officers' Pension Fund 3Q23 Equity Commentary previous expectation of 1%, and unemployment ending the year at 3.8% versus 4.1% previously. They also expect Core PCE Inflation to end 2023 at 3.7%, 0.2% lower than their June forecast, and see it continuing to decline to 2.6% in 2024 and 2% by 2026. That is the glide path to the Fed's "soft landing", and while we wish it could be true and would give it better odds today than six months ago, we are cautiously skeptical. The Fed maintains their view that one more hike is on the table for 2023 and pushed out the timing of rate cuts into 2024. This could just be "jawboning" to maintain tight financial conditions as a prerequisite for the economy to slow and inflation to further cool. We still need to see the jobs market weaken and in August the economy added 187,000 jobs with the 3-month average now at 150,000. Weekly initial unemployment claims for the week of September 15th fell to an 8-month low — a clear indicator that the jobs Period Ending 9/30/2023 impact valuations negatively as a higher discount rate lowers the present value of future cash flows. In theory this should have the most negative impact on companies that carry the highest valuations (i.e., Tech). ). And while equity returns for the year have been driven by a small number of Technology companies, we are now seeing those stocks decline from their highs as the impact of higher interest rates takes hold. The Nasdaq 100 fell 3.9% in Q3 and is down 7.1% from the 2023 peak in mid -July. Even with the Q3 decline, Technology is still up 34.7% YTD. The worst performing sectors in Q3 were Utilities and Real Estate (-9.2% and -8.9% respectively). These are yield oriented sectors, and the level of interest rates now exceeds the dividend yields of many of these companies, making it harder for them to compete for the yield hungry investor. In a sign that the market is also beginning to discount concerns over the consumer, the Consumer Staples market remains tight. Average hourly earnings are up 4.2% year over year, and Consumer Discretionary sectors are both down approximately 8.9% and the UAW strike and ultimate settlement will keep wages in keen focus moving forward. Consumer confidence declined again in September as survey respondents expressed concern over future expectations. The primary worries were rising gasoline and food prices. And while you might think this would cause consumers to pull back, we have yet to see tangible evidence of that. Retail sales in August were up 2.5% y/y, and +0.6% for the month. If food and gas continue to push higher, then we would expect a retrenchment by the consumer. Conversely, if inflation continues to move lower yet wages hold firm or show gains, then real incomes will from their earlier summer highs. The only sectors that have been able to move higher for the quarter in the face of rising rates have been Energy (+12.2%) and Communications (+3.1%). Crude oil prices have benefited from a tightening supply profile as Saudi Arabia extended supply cuts through year end, and Russia initiated a crude products export ban for an indefinite time period. West Texas Intermediate oil is up 33% since mid - June and the Energy sector is up 13.4% over that period. While Large Cap Growth has soundly beaten Large Cap Value YTD at +24.8% vs +0.1%, both categories were down 3.1% for Q3. The Russell 2000 was down 5.1% in Q3 improve and could bolster economic growth. One of our favorite gauges of and is now up just 2.5% YTD. We give you this additional data to again show forward inflation is the M2 money supply, and the latest data point shows M2 down 3.6% y/y although the decline has moderated over the past few months. Third Quarter Market Recap: Without doubt the story for the equity market in the third quarter centers around rising rates. Higher rates how narrow the market has been in 2023. The median stock YTD is up a paltry 1.86%, and the "Magnificent Seven" (Apple, Meta, Google, Nvidia, Amazon, Microsoft, Tesla) have accounted for 94% of the S&P return this year! We are glad to see the S&P with a low teens YTD return, but you can understand why this narrow market breadth leaves investors less than enthusiastic. Hizhtal land Capi An Argent Company Sebastian Police Officers' Pension Fund 3Q23 Equity Commentary Period Ending 9/30/2023 What to Expect Going Forward: There are more countervailing forces at with 40% of S&P 500 revenues generated outside the US this could prove to work in markets today than we can ever remember. As we stated earlier in be a headwind for earnings, as would a slowdown in GDP growth. the note, there is ample support for both the bull and bear case. For us, Recessions are kryptonite for earnings and consensus as of today seems to the items that matter most at this point are jobs, inflation, and interest be ignoring that possibility. The market currently trades at 17.9X earnings, rates. For the moment let's put aside geopolitics, energy prices, regulation, election season, and potential government shutdowns. The jobs market should weaken, slowing the economy and dampening inflation, which should then allow the Fed to begin cutting rates by the middle of 2024. Perhaps that is too linear, and the path will be more circuitous, but we believe that will be the ultimate destination. The Fed has already done the heavy lifting, and they are committed to bringing inflation down. Unfortunately, this most likely means a period of below trend growth with some level of job loss, not the "immaculate disinflation" which is just slightly above the 10-year average of 17.5X. The last time the 10-year US Treasury was above 4.5% was in the fall of 2007 and the market was cheaper than with the S&P trading at 15X forward earnings. The CPI inflation rate was also lower in 2007 at 2.8% versus 3.7% today. We highlight this comparison to show that there could be downside valuation risk given the pressure from higher inflation and rates, and earnings growth in 2024 is key to alleviating that risk. If we break the index down further, we find that the top 10 stocks in the S&P trade at a multiple of 25.9X, and the remaining stocks trade at a 16.8X multiple, which makes valuations that some economists would like to believe. In the near term we must more reasonable. With the concentration of gains this year in the deal with higher rates. Since 1990, the first 100 basis point (1%) move up "Magnificent Seven" we would not be surprised to see the market rotate to in the 10-year Treasury yield has not derailed stocks. In fact, the market some of the laggard sectors that also sport a more attractive valuation, has risen on average by 3.2% over the next 3 months, and 6.9% over the which would result in better median stock performance. So, our stance next 6 months. Groups that lagged in those periods were higher dividend today is cautious but constructive. Yes, the outlook is cloudy, but we expect yielders (the higher interest rates provide more competition), and the economy and jobs to slow, which will allow inflation to subside, and Consumer Discretionary. That is consistent with what we are seeing today. ease some of the pressure we are currently experiencing on interest rates. The difference however is that in the past most of those rate increases were nearing the end of a recession, not near the start of one. In terms of fundamentals, we are about to