Liquid Insured Deposits (LIDs)

Liquid Insured Deposits (LIDs) is a leading FDIC-insured sweep program that enables your customers to protect their cash holdings with up to $2.5* million of FDIC insurance. With cash allocations and the demand for FDIC insurance at high levels, Liquid Insured Deposits can help your firm remain competitive in its offerings and provide a tool for financial advisors to gather assets and grow their books of business.

Quick Facts

  • LIDs can be an effective asset gathering program and could be an important component of your business for your high net worth, retiree, business, and offshore customers.$2.5 Million in FDIC Insurance

  • 2:30 pm ET Cut-off time

  • Daily Liquidity

  • Eliminates some risks associated with some money market mutual funds, such as liquidity fees

How it Works

  • LIDs can be an effective asset gathering program and could be an important component of your business for your high net worth, retiree, business, and offshore customers.

  • Liquid Insured Deposits works in a similar manner to a money fund sweep. However, instead of available cash in your clients’ accounts being swept into money market mutual funds, it is sent daily into deposit accounts held at FDIC-insured banks in the program.

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LIDS Flyer for Businesses

LIDS Flyer for Individuals

About R&T

Program Advantages

FDIC Protection

Receive up to $2.5 million in FDIC protection ($5 million for joint accounts); cash balances up to the program maximum are guaranteed by the FDIC, which is backed by the full faith and credit of the U.S. Treasury

Simplicity

FDIC-insured accounts are outside of the scope of money market mutual fund reform, which enables you and your clients to spend more valuable time focusing on preserving and growing wealth instead of analyzing the outcome of regulatory mandates

Eligibility

LIDs is available to a variety of account types, including individual, joint, corporate/business, public funds, IRA, UGMA/UTMA, offshore, and trust accounts

Flexibility

Tiered interest rate structure is available so you can reward clients that have placed larger amounts with your firm with potentially higher returns

Convenience

Daily liquidity allows your clients to access their cash when needed