Certificates of Deposit (CDs)

The Federal Deposit Insurance Corporation [FDIC] insures business cash invested in covered account types at member banks.

CDs often offer higher returns and less liquidity than traditional deposit accounts, but how does their safety compare?

With interest rates slated to fall this year, it’s a good time for cash managers to consider locking in high yields for cash.

The Fed funds rate impacts most of the country’s interest rates including loans, bonds, and, indirectly, bank CD yields.

Certificates of deposit allow businesses to earn higher rates of return for their cash in exchange for structured liquidity.

In today’s economic environment, many businesses can benefit by reinvesting funds from existing CDs into those with higher rates.

The Fed recently changed course to allow for inflation above 2%, but how does a weaker dollar impact business cash reserves?

CDARS is short for Certificate of Deposit Account Registry Service. It can help you achieve FDIC coverage above standard limits, but there are drawbacks.

CD ladders take advantage of higher interest rates of long-term CD’s while maintaining the liquidity of shorter-term investments.