experience the 4t" consecutive quarter of negative year -over -year earnings comparisons. The projection is for Q3 earnings to decline 0.2%, and then to see earnings become positive again in Q4 with an 8.2% increase. This would result in 2023 earnings increasing at just 1.1%. The consensus for 2024 is for earnings to rebound nicely with growth of 12.2% (we remain skeptical of that level of improvement). The dollar has strengthened over the past 6 months with US rates rising, and But as always, keep your eye on earnings. Hizhtal land Capi An Argent Company Hi� 1 and Capital Are Argent Company This page intentionally left blank. Sebastian Police Officers' Pension Fund 3Q23 Large Cap Value Equity Commentary Large Cap Value clients enjoyed relative outperformance despite the negative return of the indexes during Q3. Strong relative outperformance in Communications (Social Media), Consumer Discretionary and Healthcare outweighed relative underperformance in Materials, Industrials and Real Estate. The underperformance in the traditionally more economically cyclical sectors is likely a reflection of the year old theme of an impending US recession that has consistently failed to materialize. More broadly, this fear has driven investment away from the Value styles toward those of Growth at level rarely witnessed before. To date, the Growth Style has beaten Value by close to 25% leaving the RLV index close to where it began the year despite improving financial performance which in our analysis makes the investment case even more compelling. Period Ending 9/30/2023 The accompanying chart visually details the discrepancy between predicted GDP and Actual for the quarter. Evoludon of Atlanta Fed GDPHow real SDP estimate for 2023: Q3 Quarterly percent change (SAAR) 6 Atlanta Fed Gli estimate 4 3 2 1 Blue Chip consensus 0 -i V Ran of of top 10 and bottom 10 average forecasts -2 27-Jun 6-Jul 15-Jul 24-Jul 2-Aug 11-Aug 20-Aug 29-Aug 7-Sep 16Sep 25-Sep 4-Oct Date of forecast 5ouroW Biue Chip Economic Indicators and Blue Chip Financial Forecasts NO: The top (bottom) 10 average forecast Is an average of the highest (lowest)10 forecasts in the Blue Chip survey. Each quarter in 2023 has begun with a bearish consensus among economists predicting economic contraction. Then, as data is released, the community is forced to correct their predictions to match the prevailing reality of continued expansion. If you stick to a prediction long enough, you'll ultimately be right. Maybe not in 2023 though. Nonetheless, the effect on Value style investing is becoming entrenched with investors taking a wait and see caution toward asset allocation. 5 HiehNand Capital MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2023 3Q23 Fixed Income Portfolio Manager Commentary Coming into 2023, Wall Street was convinced of the following to occur: partially offset by the Bank of Japan's continued purchases. Additionally, Inflation and Economic Outlook: It was widely believed that inflation had peaked, and the U.S. economy would swiftly return to the Federal Reserve's 2% target. However, this outlook has not materialized as expected. Monetary Policv and Recession Concerns: The consensus was that the Federal Reserve had already tightened monetary policy too aggressively, potentially pushing the economy into a recession by the latter half of 2023 Risk Assets vs. Bonds: Market sentiment anticipated poor performance in U.S. commercial banks have been consistent net sellers of bonds for five consecutive quarters. In September, Treasuries suffered their fifth consecutive monthly loss, the most substantial decline since February, due to the prospect of persistently high Federal Reserve interest rates and an increase in bond supply, exacerbated by rising oil prices. Notably, the latest Statement of Economic Projections (SEP) for this quarter brings some significant changes to light: Real GDP Growth: Projections for 2023 now estimate growth at more than risk assets, driven by the belief that the bond market had finally created double the previous forecast, with 2024 GDP also expected to be higher. risk -free alternatives. Unemplovment Proiections: The outlook for unemployment has been Contrary to these consensus views, none of these macroeconomic trends revised lower for 2023, 2024, and 2025. It's now believed that have unfolded as anticipated in 2023. On September 20th, the Federal unemployment would only need to rise to 4.1% to bring inflation back down Reserve chose to maintain its benchmark interest rate within the current to the Fed's 2% target. range of 5.25% to 5.5%. It also signaled that further rate hikes might be on Fed Funds Rate Proiections: The median year-end dots within the 2024 and the horizon, challenging the belief that interest rates had already peaked. While the Fed's pause in September doesn't conclusively indicate that interest rates have peaked, a growing number of investors are hopeful that the central bank may not need to raise rates further in this cycle. In addition to its interest rate decision, the Federal Reserve pledged to allow up to $60 billion in Treasury securities and $35 billion in agency mortgage - backed securities (MBS) to mature and roll off its balance sheet, which currently exceeds $8.1 trillion, as part of its ongoing efforts to combat inflation. A critical factor influencing the rates market today is the supply -demand imbalance, chiefly driven by central bank quantitative tightening. In 2023, central banks worldwide are expected to sell nearly $1 trillion in bonds, with the Federal Reserve, European Central Bank, and Bank of England reducing their balance sheets as bonds mature. This selling pressure is only 2025 dot plot projections for the Fed Funds rate were each raised by 50 basis points, effectively removing 50 basis points of potential rate cuts from consideration in 2024. Expected Rate Hike: Twelve out of nineteen FOMC members expect one more rate hike this year. Fixed -income index returns across various asset classes experienced negative performance again in September, largely due to several factors: Economic Surprises: Markets reacted to unexpected positive economic developments. Fed Sentiment: Surprisingly hawkish sentiment from the Federal Reserve influenced market dynamics. Market Technicals: Deteriorating market technicals added to the negative sentiment. Hizhtal land Capi Ar Argem Company Sebastian Police Officers' Pension Fund 3Q23 Fixed Income Portfolio Manager Commentary Period Ending 9/30/2023 These factors led to a surge in Treasury yields to decade -high levels, The supply/demand imbalance has created unique opportunities in the primarily driving the weakness observed in the third quarter. The bond market which we haven't seen in decades. Valuations in certain Bloomberg Aggregate Index declined by 2.54% in September, resulting in a markets, mostly risk -free assets, appear extremely attractive compared to quarterly loss of 3.23%. Longer -maturity Treasuries continued to long term historical averages. We have been actively rebalancing portfolios experience sell -offs, with the market reassessing expectations regarding based on distinct trading anomalies, which we expect to perform well the Federal Reserve's policy trajectory and discounting some anticipated regardless of the future path of interest rates. rate cuts throughout 2024 and 2025. Notably, the 