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R2026-050 20260323
Docusign Envelope ID: EEBC1FBB-4F8E-4B06-ADEC-12345C38EF9F RESOLUTION NO. R2026-50 A Resolution of the City Council of the City of Pearland, Texas, accepting the City's Investment Reports for the quarters ending in September of 2025 and December of 2025. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS: Section 1. That the City Council hereby accepts the Quarterly Investment Reports for the quarters ending in September of 2025 and December of 2025. PASSED, APPROVED and ADOPTED this the 23rd day of March, A.D., 2026. c—DocuSigned by: J I-EV` OLE MAYOR ATTEST: LODocuSigned by: 30Cc22331r rr415 FRANCES AGUILAR, TRMC, MMC CITY SECRETARY APPROVED AS TO FORM: Signed by: D LHER6. PROVINS CITY ATTORNEY al? Hilltp Securities Contents Market Recap 3 Investment Officers" Certification 4 Portfolio Overview 5 Portfolio Overview 6 Asset Allocation 7 Credit Rating Summary 8 Benchmark Comparison 9 Fund Overview 10 Detail of Security Holdings 11 Earned Income 14 Investment Transactions 17 Investment Transactions Totals , ,19 Amortization and Accretion 20 Projected Cash Flows. . .................... 21 Projected Cash Flows Totals 22 Disclosures & Disclaimers 23 ¢9Hilltop SecurItle5 Asset Managemnt, LLC. All rights reserved. Investment Management Team Scott McIntyre Salim Poet tap Monomer 5I'2.481.2009 S aN. Mdn f y'e@HilrivpS ec urrUes, com Greg Warner Senror Parrfolro Manager 5 Q.48V2012 C,reg.women@HrlltopSecrrtrrles_rorfr Jodi Jones rnueSfinenf Reporr+rg Manager Srz48J.2076 lode !ones@NitlicOecurWes.coor Page 2 Hillto Securities aP City of Pearland As of September 30, 2025 Market Recap The Fed officially pivoted in September, lowering the fed funds rate by 25 basis points to a new target range of 4.00% to 4.25%. While the move was widely priced -in, Chair Powell called it a"risk management"cut. He emphasized that"inflation risks remain tilted to the upside; pointing to persistent price pressures in services and energy. At the same time, he acknowledged thatyemployment risks are increasingly tilted to the downside; reflecting the overwhelming concern over labor market weakness. •l he FOMC action came on the heels of weakdata_The August jobs report showed nonfarm payrolls rising byjust +22k, well below consensus expectations of a -75k. Revisions to prior months subtracted another 21k jobs, bringing the three-month average to a mere +29k. The unemployment rate rose to 43%, its highest level since early 2022,The few job gains were concentrated in health care, while private sector hiring remained soft. Wage growth also slowed, with average hourly earnings rising +0,3% MoM. The August CPI report showed headline inflation rising +0.4% MoM and +2.9%YcY, driven by higher energy and transportation costs_ Core CPI rose +0,3% ilvloM and held steady at -F3,1% YoY. Services Inflation remained elevated, particularly in medical care and shelter. Goods prices were mixed, with declines In apparel and electronics offset by increases in household items and auto insura nce. The persistence of sticky inflation, especially in non - discretionary categories, continues to complicate the Fed's path to more accommodative monetary policy. Despite the soft labor data, the broader economic picture was buoyed by a large upward revision to Q2 GDR The final estimate showed real GDP grew at an annualized rate of+3,8%, up from the prior estimate of+3.3%. The massive upward revision was driven by stronger consumer spending and a narrowing trade deficit, with real final sales to private domestic purchasers revised up to +2.9%.The data underscores the resilience of the U_5. economy, even as pockets of weakness emerge. Equity markets responded positively to the Red's pivot and the O2 GDP revision, The 5&P 500 and Nasdaq posted their best September performance in over 15 years rising +3,396 I#op Securities Asset Management, LLC- All rights reserved. and +53%, respectively. The rally was fueled by strong earnings, optimism around artificial intelligence, and expectations for further rate cuts, Year-to-date, the S&P 500 is now up nearly +15%, with growth stocks and tech leading the charge. Treasury yields fluctuated throughout the month. Short-term rates eased modestly following the Fed's rate cut, while longer -term yields remained elevated amid persistent Inflation concerns and fiscal uncertainty_ The yield curve steepened slightly, feflecting diverging expectations for near -term policy easing versus long-term inflation rlsks,The government shutdown, which began on September 29th, adds further confusion, raising concerns about delays in key data releases and fiscal stability. Political dynamics remain tense. Stephen Miran,Trumps newly appointed Fed Governor, publicly advocated for a deeper 50bps rate cut. His comments drew sharp criticism from more hawkish members of the FOMC, underscoring the growing divide within the Committee. Powell reiterated the Fed commitment to"data dependency,"but acknowledged that the path forward may require"greater flexibility"given the evolving economic landscape. With persistent inflation, faltering job growth, and political dysfunction escalating, the Fed faces a tough road ahead. September's rate cut may marls the beginning of a broader easing cycle, with markets currently pricing in a 100% probability of another rate cut at the end of October. Page 3 HilltopSecurities 4110 City of Pearland As of September 30, 2025 Investment Officers' Certification This report is prepared for the City of Pea rland {the"Entity"} in accordance with Chapter 2256 of the Texas Public Funds Investment Act ("PFHA"). Section 2256023(a) of the PFIA states that: Not less than quarterly, the investment officer shall prepare and submit to the governing body of the entity a written report or the investment transactions for all funds covered by this chapter for the preceding reporting period"This report Is signed by the Entity's investment officers and includes the disclosures required in the PFIA, The investment portfolio complied with the PFIA and the Entity approved Investment Policy and Strategy throughout the period_ All investment transactions made in the portfolio during this period were made on behalf of the Entity and were made in full compliance with the PHA and the approved Investment Policy, eFtilltop Securities Asset Management, LLC, All rights reserved, Investment Officers Melissa Saxton Director ofFinance. Tenecha Williams Asstnnariv.afrerscir Chan Tran FrnanceAnoyst Page 4 Hilltop Securities41IDD City of Pearland July 1, 2025 - September 30, 2025 Portfolio Overview Portfolio Summary Prior 30 Jun -25 Current 30 Sep -25 Par 'Um 52GO2,122 X 529,240,267,52 Odg'r I Cast BookYtluo MarketValur. Accrued Interest BoakVaiue Plus Accrued Market Value Plus Accrued Net Unrealized GairV(Loss1 Asset Allocation 52870952229 $29,287,!58,17 528.707.72584 529,282,820.46 528912,537,E8 529,546,947.42 1,159,313.98 1,788,030.83 5.29,8671039.82 531,074,850.92 530,071,651,86 531,334,878-65 204,412.44 264027.74 • AGCY 1.89% AGCY CALL 1.88% • BANK r)Fi3 6,27`yh • LGIP 28.65% ▪ MMRJNIJ 54.69% • US GC?VT 6.63% OHM topSeCuritieSAsset Management, LLC. All rights reserved. Income Summary turrenl period 1 Jul -2S to 30 Sep -25 Interest Incume NctAmorti2Aon/ +errcupn Realized CaingLassi Netincome 4.%0,60fi.75 {10,82{}.39} 33,759.99 5,403,556 35 Fiscal Year -to -Date 1 DCt•24 t43JJ Sep -25 h,t•tPr��nu• Transaction Summary 24202,025.51 Portfolio Characteristics Prior Current 30 Jun -25 30 Sep -25 Yield to -Maturity Y e d loftrst Days to 1iral Maturity Clays to EYrctive Msilurity Duration 4-325%6 ..Q4% 81 3.9004 3,980% 71 81 al 1.89 174 Transactio-riType Quantity Priricip,il interest TotalArnount keahaedGam/Lass Man. r:1}� Coupon Tramferrh Transfer Out (3000X0,00) UAO 15.000Q06p0 f IQ, 3,000,000}40 240 15,063,964.0 080 159,375,00 225,95 5.49 (225.951 09) 3.0014.400.40 159,375.00 (I 2309.915.49) 15,309,935A9 0.00 0.04 33.764.99 Page 5 Hilltop Securities all City at Pearland As of September 30, 2025 Portfo lo Overview Maturity Distribution by SecurityType 100% 50% 0% ■ AGCY 1.99% AGCY CALL 1.98% • BANK DEP 6,2796 ■ LGIP 29.65% ■ MMFUN❑ 54.69% ■ US GOUT 6.63% 89.6 oce 0.9 5.7 3 M NM -k �• tit- ▪ ¶ 3" Maturity Distribution by Security Type Top Ten Holdings Issuer Allocati Uri WI - 60.9596 TXCLASS 20,0294 Unisr r .tdle5 6 3y6 LOGIC TEXSTAR 2.039.6 Federal Farm Credit- Banks Funding Corporatk r 1,89'46 federal Florne Loan Morbgagc Corparatlon I,B846 14egicrls 0,(1156 Security Type C1rcrnight 0-3Monliis 3.6MAonihs 6.9Mlr_nths 9-12Monthi 1-2 Years 3-3 Years 3-4Years 4-5Years PortfoIicTotal Acre L1:, ,J,oi1 '•1 9,983,94134 AGCY CALL 4,970,187.139 9,970,187.09 C 1hrC17EP 33,1772821.38 33,172,9213B LGIP 151,023,W.33 151,623,55533 MMFUI+83 259,143,890,81 299,443,99DA1 US GOVT 4992,896.