Important information about uninvested cash in your account

You have elected and authorized Edward Jones, acting as your agent, to deposit funds in Customer Reserve Accounts (as defined in the SEC’s Customer Protection Rule). In accordance with this direction, Edward Jones will deposit on your behalf into Customer Reserve Accounts some or all of your uninvested cash. This cash is available to you on demand. The Customer Reserve Accounts are special bank accounts that are separate from other Edward Jones bank accounts, and are established for the exclusive benefit of Edward Jones’ clients. In these Customer Reserve Accounts, your cash will be commingled with the cash of other customers, as permitted by applicable laws and regulations. We maintain records to keep track of your share of these funds. 

The cash in Customer Reserve Accounts will be either deposited by Edward Jones, as your agent, with one or more FDIC-insured banks, or used to obtain securities issued or guaranteed by the United States. Edward Jones is not a bank or FDIC-insured institution and deposit insurance only covers the failure of an insured bank. FDIC insurance for deposits held in Customer Reserve Accounts is provided by the FDIC-insured banks where funds are deposited into accounts held for the benefit of Edward Jones' clients, on a "pass-through" basis, which requires certain conditions to be met for coverage to apply. For a current list of the network of FDIC-insured banks where Cash Interest may be deposited, see FDIC-insured banks holding Edward Jones customer reserve accounts (PDF).

If your uninvested cash is used to obtain securities issued or guaranteed by the U.S. government, those securities are not insured by the FDIC, are not deposits, and may lose value.

To the extent Edward Jones receives interest on Customer Reserve Account deposits at the banks, we will pay to you, or hold for your account, an effective interest rate (interest from the banks minus our fees and charges, if any) on your funds, unless you have specifically directed us not to pay you any interest. Any interest paid to you represents a portion of the interest received from the banks and is not an obligation of Edward Jones. Both the effective interest rate you receive and Edward Jones’ fees and charges may change from time to time. For each statement period, your Edward Jones account statement will reflect the effective interest rate.

If a bank holding Customer Reserve Account deposits fails, and some of your cash was being held in Customer Reserve Accounts at that bank, then Edward Jones will process an FDIC insurance claim on your behalf as your agent. Edward Jones clients’ cash in Customer Reserve Accounts may be allocated across various Customer Reserve Account banks. In the event of a single bank failure, only a portion of the cash you authorized us to deposit on your behalf may be deposited at that bank. 

If additional FDIC insurance is important to you, you should talk with your financial advisor about other cash options available at Edward Jones. For more information about the FDIC and FDIC insurance, visit If Edward Jones experiences financial difficulties, the Securities Investor Protection Corporation (SIPC) protects securities and cash in your account. To obtain information about SIPC coverage, visit or call (202) 371-3800.