2-year/10-year yield curve steepened by 28 basis points, largely driven by a 46 basis point selloff in 10-year yields. Hizhtal land Capi Ar Argem Company Hi� 1 and Capital Are Argent Company This page intentionally left blank. Sebastian Police Officers' Pension Fund Total Return Summary Period Ending 9/30/2023 Quarter $7,602,109 $6,246,097-$1,356,011 $0-$1,166,785-$189,226 -2.61/0 ------- (7/1/23 - 9/30/23) Fiscal Year to Date $8,681,795 $6,246,097-$2,435,698 $442 m7-$3,318,373 r $882,233 10.81%------- (10/1/22 - 9/30/23) a Five Year $11,035,903 $6,246,097-$4,789,806 $1,585,960 I-$9,637,619 I $3,261,853 31.24% 5.59% (10/1/18 - 9/30/23) Asset Allocation As of 6/30/2023 As of 9/30/2023 -A Cash V Cash Value I Value ,AA i International I International Z0001 I Fixed Income I Fixed Income Cash $223,735 2.9% Cash 212,860 Value $4,063,613 53.5% Value $3,274,218 ' 52.4% International International $958,535 Fixed Income 52.249.870 29.6% Fixed Income 91.800.484 1 28.8% HiehNand Capital 9 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund i� Performance Returns for Various Periods -6% -4% -2% 0% 0% 10% 20% 30% Period Ending 9/30/2023 Value 6==Value Value International International International Fixed Income Fixed Income Fixed Income I 0% 2% 4% 6% 8% Quarter Fiscal Year to Date Five Year (Annualized) • 1 1 1 1 1 Value -2.82% 15.41% 6.01% R1000V -3.16% 14.40% 6.20% International -4.19% 28.57% 2.84% MSCI EAFE -4.04% 26.31% 3.76% MSCI ACWI ex US -3.77% 20.39% 2.58% Fixed Income -1.53% 1.42% 1.45% *BBCGC -3.00% 0.93% 0.41% * BBCAG -3.23 % 0.64% 0.10 % *Source: Bl000mberg Index Services Limited HiehNand Capital 10 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund 25% 20%--------- 15%--------- 10% — - - 9.2 5% -- 0% ENERGY MATERIALS INDUSTRIALS Domestic Equity Sector Allocation vs. R1000V 14.8 15.3 13.2 - ---------••----------• - 6.---- -- ------ 7.5 -- 8.3 ---- .5 64— 6. 7 5.0 CONS. CONSUMER HEALTH CARE DISCRETION STAPLES 21.8 ,in G Period Ending 9/30/2023 FINANCIALS INFO. TECH. COMM. SERV. UTILITIES REAL ESTATE Domestic Equity Quarterly Sector Returns vs. R1000V 15 % 12.1 12.3 — ------------------------------------------ •---------------- � 10 % T - ----------------------------------------------------------- 5% 0% i i -5% T----------- ----------- r ----------•--- -5.5 --------- ------ - 7.3 -9.3 -15% 1------------------•-------------------------------------- •---------------- ENERGY MATERIALS INDUSTRIALS CONS. DISCRETION 0.17Wft -1 -0.8 3.2----------------------•--- 2.5---•--------- 4.1 --------46--- --- --- --- -4.9 -5.1 -5.3 ----------------------------------------•------------------•----------------------- .- -7.8 -8.3 ---- -9.2 ---------------- •------------------•------------------- •------------------•-------------------------------------- -------------------- CONSUMER HEALTH CARE FINANCIALS INFO. TECH. COMM. SERV. UTILITIES REAL ESTATE STAPLES 11 Account LJ R1000V HiehNand Capital 11 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Top Ten Domestic Equity Holdings 79.59 I TOP TEN HOLDINGS oOTHERHOLD INGS Security JP MORGAN CHASE & CO Weight% 2.90 0.35 BERKSHIRE HATHAWAY INC 2.82 4.18 EXXON MOBIL CORP 2.49 10.68 JOHNSON &JOHNSON 2.12 -5.67 ELEVANCE HEALTH INC 1.95 -1.33 PROCTER & GAMBLE CO 1.88 -2.16 CHEVRON CORP 1.76 8.23 BANK OF AMERICA CORP 1.54 -2.74 MOLSON COORS BREWING CO 1.50 -2.40 NRG ENERGY 1.45 4.63 NTOP TEN HOLDINGS J OTHER HOLDINGS Security Weight % BERKSHIRE HATHAWAY INC-CL B 3.44 2.73 EXXON MOBIL CORP 2.52 10.55 JPMORGAN CHASE & CO 2.24 0.40 JOHNSON &JOHNSON 2.01 -5.23 CHEVRON CORP 1.60 8.18 PROCTER & GAMBLE CO 1.49 -3.27 WALMART INC 1.22 2.11 CISCO SYSTEMS INC 1.18 4.69 MERCK & CO INC 1.14 -10.18 BANK OF AMERICA CORP 1.02 3.77 Period Ending 9/30/2023 30.52 69.48 u TOP TEN HOLDINGS .JOTHER HOLDINGS Security Weight % APPLE INC 6.98 -11.61 MICROSOFT CORP 6.51 -7.08 AMAZON.COM INC 3.20 -2.49 NVIDIA CORP 2.98 2.84 ALPHABET INC-CL A 2.15 9.32 TESLA INC 1.92 -4.41 ALPHABET INC-CL C 1.85 8.99 META PLATFORMS INC 1.85 4.61 BERKSHIRE HATHAWAY INC-CL B 1.77 2.73 EXXON MOBIL CORP 1.31 10.55 Hinhland Capital 12 An Argent Company Sebastian Police Officers' Pension Fund Top Ten International Equity Holdings NTOPTEN HOLDINGS LJOTHER HOLDINGS Security Weight% SONY GROUP CORP 5.99 -8.47 SIEMENS AG 4.68 -14.34 HONDA MOTOR CO 3.50 10.99 INTERCONTINENTAL HOTELS GROUP 3.42 6.80 ST MICROELECTRONICS NV 3.41 -13.56 MERCEDES-BENZ GROUP 3.14 -13.80 SAP SE 3.11 -5.47 NIPPON TELEG & TEL CORP 2.91 0.54 ROYAL CARIBBEAN CRUISES 2.70 -11.18 TAIWAN SEMICONDUCTOR MFG 2.51 -13.23 84.97 W TOP TEN HOLDINGS LJ OTHER HOLDINGS Security Weight% NESTLE 2.05 -5.97 NOVO NORDISK B 2.02 12.93 ASML HLDG 1.62 -18.59 SHELL 1.44 7.76 NOVARTIS 1.42 0.94 ASTRAZENECA 1.42 -4.75 LVMH MOET HENNESSY 1.42 -19.98 ROCHE HOLDING GENUSS 1.30 -11.18 TOYOTA MOTOR CORP 1.29 11.82 HSBC HOLDINGS (GB) 1.05 0.83 Period Ending 9/30/2023 11.23 p 88.77 w TOP TEN HOLDINGS LJ OTHER HOLDINGS Security Weight % TAIWAN SEMICONDUCTOR MF 1.73 -13.45 NESTLE 1.31 -5.97 NOVO NORDISK B 1.30 12.93 TENCENT HOLDINGS LI (CN) 1.14 -8.99 SAMSUNG ELECTRONICS 1.05 -8.06 ASML HLDG 1.04 -18.59 SHELL 0.93 7.76 NOVARTIS 0.91 0.94 ASTRAZENECA 0.91 -4.75 LVMH MOET HENNESSY 0.91 19.98 Hi Wand Capital 13 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund International Equity Country Allocation 0.0% 2.0% 4.0% 6.0% 8.0% 10.0% 12.0% BELGIUM 3.4% CANADA 5.5% CHINA 2.2% FRANCE 1.5% GERMANY INDIA 1.3% IRELAND Wmmmmmmmmmommog 3.8% ISRAEL mml 0.8% ITALY 1.4% JAPAN LIBERIA 2.7% LUXEMBOURG 2.6% NETHERLANDS 'I 8.0% NORWAY 0.2% SINGAPORE 0.2% SWEDEN 1 4.4% SWITZERLAND 3.4% TAIWAN 2.5% UNITED KINGDOM UNITED STATES 3.5% CASH 7.7 % Period Ending 9/30/2023 14.0% 13.3 % 16.0% 14.9 % 16.6% 18.0% Hi Wand Capital 14 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund *Source: Bloomberg Index Services Limited Fixed Income Portfolio o Corporate Bonds V US Treasuries L.1 Gov't Sponsored LJ Mortgage Pools I ABS _I Other Corporate Bonds 8.4% US Treasuries 0.0% Gov't Sponsored 0.0% Mortgage Pools 44.7% ABS 36.8% Other Total 1 10.1% 00 Fixed Income Sector Allocation Bloomberg Barclays Capital Government/Credit Index V Corporate Bonds L! US Treasuries I Gov't Sponsored Corporate Bonds 34.7% US Treasuries 58.3% Gov't Sponsored 7.0% Total 100% 15 Period Ending 9/30/2023 Yield: 3.46% Bloomberg Barclays Capital Aggregate Index o Corporate Bonds V US Treasuries V Gov't Sponsored LJ CM BS I ABS I US MBS Corporate Bonds 24.7% US Treasuries 41.5% Gov't Sponsored 5.0% CMBS 1.7% ABS 0.5% US MBS 26.6% Other Total 0.0% 100469 HiehNand Capital MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomberg Index Services Limited Fixed Income Portfolio o Aaa V Aa u A LJ Baa -� Other Bond Quality Allocation Bloomberg Barclays Capital Government/Credit Index o Aaa V Aa LJ A IJ Baa -1 Other Period Ending 9/30/2023 Average Quality: .. .. Bloomberg Barclays Capital Aggregate Index o Aaa V Aa W A LJ Baa LJ Other Aaa 89.4% Aaa 3.0% Aaa 3.8% Aa 4.7% Aa 63.4% Aa 72.2% A 0.9% A 16.3% A 11.6% Baa 5.0% Baa 17.4% Baa 12.4% Other 0.0% Other 0.0% Other 0.0% Hi Wand Capital 16 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomber Index Services Limited Fixed Income Portfolio Bond Maturity Allocation Bloomberg Barclays Capital Government/Credit Index Period Ending 9/30/2023 Average Maturity: 8.49 Years Bloomberg Barclays Capital Aggregate Index o <3 Yrs LJ 3-5 Yrs LJ 5-7 Yrs o <3 