$7 20.158,037,04 9,9#7,590.18 35,689,524.14 Total 474,240,167.52 0920627 34118,224.17 19,921A3153 529,282,830.69 IHilltop Securities Asset Management, LLC. All rights reserved. Page 6 Hilltop Securities City of Pearland As of September 30, 2025 Asset Allocation Asset Allocation by Security Type as of Asset Allocation by Security Type as of 30 -Jun -2025 • Book Value Basis Security Distribution ▪ AGCY 1.139% ▪ AGO( CALL 2.45% ✓ RANK DIP 4.37% • LG1P 28.3696 • MMFUND 56.2996 ▪ IJS GOV1 6.63% 30 -Sep -2D25 • AGCY 1.89% • AGCY CALL 1.88% • RANK DEP 6.27% • LGIP 28.63% ▪ MMFL1N0 54.69% • US GOVT 6.61% Securltyiype ?riarBalance Prior Ali cation 30 -Jun -ZS 30 -Jun -75 Ora ngeinAIlacanon Current Ida lance Current Akio -cation 3U Scup 2: 34 -Sep -2S Yield to -Maturity AGLY 9,982,405.72 1839% 9,963,841.34 1.39% 3.939% AGCY CALL 1496656302 2.45% 9,970,187.96 1,88% 4.187% 23,117,214,60 4.37% 1.9596 33,172,821.36 627% 0673% LGIP 149,962,424,93 2336% 0.21346 151,673,555.33 2865% 4336% MMFLJND 297 06483.35 56.29% (16094 1 289,443,894.61 54.69% 4.170.44 LPSG0VT 35,071,334.22 6.63% (Q00961 35,088.5524. I4 663% 3.951% PortfolkiTotal 528,707,725. 109.00915 10001% 3.98496 47Hilltop Securities Asset Management, LLC. MI rights reserved. Page 7 Hilltop Securities City of Pearland As of September 30, 2025 Credit Rating Summary Rating Distribution BookYalue PorRfoNaAlIaatlon Secured Deposits llnsuredarCollateralized) 33, I72,821,3$ 6.274fi Total Secured Deposits 33,11,82138 6,27% Luca' Government rnuestrnent Pools & Money Market Funds ,Ir1A 441,067,44[ 14 83.339i, TataPLoralGovernment Investment Pools & Money Market Funds 441,067A46.14 83339'0 Long Term Rating DIslrlbutIrm 55,Ud? 552.56 1 is If F Total Long Term Rating alstributlon 5%,ris;4S7 j{ 1040% Ppr#fglio Total 534,282,620.08 100.130+1 1, 'Hilltop Securities Asset Management, LLC. All rights reserved, Allocation by Rating • AM 63,3396 ▪ SD 6.2Y% ■ AA+ 10.40% Page 8 Hilltop Securities City of Pearland As of September 30, 2025 Bend -in -lark Comparison - City of Pearland 6Month GMT - TexSlar 5-b 4410% 39055 cF Yield Overview �4 L1x V7x ,4 .- 4 >r 1� Ott -23 N&v-23 Dec -23 Jan -24 Feb 24 Ma r,24 Apr.24 May -24 Jun -24 Jut -24 Aug -24 SAP -24 Oct -24 Nav-24 Dec -24 Jan -25 Feb -25 Mar -25 Apr -25 May -25 Jun -25 Jul 25 Au:1 25 Cm•25 City of Pearland - 4,84 4.59 4,59 4.44 4.24 421 4.1 B 4.43 43B 4.33 4.32 406 3,96 6 Month CMT 5.47 550 5.48 5.43 539 536 5.33 533 5.34 5.34 529 5,16 5230 4,84 466 450 4.39 434 4.30 4Z8 4.21 428 4.25 4.18 TerStar 532 5.33 5,34 5.32 5.34 5.30 5.31 5.31 5.31 5,31 5.29 5.13 4-87 4.71 436 439 4.35 434 433 430 4.39 4.30 4,29 421 OHIlltop WWI ties Asset Management, LLC. All rlghts reserved. Page 9 Hilltop Securities 41111) City of Pearland July 1, 2025 - September 30, 2025 Fund Overview Fund Nam!: Pri4rBpokValue Prior Market Value Changes 14l41arket CurrentBaokValue Value Current Market Value Net Income Days to Final MLy YTM YTW 100 -General Fund 104 - Debt 5ervi[e Fund 340 -Special Ileverxie Fund 350-Grantfurxl 500-CIPBand fund 550 - Water 3r Sewer Bond Fund 600 •'Nato' & Sewer Operai4 Fund 610 - Solidwaste Operating fund 700-Iniernal ServioeFund 900 • PF..DC 920 -DAP 930-TIRZ 3!4,337,707.47 24239257.0S 14,254,910.43 331,849.21 1,657,149,68 124,221,02675 77,920,799.94 0.04 25,374,469.64 13,131,764.97 1,089,514,95 34,649275.72 88,910433.69 24239,257.06 14,254,910.43 331,849.21 4'1,667.149,6$ 124,221,026.75 781053,617.76 p{l0 25,374,469.64 43,131,032.97 1,089,514,95 341549,275.72 (5],415,140.11( (20.124,139.291 (4,,095,282. 3,685.53 14,680,045.05 89,453,5 7,39 61270469-91) 400 3331,41693 1,727,027.40 29,719,54256 (25275,91363) {v1 'A495,743.58 4,115,111.79 4,115,117.79 10,159,527.45 10,159,62715 335,534.74 335,534,74 109,337,195.73 109,337,195.73 214,156,152.72 214,174,811,14 4030,563.1'1 41,783,142,$5 (.CC 0.00 29,10.5,686.57 29,105,88657 44,858,060.37 44,85$060.37 30ML15751 304909,057.51 8,373,36244 8,373,962.09 740,052.45 1,118.85 131,857.65 24,223.54 1274,313.21 1557,251.07 2$ 338,907,15 372 3,121.24 234531.50 463,1[8.56 10,661.64 118,417.41 436 4.17346 4.174% 4.276% 4.350% 4.25096 4.173% 4,097% 4106% 4,295% 0.6B5% 3.634% 4.173% 4,174% 4.276% 4350% 4,254'1x, 4173% 4,097% 4.105% 4.295% 0.685% 1634% Thal 528707,715.84 518,912,53788 634,309.94 829,281,8398 529,546,84722 5166.3,55535 71 3.980% 3,980% ©Hilltop Securities Asset Management, ILL All rights reserved. Page 10 Hilltop Securities 4411D pity of Pearland As of September 30, 2025 Detail of Security Holdings CPN Settle Date Securhy on Maturity Next Cal I Cell Security Des dpti Type Gate Date ParValue PineMkt Days Days t original Cost BoakValue Price Cd11 Market Value O '(EM YTWM Rating 100 -General Fund TXCLA55 WF-Q1K( LC,IP Texa3CLASS MMFUh1D Wells Fargo Gov MM Swap (11sprincq} (GV17tX1 WFFRLDCOMCK RAW DEP Wells Fargo Commercial (Icing 3131FPLIK5 04/02125 AGC(CALL FHLMC 3133EDZ1 C6/05/.25 ACCY FFC6 M0/25 09130125 15,285,570.06 100.020 I57134,570.08 15,285,570[8 IC0A00 /5,285,570/6 1 4350 4,350 AAA 1,045,63150 100000 1,045,6.39.50 1,045,639.50 1 MQ0OO 104S/39.59 1 4.170 4.170 MA 09,/30125 117,02490 100.0X0 117,424.00 11762403 104L00 117,024,00 1 4,100 /.000 SD 4940 05/02/27 12/02125 Quarterly 10,000,{]0).00 99.645 9,964,500.00 9,970,187.08 99.926 9,992,820.00 610 63 4.187 4.187 AA+ 3,675 06/05/28 10,000,400.00 99.820 9,982x60000 9,983,941-34 100342 I4,454r190,00 919 3.939 3.939 AA+ TotaI100-Ganerat Fund 3444t2335B 36,394:73358 36,402,267.00 36,495,24359 436 63 4.173 4,173 200 - Debt Service Fund IXIIA , LC,IP Texas CLASS 09/38/25 MMFUND Wells rage Gov MM 5 eepiAllspring) rGVIVI 101,862.27 1{10.00) 101,862.27 101,662.27 ICOMO 101,852.27 1 4.350 4.350 MA 09/30125 4,013,25552 100,000 4,013,255,52 4,013,255,57 102.000 1,013,25552 1 4.1 T) 4.170 MA Total 200 - Debt Service Fund 4,115,11729 4,115,11739 4,115,117.79 4,115117.79 1 4.174 4174 300- Special Revenue Fund IXCLA55 VLIF•qota LGIP Texas CLASS 09130/25 Wells Fargo Gov MM MMFUND yap (A1lspringl(GV00)09/30/25 6,022,96/.59 100000 6.027,951 59 4022,961 59 1C4 -WD 6022,961.59 1 4.350 4.350 MA 4,136665,96 100940 4,130466.66 4136,665,86 I01000 4136.66526 1 4.170 4170 OA Total 300- Special Revenue Fund 101159,62795 10,159,627.45 16,159,6 27,45 10,159427AS 1 4376 4.276 350 -Grant Fund 1XCLASS I -GP TexasCLA55 09/30/75 335r534.74 100.000 335,534,74 335,534,74 100,[700 335,534.74 1 4.350 4.350 AAA Total 350 - Grant Fund 335,534.74 335534.74 335534.74 33553474 1 4.350 4,350 500 - CIP bend Fund LOGIt TFXSTN3 1 XCLA55 LGP LOGIC LG ' TetSTAR LCF lxas CLASS 41aH i 11top Securities Asset Management, LLC. All rights reserved, 09/313/25 18,871,24735 100.000 18,871,247.65 19,871,247.65 100.003 16,971247165 1 4331 4.331 OA 09/30125 10,770438,74 100.000 10,770,43874 10,770x438,74 1001060 10,7791,438.74 1 4.214 4.214 AAA 09/30125 29,131,630.46 100.000 24,131,630-46 29,131,6.30.46 100.003 29,131,630.46 1 4,350 4.350 MA Page 11 Hillt Securities 4:11 City of Pearland As of September 30, 2025 IDeiail of Security Holdings {.USIP Settle Date Security Security Description CPN Maturity Next Call Cal IType Par Value Purth Original Cost BI)DkValue MktMarketl+alue Rays Days to ,am.YiW Bating Type Date Date Prke Price to way Call w1=- 'xx 1WFPRLOCOMCK MMFUND Wells Fargo Gov MM Sweep(Allsprlrgi (C-iAraj BANK nu, WellsFargo—Commercial Cling 09/30/25 50561,107.77 106.000 50561,107.77 50,50.107.77 100.000 501,561,107.77 1 09/30/25 2,771,11 106000 4.170 4370 AM 2,771.11 2,271,11 100.020 2,771.11 1 0.000 0.000 SD Total 5040 • CI P Brand Fund 550 - Water & 5ewer bond Fund LOCK. TXCLASS LG1 LOGIC L1A Texas CLASS 09/30/25 09/30/25 WF-GWK70C MMFUND Wells Fargo Coy MM 09/3W25 Sweep 1AIIspiingl (GVCIX1 9I282CLM2 00729/25 US GOVT TIM) 3,750 08431/26 91282CJIL8 08/29/25 US GOVT US Ti iryNcile 4,{x25 11/15/76 109,337,195.73 109,337,195.73 1ti9,337,14S.73 109,337,195.73 1 4256 4.250 16044,482.13 100.040 16044.482-13 16,044,482,13 100100.7 16104,482.13 1 4.33! 