Construction Funds are often large accounts that are used by bond issuers to finance the construction of new buildings or the renovation of existing ones. They are often spent quickly, which can make them difficult to manage. Typically a draw schedule is created to ensure that funds are used as intended, and this schedule serves as a roadmap for the construction project. This type of account is subject to the same rules and regulations as other types of accounts, but there are some specific considerations that must be taken into account. IBN understands and has considerable experience managing construction funds. We work with our clients to create a customized management plan that meets the specific needs of their project. Our team has the knowledge and experience to handle all aspects of construction fund management, from creating the draw schedule to disbursing funds according to the schedule. We also have a deep understanding of the rules and regulations that apply to these types of accounts, and we make sure that our clients are in compliance at all times. If you are planning a construction project, IBN can help you manage the construction funds. We will work with you to create a customized investment management plan that meets the specific needs of your project.

Debt Service Reserve funds are put in place as a security feature to be used to pay principal and interest payments in case an issuer cannot otherwise meet the obligation. If an Issuer needs to draw on the DSRF, a withdrawal is made to pay the bondholders in a timely manner. In most cases, however, these funds are deposited and stay in the account for the life of the bond. This creates an investment opportunity with often a very long time-horizon.