Yrs U 3-5 Yrs U 5-7 Yrs o <3 Yrs o 3-5 Yrs o 5-7 Yrs 17-10 Yrs I >10 Yrs 17-10 Yrs I >10 Yrs LJ 7-10 Yrs Li >10 Yrs <3 Yrs 4.6% <3 Yrs 30.5% <3 Yrs 22.9% 3-5 Yrs 16.0% 3-5 Yrs 21.3% 3-5 Yrs 17.2% 5-7 Yrs 7.6% 5-7 Yrs 12.5% 5-7 Yrs 13.0% 7-10 Yrs 7.8% 7-10 Yrs 11.9% 7-10 Yrs 22.6% >10 Yrs 63.9% >10 Yrs 23.8% >10 Yrs 24.4% Highland Capital 17 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Source: Bloomberg Index Services Limited Fixed Income Portfolio o <3 Yrs W 3-5 Yrs u 5-7 Yrs -� 7-10 Yrs I >10 Yrs <3 Yrs 14.0% 3-5 Yrs 39.7% 5-7 Yrs 11.7% 7-10 Yrs 13.4% >10 Yrs 21.2% Duration Allocation Bloomberg Barclays Capital Gov/Credit Index o <3 Yrs W 3-5 Yrs a 5-7 Yrs 17-10 Yrs _J >10 Yrs <3 Yrs 32.3% 3-5 Yrs 23.4% 5-7 Yrs 13.9% 7-10 Yrs 9.4% >10 Yrs 21.1% Portfolio Duration vs. Index Duration (Ratio) 1.8% 1.4% 1.0% t 0.6% 0.2% 9/30/2021 12/31/2021 3/31/2022 6/30/2022 Period Ending 9/30/2023 Bloomberg Barclays Capital Aggregate Index o <3 Yrs M 3-5 Yrs LJ 5-7 Yrs u 7-10 Yrs -� >10 Yrs <3 Yrs 3-5 Yrs 5-7 Yrs 7-10 Yrs >10 Yrs tlnclex f • � 9/30/2022 12/31/2022 3/31/2023 18 24.4 % 21.4 % 20.8% 18.4 % 15.0% -.— AM t T► 6/30/2023 9/30/2023 Highland Capital MANAGEMENT, LLC An Argen[ Company Sebastian Police Officers' Pension Fund CASH AND EQUIVALENTS (USD) CASH Dividend Accrual COMMON STOCK (USD) Portfolio Holdings 209,422.36 209,422.36 3.4 4.3 3,437.37 3,437.37 0.1 0.0 212,859.73 212,859.73 3.4 4.2 Energy 230 CHENIERE ENERGY INC 144.05 33,131.68 165.96 38,170.80 0.6 1.0 349 CHEVRON CORP 111.87 39,042.20 168.62 58,848.38 0.9 3.6 388 CONOCOPHILLIPS 42.40 16,451.32 119.80 46,482.40 0.7 1.7 710 EXXON MOBIL CORP 59.41 42,179.47 117.58 83,481.80 1.3 3.1 1022 MARATHON OIL CORP 11.94 12,201.14 26.75 27,338.50 0.4 1.5 300 OCCIDENTAL PETE CORP DEL 58.57 17,571.89 64.88 19,464.00 0.3 1.1 400 OVINTIV INC 51.82 20,727.01 47.57 19,028.00 0.3 2.5 260 VALERO ENERGY CORPORATION 133.26 -------------------------------------------------------------------------- 34,646.40 141.71 36,844.60 0.6 2.9 215,951.10 329,658.48 5.3 2.4 Materials 170 ALBEMARLE CORP 198.65 33,771.18 170.04 28,906.80 0.5 0.9 280 EAGLE MATERIALS INC 127.72 35,761.23 166.52 46,625.60 0.7 0.6 355 LYONDELLBASELL INDUSTRIES N V 89.78 31,871.45 94.70 33,618.50 0.5 5.3 711 OLIN CORP 18.31 -------------------------------------------------------------------------- 13,021.75 49.98 35,535.78 0.6 1.6 114,425.61 144,686.68 2.3 2.0 Industrials 200 BOEING CO 165.12 33,023.56 191.68 38,336.00 0.6 0.0 455 CARRIER GLOBAL CORP 39.15 17,812.88 55.20 25,116.00 0.4 1.3 160 CATERPILLAR INC DEL 214.44 34,310.88 273.00 43,680.00 0.7 1.9 185 CUMMINS INC 184.59 34,149.39 228.46 42,265.10 0.7 2.9 210 EATON CORP PLC 73.75 15,487.97 213.28 44,788.80 0.7 1.6 330 KNIGHT -SWIFT TRANSPORTATION 49.87 16,457.30 50.15 16,549.50 0.3 1.1 173 NORFOLK SOUTHERN CORP 126.89 21,951.84 196.93 34,068.89 0.5 2.7 477 RTX CORPORATION COM 69.21 33,011.63 71.97 34,329.69 0.5 3.3 400 TIMKEN CO 77.33 30,933.92 73.49 29,396.00 0.5 1.8 765 UNITED AIRLINES HOLDINGS INC 42.89 32,808.35 42.30 32,359.50 0.5 0.0 190 UNITED PARCEL SERVICE INC 174.79 -------------------------------------------------------------------------- 33,209.51 155.87 29,615.30 0.5 4.2 303,157.23 370,504.78 5.9 1.9 Period Ending 9/30/2023 Hi�hland Capital 19 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2023 Portfolio Holdings Consumer Discretionary 2580 FORD MOTOR CO 12.81 33,060.24 12.42 32,043.60 0.5 4.8 255 HILTON WORLDWIDE HOLDINGS INC 81.69 20,830.58 150.18 38,295.90 0.6 0.4 150 LITHIA MOTORS INC CL A 324.27 48,640.70 295.33 44,299.50 0.7 0.7 170 LOWES COS INC 203.77 34,641.21 207.84 35,332.80 0.6 2.1 950 MGM RESORTS INT'L 34.56 32,834.85 36.76 34,922.00 0.6 0.0 1660 NEWELL BRANDS INC 21.13 35,083.64 9.03 14,989.80 0.2 3.1 1040 VF CORPORATION 29.19 30,355.21 17.67 18,376.80 0.3 6.8 -------------------------------------------------------------------------- 235,446.43 218,260.40 3.5 2.0 Consumer Staples 720 ALTRIA GROUP INC 44.75 32,222.59 42.05 30,276.00 0.5 9.3 280 KIMBERLY CLARK CORP 126.22 35,341.07 120.85 33,838.00 0.5 3.9 890 KRAFT HEINZ COMPANY 39.93 35,534.68 33.64 29,939.60 0.5 4.8 790 MOLSON COORS BREWING CO 50.28 39,718.66 63.59 50,236.10 0.8 2.6 223 PEPSICO INC 121.67 27,131.91 169.44 37,785.12 0.6 3.0 431 PROCTER & GAMBLE CO 93.14 40,141.77 145.86 62,865.66 1.0 2.6 -------------------------------------------------------------------------- 210,090.67 244,940.48 3.9 3.9 Health Care 581 BRISTOL-MYERS SQUIBB CO 49.46 28,735.34 58.04 33,721.24 0.5 3.9 135 CIGNA GROUP 218.53 29,500.91 286.07 38,619.45 0.6 1.7 456 CVS HEALTH CORPORATION 56.43 25,733.47 69.82 31,837.92 0.5 3.5 120 DANAHER CORP 266.65 31,998.29 248.10 29,772.00 0.5 0.4 890 DENTSPLY SIRONA INC 39.64 35,280.40 34.16 30,402.40 0.5 1.6 150 ELEVANCE HEALTH INC 261.37 39,205.25 435.42 65,313.00 1.0 1.4 700 ENVISTA HOLDINGS CORP 42.51 29,759.82 27.88 19,516.00 0.3 0.0 270 JAZZ PHARMACEUTICALS PLC 133.56 36,059.98 129.44 34,948.80 0.6 0.0 456 JOHNSON &JOHNSON 139.96 63,821.87 155.75 71,022.00 1.1 3.1 150 LABRATORY CORPORATION OF AMERICA HOLE 167.86 25,178.34 201.05 30,157.50 0.5 1.4 70 THERMO FISHER SCIENTIFIC INC 549.37 38,455.86 506.17 35,431.90 0.6 0.3 88 UNITEDHEALTH GROUP INC 423.47 -------------------------------------------------------------------------- 37,265.80 504.19 44,368.72 0.7 1.5 420,995.34 465,110.93 7.4 1.7 Hi�hland Capital 20 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2023 Portfolio Holdings Financials 245 AMERICAN EXPRESS CO 131.85 32,304.02 149.19 36,551.55 0.6 1.6 676 AMERICAN INTERNATIONAL GROUP INC 37.88 25,607.49 60.60 40,965.60 0.7 2.4 1882 BANK OF AMERICA CORP 26.41 49,700.07 27.38 51,529.16 0.8 3.5 270 BERKSHIRE HATHAWAY INC 274.56 74,130.22 350.30 94,581.00 1.5 0.0 260 CBOE GLOBAL MARKETS INC 119.27 31,010.51 156.21 40,614.60 0.7 1.4 185 CHUBB LIMITED 146.54 27,110.71 208.18 38,513.30 0.6 1.7 592 CITIGROUP INC 58.06 34,372.89 41.13 24,348.96 0.4 5.2 110 GOLDMAN SACHS GROUP INC 275.31 30,284.14 323.57 35,592.70 0.6 3.4 669 JP MORGAN CHASE & CO 93.45 62,519.48 145.02 97,018.38 1.6 2.9 500 METLIFE INC 65.35 32,673.45 62.91 31,455.00 0.5 3.3 350 MORGAN STANLEY 99.54 34,840.54 81.67 28,584.50 0.5 4.2 560 PAYPAL HOLDINGS INC 72.01 40,325.02 58.46 32,737.60 0.5 0.0 90 S&P GLOBAL INC 333.45 30,010.21 365.41 32,886.90 0.5 1.0 690 SYNCHRONY FINANCIAL 49.09 33,875.35 30.57 21,093.30 0.3 3.3 1200 TPG INC CL A 29.40 35,279.31 30.12 36,144.00 0.6 3.9 1026 TRUIST FINANCIAL CORP 36.02 36,955.25 28.61 29,353.86 0.5 7.3 1057 WELLS FARGO CO 55.28 58,435.66 40.86 43,189.02 0.7 3.4 669,434.33 715,159.43 11.4 2.5 Information Technology 834 CORNING INC 30.04 25,050.23 30.47 25,411.98 0.4 3.7 645.9998 DELL TECHNOLOGIES INC 45.09 29,125.91 68.90 44,509.39 0.7 2.1 120 F5 NETWORKS INC 146.78 17,613.21 161.14 19,336.80 0.3 0.0 180 FIRST SOLAR INC 181.45 32,660.39 161.59 29,086.20 0.5 0.0 730 MARVELL TECHNOLOGY INC 74.18 54,148.35 54.13 39,514.90 0.6 0.4 555 MICRON TECHNOLOGY INC 55.53 30,817.24 68.03 37,756.65 0.6 0.7 393 ORACLE CORP 70.99 27,897.93 105.92 41,626.56 0.7 1.5 230 QORVO INC 173.24 39,844.09 95.47 21,958.10 0.4 0.0 180 SKYWORKS SOLUTIONS INC 109.09 -------------------------------------------------------------------------- 19,636.06 98.59 17,746.20 0.3 2.8 276,793.42 276,946.78 4.4 1.2 Communication Services 270 ALPHABET INC 124.69 33,666.97 131.85 35,599.50 0.6 0.0 2134 AT&T INC 20.10 42,897.64 15.02 32,052.68 