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Deposit Solutions

TKS Baker Deposit Solutions

TKS Baker is experienced in solving banks’ deposit needs through its funding programs. With billions of dollars in total deposits sourced for our clients, TKS Baker is one of the most relied upon and flexible partners for deposit funding solutions. Community banks, mid-sized banks, and some of the largest banks in the world look to TKS Baker to achieve their funding goals with our easy-to-implement, low-cost solutions that help to diversify liquidity and counterpart risk. We help banks accomplish their goals primarily through two very unique solutions; TKS Baker Insured Deposits and Demand Deposit Marketplace. 

TKS Baker Insured Deposits

TKS Baker Insured Deposits is a deposit capture program that enables banks to grow and diversify their deposit bases. It is a program administered by TKS Baker and sponsored by broker-dealers, clearing firms, and registered investment advisers, which enables these sponsors to offer their end clients expanded levels of FDIC insurance. The key to offering expanded FDIC insurance through one account is contingent upon the number of deposit-taking banks that participate in the program.

TKS Baker has hundreds of relationships with banks across the country—community banks up through the largest banks in the world. Through agreements with broker-dealers and clearing firms, TKS Baker Insured Deposits pools investors’ cash and sweeps deposits into accounts established with these program banks. The deposits are stable, non-interest-sensitive balances that require no service transaction support by your bank. 

How does the Program Work at the Bank Level?
  • TKS Baker, acting on behalf of the broker-dealer, enters into agreements with FDIC-insured banks to source deposits from the broker-dealers’ retail clients.
  • TKS Baker will arrange agreements with several banks for each broker-dealer or clearing firm’s individual programs.
  • TKS Baker interfaces with the broker-dealer on a daily basis to track cash balance changes at the individual client account level.
  • TKS Baker assigns the cash balance of specific clients at the broker-dealer to specific FDIC-insured banks in increments of less than $250.000 (£150,000 or ¥ 25,000,000) —ensuring that an individual investor does not exceed the maximum allowable FDIC insurance per bank.

① Cash balances from sponsor brokerage accounts are swept daily into the ② TKS Baker Insured Deposits program, where, ③ utilizing its innovative modeling technology, deposits are allocated among one or more program banks. ④ No one bank receives more than $250,000 to ensure that their cash is fully protected at all times. Each clients’ cash balance, whether savings or temporary liquidity pending investment opportunities, is accessible at any time and is FDIC insured up to their total cash balances or the program maximum, whichever is less.