StoneCastle FICA Hits $2 Billion
A press release entitled, "StoneCastle Federally Insured Cash Account Program Surpasses $2 Billion In Assets" says, "StoneCastle Cash Management, LLC (SCCM) announced that its Federally Insured Cash Account program (FICA), the firm's leading cash management solution has exceeded $2 billion in assets. Formally launched in 2011, FICA provides institutional investors with access to hundreds of carefully-screened banks via a single account. FICA allocates customers' large deposits across its bank network, ensuring full FDIC insurance on all deposits and allowing depositors to earn competitive yields compared to money market mutual funds, treasury securities and non-insured bank accounts." Joshua Siegel, Managing Principal of StoneCastle, comments, "We are pleased to have reached this significant milestone for our FICA program. Investors have deposited more than $1 billion in FICA so far this year, increasing balances by 100% and bringing our total assets at SCCM across all products to nearly $3 billion." The release adds, "Siegel said StoneCastle conceived of FICA, with the help of state and federal banking regulators, as a vehicle for community banks to attract institutional deposits without having to deploy additional capital or resources. FICA has become one of the most popular instruments used by treasurers when investing short term balances at banks as highlighted in the 2012 Association for Financial Professionals (AFP) Liquidity Survey." Siegel adds, "FICA provides community banks with a steady stream of reliable institutional deposits and at the same time, allows institutional investors to realize competitive yields with the safety of FDIC insurance."
