Mutual Fund Sweep – Off–balance sheet sweep solution

Jack Henry & Associates’ Mutual Fund Sweep solution enables commercial banking customers to use excess funds in deposit accounts to purchase securities in a same-day environment. This allows a customer to deposit funds into a regular account that has a set floor and ceiling, and credits any excess funds into a “no book” account that is used to purchase securities on a daily basis. If the customer needs to redeem securities and credit funds back to meet the account floor, the debit sweep takes place automatically.

Processing occurs at a designated time of the day when transactions are created and memo posted, providing brokers with the amount of money available to purchase securities or the amount needed to redeem the securities. The investment “no book” account funds move to a specified ledger account. The sweep investment account looks and acts like a normal deposit account except the balances are not added into any bank trials or control totals. The financial institution benefits from a lower reporting of deposits on the FR2900.

Mutual Fund Sweep enhances customer service while expanding existing relationships with commercial customers. The bank also can benefit from offering tiered interest rates to preferred customers, generating assets and increasing loanable funds.

This innovative system strictly enforces the industry’s highest security standards, seamlessly integrates ongoing technology advances, and is fully integrated with Jack Henry’s SilverLake System® and CIF 20/20® core processing solutions.

Mutual Fund Sweep is another innovative business banking solution that is designed to enhance the customer experience and expand commercial relationships at all points of contact.