Delaware Administrative Code
Title 1 - Authorities, Boards and Commissions
1200 - Cash Management Policy Board
1201 - Statement of Objectives and Guidelines for the Investment of State of Delaware Funds
Section 1201-10.0 - Settlement Accounts
Current through Register Vol. 28, No. 3, September 1, 2024
10.1 Investment Objectives. State Funds in the Settlement Accounts remain for only a short period of time before transfer to a Collection and Disbursement Account. The primary investment objectives are therefore safety and liquidity of such funds; return is a secondary priority. OST may, consistent with these investment objectives, minimize credit risk associated with demand deposit account balances at Merchant Banks through same-day money market mutual fund sweep products in accordance with subsection 5.2.2. End-of-day ledger balances shall be secured as provided in subsection 5.2.1.
10.2 Permissible Investments. Merchant Banks shall maintain State Funds in either collateralized demand deposit accounts or open-end money market mutual funds, in each case, subject to the provisions of subsections 5.2.1 and 5.2.2, respectively, in order to mitigate the risk of State Funds being exposed to the credit risk of such financial institutions.