Overview
IND® is an FDIC-insured deposit sweep program that can enable broker-dealers to provide a superior sweep alternative for their customers’ cash balances.
This service may help brokerage firm managers to significantly increase profit margins over those earned on short-term investment accounts (like money market funds) and to deliver a differentiated sweep product – one with access to multi-million-dollar FDIC insurance.
For banks, it provides another wholesale funding option. With this service, banks can access large cost-effective funding blocks ($25 million to billions of dollars) for the long term (e.g., up to several years) and that funding is available without collateralization.