1 min readSurvey Objective To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices and changes over time. Key Survey Takeaways Corporate Investment Policies are a Low Priority 41% have not made any changes to their corporate investment policy in the past 2 years. Only 23% have updated their…
4 min readOur panel session at this year’s AFP Conference on “Managing Liquidity in a Post-Reform World” came at an opportune time—just after new SEC regulations on institutional prime money market funds went into affect that have already started to dramatically transform the cash management landscape. So it was no surprise when much of the formal discussion…
1 min readIntroduction Many corporate treasurers are keeping their cash in bank deposits, U.S. Treasuries and government money market funds as they assess the impact of ongoing reforms that are changing the risk and liquidity profiles of prime money funds. According to the 2016 Liquidity Risk Survey of 130 treasury professionals by Strategic Treasurer and Capital Advisors…
5 min readNew Liquidity/Risk Survey Identifies Opportunity Costs Associated with Bank Deposits and Government Securities Many corporate treasurers are keeping their cash in bank deposits, U.S. Treasuries and government money market funds as they assess the impact of ongoing reforms that are changing the risk and liquidity profiles of prime money funds. According to the 2016 Liquidity…
1 min readSurvey Goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices and changes over time. Seven Key Things We Learned From the 2016 Survey Ignoring Bank Exposures Treasury and financial professionals have not materially changed their exposure to Bank Deposits in the wake of significant…
2 min readAmong the most interesting statistics in the 2015 AFP Liquidity Survey from the Association for Financial Professionals (AFP) is that 52 percent of corporate treasurers are considering use of separately managed accounts (SMAs) as a response to the 2016 reforms that will change the nature of institutional money market funds. That finding may come as…
1 min readSurvey goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices and changes over time. What we’ve learned in 2015 Treasury and financial professionals appear to have begun to control bank exposures Decrease in bank deposits Survey results indicate while Money Fund usage is down…
1 min readSurvey goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices. What we’ve learned in 2014 Treasury and financial professionals appear to have begun to control bank exposures Decrease in bank deposits Firms seem to have increased the pace at which they negotiate and renegotiate…
1 min readSurvey goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices. Summary of 2013 Survey Treasurer’s Mindset: “Surpising Complacency with Bank Exposures” Context: FDIC insurance dropped from Unlimited t0 $250,000 Dodd-Frank Bank deterioration continues Select Highlights: Debt: Continued increase in staggering facilitites Fewer loan covenants…
1 min readSurvey goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices. Summary of 2012 Survey Treasurer’s Mindset: “Cautious, but Ready to Act” Context: FDIC insurance changes Pending Money Market Fund Regulations (5%, Floating, NAV, Capitalization) Select Highlights: Debt: Additional diversification Increased collateral Continued tighter covenants Forecasting:…