MINNEAPOLIS, Oct. 26, 2018 /PRNewswire/ -- U.S. Bank announced
today that it has entered into a distribution agreement
with StoneCastle Cash Management, LLC ("StoneCastle") to
provide FICA® For Advisors ("FICA®"), a
federally insured cash solution, to its registered investment
advisor (RIA) clients. The product is designed to maximize yields
and provide high levels of FDIC insurance while reducing market,
credit and principal risk on clients' cash balances.
U.S. Bank is the sixth largest custodian in the United States and the first major
custodian to offer the position-traded insured cash solution. The
U.S. Bank account is seamlessly connected to a network of more than
800 banks, which enables clients to receive $25 million in federal insurance protection with
the ability to insure up to $100
million per account.
"We've seen increased demand for alternative investment options
in the short-term fixed income and cash space," said Alan Markarian, manager of Investment Advisor
Services for U.S. Bank. "This product provides a forward-thinking
option for our clients that would be difficult for them to
replicate on their own. It has a unique risk profile and a yield
that clients may find attractive compared to other cash products
they may be considering."
"Our business model has always been to connect institutional and
retail investors to banks through innovative deposit and cash
management solutions," said Dan
Farrell, chief executive officer of StoneCastle. "Partnering
with U.S. Bank is a great privilege and a perfect extension of that
message, which we are certain will help them become an even more
competitive organization while contributing to their clients'
business and financial successes."
Extended FDIC insured products are designed to provide safety
and underscore the importance of principal protection on cash
holdings. Through a large network of pre-screened banks
administered by StoneCastle, U.S. Bank provides an opportunity for
its clients to extend FDIC insurance well beyond the $250 thousand dollar threshold normally found on
a single deposit. "The product has a great balance of liquidity,
yield, and principal protection. It's a best in class solution that
we're excited to bring to our client base." added Markarian.
About U.S. Bank
U.S. Bancorp (NYSE: USB), with 74,000
employees and $465 billion in assets
as of Sept. 30, 2018, is the parent
company of U.S. Bank, the fifth-largest commercial bank in
the United States. The
Minneapolis-based bank blends its
relationship teams, branches and ATM network with mobile and online
tools that allow customers to bank how, when and where they prefer.
U.S. Bank is committed to serving its millions of retail, business,
wealth management, payment, commercial and corporate, and
investment services customers across the country and around the
world as a trusted financial partner, a commitment recognized by
the Ethisphere Institute naming the bank a 2018 World's Most
Ethical Company. Visit U.S. Bank online or follow on social media
to stay up to date with company news.
About StoneCastle Cash Management, LLC
StoneCastle
Cash Management, LLC is a leading administrator of insured cash
solutions for many of the world's largest institutions and family
offices. Today, the firm extends the reach of its operational and
technology platforms through a daily cash sweep solution made
available to brokerages, registered investment advisers (RIAs),
trusts, and other programs offered through financial intermediaries
and wealth managers. StoneCastle is backed by the strength and
stability of world class partners, CIBC and Charlesbank Capital
Partners.
View original content to download
multimedia:http://www.prnewswire.com/news-releases/us-bank-partners-with-stonecastle-to-provide-high-net-worth-insured-cash-solution-300738461.html
SOURCE StoneCastle Cash Management, LLC