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 returns on invested cash.
State Cash Account assets represent funds invested in the Invested Treasurer’s Cash (ITC) Pool and in Other State Cash Accounts. Certain state agencies with varying investment objectives, investment restrictions, and time horizons, are not invested in the ITC Pool and are invested in separate accounts.
The investment objectives for investing State Cash Accounts are to preserve capital, to meet the agencies' 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). As of June 30, 2024 the ITC Pool assets totaled $29.2 billion, representing 96.9% of total State Cash Account assets. The ITC Pool invests the cash balances of special or dedicated accounts necessary for the operation of certain state agencies and non-dedicated cash in the State's general account.
Approximately $932.5 million of assets (as of June 30, 2024) are held in Other State Cash Accounts, representing dedicated separately managed accounts with varying investment objectives and restrictions. In these cases, the state agency either directs the SBI to make specific investments or provides the SBI with investment guidelines, and the SBI manages the investment strategy on the agency's behalf. These agencies direct the investments or provide the SBI with investment guidelines and the SBI executes on their behalf. Most of the assets in the Other State Cash Accounts are related to State or state agency debt issuance, including debt service reserves and proceeds.