4331 AM 1+.588,713,61 100000 14,588,743.68 14,5811743.68 1091000 1458474368 1 4.350 4.354 AAA 164,444,749.43 104.000 168,444,70863 168;414,70863 I001004 16$444,70rf 1 4.170 4,170 AAA 500000010 99.844 4,99238750 4,99789687 94.496 4,999804.70 335 3,910 3.910 M+ 16,000066.00 100.918 14,091,746.90 101085321.42 101969 101196,175710 411 3,$30 3,838 AA+ Tota15S8-Water Sewer Bend Fund 660- Water &Sewer Operating Fund TXCLASS LGIP TerasCLASS 09/30/25 VUF XIX MMFUNp wells FargpGp rMM 09/30/25 SweEprAllsprirxjl (gym 91282CKR1 06/09/25 US GOVT U.S. Treasury Note 4.500 05/15/27 91282CND9 06/09/25 US GOVT T,eewryNoie 3.750 05/15/28 214677,934.44 214,161,91884 214,154152.72 214,174,6114.14 28 4.173 4.173 146,571.48 100400 146,571.48 146,91,.08 1001104 140,571-48 1 4350 4350 AM 21,473,685.77 104.000 21473,68537 21,47I,s19.77 100.000 21,473,685.77 1 4,170 4,170 AAA 10,=04000,00 100.859 16,685,93756 10.072715,67 101305 10130,468.74 592 4032 4,032 AA+ 10,060000.00 94305 9,93Q46&25 9,937,5901E 102.324 100322121.90 958 4003 4.003 AA+ Total 600 -Water & Sewer Operating Fund 700 -Internal ServIce Fund TXCLASS WF-L410O1 WFPRLDFILIS LG1P TOW -CLASS MMFUND Wells Fargo Gov MM 5wcrry1A1Ispdngl (GV1) Xl BANK DEP Wells Fargo -Business Cking Plus 0980/25 OCl/39/25 09/30/25 414025725 41,636,66350 41,63056311 41,783,147.85 372 4097 4,097 4085,785.28 100100 9,085,78526 9085,785.28 IO0= 9,085,78528 1 4.350 4.350 AM 16,01$,225.83 1 C4A00 19,0l.8225.83 19018,225.83 140.000 19,01822513 1 4.170 4.170 AM 905.607.12 100.000 906,607.12 Fi17.12 100.000 906,607.12 1 6.680 0,680 SD ©Hilltop Securities Asset Management, LLC. All rights reserved, Fage12 HiIIto Securities City of Pearland As of September 30, 2025 Detail of Security Holdings CUSIP Settle Dale Secunly SeCwity be5cription CPS Maturity Next Cal Cal IType Type Date Date Par Value Punch 0rigina1Cost Book Value Price Mkt Price MarketValue t MCall DaysDays Dt4 1TM YNV Rating WT PRLDmM DANK HPWells Fargo- Comal merci Cklrrg IIn11 0%1130125 95,266..N 10199 75,.>6,A 95,26434 1001X) 95.15$.34 1 Total 700 -Internal Service Fuad 900-PSEDC TACIASS V4T•0VDX LCJ Texas CLASS 09/39/25 Wells Fargo Coy. MM 141h,ITUNp Sweep (Allspilg)(G (GAR lJON25 0.680 9.660 SD 29,195,99657 29,145,9.6657 29,105,99637 29,195,86657 1 4,196 4,106 31,232,727.23 100.000 31,238,72773 31,236,727.23 I960 31,238,727.23 1 4.350 4.350 AM 13,614,333,14 100.000 13,619,333,14 13519,333,14 190.0fA 13,619,333.14 1 4.170 4.170 A.lk4 Total 909-PEDC 929 • DAP IiGNPRLDTSWP 14TPRLI K.6 -t W�iFLN D RegionsEk-Dust Sweep 0W313/25 BANKDEP Wells Fargo- Business 99/30+25 Citing Plus 4.0„658,069_97 44856,064.37 44,856,06037 41,856,060.37 1 4.295 4,29.5 43,49570 104900 43,495.70 43,495,20 196.040 41495,70 1 3954 3,959 AAA 30,765,561.81 }00900 30,765,561$1 30,765,561.81 1O1000 30,765,561.81 1 0980 05&} SD Total92D-IDAP 930 -T1R2 4W-GV1XX WIPHLL1CCFh+ MMFUND WelaFargo Coe MM Sweep {Alspnngl(G14H}Q BANKDEP Wells Fargo- Cc nmemaI Ckng 1IntJ 09/30/25 09/30/25 39,909,05751 39909,05751 30,609,057.51 30,909x(15751 1 0,695 0.665 7,097,773.09 I03OX) 7,087.773109 7,097,77309 100900 7,087,77304 1 4.170 4.170 AAA 1,265,589100 1001000 1785,55900 1,265.599100 100.000 1285,569100 I 0660 03,90 SD Taal 930-TIR2 Grand Tatal 073262-09 6,373,362!09 8273,36209 3;.373,5x09 1 1634 1634 529244,26751 529,287,159.17 524,292,829,99 529,546,84782 71 63 3.960 3.960 {DHIlltap Securities Asset Management, LLC• All rights reserved_ Page 13 HilltopSecurities OP City of Pearlard July 1, 2025 - September 30, 2025 Earned Income CUSP Security Type Security Description Begin mini) Amu ed Interest Interestt1ec'd+ Interest Lndinq Dm Art r1Prem Net Realized Earned 5aldIMatu red Purchased Acuued Am in Gain/Loss NetIniunir O0 -General Fund 31.30ATE29 AGCY CALL FHLB TXCLASS LGIP Texas CLA55 WF•GVIXX MMFUND Wells Fargo Gov MM Sweep (Arguing) iGILS00 WFPRLDCOMCK RANKDEP WellsFargp- CommercialCking 912S2CLH2 L15GOV1 U.S lreasuryi&ate 917R1r.Kt I16GOVT U.S.Treasury iJote 31341- UI5 AGCY CALL FHLMC 3133ETJ21 AGCY FFCD 11,18056 6.03 114,540.13 003 62;669.84 59,060,29 32;222.22 27,9$611 KI694,44 167,&7.72 226,734.48 000 34.1761.14 74,150,$2 100,000.00 96,87500 21,875.00 0.00 WOD 11.03 000 10,694.44 167,$97,72 4-04 OA0 Opd 000 167.897.72 318,598_71 0.04 22,675.90 0.43 0-03 236,734,48 0.00 004 0.00 Opal (ID4 4.00 0.00 0.00 coo 2..60523 8,16588 40832,25 0.04 0.04 QJ04 (!3,496,06} 25,604.11 91,158.87 0.00 OA0 132,222.22 4,324.46 010 IO4,324AG 4.04 0.00 124,861-11 1,435.61 4104 98,31062 Total 140 - General Fund 3071668.15 70111413.60 508,371,43 0.00 279,759.23 X131.15} 33,769,94 74045345 200- Debt Serwlce Fund 1XCLASS LGF Texas CLASS M-(,VIXY MMILRJD Mils Fargo Gov MMSweep (Allspring)(GY'110f) 000 1,118.86 1,118.86 0,00 4.90 0.00 0.00 1,118,86 64,537.51 003 64,537.51 040 090 434 0.00 000 Teta1306- Debt Service Fund 64,537,51 1,11$66 65,65637 0.00 0.00 0,00 044 1,118,86 300 -Special Revenue Fund ry,Clr•„ LEO' Texas CLASS 'NI-:rAhR MMFUNE Weis Fargo Guy MMSweep (AllsprIng)(NM OA0 66156,60 64,156,64 4.00 0.00 0.00 4.00 66,156160 22,199.62 65,7010.5 63,003.44 0,110 24,837,23 0.04 0.00 45,701,05 Total 38a -Special Revenue Fu 22,19962 131.85765 12916004 000 24,89723 0.80 0.00 131,A5166 350 -Grant Fund TKLASS LCIP Texas CLASS 4tr-GviSX 1MFUND wells Fargo GIN i+iNSweep tAllspringl[GVI1441 940 3x685.53 3,665.53 4.00 0,00 0.00 0.03 3,685-53 2,52939 2o,53ao1 10797.51 0.43 12.269.89 0.00 U.00 20,5311.01 Total 350 -Grant Fund 252939 24,2334 14„46304 0.00 1x,269.89 040 0.00 24,22384 500-CIPBdnd Fund LOGE` LGIF LOGIC @Hilltop 5ecurlties Asset Management, LLC. All rights reserved. 0.017 206757.07 206,757.07 0.00 0.00 4.00 206.757_07 Page 14 Hilltop Securities ifilP City of Pearland July 1, 2025 - September 30, 2025 Earned Income CUSIP Security Type Security Description Beginning Accrued Interest Interest RiCdl famed SoId1Matured Interest Purchased Ending Disc A ccr/Prem Nei Realized Accrued Anion Gain/Loss rid Inromr TE7fSTAR IXCLASS WFFRLDCOMCIK LOP LOP MMFUND BANK DDEP h'xiSfAII TWOS CLA55 Wells F-argoGov AIM Sweep(/tillspring)[CM 0 V s.FargO CCarrleiti.31Cking 0.00 181,12333 aco 114,963$1 310,98176 632.60837 0104 114,963131 319,993,76 564149.72 0106 0.00 800 0.00 000 0.00 0.00 249,582,18 0.00 aas 000 0116 0.03 000 0.00 0.00 4.00 114,96181 319,98176 632,Cg8-57 OAO Tott1500-01P Bond Fund 1181,12333 1,274,313.21 1,205,85436 O00 249,592.6 0.00 0.110 1,274,,913.21 550 -Water & Sewer Bond Fund LOGIC TXCLA5S Wf-GV1X]t 9I282CLH2 91282CJKB IGIP LGIP MMFUND Us 6CRIT us G.CP/T LOGIC TemasCLASS wolfs Fargo GsprInq),(GVI X1 U.S Treasury Note 11.5..Treami Note 090 175,786.46 175,786.46 0.00 160,243/0 164,243.70 2700,432.37 1,278443.19 978,158.45 000 17,015.65 93,750100 094 41,474.18 040 0.00 000 000 0.00 0540 570)14,11 000 16456,63 0 €U 174,694.29 000 000 000 7(9.37 16,475.481 003 1175,7%46 0160 160,243.70 0 C0 1,278,440,19 0560 17,785.02 060 34,9983,10 Total 550 -Water& Sewer Bcnd Fund 270,43237 1,673,02019 1407,9.38.61 0.00 761,465.03 {5,766,14 0.00 1,667,254.07 640-Wmr& Sewer 4pemtingFund TXCI_ASS WT-GV40C 9 1 282018 1 1 41 12CNf79 LGIP WRAC US GOVT Us COW lens CLASS Wells Fargo Gor WA Sweep f}pring11GVXX1 U.S. Treasury )4 tr U.S. Treasury Note 000 98,8`?4.37 57,472.83 47,894.02 11609.96 1609.96 135,876 31 210,851.53 112,50100 0100 93,75000 Cleo 0106 010O 006 00 0100 23,91315 169,97223 141,64402 800 0.40 D0,6717251 5,747 12 002 000 000 0.W 1,609.96 135,870.31 101,$2075 99,497.12 Total 600- Water & Sewer Operatl ng Fund 204,26122 343,730.27 217,461,49 444 335,530.00 (0923.121 0.00 338,807.15 610-Solldwasta OperatingFund l,.41 GOY Iti,4AiFUI+I Wells FangoCrorvMMSweep 1Mtpring) 4C,VE0q 092 3,12124 3,121,34 0.00 0GO 4.{10 0(10 3,121.24 Total 610- Salldwaste Operating Fund 3,121.24 3,121.24 0.00 0.00 0.00 0.00 3,12124 700 -Internal Service Fund HiIltopSecurities Asset Management, LLC. All rights reserved. Page 15 Hilltop Securities City of Rea rind July 1r 2025 - September 30, 2025 Earned Income Cu 51 Security Type Security Description Beginning Aecruetl Interest Interest Redd, Interest Ending Disc Accr/Prem Net Realized Earned 'Sold! Matured Purchma>rl Accrued Amart GainRoss Net Income LGIP MMFUND BANK DEP BANKL3(P Texas CLASS VikPsFariyo(Kw Mk+1Swveep Ilsprirtg}rGVI?GCI At -L largo - Business Clang Pius Wet Fargo - Ccounercial (king 1lnrl 803 20397.94 94,798,85 129,819.97 0A4 79020 00) 125.47 99,799.85 91,140.11 79020 125.47 000 000 ODD 9100 0.04 $9,077,76 0.00 11110 0.05 COD 0.00 01.00 000 0.00 DOD 0.00 99,79086 129,01997 790.20 112S/47 Total MD -Internal Service Fund 20,397,90 23453450 191,854,54 000 59,077.74 4,00 0.00 2311.53430 900- PEDC 3130ATE29 AGCYCALL FHLR 22,361,11 21,366,09 43,750X4 0x0 (00 oJX) 0.00 71,39689 TKCLA5S LGIP Texas (LASS i100 343,128.72 343,12822 4x0 0.00 0A0 020 343,12612 15F-GV1 S MMFUND Vies. Fargo Gov VIM Sweep (Allsprlrrg}(G911dg 27,361,70 98.651.47 83,397.07 ODD 42,616,10 CLOD 000 98,651.47 Total 900-PCDC 49,722.k1 463,168-58 470,275,29 000 42,616.10 0.09 0,40 453,166.51# 920 -DAP RC IPRLDTSWP MMFUND AeyicnsBkTtuseSweep W1P111Fll1U5+ RAFEDEP WE1KFargo -BuslnessCkingPlus 13743 3,26044 2,684.93 0.00 707.94 CL40 0.00 3,260,44 4X4 7427.20 742730 020 000 040 0.02 7.42720 Tota1920-DAP 13243 10,447M 10,112.13 000 307.94 000 O.D0 10,607,64 930-11RZ Ylf-GV110f MMFUND V2ellsFargo GowMMSweep (Allspringl(GVIYDCI 36309-2'S 86,31420 103.07.78 0.02 22,12547 0.70 020 96314.00 44FPRLGC0M+ BANKD]EP We%Fargo -Ccrrin cialGirx3Qnr) 0X4 32,103.47 32,103.47 020 0.00 040 4X0 32,103.47 Total 930-11R2' 36,309,25 118,41747 1321601.25 000 22,125.47 COD 0.00 118,41747 Grand Total 1.159313,98 4.980.606.75 4351,889.09 000 1,7$9,030.03 (10,820.391 33,769.99 5,093.55635 *Hilltop Securities Asset Managernent, LLC. All rights reserved. Page 16 Hilito Securities Jra? City of Pearland July 1, 2025 - September 30, 2025 Investment Transactions ty CU51P Trade Date Settle Date Security Type Security Description Coupon lalatuDnate Call Dale Par Value Prire Interest Pri,tclPal Pur[hasedi Total Amount Realized Gain! VIM YTW known fleeeived Loss 100 -General Fund Coupon 3130ATE29 09/29/25 09129/25 AGCYCALL FHLB Total Coupon Maturity 3130A1 29 09/29/25 09,29/25 AGCY CALL fIILB Total Maturity 4375 09/29/25 ODD 0.00 211875.00 21,875.00 G.1k1 4375 09129/25 TransferOut ')1262CJK5 08/29/25 08/2O/B USGOYT US. Treasury Hole 912B2CLI12 08/29/25 O7/29/25 US GOVT US. Treasury Note 0.00 0.00 21,67590 21,1375OD 0.00 (1,f0ti000>X4} 100,000 1.00)W1t0 0.00 1100=00 000 {lA0DA00,001 1,000,000.00 0.00 1,00000690 040 4625 11/15)26 (IWp 1,000.00) 100.418 10091,79690 133 nn 11 10,225,017.01 25,604,11 3350 08/31/26 159100,9000} 99844 0992,18730 92'/3096 510&1.91&46 8,165.86 TutalTransfer Out 191M,OR4Af} 215,951.04 15,309$5,40 33,76%00 556 -Water & Sewer Bond Fund Coupon 912B2CLI12 0$x31/25 08.