Product Advisor, Treasury Management
Today’s Treasurer: Moving Up. Moving Mountains
The corporate treasurer needs to be looking forward, even trying to peer around the corner to see what risks and opportunities exist ahead of them. Read Now »
Improving Returns on Your Short-Term Cash
The Effect of a Rising Rate Environment
A number of short-term investment options have become part of the consideration set because of the rising market. They include variable net asset value prime money market funds, separately managed accounts and conservative ultra-short bond funds.WATCH NOW
As 2017 begins, stock and oil prices are moving higher and economic outlooks for 2017 are being revised.
Economic growth will be faster in 2017-2018 with assists from consumer spending, construction spending, business investment and Federal government spending, more than offsetting weakness in U.S. exports as the dollar continues to strengthen and growth outside the U.S. remains slow.
You can find relief by improving management of invoice processing through payment.
Invoice automation can help you optimize the use of employee resources, significantly decrease the cost of processing invoices, help you capture vendor discounts more reliably and increase scale within your back office.
The healthcare cost trajectory has significant implications for companies and employees today --and on retirement prospects for individuals down the road.
Changes in healthcare are monumental. It’s hard enough for employers to understand the new landscape. It can be even harder for employees, leaving a significant gap in understanding between the two groups, particularly when it comes to retirement planning.
In our fast-moving world, payment systems must evolve to keep pace. Quicker payout, more flexibility, better control and improved cash flow are what customers expect today.
With encouragement from the Federal Reserve, the industry is responding to the demand for faster payments. Three leading organizations are already rolling out new payment options.
Rising interest rates will affect your money market deposits, interest-bearing checking accounts, sweep investments and time deposits.
We are in uncharted territory. Interest rates have been static for longer than at any point in history. There are new reforms and regulations that did not exist before. And the economy is exceptionally volatile, both domestically and globally.
The strength of the dollar, a favorable interest
rate environment and an abundance of cash on
hand may make this a good time for domestic
companies to invest outside the U.S.
Companies considering a cross-border merger or acquisition should evaluate the currency risk during the due-diligence stage of the deal to ensure that currency rate volatility does not adversely affect the target price.You can perform a “Value at Risk” analysis to quantify the currency risk between now and closing.
Fight fraud with the help of your bank.
Cards offer businesses and consumers alike significant convenience and cost savings. While many well-known retailers fell victim to credit card breaches over the past year, you can continue to enjoy the benefits of card usage while protecting your business from fraud.
Currency markets are experiencing a significant amount of volatility. Hedging programs can help companies protect profits and cash flow.
While most companies start with hedging balance sheet exposures as they are more visible, more are now considering hedging forecasted exposures such as sales or expenses. Hedging anticipated cash flows depends on the company’s ability to forecast reasonably accurately, although uncertainties can be managed by hedging a percentage of your anticipated exposure.
Yield curve efficient interest rate swaps closely follow the expected future path of interest rates. The frequency and timing of increases can be tailored to meet cash flow needs.
Interest rate derivatives can deliver a number of benefits in today’s environment. For example, they are completely customizable. Financial managers and treasury teams can use derivatives to fine tune their interest rate profiles and maturities according to their risk tolerance and cash flow needs.
Does your company have a well-thought out investment policy? Does your policy have clear, measurable objectives? Has it been written down and shared with the appropriate team?
Putting your investment policy in writing is the foundation of effective investing. Your policy should provide benchmarks to help you evaluate how well it is working and what changes may be needed to make it more effective.
Multicurrency accounts, multi bank reporting capabilities, multibank transfers and introductions and support are essential for international success.
In order to succeed in the international marketplace, you need control and flexibility in your cash flow. That means clear visibility into your accounts as well as cash management and liquidity structures that maximize access to funds and liquidity solutions in different local and regional markets and in multiple currencies.
A number of actions, when combined and layered effectively, can provide a robust defense against many major threats. Your financial institution can be a valuable ally in the fight.
Yesterday's cyber crimes were often intended to cause disruption by infecting your computers with harmful viruses. Today, they are increasingly malicious and sophisticated, using a combination of tactics to gain your trust...and access to your company's financial accounts.
Since interest rates have declined, the interest rate swaps’ value is negative or a liability and must be considered as a cost in any refinancing or restructuring.
In the face of moderate economic growth in the United States and overseas, short and long term interest rates remain at historically low levels. A cancellable interest rate strategy can be used as a hedge against a specific debt facility or as a part of a larger strategy to manage duration of a debt portfolio.
Even in today’s low rate environment, it is possible align your company’s short-term cash strategy with the objectives of your investment policy.
It is important to stay apprised of market trends and regulatory changes. Those external factors, as well as your own internal objectives should drive how you manage your company’s short-term cash now and in the future. Re-evaluate the balances you maintain in non-interest-bearing accounts and determine how this current allocation aligns with your investment goals.
Educate your organization about the myriad fraud schemes that can attack your system, including best practices for IT security. Also enhance the security of your computers and networks.
Just as the financial marketplace is driving to faster and more anonymous transactions, fraudsters are increasingly using old-fashioned methods to collect tid-bits of financial information that can enable them to compromise your accounts. Corporations both large and small as well as government entities, school districts and individuals are vulnerable.
Utilize financial models to inform decisions around hedging
With interest rates at all-time lows, some companies may have been lulled into a false sense of security about interest rate risk. However, the intermediate and long end of the yield curve has been trending up dramatically. Companies can utilize financial models to inform their decision around hedging a portion of their projected debt portfolio for longer durations.
Credit is available with competitive terms for companies that see their bank as a vital resource. Here are tips for keeping an open relationship with your banker.
Imagine that you run a mid-size company with deep ties to an industry challenged by economic conditions. After decades of success, growth has stalled -- and your income statement is beginning to show it. Open communication with your banker puts everyone in a better position to structure and negotiate the right credit solutions for the challenges at hand.
Precise cash flow forecasting is not easy, but studies have shown that companies that succeed can optimize their cash flow and significantly improve decision making and best practices.
The rewards of accurate cash flow forecasting may have never been greater than they are today. But many companies may find that effective, short-term predictive ability remains elusive. Even in the face of these challenges, it’s possible to significantly improve the precision of your forecasts without incurring prohibitive costs.