He mentioned having some of the funds as "cash on hand." Let's assume it's some sort of investment (eg. sweep) account, like at Charles Schwab [1]. The funds a

He mentioned having some of the funds as "cash on hand." Let's assume it's some sort of investment (eg. sweep) account, like at Charles Schwab [1]. The funds are FDIC-insured, just like a savings account; they are also just as accessible as a savings account. But they are actually an investment account, from which you can trade stocks, bonds, etc. Of the (mostly affluent) people I know... none of them possess a traditional savings account. Most use a checking accounts for direct deposit and a brokerage account. There's no reason to have a traditional savings account. [1] http://www.schwab.com/public/schwab/investing/accounts_products/investment/cds_money_markets/cash_solutions http://www.schwab.com/public/schwab/investing/accounts_produ...