+31/25 1.1S GOVT US TreiguryNote 3,750 QB/31/28 0 fxl 0.00 93,750.80 93,750.00 0.00 Tote Coupon Transfer In 91282O1/6 08/29/25 08/29/25 USGOV( US. lreawryNote 91)82(1H2 08/29125 Cr8/29/25 US COW U.S.Treasury Note 0.00 0.00 93,754,00 93,750,40 0,00 4625 II/15/26 I0,CC0,000.00 1D3.918 10,091,795,9) 133,224.11 101225017,01 0,{10 3.750 OW31/26 5A00,000.0D 49.644 4992187.50 92,73096 5,084,91&48 0.00 Total Transfer ln 15,000,000,08 15,481,964-40 225$1,0 1$1,309,935.49 0.00 940-PIUC Coupon 3 (IATf l9 09/29/25 09/29125 AGCYCALL FHLB 4.375 09/2w25 0.00 0.03 43,75090 13,75000 0na Total Coupon 098 Maturity 3130A1E29 09/29/25 09/29/25 AGCYCALL FHLB 4.375 09/29125 0..00 43,750.00 43,75000 0100 {2,004,400,00} 109090 2,9001000.00 OAP 2,000,0X404 DLO KrHIlltop Securities Asset lutanag etnent, LLC. All rights reserved. Page 17 HilltopSecurities 4$11) City of Pearland July 1, 2025 - September 30, 2025 nvestment Transactions CUSP TradeDate Settle Date Security Type Securltydescrlption Coupon Maa Call Date Pia Value Price Puindpal Amount Interest Realized Cain/ Purchased, TatalAmount Lass YTM YT4hr Received Total MaturIty IZIHFIltop SeCurlties Asset Management, L!_C, All rights reserved. ( 1 OO 2,000,000.00 0.04 7=000.00 Page 18 Hilltop ecurities TS? City of Pearland July 1, 2025 - September30, 2025 Investment Transactions Totals iransactinnType Quantity Principal Amount IILcrest Tad I A mount I;ealizedG.L VT NI VT'Ar Fetal Maturity Total Cowan TatalTransfer ln Total Transfer Out ( 04:10,0:)0 CO) 0.00 150:Cu: U,OO (15,0901:03130) 3,000A0().00 a0o (15,01 914 I'3) 15,063.934.40 OX 159,315.00 225,95 r .69 (225951,h 3,00gOO1CO 159,375_(70 (15,369,935.49) 15,30,9,935A9 000 oeo 0(10 33,76999 4375 1862 4,065 4.375 3352 4X355 @H I Iltap Securities Asset Management, LLC. All rights reserved. Page 19 Hilito Securities !P City of Pearlanol _July 1, 2025 - September 30, 2025 Amortization and Accretion CUSP Settle Date Security Type Security De€cri Mien Pur€haseQly 4rigPrice Original Cost AmorUAccrfor TotalAmort//kcr Remaining Disc) Ending Book Period $In;ePur;h Prerni urn Value 100 -General Fund g1282CLH7 05/14/25 US GOVT US.TreasuryNote 91282C114B 05/30/25 US CANT U5.TreasuryNote 3134HBUK5 06/442/25 AGCY CALL FHLMC 3133E -W1 06/05/25 AGO FFCB 000 0.000 0.90 2605.23 DAD 4.000 D.00 1&46.06) 10,0p7,000A0 99145 9,954,540199 4.3,24.46 I0,C4,000.00 99.82.0 9,982,90404 1,435.62 MO 0.00 OW 0.00 0AD OM 5,687/18 (29,81292} 9,970,1 S1ip8 1,$41.34 (16,1 ,53,06 9,983,&4134 Total 100 -General Fund 19,946490000 (131.15] 7,528.42 {45,911.58) 19.954,021142 550 -Water 8, Sewer Bond Fund 9128X1 I2 08/29/25 USG0V'T US.Tre sury1tte 91282CJK6 08/29/25 USG0/T US. Treasury Note 5)0D),2001U0 99.844 4,992,187.50 704.37 70937 (7,10313] 4,992,89687 18/000 00.90 140.916 10,091,79690 16,475,48) {6,97548) 85,321.42 10085,321.42 Total 550 -Water& Sewer Bond Fund 1 S,UUQ,000310 15)283,984A0 (5}766.12] (5766.12) 7B,21R26 15,07$,21$26 600 -Water &Sewer Operating Fund 91262Ci(k1 06!(191'25 US (kW US.TreasuryMote 91282CrV119 05/09/25 US GOVT U5.TreasuryNote I0pCQ000AW 100.859 10,085937.50 11017025) (13,22113) 72,71$.67 10,072,715,67 10,<7C1'.1,A40.99 99,105 9,930,468.75 5,747.12 7,12143 (62,409B21 9.937.590.18 'kW 60D -Water& SewertOperating Fund 20O)6,000.00 2$016,406x25 Ft923.12) (404039) 10,305-8G x4010305.66 Grand Tot st 55000,000-00 55,446,890.65 110,82039) (4.336.09) 42,552.56 55,042,55256 ?Hilltop Securities Asset Ma nag erne nl, LLC. All rights reserved. Page 20 Hilltop Securities JOIP City of Pea rland September 30, 2025 to September 30, 2026 Projected Cash Flows CUSIP SerurIty Oescriptkgn Post Date Intcrt' Prinr.ilr I Thirst Arnounr 11.0-GeneralFund 31341 fUrS 3134F1BUI S 3133UJ i 3133ETJ21 MO -Water & Sewer Bond Fund 9128X,($ 91282CLH2 912820$ 9128201-12 91282CLH2 6411 -Water &Sewer Operating Fund 91282CNI19 9t282CIGR1 4k282O.211 91282CNL19 11LMC FHLMC FFCB FFCB U.S. Treasury Nose 4 621 11/I5/2Q6 US. lreasury Note US. Treasury Note US. Treasury Nate U.5. Teaasury Nose US. 1reasury Nde3.7505/15/2028 U.S. Tieastny Note 4.5 05/150027 US. Treasury Note U.S Treasury Note 12/02/25 I2/D2/25 I2/05/25 05/D5/26 Ik/17/25 03/D2/26 05/15/26 0PJ31/26 08/31/26 11/17/25 11/17/25 05/1512.6 05/15/26 200,000.00 193154.00 193,750.00 231,250.00 93,750.00 231,250.00 93,754.03 187,5DIVO 275,004.00 225,044.00 187,504.00 10.004 100.00 5,040,000 02 .Og0C4.40 10.400=00 193,750.00 193,75100 231,25400 93,750.40 231,25404 93,75000 5A04A�nAJ 187,50004 225/XUAO 225,00000 187,50U44 Grand Total 2po;.500A4 15,000,000.00 17,062,SC0.40 ©Hilltop Securities Asset Management, LLC_ All rights reserved. Page 21 Hilltop ecurities..Oil City of Pearland September 30, 2025 to September 30, 2026 Projected Cash Flows Totals 4.1onth and Year I nteresl Principal TotdI Amount Noweyifrr 2025 December 2025 Match 2026 May 2026 Jure 2426 Aug1st2026 643,7500D 393,75WX 93,7500D 643,750.00 193,75004 93,750.00 5A0Q0DD160 &43,750174 10,393,750170 93,754A0 643,750A0 193,7541} 5,093,750D0 Trial 202,50INAO 5,000,00aco 1T,062,51=11 S7,500,000 S5,000,000 S2,S4U,040 SQ Nov .25 I)uc. ElHiI'top Securities Asset Management, LLC. All rights reserved_ • MO. • • Pirn[:paI r 2(r May 2fr 74111 2E. Auq-2(7 Page 22 Hilltop Securities 4:411" City of Pea rland As of September 30, 2025 Disclosures & Disclaimers A5 Courtesy to inueslors this Informationn (1) is provided for informational purposes only; (2) should not be construed as an offer to sell or a ioli[itatIon elan efferto buy any security and (3) dies not repfac.Customer statements. This report is designed to provide general information and Is not Intended to provide spec& legal, investment, accounting, tax or other professional advice It I5 important to review and save al sourcedonrments provided bya product sponsor or brokerage firm which maycontain motto „ disclosures and other information important to you and may aka servo as a rnterericre, if conflicts between this report and sponsor reports or Lonflrnialion5 eslst, theinforrnatlon provided by the product sparsars shall prevail. Fees and sales charges paid may not be reflected In the Information. The Information and data contained herein is obtained from sources believed tope Fellatio but Its accuracy or completeness Is not guaranteed- Additionally, the information may contain assets held away from HTS, therefore Investors Should contact customer service or otlserfepresenlativcs from the respective distributors or issuers to determine SIPC coverage for heldaway assets. HIS and HSAM do riot �jisirars!ee the information contained herein or its accuracy or completeness regarding (antributions,withdrawals, protected values- All Information is sut>t to fur Cher review With Client to validate final values, It is not possible to directly invest in an.tderc Financial forecasts, rates of return. risk, inflation. and other assumptions may be used as the basis for IlusrretIons.They should not be considered a guarantee of future performance or a guarantee of achleving overall financial objectives. Past performance Is not a guarantee ora predictor of future results of either the indices or any particular investment. S&P rates thecredltworthlness of individual bonds from; AAA highest to I) lowest. Investing in fixed income securities involves Interest rate risk, credit risk, and inflation risk. tnterest rate risk is the possibility that bond prices will decrease because of an interest rate inceease. When interest rates rise, bond prices and the values of fixed income securities fall. When interest rates sal, bond vial. and the values of fixed income securities rise -Credit risk is the risk that a company will not be able to paylls debts, Including the interest on its bonds, Inflation risk is the possibility that the Interest paid on an investment in bonds will be lower than the inflation rate, decreasing purchasing power, Cash alternatives typically Include money market securities and 115, treasury bills. Investing in such cash alternatives involves inflation risk- In