Letter: Millions lost | PostIndependent.com

Letter: Millions lost

John Acha has promised to seek improvement to the yield on our county reserves by at least $6 million over the next few years.

The Garfield County Democrat’s CORA data team discovered lost investment opportunities overlooked by the current BOCC. John Acha will require improved competence by county officials and outside investment advisers when it comes to investing our money.

Data team research shows that putting half of the so-called surplus into a Vanguard GNMA fund, fully insured and backed by the full faith and credit of the U.S. government, would have yielded an additional $6 million over the last six years. The 2015 total return on an average of $129.3 million of reserves was $764,773 or .59 percent (just over one-half of 1 percent).

If one half of the county’s cash balances (say $60 million) was invested in Vanguard GNMA fund with the holdings guaranteed by U.S. government 100 percent with a current yield of 1.89 percent and a five-year average yield of 2.55 percent, it would have produced at least $6 million in the last five years. Such investment was found by the team to be legal under CRS 24-75-601.1.

Check out other reasons to vote for John Acha at acha2016.com.

Jack Real
Glenwood Springs

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