ST. LOUIS, Feb. 20 /PRNewswire/ -- To give clients an alternative for the cash balances in their investment accounts, A.G. Edwards (NYSE:AGE) has launched its new FDIC-insured bank deposit program with competitive interest rates not typically seen on traditional brokerage sweep accounts.
With current program rates starting at more than 4.5%* on the smallest accounts, the new AGE Bank Deposit Program gives investors the opportunity to earn as much as 4.9%** on their cash balances, depending on account type and household asset value. In addition, accounts are covered by up to $1 million of FDIC insurance.(1) New eligible accounts will be automatically enrolled in the program, while eligible existing account holders will have the opportunity to "opt-in" to the program if they so choose.
"The rates on our new AGE Bank Deposit Program are certainly some of the most competitive in the industry right now," says Peter Miller, executive vice president and director of Sales & Marketing at A.G. Edwards. "With the added protection of FDIC coverage, this program gives our clients an opportunity to make good use of the cash portion of their portfolios along with their other investments." A.G. Edwards announced in fall 2006 the bank deposit program would be made available to clients. Now that it is being implemented, the program allows cash balances -- including deposits, dividends, interest and proceeds from sales -- to be swept from clients' eligible brokerage accounts and deposited into the AGE Bank Deposit Program. These cash balances not only benefit from competitive interest rates but also make funds available for clients whenever they need them through withdrawals, checks, debit card transactions(2) and online bill payments.(2) The new A.G. Edwards program currently features 20 participating banks nationwide and beginning in June will include the A.G. Edwards Trust Company FSB -- an affiliate of A.G. Edwards & Sons, Inc. -- which will serve as one of the initial program banks.
The AGE Bank Deposit Program is the latest in a line of new products and services the firm recently has made available for its clients. In early February A.G. Edwards launched Unified Managed Portfolios, an umbrella account structure that houses separately managed accounts, mutual funds and ETFs together in one account. Both the managed account and bank deposit programs offer several convenience and consolidation features to help clients keep track of all facets of their investment portfolios.
* AGE Bank Deposit Program accounts will earn a rate of interest that
is based on whether account holders have an A.G. Edwards UltraAsset
Account and their statement-linked household value. Each household
value reflects the current minimum balance and account status
required to obtain the applicable APY. See
http://www.agedwards.com/bankdepositrates for the current prevailing
rates. The daily balance method will be used to calculate interest
on client accounts. Interest is compounded and credited to the
applicable accounts monthly. There is no minimum period that money
must remain on deposit and consequently there is no penalty for
withdrawals.
** Rates current as of February 16, 2007 (1) Balances in the AGE Bank Deposit Program are insured up to $100,000
(or other applicable limit) by the Federal Deposit Insurance
Corporation (FDIC) for each category of legal ownership, for a total
of $1 million in FDIC insurance when deposited at different program
banks.
(2) These services are available exclusively to UltraAsset Accounts.
About A.G. Edwards
Drawn to the firm's client-first philosophy, individuals and businesses have turned to A.G. Edwards & Sons, Inc. for sound advice and access to a wide array of investment products and services that can help them meet their financial goals and objectives. Founded in 1887, A.G. Edwards and its affiliates employ more than 6,600 financial consultants in more than 700 offices nationwide and two European locations in London and Geneva. More information can be found on http://www.agedwards.com/ .
A.G. Edwards & Sons, Inc.
Member SIPC DATASOURCE: A.G. Edwards CONTACT: Byron Goodrich of A.G. Edwards, +1-314-955-3235, Web site: http://www.agedwards.com/ http://www.agedwards.com/bankdepositrates
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