For the first time in years, short-term U.S. Treasuries have become attractive investments for cash. These U.S. government-backed, low-risk securities can be easily bought and sold and offer yields that help defend against inflation. If your organization has temporarily idle cash, it may be prudent to consider investing it in a cash management program.
While checking account and money market rates still hover near zero, the recent sharp rise in interest rates has driven higher yields on short-term Treasuries.
How Can My Organization Benefit From a Cash Management Program?
An organization sitting on significant cash that doesn’t need to be deployed right away should consider options to responsibly invest that cash to limit its purchasing power erosion.
Here are a few areas to consider putting your cash to better use:
What Should You Look for in a Short-Term Cash Investment Program?
How Does eCIO’s Cash Management Program Work?
Our experienced team of nonprofit investment advisors works with your finance committee or oversight group to evaluate whether and how much of your organization’s cash may be prudently invested to achieve income and growth. We build and manage a Treasury ladder strategy with a time horizon that matches your cash needs.
Our cash management program offers:
For cash that you may need in the next several years, investing in a short-term Treasury ladder offers stability, liquidity, and low transaction costs and provides a return well above what you get in a checking account.
Reach out to the eCIO team for more information.
*Minimum cash management account value is $1 million. Annual fee starts at 0.25%, with a minimum annual fee of $5,000.
We're investment advisors for nonprofits. Questions about your investment program?
Have a quick investment question?
Submit a question and a nonprofit advisor will respond promptly.