In what name are tbills held?

[M.W.]

Question for @def and others:
In what name are tbills held in an IB account with FICC? Any difference whether it's a margin or cash account? The notional was obviously provided for by cash holdings as mandated by regulations. Is my name registered with my tbills at FICC/DTCC?

 

[mervyn]

Treasuries are held at the street name if you are with a broker.

Marginable or cash doesn’t make a huge difference for retail, 1-9% depending on maturity. I buy zero coupons so I need to put up 97% of the initial balance.
https://www.interactivebrokers.com/en/trading/margin-bonds.php

However if you use treasury direct and link your bank account, that will be under your name, cash account of course, the fed won’t loan you money.

 

[M.W.]

Thanks, any source or reference for this claim? Stocks paid for in cash by regulation must be held in the beneficiary owner's name. Why not tbills?

Treasuries are held at the street name if you are with a broker.

Marginable or cash doesn’t make a huge difference for retail, 1-9% depending on maturity. I buy zero coupons so I need to put up 97% of the initial balance.
https://www.interactivebrokers.com/en/trading/margin-bonds.php

However if you use treasury direct and link your bank account, that will be under your name, cash account of course, the fed won’t loan you money.

 

[mervyn]

Thanks, any source or reference for this claim? Stocks paid for in cash by regulation must be held in the beneficiary owner's name. Why not tbills?

it is held at your name internally within regulated brokerages, dtcc won’t have your name. most large brokerages use dtcc as custodian, but could have used banks or transfer agents.

i have seen dtcc payment prints, payable to recognized street names only.

 

[Maverick2608]

Treasuries are held at the street name if you are with a broker.

Marginable or cash doesn’t make a huge difference for retail, 1-9% depending on maturity. I buy zero coupons so I need to put up 97% of the initial balance.
https://www.interactivebrokers.com/en/trading/margin-bonds.php

However if you use treasury direct and link your bank account, that will be under your name, cash account of course, the fed won’t loan you money.

Just to be clear. So in case of bankruptcy, it does not matter whether your are in cash, stocks, ETFs or treasuries, you can only claim the deposit insurance?

 

[mervyn]

Just to be clear. So in case of bankruptcy, it does not matter whether your are in cash, stocks, ETFs or treasuries, you can only claim the deposit insurance?

cash deposits are insured.

stocks, bonds, etfs are instruments, you can transfer to another firm. sipc covers up to 500k I think, including 250k cash.