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In
today’s tremendously turbulent economy, many investors continue
managing portfolios defensively, emphasizing liquidity and capital
preservation rather than seeking returns that present any degree of
downside risk. With cash awaiting reinvestment, investors with larger
cash balances need a different approach. Evolve Bank & Trust offers
these investors a unique cash strategy investment option to protect
their entire multi-million dollar deposits through the Insured Deposit
Program.
The Insured Deposit Program ("IDP") is one of the most prudent cash management programs for high net worth individuals, financial
institutions, corporations, trusts, and municipalities, to benefit from leveraging Federal Deposit
Insurance Corporation ("FDIC") pass-through
insurance coverage.
As of October 30, 2009, the IDP maintained approximately $10 Billion of assets under management.
What is the Purpose of FDIC insurance?
Safety. On June 16, 1933, then President Franklin D. Roosevelt signed the
Banking Act of 1933 after 4,000 banks failed in 1932 alone. Since the FDIC's
inception, not one deposit holder under the FDIC limit has lost a
single penny.
Deposit insurance protects depositors' funds in the event of the
financial failure of their bank or savings institution. This covers the
balance of each depositor's account, dollar-for-dollar, up to the
insurance limit, including principal and any accrued interest through
the date of the insured bank's closing.
The FDIC insures up to $250,000 per depositor, per insured bank.
Deposits in separate branches of the same bank are not separately
insured; however, deposits in one or more insured institutions are
insured separately. Complete details of FDIC Deposit Insurance
regulations and limits can be found at www.fdic.gov .
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| The IDP offers a variety of features and benefits including:
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Extended FDIC insurance; currently up to $10 million per account
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Daily liquidity by 10:30 A.M. CST
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Competitive rate earned compared to Treasuries, Federal Funds Sold or even CD’s*
- No set-up or transaction fees
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Compliance with NYSE, SEC, NASD and banking regulations.
- State bank association endorsements to date: Florida, Kentucky, Nebraska, Minnesota, and Pennsylvania
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