addition, investments in money market securities may involve credit risk and a risk of principal loss. Because money market securities are neither insured nor guaranteed by the federal Deposit insurance Corporation or any other gpvemrnenr agency, there is no guarantee the value of your investment wil be maintained at S1Myer share, and your shares, when sold. may be worth more or less than what you ariginally paid for them_ U.S. Treasury bills are subject to market risk if sold prior to maturity. Market risk is the possibility that the value, when sold might be less ihan the purchase price, lrwestintg in stock securities involves volatikty risk market risk, business risk, and industry risk. The prices of most stocks fluctuate, ValaAAity risk is the chance that the value of a stock will fal. Market risk Is the chance that the prices of all stocks will fall due to conditions iis the economic environment. Business risk is the chance that a specific company's stock will fall because of 155tres affecting it. Industry risk Is the chance that a set of factors particular to an industry group will adversely affect stock prices within the industry. Securities offered by HTS (lii ate not FDIC (Fedeial Deposit insurance Corporation) insured: 12) arenat bankdeposfls: (3} are not guaranteed by any bank of by any, other federal governrnent agency_ None of the Warned entitles are affiliates of FITS or HSAMliriltop Securities Asset Management (HSAM) is an SEC.rcglstered investment advisor. Hilltop Securities Inc. (Hf5) isa registered broker -dealer, registered investment adviser and municipal advisor firm that does not provide lax or legal advice_ Merrrber of FINRAEr SIPC. HIS and HSAMare wholly owned subsidiaries of Hilltop Holdings, Inc, (NYSE: FHTH) located at 717 N. Harwood St., Suite 340q, Dallas, Texas 75201, (214) R59-1800, 833-lHILL1CP Copyright 2025, S&P Global Market Intelligence. 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All rights reserved, Page 23 INVESTMENT REPORT City of Pearand October 1 to December 31, 2025 HilltopSecurities.IMP ©Hilltop Securities Asset Management, LLC. All rights reserved. Hilltop Securities 4410 Contents Market Recap 3 Investment Officers' Certification 4 Portfolio Overview 5 Portfolio Overview 6 Asset Allocation 7 Credit Rating Summary 8 Benchmark Comparison 9 Fund Overview 10 Detail of Security Holdings 11 Earned Income 14 Investment Transactions 17 Investment Transactions Totals 18 Amortization and Accretion 19 Projected Cash Flows 20 Projected Cash Flows Totals 21 Disclosures & Disclaimers 22 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 2 fa? Hilltop Securities City of Pearland As of December 31, 2025 Market Recap December saw the return of official government data following the 43 day shutdown. After two months of relying on private sources, financial markets finally received delayed October and November readings on inflation, the labor market, economic growth, and consumer sentiment. Labor market data remained overwhelmingly negative throughout December. Private sector employment data showed more weakness ahead of the FOMC meeting, with the November ADP report revealing a 32k decline in payrolls, the largest monthly drop since early 2023. Small businesses shed 120k jobs, the biggest pullback since May 2020, while larger firms managed modest gains. Challenger's layoff data showed more than 1.17 million job cuts year to date, already the highest since 2020. By the time the BLS finally released its combined October —November report, the unemployment rate had jumped to 4.6%, and the underemployment rate rose sharply to 8.7%, reflecting a combination of lower survey participation, discouraged workers re entering the labor force, and softening in economic conditions. Payrolls increased a modest 64k in November after a steep 105k decline in October, and the three month average pace of job growth slowed to just 22k, down from 62k prior to the shutdown. The weak job market has fed directly into collapsing consumer confidence. Both the University of Michigan and Conference Board measures slid toward multi decade lows, with Michigan's current conditions index hitting its lowest reading in nearly fifty years. Confidence eroded further as households continued to struggle with higher prices, slower wage gains, and a cooling job market. Retail categories tied to discretionary spending showed weakening momentum, while hiring freezes broadened across cyclically sensitive sectors such as manufacturing, transportation, information services, and finance. With October CPI data never collected, the November CPI release only provided year over year changes. Even with the data disruptions, the numbers were striking, headline CPI unexpectedly fell from 3.0% to 2.7%, while core CPI softened from 3.0% to 2.6%, both reaching their lowest levels since early 2021. Shelter costs showed a questionable deceleration, posting their smallest two month increase since the early months of the pandemic. Economists warned that shutdown related distortions may unwind in the coming months, but the overall picture reinforced the idea that the Fed's restrictive stance is continuing to exert downward pressure on inflation. The Federal Reserve delivered its third consecutive 25 basis point cut at the December 10 meeting, lowering the target range to 3.50%-3.75%.The vote was fractured, with three dissents, the most since 2019, as Chicago's Goolsbee and Kansas City's Schmid argued for no change while Governor Miran pushed for a larger 50 bp move. Chair Powell described the decision as a "close call," noting that neither inflation nor employment data made a compelling case for easing, but the committee felt"well positioned to wait and see" heading into 2026. The updated Summary of Economic Projections offered mixed signals: the 2026 GDP forecast was revised sharply higher to 2.3%, while core PCE was nudged down to 2.5%, supporting the view that tariff related inflation pressures might be fading. Later in the month, the economy delivered another surprise when Q3 GDP was revised up to 4.3%, the strongest quarterly growth in two years and well above every major forecast. Personal consumption remained the engine of expansion, while net exports provided an unusually large boost as imports fell sharply. But the stronger growth also pushed the GDP price index up to 3.8%, and the core PCE index rose to 2.9%, complicating the Fed's inflation narrative and reinforcing the idea that rate cuts in early 2026 are assured. Strong GDP with rising unemployment will be a challenge for policymakers next year, especially in an economy increasingly shaped by rapid technological changes and investment. As the year wraps, the economic landscape remains uncertain marked by strong top line growth but weakening labor momentum, easing inflation but distorted data, and a Fed that cut while signaling caution ahead.The path of monetary policy early in 2026 will hinge on whether the economy's apparent strength proves durable or whether the growing signs of labor market softening begin to dominate the narrative. ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 3 HilltopSecurities.all City of Pearland As of December 31, 2025 Investment Officers' Certification This report is prepared for the City of Pearland (the"Entity") in accordance with Chapter 2256 of the Texas Public Funds Investment Act ("PFIA"). Section 2256.023(a) of the PFIA states that:"Not less than quarterly, the investment officer shall prepare and submit to the governing body of the entity a written report of the investment transactions for all funds covered by this chapter for the preceding reporting period."This report is signed by the Entity's investment officers and includes the disclosures required in the PFIA. The investment portfolio complied with the PFIA and the Entity's approved Investment Policy and Strategy throughout the period. All investment transactions made in the portfolio during this period were made on behalf of the Entity and were made in full compliance with the PFIA and the approved Investment Policy. ®Hilltop Securities Asset Management, LLC. All rights reserved. Investment Officers Tenecha Williams interim Director Of Finance anya Luong Controller Chan Tran Finance Analyst Page 4 Hilltop Securities 4410 City of Pearland October 1, 2025 - December 31, 2025 Portfolio Overview Portfolio Summary Prior 30 Sep -25 Current 31 Dec -25 Par Value Original Cost Book Value Market Value Accrued Interest Book Value Plus Accrued Market Value Plus Accrued Net Unrealized Gain/(Loss) 529,240,267.52 529,287,158.17 529,282,820.08 529,546,847.82 1,788,030.83 531,070,850.92 531,334,878.65 264,027.74 517,772,078.07 517,854,468.72 517,824,015.89 518,123,912.02 1,193,568.82 519,017,584.71 519,317,480.84 299,896.13 Income Summary Current Period 1 Oct -25 to 31 Dec -25 Interest