0.5 7.4 838 COMCAST CORP 48.39 40,551.66 44.34 37,156.92 0.6 2.6 360 LIVE NATION ENTERTAINMENT INC 92.67 33,360.51 83.04 29,894.40 0.5 0.0 Hi�hland Capital 21 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund 120 META PLATFORMS INC 200 SHOPIFY INC CLA 840 VERIZON COMMUNICATIONS INC 331 WALT DISNEY CO Utilities 1240 AES CORPORATION 520 AMERICAN ELEC PWR INC 341 DUKE ENERGY CORP 510 NEXTERA ENERGY INC 1260 NRG ENERGY INC Real Estate 740 GAMING AND LEISURE PROPERTIES INC 190 JONES LANG LASALLE INC 270 PROLOGIS INC 540 REALTY INCOME TRUST INTERNATIONAL EQUITY (USD) Energy 285 BP PLC 600 EURONAV NV 300 SHELL PLC 700 TENARIS SA Materials 183 ARCELORMITTAL S A 695 BARRICK GOLD CORP 50 LINDE PLC Portfolio Holdings 137.98 16,557.74 300.21 36,025.20 0.6 0.0 53.15 10,630.10 54.57 10,914.00 0.2 0.0 58.50 49,139.07 32.41 27,224.40 0.4 8.2 126.88 •-------------------- 41,998.21 ------------------------- 81.05 26,827.55 ----------------- 0.4 -----------• 0.0 268,801.91 235,694.65 3.8 2.4 20.24 25,097.97 15.20 18,848.00 0.3 4.4 81.84 42,555.36 75.22 39,114.40 0.6 4.4 78.31 26,702.86 88.26 30,096.66 0.5 4.6 67.51 34,429.85 57.29 29,217.90 0.5 3.3 38.31 •-------------------------------------------------------------------------- 48,267.15 38.52 48,535.20 0.8 3.9 177,053.19 165,812.16 2.7 4.1 44.57 32,983.12 45.55 33,707.00 0.5 6.4 176.95 33,619.68 141.18 26,824.20 0.4 0.0 116.87 31,553.95 112.21 30,296.70 0.5 3.1 66.50 35,910.92 49.94 26,967.60 0.4 6.2 •-------------------------------------------------------------------------- •-------------------------------------------------------------------------- 134,067.66 117,795.50 1.9 4.0 3,026,216.90 3,284,570.27 52.6 2.4 29.80 8,493.18 38.72 11,035.20 0.2 4.1 18.23 10,937.70 16.43 9,858.00 0.2 11.0 58.24 17,471.36 64.38 19,314.00 0.3 3.6 23.47 •-------------------------------------------------------------------------- 16,429.00 31.60 22,120.00 0.4 3.2 53,331.24 62,327.20 1.0 4.7 40.00 7,319.48 25.03 4,580.49 0.1 1.5 14.54 10,105.89 14.55 10,112.25 0.2 3.1 177.60 •-------------------------------------------------------------------------- 8,879.80 372.35 18,617.50 0.3 1.4 26,305.17 33,310.24 0.5 1.9 Period Ending 9/30/2023 Hi�hland Capital 22 MANAGEMENT, LLC An Alger[ Company Sebastian Police Officers' Pension Fund Period Ending 9/30/2023 Portfolio Holdings Industrials 800 ATLAS COPCO AB 13.77 11,014.87 13.40 10,720.00 0.2 1.2 953.9997 KONINKLIJKE PHILIPS N V 31.32 29,876.69 19.94 19,022.75 0.3 0.0 175 SENSATA TECHNOLOGIES HOLDING PLC 56.43 9,875.82 37.82 6,618.50 0.1 1.3 680 SIEMENS AG 63.02 42,851.24 71.45 48,586.00 0.8 2.4 -------------------------------------------------------------------------- 93,618.62 84,947.25 1.4 1.6 Consumer Discretionary 150 CAPRI HOLDINGS LTD 42.30 6,344.67 52.61 7,891.50 0.1 0.0 470 DAIMLER TRUCK HOLDINGS AG REG SHS 32.19 15,131.50 17.27 8,116.90 0.1 2.9 50 FERRARI NV NEW 199.87 9,993.50 295.54 14,777.00 0.2 0.7 1080 HONDA MOTOR CO LTD ADR 34.33 37,073.69 33.64 36,331.20 0.6 2.1 475 INTERCONTINENTAL HOTELS GROUP PLC 54.43 25,856.12 74.75 35,506.25 0.6 1.9 250 JD.COM INC 38.20 9,548.90 29.13 7,282.50 0.1 2.1 100 LVMH MOET HENNESSY LOUIS VUITTON SE 166.10 16,609.89 151.11 15,111.00 0.2 1.4 470 MERCEDES-BENZ GROUP AG 85.20 40,044.20 69.50 32,665.00 0.5 7.6 305 ROYAL CARIBBEAN CRUISES LTD 77.02 23,492.39 92.14 28,102.70 0.4 0.0 755 SONY GROUP CORPORATION - ADR 29.96 -------------------------------------------------------------------------- 22,621.07 82.41 62,219.55 1.0 0.5 206,715.93 248,003.60 4.0 2.0 Consumer Staples 460 ANHEUSER BUSCH INBEV N V 104.25 47,956.30 55.30 25,438.00 0.4 1.1 165 DIAGEO PLC 141.04 23,272.41 149.18 24,614.70 0.4 2.7 120 MOWI ASA 13.64 1,637.10 17.72 2,126.40 0.0 3.0 390 UNILEVER PLC 45.03 -------------------------------------------------------------------------- 17,561.40 49.40 19,266.00 0.3 3.6 90,427.21 71,445.10 1.1 2.4 Health Care 550 FRESENIUS MEDICAL CARE 19.28 10,606.04 21.54 11,847.00 0.2 1.9 240 GSK PLC 39.96 9,589.46 36.25 8,700.00 0.1 3.8 300 HALEON PLC 7.28 2,185.39 8.33 2,499.00 0.0 1.3 50 ICON PLC 254.65 12,732.37 246.25 12,312.50 0.2 0.0 400 MEDTRONIC PLC 113.93 45,571.78 78.36 31,344.00 0.5 3.5 100 NOVARTIS AG ADR 93.04 9,303.78 101.86 10,186.00 0.2 2.2 230 SMITH & NEPHEW PLC 36.68 8,436.43 24.77 5,697.10 0.1 2.9 800 TAKEDA PHARMACEUTIC COMPANY 16.32 13,056.28 15.47 12,376.00 0.2 ---------- 3.6 111,481.53 94,961.60 94,961.60 1.5 2.7 Highland Capital 23 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Financials 875 AEGON N.V. 400 BK NOVA SCOTIA HALIFAX 425 DEUTSCHE BANK AG 600 ICICI BANK LIMITED 1335 ING GROEP N V 1075 INVESCO LTD 1200 MITSUBISHI UFJ FINANCIAL GROUP INC SP ADS 250 PRUDENTIAL PLC SPON ADR 300 TORONTO DOMINION BK NEW 1025 UBS GROUP AG Information Technology 50 ACCENTURE PLC 240 KYOCERA CORP 50 NICE LTD 250 SAP SE 820 ST MICROELECTRONICS N V 300 TAIWAN SEMICONDUCTOR MFG Portfolio Holdings 6.94 6,074.97 4.80 4,200.00 0.1 5.0 64.36 25,745.87 45.59 18,236.00 0.3 6.8 27.64 11,745.74 10.99 4,670.75 0.1 3.0 22.91 13,747.80 23.12 13,872.00 0.2 0.7 14.23 18,997.70 13.18 17,595.30 0.3 5.8 22.69 24,386.78 14.52 15,609.00 0.2 5.5 8.85 10,614.48 8.49 10,188.00 0.2 2.1 39.45 9,862.07 21.92 5,480.00 0.1 1.8 59.36 17,806.79 60.26 18,078.00 0.3 4.8 19.15 19,629.50 24.65 25,266.25 0.4 1.1 •-------------------------------------------------------------------------- 158,611.70 133,195.30 2.1 3.8 203.40 10,170.13 307.11 15,355.50 0.2 1.7 57.76 13,861.90 51.22 12,292.80 0.2 2.3 199.30 9,965.07 170.00 8,500.00 0.1 0.0 92.47 23,118.03 129.32 32,330.00 0.5 1.2 11.71 9,600.51 43.16 35,391.20 0.6 0.5 63.25 18,974.33 86.90 26,070.00 0.4 1.7 •-------------------------------------------------------------------------- 85,689.97 129,939.50 2.1 1.2 Communication Services 50 ALIBABA GROUP HOLDING LTD 170.99 8,549.50 86.74 4,337.00 0.1 0.0 80 BAIDU INC 176.84 14,146.81 134.35 10,748.00 0.2 0.0 200 IQIYI INC 20.08 4,016.98 4.74 948.00 0.0 0.0 1020 NIPPON TELEG & TEL CORP 17.48 17,829.70 29.67 30,263.40 0.5 2.3 50 SEA LTD 149.25 7,462.57 43.95 2,197.50 0.0 0.0 400 SOFTBANK GROUP CORP 26.08 10,432.24 21.05 8,420.00 0.1 0.5 364 VODAFONE GROUP PLC 31.04 •------------------------------------------------------------------------- 11,297.34 9.48 3,450.72 0.1 10.0 73,735.14 60,364.62 1.0 1.8 Utilities 208 NATIONAL GRID PLC 70.41 14,644.83 60.63 •--------------------------------- 914,561.35 24 12,611.04 0.2 5.5 931,105.45 14.9 2.4 Period Ending 9/30/2023 Hi Wand Capital An Alger[ Company Sebastian Police Officers' Pension Fund Portfolio Holdings ETF - EQUITY (USD) Equitys ETF 450 ISHARES MSCI EMERGING MKTS INDEX 45.16 20,324.25 37.95 17,077.50 0.3 2.4 •------------------------------------------------------------------------- 20,324.25 17,077.50 0.3 2.4 CORPORATE BONDS (USD) Period Ending 9/30/2023 40000 GEORGE WASHINGTON UNIVER 101.18 40,472.80 70.09 28,035.68 0.4 5.1 NR 3.550% 9/15/46 100000 COSERV SECURITIZATION 22 144A 100.00 99,996.80 92.92 92,917.48 1.5 5.7 Aaa 5.320% 2/15/48 16000 UNIVERSITY OF CHICAGO 64.90 10,383.36 61.85 9,895.29 0.2 4.1 Aa2 2.550% 4/1/50 43000 CALIFORNIA ENDOWMENT 100.00 43,000.00 57.92 24,905.51 0.4 4.3 Aaa 2.500% 4/1/51 Accrued Interest 1,460.92 0.0 •-------------------------------------------------------------------------- 193,852.96 157,214.88 2.5 5.3 MUNICIPAL BONDS (USD) 8000 COMMONWEALTH FING AUTH PA 100.00 8,000.00 99.43 7,954.48 0.1 5.7 Al 5.650% 6/1/24 15000 SAN FRANCISCO CA CITY & CNTY PUB UTILS 100.00 15,000.00 87.39 13,107.90 0.2 4.2 Aa2 3.700% 11/1/32 6000 METRO GOVT NASH & DAVD CNTY TN WTR &! 