Pershing, a subsidiary of The Bank of New York Mellon Corporation, announced today that it has begun making the Certificate of Deposit Account Registry Service (CDARS) available to its introducing broker-dealer and independent registered investment advisor (RIA) customers.
This new solution will enable Pershing's customers to offer their clients an efficient way to invest large dollar amounts in FDIC-insured certificates of deposit (CDs). CDARS is managed by Promontory Interfinancial Network, LLC.
CDARS provides Pershing's customers' clients with the ability to disperse deposits in individual CDs or time deposits in increments of less than $100,000 at member banks and financial organizations across the country--analogous to an investor purchasing CDs or time deposits at several local banks. It offers both individual and institutional investors access to up to $50 million of FDIC insurance per separately insurable entity. Pershing's customers' clients will also benefit from receiving one consolidated statement detailing their CD investments.
Pershing is the largest clearing firm to offer CDARS to institutional and retail financial organizations and RIAs. The introduction of CDARS further enhances Pershing's ability to provide its customers with a wide range of robust trading services, which include equity and fixed income trading, international trading, flexible cutting-edge technology, operational support and best execution. This new solution is available to introducing broker-dealer firms through Pershing LLC and to RIAs via Pershing's affiliate, Pershing Advisor Solutions LLC.
Ted Bragg, managing director of fixed income sales and trading at Pershing, said, "We are pleased to provide our customers with a fixed income solution that will help them maintain their clients' assets through an FDIC-insured offering. The addition of CDARS further reinforces our commitment to provide introducing broker-dealer firms and RIAs with the tools and capabilities they need to grow their businesses."