Income Net Amortization/Accretion Realized Gain/(Loss) Net Income 4,938,902.02 (17,513.62) 26,898.88 4,948,287.28 Fiscal Year -to -Date 1 Oct -25 to 31 Dec -25 Net Income Asset Allocation Transaction Summary • AGCY 1.93% BANK DEP 1.23% • LGIP 29.59% • MMFUND 60.48% • US GOVT 6.77% 4,948,287.28 Portfolio Characteristics Prior 30 Sep -25 Current 31 Dec -25 Yield to Maturity Yield to Worst Days to Final Maturity Days to Effective Maturity Duration 3.980% 3.745% 3.980% 3.745% 71 53 61 53 1.74 1.56 Transaction Type Quantity Principal Interest Total Amount Realized Gain/Loss Call Redemption Coupon (10,000,000.00) 0.00 10,000,000.00 0.00 0.00 1,037,500.00 10,000,000.00 1,037,500.00 26,898.88 0.00 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 5 Hilltop Securities. City of Pea rland As of December 31, 2025 Portfolio Overview Maturity Distribution by Security Type Top Ten Holdings 1OO% 5O% O% • AGCY 1.93% • MMFUND 60.48% • US GOVT 6.77% BANK DEP 1.23% • LGIP 29.59% 91.3 1.0 1.9 1.9 3.8 � �`°ter' �`°ter �`°��r' mac' ea`S -KO> y J J J oj cri" Maturity Distribution by Security Type Issuer Allocation WF 61.71% TXCLASS 20.67% LOGIC 6.81% United States 6.77% TEXSTAR 2.10% Federal Farm Credit Banks Funding Corporation 1.93% Regions 0.01% Security Type Overnight 0-3 Months 3-6 Months 6-9 Months 9-12 Months 1-2 Years 2-3 Years 3-4 Years 4-5 Years Portfolio Total AGCY 9,985,287.62 9,985,287.62 BANK DEP 6,390,546.37 6,390,546.37 LGIP 153,198,403.54 153,198,403.54 MMFUND 313,183,128.16 313,183,128.16 US GOVT 4,994,850.27 10,066,654.42 10,061,770.50 9,943,375.02 35,066,650.20 Total 472,772,078.07 4,994,850.27 10,066,654.42 10,061,770.50 19,928,662.64 517,824,015.89 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 6 Hilltop Securities. City of Pea rland As of December 31, 2025 Asset Allocation Asset Allocation by Security Type as of Asset Allocation by Security Type as of 30 -Sep -2025 • Book Value Basis Security Distribution • AGCY 1.89% • AGCY CALL 1.88% ▪ BANK DEP 6.27% • LGIP 28.65% ▪ MMFUND 54.69% ▪ US GOVT 6.63% 31 -Dec -2025 • AGCY 1.93% • BANK DEP 1.23% • LGIP 29.59% • MMFUND 60.48% ▪ US GOVT 6.77% Security Type Prior Balance Prior Allocation 30 -Sep -25 30 -Sep -25 Change in Allocation Current Balance Current Allocation 31 -Dec -25 31 -Dec -25 Yield to Maturity AGCY 9,983,841.34 1.89% 0.04% 9,985,287.62 1.93% 3.939% AGCY CALL 9,970,187.08 1.88% (1.88%) 0.00 0.00% BANK DEP 33,172,821.38 6.27% (5.03%) 6,390,546.37 1.23% 0.479% LOP 151,623,555.33 28.65% 0.94% 153,198,403.54 29.59% 3.955% MMFUND 289,443,890.81 54.69% 5.79% 313,183,128.16 60.48% 3.680% US GOVT 35,088,524.14 6.63% 0.14% 35,066,650.20 6.77% 3.951% Portfolio Total 529,282,820.08 100.00% 517,824,015.89 100.00% 3.745% ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 7 Hilltop Securities.. City of Pea rland As of December 31, 2025 Credit Rating Summary Rating Distribution Book Value Portfolio Alloc Secured Deposits (Insured or Collateralized) Demand Deposits 6,390,546.37 1.23% Total Secured Deposits 6,390,54637 1.23% Local Government Investment Pools & Money Market Funds AAA 466,381,531.70 90.07% Total Local Government Investment Pools & Money Market Funds 466,381,531.70 90.07% Long Term Rating Distribution AA+ 45,051,937.82 8.70% Total Long Term Rating Distribution 45,051,937.82 &70% Portfolio Total 517,824,015.89 100.00% Allocation by Rating AA+ 8,7046 • AAA 90.O7% • SD1,23% ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 8 Hilltop Securities 4410 City of Pearland As of December 31, 2025 Benchmark Comparison 5.00% 5.0O4b 4.0O 3,00% City of Pearland 6 Month CMT - TexStar • 3. ti4 r4A '4 �▪ A �b �� yP . A ,�4 id �sy .1t7 ,�`-) .4h r{ } k''1 i`� 7 Yield Overview Jan -24 Feb -24 Mar -24 Apr -24 May -24 Jun -24 Jul -24 Aug -24 Sep -24 Oct -24 Nov -24 Dec -24 Jan -25 Feb -25 Mar -25 Apr -25 May -25 Jun -25 Jul -25 Aug -25 Sep -25 Oct -25 Nov -25 Dec -25 City of Pearland - 4.84 459 459 4.44 4.24 421 4.18 4.43 438 433 432 4.06 3.98 4.13 3.89 3.75 6 Month CMT 5.43 5.39 5.36 5.33 5.33 5.34 5.34 5.29 5.16 5.00 4.84 4.66 4.50 4.39 4.34 4.30 4.28 4.27 4.28 4.25 4.18 4.11 4.02 3.91 TexStar 532 530 5.30 5.31 531 531 531 5.29 5.13 4.87 4.71 4.56 439 436 4.34 4.33 4.30 4.28 430 4.29 4.21 4.12 3.98 3.82 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 9 Hilltop Securities at° City of Pearland October 1, 2025 - December 31, 2025 Fund Overview Fund Name Prior Book Value Prior Market Value Changes to Market Current Book Value Current Market Value Net Income Days to Final Mty YTM YTW Value 100 -General Fund 200 - Debt Service Fund 300 - Special Revenue Fund 350 -Grant Fund 500-CIP Bond Fund 550 -Water & Sewer Bond Fund 600 -Water & Sewer Operating Fund 610 - Solidwaste Operating Fund 700 -Internal Service Fund 800 - Long-term Debt Fund 900-PEDC 920 - DAP 930-TIRZ 36,402,262.00 36,495,243.58 (4,397,989.08) 32,011,372.12 4,115,117.79 4,115,117.79 20,997,590.26 25,112,708.05 10,159,627.45 10,159,627.45 3,575,495.94 13,735,123.39 335,534.74 335,534.74 3,499.77 339,03431 109,337,195.73 109,337,195.73 (8,461,348.76) 100,875,846.97 214,156,152.72 214,174,614.14 (14,685,746.32) 199,456,817.86 41,630,563.11 41,783,147.85 11,253,413.04 52,854,597.10 0.00 0.00 0.00 0.00 29,105,886.57 29,105,88637 (1,735,730.04) 27,370,15633 0.00 0.00 148,955.17 148,955,17 44,858,060.37 44,858,060.37 2,405,559.28 47,263,619.65 30,809,057.51 30,809,057.51 (26,138,711.60) 4,670,345.91 8,373,362.09 8,373,362.09 5,612,07634 13,985,438.63 32,097,25430 25,112,708.05 13,735,123.39 339,03431 100,875,846.97 199,488,867.82 53,036,560.89 0.00 27,370,15633 148,955.17 47,263,619.65 4,670,345.91 13,985,438.63 585,141.76 0.00 125,359.25 36,664.48 1,230,819.03 1,845,072.83 347,673.38 2,126.98 277 3.899% 3.899% 1 3.681% 3.681% 1 3.808% 3.808% 1 3.969% 3.969% 1 3.831% 3.831% 23 3.737% 3.737% 259 3.809% 3.809% 246,303.44 1 3.725% 3.725% 0.00 1 3.680% 3.680% 447,119.98 1 3.873% 3.873% 6,379.59 1 0.510% 0.510% 75,626.57 1 3382% 3.382% Total 529,282,820.08 529,546,847.82 (11,422,935.80) 517,824,015.89 518,123,912.02 4,948,287.28 53 3.745% 3.745% ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 10 Hilltop Securities 4410 City of Pearland As of December 31, 2025 Detail of Security Holdings CUSIP Security Maturity Next Call Purch Settle Date Security Description CPN Date Date Call Type Par Value PriceOriginal Cost BookValue Type Mkt Days to Market Value Days YTM YTW Rating Price to Mty Call 100- General Fund TXCLASS WF-GVIXX WFPRLDCOMCK LGIP Texas CLASS MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) BANK DEP Wells Fargo - Commercial Cking 3.969 12/31/25 15,477,403.16 100.000 15,477,403.16 15,477,403.16 100.000 15,477,403.16 1 3.969 3.969 AAA 12/31/25 6,533,49234 100.000 6,533,49234 6,533,49234 100.000 6,533,492.34 1 3.680 3.680 AAA 0.000 12/31/25 3133ETJZ1 06/05/25 AGCY FFCB 3.875 06/05/28 15,189.00 100.000 15,189.00 15,189.00 100.000 15,189.00 1 0.000 0.000 SD 10,000,000.00 99.820 9,982,000.00 9,985,287.62 100.712 10,071,170.00 887 3.939 3.939 AA+ Total 100 -General Fund 200 - Debt Service Fund TXCLASS WF-GVIXX LGIP Texas CLASS 3.969 12/31/25 MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 32,026,084.50 32,008,084.50 32,011,372.12 32,097,254.50 277 3.899 3.899 101,862.27 100.000 101,862.27 101,862.27 100.000 101,862.27 1 3.969 3.969 AM 12/31/25 25,010,845.78 100.000 25,010,845.78 25,010,845.78 100.000 25,010,845.78 1 3.680 3.680 AAA Total 200 - Debt Service Fund 300 - Special Revenue Fund TXCLASS WF-GVIXX LGIP Texas CLASS 3.969 12/31/25 MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 25,112,708.05 25,112,708.05 25,112,708.05 25,112,708.05 1 3.681 3.681 6,085,783.62 100.000 6,085,783.62 6,085,783.62 100.000 6,085,783.62 1 3.969 3.969 AAA 12/31/25 7,649,339.77 100.000 7,649,339.77 7,649,339.77 100.000 7,649,339.77 1 3.680 3.680 AAA Total 300 - Special Revenue Fund 350 -Grant Fund TXCLASS LGIP Texas CLASS 3.969 12/31/25 13,735,12339 13,735,12339 13,735,12339 13,735,12339 1 3.808 3.808 339,034.51 100.000 339,034.51 339,034.51 100.000 339,034.51 1 3.969 3.969 AAA Total 350 -Grant Fund 500- CIP Bond Fund LOGIC TEXSTAR TXCLASS LGIP LOGIC LGIP TexSTAR LGIP Texas CLASS 3.952 12/31/25 3.825 12/31/25 3.969 12/31/25 339,03451 339,03451 339,034.51 339,034.51 1 3.969 3.969 19,066,666.79 100.000 19,066,666.79 19,066,666.79 100.000 19,066,666.79 1 3.952 3.952 AAA 10,878,676.22 100.000 10,878,676.22 10,878,676.22 100.000 10,878,676.22 1 3.825 3.825 AM 29,404,149.88 100.000 29,404,149.88 29,404,149.88 100.000 29,404,149.88 1 3.969 3.969 AAA ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 11 Hilltop Securities 4410 City of Pearland As of December 31, 2025 Detail of Security Holdings CUSIP Security Maturity Next Call Purch Settle Date Security Description CPN Date Date Call Type Par Value PriceOriginal Cost BookValue Type Mkt Days to Market Value Days YTM YTW Rating Price to Mty Call WF-GVIXX