134.47 8,067.96 105.49 6,329.46 0.1 6.2 Aa2 6.570% 7/1/37 35000 SAN FRANCISCO CALIF CITY & CNTY CMNTY 97.21 34,023.85 81.25 28,438.20 0.5 4.6 NR 3.750% 9/1/37 20000 MIAMI-DADE CNTY FLA AVIATION 100.00 20,000.00 80.83 16,166.20 0.3 4.6 NR 3.730% 10/1/37 10000 VIRGINIA PORT AUTH PORT FAC 100.00 10,000.00 82.44 8,243.90 0.1 5.4 Al 4.480% 7/1/45 15000 UNIV OF TEXAS TX REV 107.82 16,173.75 93.58 14,037.00 0.2 5.1 Aaa 4.790% 8/15/46 25000 UNIV OF TEXAS TX PERM UNIV FND REV 100.00 25,000.00 72.56 18,139.25 0.3 4.7 Aaa 3.380% 7/1/47 25000 CONNECTICUT ST HLTH & ED FACS AUTH REV 100.00 25,000.00 59.65 14,913.00 0.2 4.8 Aa3 2.870% 7/1/51 Accrued Interest 1,540.23 0.0 161,265.56 128,869.62 2.1 4.9 MORTGAGE POOLS (USD) 1573.128 FHLMC GIANT MBS GOLD COMB 15 101.62 1,598.69 98.72 1,553.04 0.0 4.1 Aaa 4.000% 7/1/24 29884.88 FNMA MBS BLLN MULTI 7+ 102.66 30,678.85 95.80 28,630.82 0.5 3.2 Aaa 3.050% 6/1/25 1380.96 FNMA LIMBS INT 15 YEAR 106.25 1,467.27 96.92 1,338.40 0.0 4.1 Aaa 4.000% 6/1/25 10296.93 FHLMC REMIC SERIES K-J17 102.00 10,502.84 96.41 9,927.03 0.2 3.1 Aaa 2.980% 11/25/25 35000 FHLMC REMIC SERIES K-GO1 103.00 36,048.64 94.49 33,071.39 0.5 3.0 Aaa 2.880% 4/25/26 21824.68 FHLMC REMIC SERIES K-068 102.00 22,261.00 95.75 20,898.13 0.3 3.1 Aaa 2.950% 2/25/27 57000 FHLMC REMIC SERIES K-068 103.00 58,708.12 93.55 53,323.40 0.9 3.5 Aaa 3.240% 8/25/27 50000 FHLMC REMIC SERIES K-HG1 110.48 55,242.19 97.10 48,550.28 0.8 3.4 Aaa 3.340% 12/25/27 3688.62 FNMA MBS SF15 105-125 103.69 3,824.64 93.50 3,448.85 0.1 3.2 Aaa 3.000% 3/1/28 40000 FNMA MBS BLLN MULTI 7+ 100.66 40,262.50 92.71 37,083.16 0.6 3.7 Aaa 3.460% 5/1/28 Highland Capital 25 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Portfolio Holdings Period Ending 9/30/2023 32000 FNMA MBS BLLN MULTI 7+ 105.99 33,917.50 97.99 31,355.77 0.5 4.3 Aaa 4.220% 11/1/28 41683.13 FNMA MBS BLLN MULTI 7+ 103.84 43,285.29 93.61 39,020.54 0.6 4.1 Aaa 3.800% 1/1/29 18000 FHLMC REMIC SERIES K-088 103.00 18,539.21 93.47 16,824.14 0.3 3.9 Aaa 3.690% 1/25/29 37000 FHLMC REMIC SERIES K-G01 103.00 38,109.45 89.48 33,107.63 0.5 3.3 Aaa 2.940% 4/25/29 7778.26 FHLMC MBS GOLD 15 YR 105.50 8,206.06 92.96 7,230.80 0.1 3.2 Aaa 3.000% 7/1/31 11933.41 FNMA LIMBS INT 15 YEAR 103.06 12,298.87 90.35 10,782.15 0.2 2.8 Aaa 2.500% 9/1/31 6021.11 FHLMC GIANT MBS GOLD COMB 20 111.00 6,683.43 97.15 5,849.75 0.1 5.1 Aaa 5.000% 11/1/31 15517.85 FNMA LIMBS INT 15 YEAR 99.50 15,440.35 88.81 13,781.48 0.2 2.3 Aaa 2.000% 12/1/31 4876.27 FNMA LIMBS INT20YEAR 103.12 5,028.62 92.29 4,500.45 0.1 3.8 Aaa 3.500% 2/1/32 24000 FHLMC REMIC SERIES K-158 94.90 22,776.24 90.80 21,793.17 0.3 4.5 Aaa 4.050% 7/25/33 7712.45 GNMA PASS-THRU M JUMBO 15YR 102.12 7,876.26 95.15 7,338.37 0.1 4.2 Aaa 4.000% 5/20/34 11995.02 FHLMC REMIC SERIES 3342 104.94 12,587.27 97.77 11,727.65 0.2 5.1 Aaa 5.000% 6/15/37 15000 GNMA REMIC TRUST 2017-134 94.00 14,100.00 87.80 13,170.09 0.2 3.4 Aaa 3.000% 4/20/38 1359.93 FNMA SUPER LONG 30 YEAR 109.39 1,487.64 101.71 1,383.14 0.0 5.9 Aaa 6.000% 5/1/38 33009.31 FNMA LIMBS INT 15 YEAR 100.00 33,009.31 97.48 32,177.26 0.5 S.1 Aaa 5.000% 7/1/38 1730.72 GNMA PASS-THRU M SINGLE FAMILY 106.13 1,836.73 100.39 1,737.46 0.0 5.5 Aaa 5.500% 7/20/38 713.87 GNMA PASS-THRU M SINGLE FAMILY 99.89 713.09 103.13 736.24 0.0 5.8 Aaa 6.000% 7/20/38 4891.86 GNMA PASS-THRU M SINGLE FAMILY 104.81 5,127.28 97.92 4,790.02 0.1 5.1 Aaa 5.000% 5/20/39 7300.33 GNMA PASS-THRU M SINGLE FAMILY 109.58 7,999.56 98.23 7,170.88 0.1 5.1 Aaa 5.000% 7/20/39 151.06 FNMA REMIC TRUST 2010-64 103.05 155.66 99.24 149.91 0.0 4.5 Aaa 4.500% 6/25/40 74682.84 FNMA REMIC TRUST 2020-67 95.00 70,948.70 79.68 59,507.21 1.0 1.6 Aaa 1.250% 9/25/40 3110.42 FHLMC MBS GOLD COMB 30 104.89 3,262.40 94.52 2,940.05 0.0 4.8 Aaa 4.500% 12/1/40 8300.91 GNMA PASS-THRU X PLATINUM 30 YEAR 101.38 8,415.08 92.78 7,701.78 0.1 4.3 Aaa 4.000% 4/15/41 1634.06 FNMA REMIC TRUST 2012-6 103.41 1,689.72 98.83 1,614.88 0.0 4.0 Aaa 4.000% 10/25/41 2228.63 FNMA LIMBS LONG 30 YEAR 104.65 2,332.20 94.54 2,107.06 0.0 4.8 Aaa 4.500% 1/1/42 1725.17 GNMA REMIC TRUST 2012-110 99.00 1,707.92 94.52 1,630.59 0.0 3.2 Aaa 3.000% 3/20/42 8339.104 FNMA REMIC TRUST 2012-90 100.31 8,365.16 86.61 7,222.80 0.1 1.7 Aaa 1.500% 3/25/42 5652.29 FNMA MBS JUMBO 30 YEAR 102.16 5,774.10 85.70 4,843.79 0.1 4.1 Aaa 3.500% 6/1/42 1786.19 FNMA MBS JUMBO 30 YEAR 102.12 1,824.12 85.73 1,531.30 0.0 4.1 Aaa 3.500% 8/1/42 6967.19 FNMA REMIC TRUST 2013-111 102.12 7,115.24 85.22 5,937.26 0.1 2.3 Aaa 2.000% 12/25/42 3473.06 GNMA REMIC TRUST 2013-100 99.11 3,442.19 92.41 3,209.46 0.1 2.4 Aaa 2.250% 2/20/43 9969.48 FNMA REMIC TRUST 2015-02 98.92 9,862.00 90.29 9,001.51 0.1 2.5 Aaa 2.250% 3/25/44 5645.19 FHLMC REMIC SERIES 4388 99.50 5,617.09 89.26 5,038.67 0.1 2.8 Aaa 2.500% 7/15/44 3276.38 FNMA REMIC TRUST 2016-90 96.25 3,153.52 91.98 3,013.68 0.0 3.3 Aaa 3.000% 2/25/45 4178.02 FNMA REMIC TRSUT 2016-31 97.45 4,071.47 92.04 3,845.45 0.1 3.3 Aaa 3.000% 3/25/45 17863.23 FNMA REMIC TRUST 2015-51 101.31 18,097.69 91.36 16,319.19 0.3 3.3 Aaa 3.000% 6/25/45 6954.6 FHLMC REMIC SERIES 4546 95.41 6,635.13 83.83 5,830.37 0.1 3.0 Aaa 2.500% 12/15/45 Hi�hland Capital 26 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Portfolio Holdings Period Ending 9/30/2023 5366.82 FNMA REMIC TRUST 2017-56 98.84 5,304.76 89.85 4,821.97 0.1 3.3 Aaa 3.000% 12/25/45 3989.39 GNMA PASS-THRU M JUMBO FHA 98.06 3,912.06 84.28 3,362.36 0.1 3.6 Aaa 3.000% 6/20/46 5344.81 FNMA MBS JUMBO 30 YEAR 101.31 5,414.88 83.24 4,449.14 0.1 3.6 Aaa 3.000% 9/1/46 1202.03 FNMA MBS JUMBO 30 YEAR 101.00 1,214.06 83.24 1,000.60 0.0 3.6 Aaa 3.000% 10/1/46 30000 FNMA REMIC TRUST 2017-55 93.47 28,040.63 86.20 25,858.98 0.4 3.5 Aaa 3.000% 11/25/46 2324.9 FNMA MBS LNG RELOCTION 101.81 2,366.96 84.89 1,973.59 0.0 3.5 Aaa 3.000% 1/1/47 2499.18 FHLMC REMIC SERIES 4682 94.86 2,370.65 84.37 2,108.51 0.0 3.3 Aaa 2.750% 5/15/47 1525.62 GNMA REMIC TRUST 2017-099 100.31 1,530.42 84.22 1,284.81 0.0 3.3 Aaa 2.750% 6/20/47 4584.34 FHLMC REMIC SERIES 4703 93.94 4,306.41 82.85 3,797.94 0.1 3.0 Aaa 2.500% 7/15/47 7516.72 FNMA REMIC TRUST 2017-72 99.19 7,455.65 88.31 6,637.80 0.1 2.8 Aaa 2.500% 8/25/47 13052.6 GNMA REMIC TRUST 2017-134 98.31 12,832.17 84.53 11,032.92 0.2 3.0 Aaa 2.500% 9/20/47 1617.72 FHLMC MBS JUMBO 30 YEAR 98.94 1,600.54 85.78 1,387.73 0.0 4.1 Aaa 3.500% 10/1/47 40000 GNMA REMIC TRUST 2018-001 95.66 38,262.50 78.07 31,228.82 0.5 3.2 Aaa 2.500% 1/20/48 5029.932 FNMA REMIC TRUST 2018-11B 98.84 4,971.80 80.08 4,027.86 0.1 2.5 Aaa 2.000% 3/25/48 14604.71 GNMA REMIC TRUST 2018-059 94.75 13,837.96 89.47 13,066.79 0.2 3.4 Aaa 3.000% 4/20/48 36000 GNMA REMIC SERIES 2019-133 92.50 33,300.00 69.18 24,905.55 0.4 2.9 Aaa 2.000% 4/20/49 17167.28 GNMA PASS-THRU M SINGLE FAMILY 96.16 16,508.22 96.08 16,494.83 0.3 5.2 Aaa 5.000% 5/20/49 15492.04 GNMA PASS-THRU M SINGLE FAMILY 99.12 15,356.08 98.98 15,333.66 0.2 5.6 Aaa 5.500% 7/20/49 979.83 GINNIE MAE REMIC TR 2019-162 100.00 979.83 91.99 901.37 0.0 3.3 Aaa 3.000% 10/20/49 8609.37 GNMA REMIC TRUST 2018-026 98.56 8,485.72 90.46 7,787.83 0.1 2.8 Aaa 2.500% 3/16/52 5837.65 GNMA REMIC TRUST 2013-17 98.25 5,735.50 87.44 5,104.39 0.1 2.0 Aaa 1.790% 5/16/53 Accrued Interest •-------------------------------------------------------------------------- 554.86 