WILTON, CT, November 16, 2009 – Commonfund today introduced Treasury Access, its new cash investment platform for nonprofit institutions. Treasury Access offers a diversified approach to investing cash. The web-based platform includes electronic banking services for flexible short-term cash management as well as investment options spread across multiple money market mutual fund families and providers. The platform allows nonprofit institutions to set their own asset allocation for each cash account to meet their individual needs for safety, liquidity and return.
“The unveiling of Treasury Access is a significant new development in our Treasury services that help support the missions of all types of nonprofit institutions” said Verne Sedlacek, President and CEO, Commonfund. “It offers enhanced flexibility for higher education endowments and nonprofit institutions that demand a well-diversified operating portfolio consisting of different, carefully selected providers of liquidity.”
“There are no costs for transactions, a significant advantage for Treasury Access investors. There are no account opening fees, no withdrawal limits, no account maintenance fees, and no account minimums. Fees for Treasury Access include a Program Fee based on the average asset balance on the platform at the end of the month. As an added benefit investors have 24-hour online access to their accounts.
“Treasury Access is a very necessary platform for nonprofit institutions to manage operating cash, cash reserves and endowment cash,” said Jon K. Speare, Managing Director and Co-Head, Strategic Treasury Solutions. “It combines operational simplicity, efficiency and same-day liquidity through an open architecture to multiple cash investment options.”
As an electronic concentration account, Treasury Access is designed to help nonprofit institutions manage operating reserves and working capital balances. Its web-based platform allows institutions to make seamless transactions to and from their local bank disbursement and collection accounts; fund payroll accounts, bond payments and other obligations; automatically receive government and other third-party transfer payments; move funds into Treasury Access’ money market mutual funds; and send or receive payments from pre-registered accounts.
Treasury Access will be available to current and new U.S. Commonfund clients effective immediately. The Bancorp Bank developed the client interface of Treasury Access and also provides banking services, as well as access to their Master Demand Account, an interest bearing demand account. The Bancorp Bank is an FDIC-insured online commercial bank headquartered in Wilmington, Delaware with assets of $2 billion.
Eventually, Treasury Access will offer a choice of nine money market mutual funds from different fund families or providers. Options range from Treasury-only funds to more diversified money funds. All funds provided by sub-advisers will be subject to Commonfund’s strict due diligence and risk management requirements.
State Street Global Advisors is the transfer agency partner and will maintain accounts for all money funds offered by Treasury Access and individual investor records. State Street also provides the first two Treasury Access investment funds: The State Street Institutional Liquid Reserves Money Market Fund, which is rated AAAm by Standard & Poor’s, and The State Street Institutional US Government Money Market Fund.
Commonfund clients can move Treasury Access funds easily to or from other Commonfund endowment funds or cash management funds. In addition to Treasury Access, for larger operating reserve investors, Commonfund also offers the option of separate account management through other Commonfund investment programs.
Treasury Access emphasizes the importance of safety and security. The platform is built upon state-of-the-art technology, utilizing data encryption and enhanced login security to reduce the risk of unauthorized access.
Money Market Mutual Fund Disclaimer
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any governmental agency. Although a money market fund seeks to preserve the value of your investment at $1.00 per share it is possible to lose money by investing in a money market fund. Distributor: Commonfund Securities, Inc., member FINRA, SIPC.
Investors should consider the investment objectives, risk, charges, and expenses of a fund carefully before investing. A prospectus which contains this and other information about each fund can be obtained by calling your Commonfund Relationship Officer. Read the prospectus carefully before investing.
About Commonfund
Founded in 1971, Commonfund is devoted to enhancing the financial resources of educational and other nonprofit institutions including endowments, foundations, healthcare and service organizations through superior fund management, investment advice, and treasury operations. Directly or through its subsidiaries, Commonfund Capital, Commonfund Realty, and Commonfund Asset Management Company, Commonfund manages approximately $25.1 billion for over 1,600 nonprofit educational institutions, foundations, healthcare and other nonprofit institutions, representing one of the largest pools of educational endowment and operating funds in the world. In response to the growing needs of nonprofit institutions, Commonfund, together with its subsidiary companion organizations, offers more than 40 different endowment investment programs including funds for the management of short- and intermediate-term operating cash reserves. All securities are distributed through Commonfund Securities, Inc. www.commonfund.org
About The Bancorp
The Bancorp Bank, a wholly owned subsidiary of The Bancorp, Inc., is an FDIC-insured commercial bank that delivers a full array of financial services and products both directly and through private-label affinity partner programs nationwide. The Bancorp Bank’s regional community bank division serves the needs of small and mid-size businesses and their principals in the Philadelphia-Wilmington region.