Only one out of five advisors get this right

Individual client holds $3 million in marketable securities and a $1 million home. What percentage of client household assets does the RIA control?  HINT: It’s not as big as you think.

Answer | As little as 72%.

Most advisors believe they have 100% of their clients’ assets. In some cases, this is true for their clients’ invested assets. However, HNW individuals have stockpiled as much as 28% of their household assets in cash (2019 Capgemini HNW Insights Survey) and a UBS Global Wealth Management survey reveals that investors have 27% of holdings in cash (Q3 2019).

If it’s not with you, where is it?

Most individuals enjoy the safety provided by FDIC insurance, so at least part of the answer is that it is in the bank. But would it surprise you to know that as of the latest FDIC.gov reportings, more than $5 trillion in U.S. banks remains uninsured and $3 trillion earns zero interest?

We believe RIAs can make better recommendations if they control all of their clients’ household assets, which includes cash. Consider FICA® For Advisors:

  • .15% APY1

  • Up to $25 million in FDIC insurance per tax ID

  • Liquid

  • Integrates with all portfolio software/data aggregators

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1 Yield is effective as of June 1, 2020, and is for a maximum deposit of $25 million. Current yield and maximum deposit insurance coverage is indicative for FICA® and may be lower or higher than what is stated due to changes in market or business conditions. Past performance does not guarantee future results. Interest rate earned may vary based on the size of the account balance and the introducing party. FICA® yield is the APY (annual percentage yield) based on an APR (annual percentage rate) of 1.684% for the period indicated, as reported by StoneCastle. Please contact StoneCastle for the most current yield and maximum deposit insurance coverage.

StoneCastle Cash Management