Funds Availability Policy

If you make a deposit by check, bill pay, EFT, direct deposit, or wire transfer we will deposit the funds into your account and notify you by email of the deposit. These funds will be invested in your sweep vehicle, generally on the next business day after deposit.

• From Deposits

  While you will generally be able to make an investment 1 business day after funds are deposited into your account, you will generally not be able to withdraw the new deposit money from your account for 5 business days. Funds received through Bill Pay will not be available for withdrawal for 120 calendar days (excluding bank holidays).

• From Securities Sales

  When you sell securities that settle 2 days after trading (T+2) such as exchange listed equities, the sell amount cannot be withdrawn until the second trading day after the sell date. When you sell securities that settle 1 day after trading (T+1) such as most mutual funds, the sell amount cannot be withdrawn until the trading day after the sell date.

• Purchases

  Money deposited with us can generally be used to purchase exchange listed securities and mutual funds the day after your deposit is processed, with restrictions for check deposits over $15,000 as detailed below.

• Sales

  When you sell securities that settle 2 days after trading (T+2) such as exchange listed equities, you can generally use the sale proceeds to purchase T+2 securities as soon as that same day. When you sell securities that settle 1 day after trading (T+1) such as most mutual funds, you can generally use the sale proceeds to purchase T+1 and T+2 securities as soon as that same day.

Due to the differences in settlement timing between stocks (which settle two days after trade date) and most mutual funds (which settle one day after trade date), there are issues with selling mutual fund shares to buy stocks at the same time.

For example, on a Monday morning you want place a window order to sell a stock, and use the cash proceeds from that stock sale to purchase a mutual fund. Unless you have a sufficient level of cash available for trading in your account to cover the entire cost for purchasing that mutual fund, this order will be rejected because of insufficient cash.

The reason is that the cash proceeds from the sale of that stock will not be available until Wednesday, 2 business days after your trade is executed; however, you will have to provide sufficient cash to cover the cost of your mutual fund purchase on Tuesday, just 1 business day after the sell trade is executed.

• For T+1 and T+2 securities

  Up to $15,000 of the money that you deposit with us can generally be used to purchase these types of securities the day after your deposit is processed. Any remaining funds from your new deposit may generally be used to purchase these types of securities starting 5 business days after we process the check deposit. Note that depositing multiple checks will not increase the $15,000 of available funds.

  For example, if we process a deposit on a Tuesday, you may use up to $15,000 of the deposited funds to purchase T+1 securities on Wednesday. Any remaining deposited funds will be available to purchase T+1 securities on Tuesday of the following week.

1. Subtract any amounts from sells made today and the previous trading day
2. Subtract any check, EFT, or direct deposits that were posted to your account within the past 5 business days
3. Subtract estimated amounts needed to pay for open securities orders
4. The amount left can be withdrawn via check, EFT, or wire

Keep in mind that additional withdrawal limitations apply for non-taxable accounts, such as IRAs.