Investment Management for Excess Operating

The industry standard is to keep approximately 2½ times the association’s monthly operating expenses in a local bank operating account selected by your management company.  If your association has significantly more operating assets than that, it is recommended the excess be placed in an “Excess Operating” account where  the funds can be “laddered” into CDs with various maturities with the potential to earn more interest than it may were all of the funds kept in the bank operating account.