Our cash sweep programs can help you better serve existing trust customers and attract new ones, including fiduciary, non-fiduciary, managed, non-managed, personal trust, defined contribution, defined benefit, foundation and endowment, custody, and safekeeping customers.
Access to Expanded Deposit Insurance Coverage
The Demand Deposit Marketplace® (DDM®) program provides your customers with access to expanded deposit insurance coverage for their liquid funds through a configurable cash sweep solution. The Certificate of Deposit Marketplace ExchangeSM (CDMXSM) program offers similar benefits with fixed CD rates and flexible maturity options.
Liquid Alternative to Money Market Funds
Provide same-day liquidity1 and rates that are competitive with money market funds.2 Through the DDM and CDMX programs, you can provide risk-adjusted returns without NAV volatility, or the potential for redemption gates or fees.
Configurable to Your Needs
The DDM program was designed to provide the operational convenience of money market funds with the ability to support bank opt-outs and configured to integrate with most major trust accounting platforms.
Independent trust companies can utilize our DDM send-only option to sweep customer funds into insured deposit accounts, providing expanded insurance coverage on those funds while maintaining liquidity at competitive rates. Independent Trust Companies can access the DDM program through the custodian of the DDM program.
For bank-affiliated trust companies and trust departments of banks, the benefits are the same as for independent trust companies. Under the DDM program, funding managers can access deposits sourced by the trust department and choose to send, receive, or reciprocate deposits based on their funding needs. Bank-affiliated trust companies and trust departments of banks can access the DDM program directly through their bank.
The Demand Deposit Marketplace® (DDM®) program is a configurable cash management solution providing access to expanded deposit insurance coverage with send, receive, and reciprocal options.
The Certificate of Deposit Marketplace ExchangeSM program is a CD solution offering fixed rates and flexible maturity options with access to expanded deposit insurance coverage.
1 Under the DDM program, funds are deposited into demand deposit accounts (DDAs) or money market deposit accounts (MMDAs) at receiving banks or share draft accounts or share accounts at receiving credit unions. While your customers’ funds are held in MMDAs or share accounts, the return of your customers’ funds from the DDM program may be delayed as, under federal regulations, the receiving institution is permitted to impose a delay of up to seven days on any withdrawal request from an MMDA or share account.
2 While interest rates obtained on funds placed at receiving institutions under the DDM program may, under certain circumstances, outperform cash alternatives, such as money market funds, the primary objective of the DDM and RTID programs is to provide customers with convenient access to expanded deposit insurance coverage on their funds (and not for investment enhancements or higher rates of returns or profits).
From Our Clients
“By partnering with R&T, we have been able to design customized solutions to meet the unique cash sweep needs of our family office, trust, custody, and corporate trust customers, providing both competitive rates and access to expanded deposit insurance coverage.”
Vice Chairman
Florida-Based Trust Company
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