0.0 925,873.07 830,868.74 13.3 3.5 ASSET BACKED (USD) 100000 ARM MASTER TRUST LLC 2021 100.00 99,997.74 94.20 94,200.52 1.5 2.6 Aaa 2.430% 11/15/27 17000 BA CR CARD TR 2023-1 99.98 16,996.15 98.57 16,756.56 0.3 4.9 NR 4.790% 5/15/28 14000 DISCOVER CARD EXE NT TR 2023-2 99.99 13,998.11 98.79 13,830.11 0.2 5.0 Aaa 4.930% 6/15/28 17000 MMAF EQUIP FIN LLC 2023-A 99.98 16,996.55 99.45 16,905.70 0.3 5.6 Aaa 5.540% 10/13/29 69470.62 VCP RRL ABS 2021-1 LTD (JAJO) 100.00 69,470.62 90.93 63,168.55 1.0 2.4 Aaa 2.150% 10/20/31 45000 BCP TR 2021-33ON 99.26 44,666.00 87.62 39,429.59 0.6 7.6 Aa2 6.640% 6/15/38 18001.18 HIN TIMESHARE TR 2020-A 99.98 17,998.44 91.28 16,432.24 0.3 1.5 Aaa 1.390% 10/9/39 99817.29 PROGRESS RESOURCES TRUST 2021-SFR7 100.00 99,814.44 82.02 81,870.42 1.3 2.1 Aaa 1.690% 8/17/40 79333.329 TEXTAINER MARI CONT VII 2021-1 99.97 79,309.12 84.34 66,911.07 1.1 2.0 Aaa 1.680% 2/20/46 25000 ALIGNED DT CEN ISS LLC 2021-1 100.00 25,000.00 87.49 21,871.72 0.4 2.2 Aaa 1.940% 8/15/46 83333.31 TEXTAINER MARINE CONTAINERS 99.98 83,318.94 81.93 68,270.86 1.1 2.4 Aaa 1.940% 8/20/46 57303.14 GOODLEAP SUS HOME TR 2021-3 99.95 57,276.46 74.48 42,680.32 0.7 2.8 Aaa 2.100% 5/20/48 Highland Capital 27 MANAGEMENT, LLC An Argent Company Sebastian Police Officers' Pension Fund Portfolio Holdings Period Ending 9/30/2023 66237.24 COMMONBOND STD LN TR 2021-BGS 99.98 66,222.70 81.10 53,715.74 0.9 1.4 Aaa 1.170% 9/25/51 75874.49 VELOCITY CAP LN TR 2021-3 99.60 75,569.65 77.06 58,465.63 0.9 2.5 Aaa 1.960% 10/25/51 32043.21 CF HIPPOLYTA ISSUER LLC 2021-1 99.98 32,037.11 87.80 28,135.43 0.5 1.7 Aaa 1.530% 3/15/61 Accrued Interest 886.66 0.0 •-------------------------------------------------------------------------- 798,672.03 •-------------------------------------------------------------------------- 683,531.11 10.9 2.7 6,253,625.85 6,246,097.30 100.0 2.8 TOTAL PORTFOLIO 6,253,625.85 6,246,097.30 100.0 2.8 Hital hland Capi 2s An nrgen[ Company Sebastian Police Officers' Pension Fund Purchases BANK OF MONTREAL 8/22/23 8/23/23 40,000.00 UNITED STATES TREASURY NOTES 4.000% Due 07-31-30 BARCLAYS-EQ 9/20/23 9/22/23 170.00 JAZZ PHARMACEUTICALS PLC 9/20/23 9/22/23 50.00 JOHNSON & JOHNSON 9/20/23 9/22/23 10.00 JP MORGAN CHASE & CO 9/20/23 9/22/23 10.00 LITHIA MOTORS INC CL A 9/20/23 9/22/23 120.00 NEWELL BRANDS INC DEUTSCHE 7/7/23 7/11/23 740.00 TPG INC CL A Jones Trading 9/21/23 9/25/23 1,200.00 MITSUBISHI UFJ FINANCIAL GROUP INC SF 8/29/23 8/31/23 610.00 NEXTERA ENERGY INC 6/30/23 7/5/23 710.00 TPG INC CL A 9/5/23 9/7/23 310.00 VALERO ENERGY CORPORATION 1P MORGAN MARKET AXESS 8/8/23 8/17/23 24,000.00 FHLMC REMIC SERIES K-158 4.050% Due 07-25-33 1P MORGAN-0 7/11/23 7/21/23 17,000.00 MMAF EQUIP FIN LLC 2023-A 5.540% Due 10-13-29 REDI 8/22/23 8/24/23 600.00 EURONAV NV 8/29/23 8/31/23 40.00 GOLDMAN SACHS GROUP INC 9/22/23 9/26/23 200.00 SHOPIFY INC CL A 29 Period Ending 9/30/2023 97.46 38,984.38 0.00 0.00 133.07 22,622.50 0.04 6.80 163.22 8,161.00 0.04 2.00 149.70 1,497.05 0.04 0.40 305.22 3,052.25 0.04 0.40 9.61 1,153.80 0.04 4.80 36,486.60 0.04 14.40 29.40 21,756.00 0.02 14.80 8.85 10,614.48 0.01 12.00 67.51 41,180.80 0.01 6.10 29.40 20,872.94 0.01 7.10 133.26 41,309.17 0.01 3.10 113,977.39 0.01 28.30 94.90 22,776.24 0.00 0.00 99.98 16,996.55 0.00 0.00 18.23 10,937.70 0.01 6.00 332.13 13, 285.31 0.01 0.40 53.15 10,630.10 0.01 2.00 34,853.11 0.01 8.40 Highland Capital MANAGEMENT, LLC An ArgenL Company Sebastian Police Officers' Pension Fund Purchases Period Ending 9/30/2023 strategas 8/29/23 8/31/23 220.00 FIRST SOLAR INC 181.45 39,918.25 0.03 6.60 8/23/23 8/25/23 650.00 INVESCO LTD 15.34 9,974.25 0.03 19.50 8/7/23 8/9/23 130.00 PAYPAL HOLDINGS INC 64.38 ----------------0 8,368.80 -----------------------------.00 0.03 3.90 58,261.30 0.03 30.00 Tradeweb Direct LLC 8/18/23 8/18/23 17,345.00 GNMA PASS-THRU M SINGLE FAMILY 96.16 16,679.12 0.00 0.00 5.000% Due 05-20-49 PURCHASES SUBTOTAL 360,770.69 0.00 95.90 0.00 95.90 Highland Capital 30 MANAGEMENT, LLC An ArgenL Company Sebastian Police Officers' Pension Fund Sales BANK OF AMERICA BB 9/20/23 9/21/23 40,000.00 UNITED STATES TREASURY NOTES 97.48 4.000% Due 07-31-30 BANK OF MONTREAL 9/20/23 9/21/23 2,000.00 US TREASURY N/B 88.28 2.750% Due 08-15-32 9/20/23 9/21/23 7,000.00 US TREASURY N/B 80.04 1.125% Due 02-15-31 9/20/23 9/21/23 9,000.00 US TREASURY N/B 65.31 1.750% Due 08-15-41 9/20/23 9/21/23 7,000.00 US TREASURY N/B 88.26 2.750% Due 08-15-32 BARCLAYS-EQ Period Ending 9/30/2023 38,993.75 0.00 0.00 1,765.70 0.00 0.00 5,602.46 0.00 0.00 5,877.77 0.00 0.00 6,178.32 0.00 0.00 -- -------------------------------------- 19,424.25 0.00 0.00 9/20/23 9/22/23 250.00 AES CORPORATION 16.78 4,196.21 9/20/23 9/22/23 30.00 ALBEMARLE CORP 178.39 5,351.65 9/20/23 9/22/23 80.00 ALPHABET INC 136.72 10,937.51 9/20/23 9/22/23 160.00 ALTRIA GROUP INC 43.29 6,926.15 9/20/23 9/22/23 80.00 AMERICAN ELEC PWR INC 81.01 6,480.74 9/20/23 9/22/23 50.00 AMERICAN ELEC PWR INC 81.01 4,050.47 9/20/23 9/22/23 70.00 AMERICAN EXPRESS CO 159.56 11,169.11 9/20/23 9/22/23 80.00 AMERICAN INTERNATIONAL GROUP INC 62.66 5,012.98 9/20/23 9/22/23 400.00 AT&T INC 15.59 6,237.95 9/20/23 9/22/23 50.00 AT&TINC 15.59 779.74 9/20/23 9/22/23 490.00 BANK OF AMERICA CORP 28.84 14,133.93 9/20/23 9/22/23 80.00 BERKSHIRE HATHAWAY INC 370.29 29,623.46 9/20/23 9/22/23 50.00 BOEING CO 204.34 10,217.01 9/20/23 9/22/23 140.00 BRISTOL-MYERS SQUIBB CO 58.99 8,258.24 9/20/23 9/22/23 5.00 CARRIER GLOBAL CORP 54.33 271.67 9/20/23 9/22/23 50.00 CARRIER GLOBAL CORP 54.33 2,716.68 9/20/23 9/22/23 55.00 CARRIER GLOBAL CORP 54.33 2,988.35 9/20/23 9/22/23 40.00 CATERPILLAR INC DEL 283.55 11,341.90 9/20/23 9/22/23 60.00 CBOE GLOBAL MARKETS INC 156.85 9,410.92 9/20/23 9/22/23 50.00 CHENIERE ENERGY INC 162.52 8,125.79 9/20/23 9/22/23 70.00 CHEVRON CORP 167.74 11,741.70 0.04 10.00 0.04 1.20 0.04 3.20 0.04 6.40 0.04 3.20 0.04 2.00 0.04 2.80 0.04 3.20 0.04 16.00 0.04 2.00 0.04 19.60 0.04 3.20 0.04 2.00 0.04 5.60 0.04 0.20 0.04 2.00 0.04 2.20 0.04 1.60 0.04 2.40 0.04 2.00 0.04 2.80 Hi�hland Capital 31 MANAGEMENT, LLC An ArgenL Company Sebastian Police Officers' Pension Fund Sales Period Ending 9/30/2023 9/20/23 9/22/23 40.00 CHUBB LIMITED 215.41 8,616.33 0.04 1.60 9/20/23 9/22/23 20.00 CIGNA GROUP 287.68 5,753.55 0.04 0.80 9/20/23 9/22/23 150.00 CITIGROUP INC 42.99 6,447.95 0.04 6.00 9/20/23 9/22/23 110.00 COMCAST CORP 45.77 5,034.93 0.04 4.40 9/20/23 9/22/23 110.00 COMCAST CORP 45.77 5,034.93 0.04 4.40 9/20/23 9/22/23 80.00 CONOCOPHILLIPS 122.54 9,803.12 0.04 3.20 9/20/23 9/22/23 0.00 CONSTELLATION ENERGY CORP 111.43 0.39 0.00 0.00 9/20/23 9/22/23 1.00 CONSTELLATION ENERGY CORP 110.24 109.85 0.04 0.04 9/20/23 9/22/23 210.00 CORNING INC 31.95 6,708.89 0.04 8.40 9/20/23 9/22/23 50.00 CUMMINS INC 234.52 11,725.90 0.04 2.00 9/20/23 9/22/23 110.00 CVS HEALTH CORPORATION 72.05 7,926.04 0.04 4.40 9/20/23 9/22/23 20.00 DANAHER CORP 256.77 5,135.45 0.04 0.80 9/20/23 9/22/23 10.28 DELL TECHNOLOGIES INC 70.29 722.57 0.04 0.41 9/20/23 9/22/23 13.72 DELL TECHNOLOGIES INC 70.29 964.36 0.04 0.55 9/20/23 9/22/23 32.00 DELL TECHNOLOGIES INC 70.29 2,249.26 0.04 1.28 9/20/23 9/22/23 104.00 DELL TECHNOLOGIES INC 70.29 7,310.11 0.04 4.16 9/20/23 9/22/23 180.00 DENTSPLY SIRONA INC 35.62 6,412.04 0.04 7.20 9/20/23 9/22/23 80.00 DUKE ENERGY CORP 95.02 7,601.53 0.04 3.20 9/20/23 9/22/23 70.00 EAGLE MATERIALS INC 174.05 12,183.54 0.04 2.80 9/20/23 