Money market funds with your Brex business account
Overview
Your Brex business account gives you access to three account types—checking, treasury, and vault. Any funds that you transfer into treasury will be segregated and held by Bank of New York Mellon and invested in Dreyfus Government Cash Management Investor Shares (DGVXX). The DGVXX is a money market fund that invests solely in securities that are issued or guaranteed by the US government or its agencies or instrumentalities, repurchase agreements backed by cash, and/or government securities and cash. The fund seeks to preserve capital and liquidity while earning the highest level of current income possible.*
DGVXX information
You can find in-depth information on the DGVXX, such as past performance data and a prospectus, by following the steps below. Step 1: Go to the BNY Mellon website. Step 2: Select Cash management professionals. Step 3: Hover over Products and select Overview under the heading Money Market Mutual Funds. Step 4: Select the DGVXX entry, which will be highlighted in teal. You can also search for “DGVXX.” Note: Brex Treasury LLC is a member of SIPC. Securities in your account are protected up to $500,000 (including $250,000 claims for cash).***
Investment safety
Your invested funds are held as shares by you, the customer, through our Brex business account and managed by Brex Treasury through the custodial record per your selected allocation. While you should consider the investment objectives, risks, charges, and expenses of the DGVXX fund carefully before investing, note that the securities in which the fund invests include those backed by the full faith and credit of the US government. These include US Treasury securities as well as securities issued by certain agencies of the US government, and 99.5% are invested in instruments fully backed by the US government/are fully collateralized by other assets fully backed by the US government. The main priorities of the fund are to preserve capital and liquidity while earning the highest level of current income possible. As a registered broker-dealer, Brex is required to segregate our money from customer funds (i.e., customer assets cannot be commingled). In the event of a failure of BNY, all customer assets will be transferred to another broker-dealer. Should any assets be unaccounted for following this, Securities Investor Protection Corporation (SIPC) covers $500k worth of assets (with up to $250k being cash). Any funds allocated to MMF via Brex business account are considered securities because they are held as shares of the DGVXX fund, instead of as cash.
Dividends
Dividends are paid on the first business day of the month. If the first day falls on a weekend or banking holiday, your payout will arrive the first business day to follow.
Impact of changes by the Federal Reserve
The yield of money market funds such as the DGVXX may change in response to fluctuations in interest rates put forth by the Federal Reserve. These fluctuations will be reflected in your Brex Business account. The yield offered on your DGVXX shares fluctuates daily, and you can always find the latest yield figure here.
Disclaimer
*Clients should consider the investment objectives, risks, charges and expenses of the Dreyfus Government Cash Management Investor Shares (DGVXX) carefully before investing. The prospectus and the summary prospectus contain important information related to these investments, please read them carefully. **You could lose money by investing in a money market mutual fund. Although the fund seeks to preserve the value of your investment at $1 per share, it cannot guarantee it will do so. An investment in the fund is not insured or guaranteed by the Federal Deposit Insurance Corporation (FDIC) or any other government agency. The fund’s sponsor has no legal obligation to provide financial support to the fund and you should not expect that the sponsor will provide financial support to the fund at any time. Although the fund’s board has no current intention to impose a fee upon the sale of shares or temporarily suspend redemptions if the fund’s liquidity falls below certain levels, the board reserves the ability to do so after providing at least 60 days prior written notice to shareholders. ***Performance data quoted represents past performance; past performance does not guarantee future results; current performance may be lower or higher than the performance data quoted.