The SBI manages the cash balances of more than 400 state agency accounts with the objectives of preserving capital, meeting state agency liquidity needs, and providing competitive money markets returns.
State Cash Account assets represent funds invested in the Invested Treasurer’s Cash (ITC) Pool and in Other State Cash Accounts. State agencies with differing investment objectives, strategies, and time horizons, are not invested in the ITC Pool and are invested in a separate account.
The investment objectives for investing state cash accounts are to preserve capital, to meet the state's cash needs without the forced sale of securities at a loss, and to provide a level of current income consistent with the goal of preserving capital.
All State Cash Accounts are managed internally by the SBI investment staff.
The majority of the State Cash Accounts are invested in a short-term pooled fund referred to as the Invested Treasurer’s Cash Pool (ITC). ITC assets represent $15.0 billion, or 99.4% of State Cash Account assets. This pool contains the cash balances of special or dedicated accounts necessary for the operation of certain State agencies and non-dedicated cash in the State Treasury.
Approximately $92.1 million of assets are in Other State Cash Accounts, which are separately managed dedicated accounts because of special legal restrictions. These agencies direct the investments or provide the SBI with investment guidelines and the SBI executes on their behalf. The vast majority of these assets are related to state or state agency debt issuance including debt service reserves and proceeds.