WFPRLDCOMCK MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) BANK DEP Wells Fargo - Commercial Cking 12/31/25 41,523,582.97 100.000 41,523,582.97 41,523,582.97 100.000 41,523,582.97 1 0.000 12/31/25 3.680 3.680 AAA 2,771.11 100.000 2,771.11 2,771.11 100.000 2,771.11 1 0.000 0.000 SD Total 500 - CIP Bond Fund 100,875,846.97 100,875,846.97 100,875,846.97 100,875,846.97 1 3.831 3.831 550 - Water & Sewer Bond Fund LOGIC LGIP LOGIC 3.952 12/31/25 16,210,629.01 100.000 16,210,629.01 16,210,629.01 100.000 16,210,629.01 1 3.952 3.952 AAA TXCLASS LGIP Texas CLASS 3.969 12/31/25 14,708,877.49 100.000 14,708,877.49 14,708,877.49 100.000 14,708,877.49 1 3.969 3.969 AAA WF-GVIXX MMFUND Wells Fargo Gov MM 12/31/25 153,475,806.67 100.000 153,475,806.67 153,475,806.67 100.000 153,475,806.67 1 3.680 3.680 AAA Sweep (Allspring) (GVIXX) 91282CLH2 08/29/25 US GOVT U.S.TreasuryNote 3.750 08/31/26 5,000,000.00 99.844 4,992,187.50 4,994,850.27 100.105 5,005,273.45 243 3.910 3.910 M+ 91282CJK8 08/29/25 US GOVT U.S.TreasuryNote 4.625 11/15/26 10,000,000.00 100.918 10,091,796.90 10,066,654.42 100.883 10,088,281.20 319 3.838 3.838 AA+ Total 550 -Water & Sewer Bond Fund 600 - Water & Sewer Operating Fund TXCLASS LGIP Texas CLASS 3.969 12/31/25 Wells Fargo Gov MM WF-GVIXX MMFUND Sweep (Allspring) (GVIXX) 12/31/25 91282CKR1 06/09/25 US GOVT U.S.TreasuryNote 4.500 05/15/27 91282CND9 06/09/25 US GOVT U.S.TreasuryNote 3.750 05/15/28 199,395,313.17 199,479,297.57 199,456,817.86 199,488,867.82 23 3.737 3.737 180,206.45 100.000 180,206.45 180,206.45 100.000 180,206.45 1 3.969 3.969 AAA 32,669,245.14 100.000 32,669,245.14 32,669,245.14 100.000 32,669,245.14 1 3.680 3.680 AAA 10,000,000.00 100.859 10,085,937.50 10,061,770.50 101.320 10,132,031.20 500 4.032 4.032 M+ 10,000,000.00 99.305 9,930,468.75 9,943,375.02 100.551 10,055,078.10 866 4.003 4.003 M+ Total 600 -Water & Sewer Operating Fund 700- Internal Service Fund TXCLASS WF-GVIXX WFPRLDBUS+ LGIP MMFUND BANK DEP Texas CLASS Wells Fargo Gov MM Sweep (Allspring) (GVIXX) Wells Fargo - Business Cking Plus 3.969 12/31/25 52,849,451.59 52,865,857.84 52,854,597.10 53,036,560.89 259 3.809 3.809 9,180,553.84 100.000 9,180,553.84 9,180,553.84 100.000 9,180,553.84 1 3.969 3.969 AM 12/31/25 17,741,169.98 100.000 17,741,169.98 17,741,169.98 100.000 17,741,169.98 1 3.680 3.680 AAA 0.480 12/31/25 382,245.25 100.000 382,245.25 382,245.25 100.000 382,245.25 1 0.480 0.480 SD ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 12 Hilltop Securities 4410 City of Pearland As of December 31, 2025 Detail of Security Holdings CUSIP Security Maturity Next Call Purch Settle Date Security Description CPN Date Date Call Type Par Value PriceOriginal Cost BookValue Type Mkt Days to Market Value Days YTM YTW Rating Price to Mty Call WFPRLDCOM+ BANK DEP Wells Fargo Commercial 0.480 12/31/25 Cking (Int) 66,187.46 100.000 66,187.46 66,187.46 100.000 66,187.46 1 0.480 0.480 SD Total 700 -Internal Service Fund 800 -Long-term Debt Fund WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 27,370,15653 27,370,15653 27,370,15653 27,370,15653 1 3.725 3.725 12/31/25 148,955.17 100.000 148,955.17 148,955.17 100.000 148,955.17 1 3.680 3.680 AAA Total 800 - Long- term Debt Fund 900-PEDC TXCLASS WE-GVIXX LGIP Texas CLASS 3.969 12/31/25 MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 148,955.17 148,955.17 148,955.17 148,955.17 1 3.680 3.680 31,564,560.30 100.000 31,564,560.30 31,564,56030 100.000 31,564,560.30 1 3.969 3.969 AAA 12/31/25 15,699,059.35 100.000 15,699,059.35 15,699,059.35 100.000 15,699,059.35 1 3.680 3.680 AAA Total 900 - PEDC 920 -DAP RGNPRLDTSWP WF-GVIXX WFPRLDBUS+ MMFUND Regions BkTrust Sweep MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) BANK DEP Wells Fargo - Business Cking Plus 47,263,619.65 47,263,619.65 47,263,619.65 47,263,619.65 1 3.873 3.873 12/31/25 44,478.23 100.000 44,478.23 44,478.23 100.000 44,478.23 1 3.450 3.450 AM 12/31/25 3,015.84 100.000 3,015.84 3,015.84 100.000 3,015.84 1 3.680 3.680 MA 0.480 12/31/25 4,622,851.84 100.000 4,622,851.84 4,622,851.84 100.000 4,622,851.84 1 0.480 0.480 SD Total 920 - DAP 930-TIRZ WF-GVIXX WFPRLDCOM+ MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) BANK DEP Wells Fargo - Commercial Cking (Int) 4,670,345.91 4,670,345.91 4,670,345.91 4,670,345.91 1 0510 0510 12/31/25 12,684,136.92 100.000 12,684,136.92 12,684,136.92 100.000 12,684,136.92 1 3.680 3.680 AAA 0.480 12/31/25 1,301,301.71 100.000 1,301,301.71 1,301,301.71 100.000 1,301,301.71 1 0.480 0.480 SD Total 930-TIRZ 13,985,438.63 13,985,438.63 13,985,438.63 13,985,438.63 1 3382 3382 Grand Total 517,772,078.07 517,854,468.72 517,824,015.89 518,123,912.02 53 3.745 3.745 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 13 Hilltop Securities at° City of Pearland October 1, 2025 - December 31, 2025 Earned Income CUSIP Security Type Detailed Security Description Beginning Accrued Interest Interest Rec'd/ Interest Ending Disc Accr/Prem Net Realized Earned Sold/Matured Purchased Accrued Amort Gain/Loss Net Income 100 - General Fund TXCLASS LGIP Texas CLASS WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) WFPRLDCOMCK BANK DEP Wells Fargo - Commercial Cking 3134HBUK5 AGCY CALL FHLMC 4.0 06/02/2027 3133ETJZ1 AGCY FFCB 3.875 06/05/2028 0.00 22,675.90 0.00 132,222.22 124,861.11 191,833.08 191,833.08 197,396.70 126,139.49 0.00 0.00 67,777.78 200,000.00 96,875.00 193,750.00 0.00 0.00 0.00 0.00 191,833.08 0.00 93,933.11 0.00 0.00 197,396.70 0.00 0.00 0.00 0.00 0.00 0.00 0.00 2,914.04 26,898.88 97,590.70 0.00 27,986.11 1,446.28 0.00 98,321.28 Total 100 -General Fund 279,75913 553,882.56 711,72257 0.00 121,91922 4,36032 26,898.88 585,141.76 200 - Debt Service Fund TXCLASS LGIP Texas CLASS WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 200 - Debt Service Fund 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 300 - Special Revenue Fund TXCLASS LGIP Texas CLASS WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 0.00 62,822.03 62,822.03 0.00 0.00 0.00 0.00 62,822.03 24,897.23 62,537.22 68,217.16 0.00 19,217.29 0.00 0.00 62,537.22 Total 300 -Special Revenue Fund 24,897.23 125,35925 131,039.19 0.00 19,21729 0.00 0.00 125,35915 350 -Grant Fund TXCLASS LGIP Texas CLASS WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 0.00 3,499.77 3,499.77 0.00 0.00 0.00 0.00 3,499.77 12,269.89 33,164.71 34,982.43 0.00 10,452.17 0.00 0.00 33,164.71 Total 350 -Grant Fund 12,269.89 36,664.48 38,48220 0.00 10,452.17 0.00 0.00 36,664.48 500 - CIP Bond Fund LOGIC LGIP LOGIC 0.00 195,419.14 195,419.14 0.00 0.00 0.00 0.00 195,419.14 TEXSTAR LGIP TexSTAR 0.00 108,237.48 108,237.48 0.00 0.00 0.00 0.00 108,237.48 TXCLASS LGIP Texas CLASS 0.00 272,519.52 272,519.52 0.00 0.00 0.00 0.00 272,519.52 WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 249,582.18 654,642.89 693,157.93 0.00 211,067.14 0.00 0.00 654,642.89 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 14 Hilltop Securities at° City of Pearland October 1, 2025 - December 31, 2025 Earned Income CUSIP Security Type Detailed Security Description Beginning Accrued Interest Interest Rec'd/ Earned Sold/Matured Interest Purchased Ending Accrued Disc Accr/Prem Net Realized Amort Gain/Loss Net Income WFPRLDCOMCK BANK DEP Wells Fargo - Commercial Cking 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 500-CIP Bond Fund 249,582.18 1,230,819.03 1,269,334.07 0.00 211,067.14 0.00 0.00 1,230,819.03 550 -Water & Sewer Bond Fund LOGIC TXCLASS WF-GVIXX 91282CLH2 91282CJK8 LGIP LGIP MMFUND US GOVT US GOVT LOGIC Texas CLASS Wells Fargo Gov MM Sweep (Allspring) (GVIXX) U.S.Treasury Note 3.75 08/31/2026 U.S.Treasury Note 4.625 11 /15/2026 0.00 166,146.88 166,146.88 0.00 120,061.42 120,061.42 570,714.11 1,411,322.14 1,541,510.18 16,056.63 47,651.93 0.00 174,694.29 116,604.05 231,250.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 440,526.07 0.00 0.00 63,708.56 1,953.40 0.00 60,048.34 (18,667.00) 0.00 166,146.88 0.00 120,061.42 0.00 1,411,322.14 0.00 49,605.34 0.00 97,937.05 Total 550 -Water & Sewer Bond Fund 761,465.03 1,861,786.42 2,058,968.48 0.00 564,282.98 (16,713.60) 0.00 1,845,072.83 600 -Water & Sewer Operating Fund TXCLASS WF-GVIXX 91282CKR1 91282CND9 LGIP MMFUND US GOVT US GOVT Texas CLASS Wells Fargo Gov MM Sweep (Allspring) (GVIXX) U.S.Treasury Note 4.5 05/15/2027 U.S.Treasury Note 3.75 05/15/2028 0.00 23,913.15 169,972.83 141,644.02 33,634.97 111,20234 113,45259 94,543.82 33,634.97 91,850.85 225,000.00 187,500.00 0.00 0.00 0.00 0.00 0.00 43,264.64 58,425.41 48,687.85 0.00 0.00 (10,945.18) 5,784.83 0.00 0.00 0.00 0.00 33,634.97 111,20234 102,507.41 100,328.66 Total 600 -Water & Sewer Operating Fund 335,530.00 352,833.72 537,985.82 0.00 150,377.90 (5,16034) 0.00 347,67338 610 - Solidwaste Operating Fund WF-GVI)0( MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 0.00 2,126.98 2,126.98 0.00 0.00 0.00 0.00 2,126.98 Total 610 - Solidwaste Operating Fund 0.00 2,126.98 2,126.98 0.00 0.00 0.00 0.00 2,126.98 700 - Internal Service Fund TXCLASS WF-GVIXX WFPRLDBUS+ LGIP MMFUND BANK DEP Texas CLASS Wells Fargo Gov MM Sweep (Allspring) (GVIXX) Wells Fargo - Business Cking Plus ©Hilltop Securities Asset Management, LLC. All rights reserved. 