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What’s Best for Your HOA Reserve Funds? 
By Lisa Beaty & John Polovick

For HOAs, financial stability and long-term planning are crucial. Funds often sit idle in low-yield accounts due to a lack of proactive investment plans and challenges from regulations like the Davis-Stirling Act. An effective strategy should prioritize both security and growth. U.S. Treasuries, especially T-Bills, provide excellent liquidity, allowing for quick access to funds. This is crucial for funding emergency projects or complying with California’s SB 326. Investing in T-Bills helps HOAs not only protect their funds, but also may increase yields over other available alternatives. This approach ensures that funds set aside for SB 326 are secure while generating higher returns, balancing reliable income with the immediate liquidity needed for urgent financial needs.

THE APPEAL OF U.S. TREASURIES AND CDS

U.S. Treasuries: Introduced in 1913, U.S. Treasuries are...