California CLASS Enhanced Cash is a next-day liquidity investment option designed for California CLASS Participants that seeks to generate a higher yield while complementing the daily liquidity offered by the California CLASS Prime fund. Enhanced Cash is best suited for non-operating dollars and strategic reserves that a public agency would not anticipate withdrawing for 12-18 months.
Seamlessly access all of your California CLASS accounts and reporting through the California CLASS Online Portal. Both California CLASS products offer you unlimited subaccounts with no minimum balance requirements. Easily make online transfers from your Enhanced Cash subaccounts to your California CLASS subaccounts.
Complement your cash management strategy with Enhanced Cash by gaining exposure to a diversified portfolio of high-quality securities for your public agency's investment needs.
Best suited for medium-term investments and strategic reserves
Rated by FitchRatings
Provides next-day liquidity
Managed to approximate a $10.00 transactional share price
Longer weighted average maturity than stable NAV fund, California CLASS Prime
Dividends accrue daily and are reinvested at month-end
Enjoy no investment minimum or maximum with Enhanced Cash
Create as many Enhanced Cash subaccounts as your entity needs
Accessible in Portal
Conveniently access your monthly statement, transaction confirmations, and on-demand reports
The general objective of the Enhanced Cash Fund is to generate additional investment income for the Participants while maintaining safety and liquidity. The Enhanced Cash Fund seeks to outperform the yields generated by the Prime Fund by taking modest interest rate and liquidity risk and maintaining similar credit risk while preserving capital by investing only in securities that comply with the requirements of California law, specifically California Government Code Section 53601.
All investments made on behalf of California CLASS Enhanced Cash will comply with the provisions of the California CLASS Enhanced Cash Investment Policy and California Government Code relating to the investment of public funds; investment funds may only be invested in a manner that is permitted pursuant to California Government Code Section 53601. For a complete list of eligible investments for California CLASS Enhanced Cash, please contact the California CLASS Relationship Team.
Enhanced Cash is a variable NAV fund managed to approximate a $10.00 transactional share price, calculating and publishing a fair value NAV on a daily basis. The California CLASS Enhanced Cash portfolio has designated a $10.00 transactional share price in order to clearly differentiate the portfolio from a traditional $1.00 stable NAV fund. While $0.50 and $2.00 are examples of other variable NAV strike prices, a $10.00 per share NAV is one of the most commonly used strike prices for variable NAV funds.
Enhance your ability to manage your assets more efficiently and effectively while maintaining safety and liquidity. Our team of investment professionals are here to assist you every step of the way.
Many factors affect performance including changes in market conditions and interest rates and in response to other economic, political, or financial developments. Investment involves risk including the possible loss of principal. No assurance can be given that the performance objectives of a given strategy will be achieved. California CLASS Enhanced Cash is rated ‘AAAf/S1’ by FitchRatings. The ‘AAAf’ rating is Fitch’s opinion on the overall credit profile within a fixed-income fund/portfolio and indicates the highest underlying credit quality of the pool’s investments. The ‘S1’ volatility rating is Fitch’s opinion on the relative sensitivity of a portfolio’s total return and/or net asset value to assumed changes in credit spreads and interest rates. The ‘S1’ volatility rating indicates that the fund possesses a low sensitivity to market risks. For a full description on rating methodology, please visit www.fitchratings.com. Ratings are subject to change and do not remove credit risk. Past performance is no guarantee of future results. Any financial and/or investment decision may incur losses.