0.00 59,077.76 0.00 94,76836 150,540.78 89055 94,76856 164,813.23 89055 0.00 0.00 0.00 0.00 44,805.31 0.00 0.00 0.00 0.00 0.00 0.00 0.00 94,76836 150,540.78 890.55 Page 15 Hilltop Securities at° City of Pearland October 1, 2025 - December 31, 2025 Earned Income CUSIP Security Type Detailed Security Description Beginning Accrued Interest Interest Rec'd/ Interest Ending Disc Accr/Prem Net Realized Earned Sold/Matured Purchased Accrued Amort Gain/Loss Net Income WFPRLDCOM+ BANK DEP Wells Fargo - Commercial Cking (Int) 0.00 10355 10355 0.00 0.00 0.00 0.00 103.55 Total 700 -Internal Service Fund 800 -Long-term Debt Fund WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 59,077.76 246,303.44 260,575.89 0.00 44,80531 0.00 0.00 246,303.44 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Total 800 - Long- term Debt Fund 900-PEDC TXCLASS LGIP Texas CLASS WE-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 325,833.07 325,833.07 0.00 0.00 0.00 0.00 325,833.07 42,616.10 121,286.91 124,46256 0.00 39,440.45 0.00 0.00 121,286.91 Total 900 - PEDC 920 -DAP RGNPRLDTSWP MMFUND Regions BkTrust Sweep WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) WFPRLDBUS+ BANK DEP Wells Fargo - Business Cking Plus 42,616.10 447,119.98 450,295.63 0.00 39,440.45 0.00 0.00 447,119.98 707.94 407.25 98253 0.00 132.66 0.00 0.00 407.25 0.00 15.84 8.26 0.00 758 0.00 0.00 15.84 0.00 5,95650 5,95650 0.00 0.00 0.00 0.00 5,95650 Total 920 - DAP 930-TIRZ WF-GVIXX MMFUND Wells Fargo Gov MM Sweep (Allspring) (GVIXX) WFPRLDCOM+ BANK DEP Wells Fargo - Commercial Cking (Int) 707.94 6,37959 6,94729 0.00 140.24 0.00 0.00 6,37959 22,125.47 73,950.10 64,209.45 0.00 31,866.12 0.00 0.00 73,950.10 0.00 1,676.47 1,676.47 0.00 0.00 0.00 0.00 1,676.47 Total 930 -TIRZ 22,125.47 75,626.57 65,885.92 0.00 31,866.12 0.00 0.00 75,62657 Grand Total 1,788,030.83 4,938,902.02 5,533,364.04 0.00 1,193,568.82 (17,513.62) 26,898.88 4,948,28728 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 16 Hilltop Securities 1010 City of Pearland October 1, 2025 - December 31, 2025 Investment Transactions CUSIP Trade Date Settle Date Security Type Security Description Coupon Maturity Call Date Par Value Price Date Principal Interest Realized Gain/ Purchased/ Total Amount YTM YTW Amount Loss Received 100 - General Fund Call Redemption 3134HBUK5 12/02/25 12/02/25 AGCY CALL FHLMC 4.000 06/02/27 12/02/25 (10,000,000.00) 100.000 10,000,000.00 0.00 10,000,000.00 26,898.88 Total Call Redemption Coupon 3134HBUK5 12/02/25 12/02/25 AGCY CALL FHLMC 3133ETJZ1 12/05/25 12/05/25 AGCY FFCB 4.000 06/02/27 12/02/25 3.875 06/05/28 (10,000,000.00) 10,000,000.00 0.00 10,000,00(100 26,898.88 0.00 0.00 200,000.00 200,000.00 0.00 0.00 0.00 193,750.00 193,750.00 0.00 Total Coupon 0.00 0.00 393,750.00 393,750.00 0.00 550 -Water & Sewer Bond Fund Coupon 91282CJK8 11/15/25 11/15/25 US GOVT U.S.Treasury Note 4.625 11/15/26 0.00 0.00 231,250.00 231,250.00 0.00 Total Coupon 0.00 0.00 231,250.00 231,250.00 0.00 600 -Water & Sewer Operating Fund Coupon 91282CKR1 11/15/25 11/15/25 US GOVT U.S.Treasury Note 91282CND9 11/15/25 11/15/25 US GOVT U.S.Treasury Note 4.500 05/15/27 3.750 05/15/28 0.00 0.00 225,000.00 225,000.00 0.00 0.00 0.00 187,500.00 187,500.00 0.00 Total Coupon 0.00 0.00 412,500.00 412,500.00 0.00 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 17 Hilltop Securities 1010 City of Pearland October 1, 2025 - December 31, 2025 Investment Transactions Totals Transaction Type Quantity Principal Amount Interest Total Amount Realized G/L YTM YTW Total Call Redemption Total Coupon (10,000,000.00) 0.00 10,000,000.00 0.00 0.00 1,037,500.00 10,000,000.00 1,037,500.00 26,898.88 0.00 4.187 4.187 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 18 Hilltop Securities 1010 City of Pearland October 1, 2025 - December 31, 2025 Amortization and Accretion CUSIP Settle Date Security Type Detailed Security Description Purchase Qty Orig Price Original Cost Amort/Accr for Total Amort/Accr Remaining Disc/ Ending Book Period Since Purch Premium Value 100 - General Fund 3134HBUK5 06/02/25 AGCY CALL 3133ETJZ1 06/05/25 AGCY FHLMC 4.0 06/02/2027 FFCB 3.875 06/05/2028 0.00 0.000 0.00 2,914.04 0.00 0.00 0.00 10,000,000.00 99.820 9,982,000.00 1,446.28 3,287.62 (14,71238) 9,985,287.62 Total 100 - General Fund 10,000,000.00 9,982,000.00 4,36032 3,287.62 (14,71238) 9,985,287.62 550 - Water & Sewer Bond Fund 91282CLH2 08/29/25 US GOVT U.S.Treasury Note 3.75 08/31/2026 91282CJK8 08/29/25 US GOVT U.S. Treasu ry Note 4.625 11/15/2026 5,000,000.00 99.844 4,992,187.50 1,953.40 2,662.77 (5,149.73) 4,994,850.27 10,000,000.00 100.918 10,091,796.90 (18,667.00) (25,142.48) 66,654.42 10,066,654.42 Total 550 -Water & Sewer Bond Fund 15,000,000.00 15,083,984.40 (16,713.60) (2Z479.71) 61,504.69 15,061,504.69 600 - Water & Sewer Operating Fund 91282CKR1 06/09/25 US GOVT U.S.Treasury Note 4.5 05/15/2027 91282CND9 06/09/25 US GOVT U.S.Treasury Note 3.75 05/15/2028 10,000,000.00 100.859 10,085,937.50 (10,945.18) (24,167.00) 61,770.50 10,061,770.50 10,000,000.00 99.305 9,930,468.75 5,784.83 12,906.27 (56,624.98) 9,943,375.02 Total 600 -Water & Sewer Operating Fund 20,000,000.00 20,016,406.25 (5,16034) (11,260.74) 5,145.51 20,005,145.51 Grand Total 45,000,000.00 45,082,390.65 (17,513.62) (30,452.83) 51,937.82 45,051,937.82 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 19 Hilltop Securities 4410 City of Pearland December 31, 2025 to December 31, 2026 Projected Cash Flows CUSIP Detailed Security Description Post Date Interest Principal Total Amount 100 - General Fund 3133ETJZ1 FFCB 3.875 06/05/2028 3133ETJZ1 FFCB 3.875 06/05/2028 550 - Water & Sewer Bond Fund 91282CLH2 91282CJK8 91282CLH2 91282CLH2 91282CJK8 91282CJK8 600 -Water & Sewer Operating Fund 91282CKR1 91282CND9 91282CKR1 91282CND9 U.S.Treasury Note 3.75 08/31/2026 U.S.Treasury Note 4.625 11 /15/2026 U.S.Treasury Note 3.75 08/31/2026 U.S.Treasury Note 3.75 08/31/2026 U.S.Treasury Note 4.625 11 /15/2026 U.S.Treasury Note 4.625 11 /15/2026 U.S.Treasury Note 4.5 05/15/2027 U.S.Treasury Note 3.75 05/15/2028 U.S.Treasury Note 4.5 05/15/2027 U.S.Treasury Note 3.75 05/15/2028 06/05/26 12/07/26 03/02/26 05/15/26 08/31/26 08/31/26 11/16/26 11/16/26 05/15/26 05/15/26 11/16/26 11/16/26 193,750.00 193,750.00 93,750.00 231,250.00 93,750.00 231,250.00 225,000.00 187,500.00 225,000.00 187,500.00 5,000,000.00 10,000,000.00 193,750.00 193,750.00 93,750.00 231,250.00 93,750.00 5,000,000.00 231,250.00 10,000,000.00 225,000.00 187,500.00 225,000.00 187,500.00 Grand Total 1,862,500.00 15,000,000.00 16,862,500.00 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 20 Hilltop Securities City of Pearland December 31, 2025 to December 31, 2026 Projected Cash Flows Totals Month and Year Interest Principal Total Amount March 2026 May 2026 June 2026 August 2026 November 2026 December 2026 93,750.00 643,750.00 193,750.00 93,750.00 643,750.00 193,750.00 5,000,000.00 10,000,000.00 93,750.00 643,750.00 193,750.00 5,093,750.00 10,643,750.00 193,750.00 Total 1,862,500.00 15,000,000.00 16,862,500.00 $15,000,000 $10,000,000 $5,000,000 $0 Mar -26 May -26 • Interest • Principal Jun -26 Aug -26 Nov -26 Dec -26 ©Hilltop Securities Asset Management, LLC. All rights reserved. Page 21 Hillto Securities TI City of Pearland i� As of December 31, 2025 Disclosures & Disclaimers As a courtesy to investors this information: (1) is provided for informational purposes only; (2) should not be construed as an offer to sell or a solicitation of an offer to buy any security; and (3) does not replace customer statements. This report is designed to provide general information and is not intended to provide specific legal, investment, accounting, tax or other professional advice. It is important to review and save all source documents provided by a product sponsor or brokerage firm which may contain notices, disclosures and other information important to you and may also serve as a reference. If conflicts between this report and sponsor reports or confirmations exist, the information provided by the product sponsors shall prevail. Fees and sales charges paid may not be reflected in the information. The information and data contained herein is obtained from sources believed to be reliable but its accuracy or completeness is not guaranteed. Additionally, the information may contain assets held away from HTS, therefore investors should contact customer service or other representatives from the respective distributors or issuers to determine SIPC coverage for heldaway assets. 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