9/22/23 50.00 EATON CORP PLC 217.03 10,851.41 0.04 2.00 9/20/23 9/22/23 40.00 ELEVANCE HEALTH INC 443.06 17,722.25 0.04 1.60 9/20/23 9/22/23 180.00 ENVISTA HOLDINGS CORP 28.63 5,153.35 0.04 7.20 9/20/23 9/22/23 170.00 EXXON MOBIL CORP 117.08 19,903.93 0.04 6.80 9/20/23 9/22/23 20.00 F5 NETWORKS INC 161.88 3,237.64 0.04 0.80 9/20/23 9/22/23 40.00 FIRST SOLAR INC 171.72 6,868.74 0.04 1.60 9/20/23 9/22/23 660.00 FORD MOTOR CO 12.48 8,240.03 0.04 26.40 9/20/23 9/22/23 180.00 GAMING AND LEISURE PROPERTIES INC 48.62 8,752.42 0.04 7.20 9/20/23 9/22/23 20.00 GOLDMAN SACHS GROUP INC 342.71 6,854.19 0.04 0.80 9/20/23 9/22/23 60.00 HILTON WORLDWIDE HOLDINGS INC 153.45 9,207.22 0.04 2.40 8/23/23 8/25/23 50.00 HITACHI LIMITED 128.46 6,422.83 0.04 2.00 8/23/23 8/25/23 50.00 HITACHI LIMITED 128.46 6,422.84 0.04 2.00 9/20/23 9/22/23 40.00 JONES LANG LASALLE INC 154.95 6,197.95 0.04 1.60 9/20/23 9/22/23 110.00 KIMBERLY CLARK CORP 125.51 13,806.04 0.04 4.40 9/20/23 9/22/23 80.00 KNIGHT -SWIFT TRANSPORTATION 53.26 4,260.76 0.04 3.20 9/20/23 9/22/23 220.00 KRAFT HEINZ COMPANY 34.02 7,485.44 0.04 8.80 9/20/23 9/22/23 40.00 LABRATORY CORPORATION OF AMERICA 1 205.86 8,234.33 0.04 1.60 9/20/23 9/22/23 80.00 LIVE NATION ENTERTAINMENT INC 83.17 6,653.54 0.04 3.20 Hi�hland Capital 32 MANAGEMENT, LLC An Argen[ Company Sebastian Police Officers' Pension Fund Sales Period Ending 9/30/2023 9/20/23 9/22/23 30.00 LOWES COS INC 218.55 6,556.59 0.04 1.20 9/20/23 9/22/23 90.00 LYONDELLBASELL INDUSTRIES N V 98.83 8,894.62 0.04 3.60 9/20/23 9/22/23 140.00 MARATHON OIL CORP 26.49 3,709.27 0.04 5.60 9/20/23 9/22/23 40.00 MARATHON OIL CORP 26.49 1,059.79 0.04 1.60 9/20/23 9/22/23 170.00 MARVELL TECHNOLOGY INC 54.17 9,209.67 0.04 6.80 9/20/23 9/22/23 40.00 MEDTRONIC PLC 82.33 3,293.17 0.04 1.60 9/20/23 9/22/23 40.00 META PLATFORMS INC 304.89 12,195.50 0.04 1.60 9/20/23 9/22/23 90.00 METLIFE INC 66.77 6,009.25 0.04 3.60 9/20/23 9/22/23 150.00 MGM RESORTS INT'L 39.20 5,880.70 0.04 6.00 9/20/23 9/22/23 120.00 MICRON TECHNOLOGY INC 70.43 8,451.03 0.04 4.80 9/20/23 9/22/23 240.00 MOLSON COORS BREWING CO 64.90 15,575.46 0.04 9.60 9/20/23 9/22/23 140.00 MORGAN STANLEY 88.91 12,447.30 0.04 5.60 9/20/23 9/22/23 100.00 NEXTERA ENERGY INC 67.89 6,788.94 0.04 4.00 9/20/23 9/22/23 60.00 NORFOLK SOUTHERN CORP 205.61 12,336.62 0.04 2.40 9/20/23 9/22/23 270.00 NRG ENERGY INC 39.52 10,670.34 0.04 10.80 9/20/23 9/22/23 30.00 OCCIDENTAL PETE CORP DEL 65.11 1,953.28 0.04 1.20 9/20/23 9/22/23 40.00 OCCIDENTAL PETE CORP DEL 65.11 2,604.38 0.04 1.60 9/20/23 9/22/23 180.00 OLIN CORP 49.50 8,909.92 0.04 7.20 9/20/23 9/22/23 35.00 ORACLE CORP 114.47 4,006.42 0.04 1.40 9/20/23 9/22/23 115.00 ORACLE CORP 114.47 13,163.94 0.04 4.60 9/20/23 9/22/23 120.00 PAYPAL HOLDINGS INC 61.76 7,411.64 0.04 4.80 9/20/23 9/22/23 60.00 PEPSICO INC 178.84 10,730.31 0.04 2.40 9/20/23 9/22/23 110.00 PROCTER & GAMBLE CO 154.45 16,989.86 0.04 4.40 9/20/23 9/22/23 47.00 PROLOGIS INC 122.79 5,771.08 0.04 1.88 9/20/23 9/22/23 13.00 PROLOGIS INC 122.79 1,596.26 0.04 0.52 9/20/23 9/22/23 90.00 QORVO INC 96.35 8,671.53 0.04 3.60 9/20/23 9/22/23 140.00 REALTY INCOME TRUST 54.45 7,623.63 0.04 5.60 9/20/23 9/22/23 150.00 RTX CORPORATION COM 74.73 11,209.91 0.04 6.00 9/20/23 9/22/23 20.00 S&P GLOBAL INC 391.35 7,826.93 0.04 0.80 9/20/23 9/22/23 50.00 SKYWORKS SOLUTIONS INC 97.68 4,883.96 0.04 2.00 9/20/23 9/22/23 170.00 SYNCHRONY FINANCIAL 32.66 5,552.15 0.04 6.80 9/20/23 9/22/23 30.00 THERMO FISHER SCIENTIFIC INC 509.19 15,275.66 0.04 1.20 9/20/23 9/22/23 90.00 TIMKEN CO 73.93 6,653.64 0.04 3.60 9/20/23 9/22/23 250.00 TPG INC CL A 31.36 7,839.93 0.04 10.00 9/20/23 9/22/23 220.00 TRUIST FINANCIAL CORP 29.02 6,384.34 0.04 8.80 9/20/23 9/22/23 40.00 UNITED AIRLINES HOLDINGS INC 45.09 1,803.79 0.04 1.60 9/20/23 9/22/23 15.00 UNITED AIRLINES HOLDINGS INC 45.09 676.42 0.04 0.60 Hi�hland Capital 33 MANAGEMENT, LLC An Argen[ Company Sebastian Police Officers' Pension Fund Jones Trading REDI STIFEL Period Ending 9/30/2023 Sales 9/20/23 9/22/23 20.00 UNITED AIRLINES HOLDINGS INC 45.09 901.89 0.04 0.80 9/20/23 9/22/23 115.00 UNITED AIRLINES HOLDINGS INC 45.09 5,185.88 0.04 4.60 9/20/23 9/22/23 60.00 UNITED PARCEL SERVICE INC 158.61 9,516.87 0.04 2.40 9/20/23 9/22/23 50.00 VALERO ENERGY CORPORATION 144.43 7,221.44 0.04 2.00 9/20/23 9/22/23 120.00 VERIZON COMMUNICATIONS INC 33.79 4,055.36 0.04 4.80 9/20/23 9/22/23 110.00 VERIZON COMMUNICATIONS INC 33.79 3,717.42 0.04 4.40 9/20/23 9/22/23 200.00 VF CORPORATION 17.93 3,586.47 0.04 8.00 9/20/23 9/22/23 90.00 WALT DISNEY CO 82.52 7,426.93 0.04 3.60 9/20/23 9/22/23 280.00 WELLS FARGO CO 43.62 12 --------------------------------------- 770,430.41 0.04 424.04 8/31/23 9/5/23 230.00 CRH PLC 57.67 13,263.13 0.01 2.30 8/31/23 9/5/23 55.00 CRH PLC 57.67 3,171.61 0.01 0.55 8/31/23 9/5/23 50.00 CRH PLC 57.67 2,883.29 0.01 0.50 8/16/23 8/18/23 1,160.00 EQUITABLE HOLDINGS INC 27.47 31,866.22 0.01 11.60 8/16/23 8/18/23 89.00 HITACHI LIMITED 126.74 11,280.05 0.01 0.89 8/17/23 8/21/23 111.00 HITACHI LIMITED 125.61 13,942.67 0.01 1.11 8/18/23 8/22/23 130.00 KYOCERA CORP 49.17 6,392.18 0.01 1.30 8/18/23 8/22/23 110.00 KYOCERA CORP 49.17 5,408.77 0.01 1.10 8/18/23 8/22/23 160.00 KYOCERA CORP 49.17 7,867.29 0.01 1.60 --------------------------------------------------- 96,075.21 0.01 20.95 7/7/23 7/11/23 70.00 AMERIPRISE FINANCIAL INC 332.47 23,272.82 0.01 0.70 8/15/23 8/17/23 90.00 AMERIPRISE FINANCIAL INC 336.19 30,257.02 0.01 0.90 8/7/23 8/9/23 170.00 FORTREA HOLDINGS INC 30.25 5,142.70 0.01 1.70 8/7/23 8/9/23 10.00 FORTREA HOLDINGS INC 30.25 302.51 0.01 0.10 8/7/23 8/9/23 10.00 FORTREA HOLDINGS INC 30.25 302.51 0.01 0.10 --------------------------------------------------- 59,277.56 0.01 3.50 9/21/23 9/25/23 80,228.37 BUSINESS JET SEC LLC 2022-1 93.00 74,612.40 0.00 0.00 4.455% Due 06-15-37 9/21/23 9/25/23 100,000.00 CREDIBLY ASSET SEC LLC 2021-1 96.00 96,000.00 0.00 0.00 2.390% Due 04-15-26 9/21/23 9/25/23 76,884.55 FLAGSTAR MTG TR 2021-91NV 82.50 63,429.75 0.00 0.00 34 Hi�hland Capital MANAGEMENT, LLC An Argen[ Company Sebastian Police Officers' Pension Fund Sales Period Ending 9/30/2023 2.500% Due 10-25-41 9/21/23 9/25/23 59,202.43 SERVICE EXP ISSUER LLC 2021-1 90.00 53,282.19 0.00 0.00 2.670% Due 02-02-32 9/21/23 9/25/23 61,885.93 SERVICE EXP ISSUER LLC 2021-1 90.00 55,697.34 0.00 0.00 2.670% Due 02-02-32 -------------------------------------------------- 343,021.68 0.00 0.00 strategas 8/7/23 8/9/23 30.00 BP PLC 36.98 1,109.30 0.03 0.90 8/7/23 8/9/23 55.00 BP PLC 36.98 2,033.71 0.03 1.65 8/7/23 8/9/23 200.00 BP PLC 36.98 7,395.30 0.03 6.00 8/7/23 8/9/23 265.00 BP PLC 36.98 9,798.77 0.03 7.95 7/7/23 7/11/23 300.00 EQUITABLE HOLDINGS INC 27.33 8 --------------------------------------- 28,535.14 0.03 25.50 TO SECS 9/20/23 9/21/23 23,000.00 US TREASURY N/B 61.16 14,065.94 0.00 0.00 2.000% Due 08-15-51 9/20/23 9/21/23 20,000.00 US TREASURY N/B 59.13 11,826.56 0.00 0.00 1.875% Due 11-15-51 9/20/23 9/21/23 13,000.00 US TREASURY N/B 74.88 9,734.77 0.00 0.00 2.875% Due 05-15-52 --------------------------------------------------- 35,627.27 0.00 0.00 SALES SUBTOTAL --------------------------------------------------- --------------------------------------------------- 1,391,385.27 0.00 473.99 0.00 473.99 Highland Capital 35 MANAGEMENT, LLC An Argen[ Company f r 1 ■ L L 850 Ridge Lake Blvd, Suite 205, Memphis, TN 38120 Tel: 901-761-9500 1 Fax: 901-761-5631