Search
 
Best Practices

Getting the Most out of Your Cash

Managing corporate liquidity has never been more challenging, either for cash-rich companies facing low interest rates or for smaller companies looking to finance growth.

X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.
Corporate liquidity managers are under more pressure than ever before, and not just those who wish to borrow. In fact, nowadays, treasurers grappling with how to manage excess liquidity face a host of challenges, not least of which are divergences in monetary policies and regulatory approaches.

Low interest rates mean companies hoping to earn a substantial return on excess cash can no longer rely on leaving it in overnight deposits. Indeed, with some central banks taking their rates into negative territory, bank deposits might actually cost a company money. In addition, the impact of financial regulations, such as Basel III, on banks’ treatment of different kinds of corporate deposits further complicates the question of what to do with excess liquidity. The combined effect of these major—and, to a large extent, global—forces has overturned many of the old rules for corporate treasurers, forcing them to seek a new approach.

Complete your profile to continue reading and get FREE access to Treasury & Risk, part of your ALM digital membership.

Your access to unlimited Treasury & Risk content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical Treasury & Risk information including in-depth analysis of treasury and finance best practices, case studies with corporate innovators, informative newsletters, educational webcasts and videos, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM websites including PropertyCasualty360.com and Law.com.

Already have an account?

Recommended Stories

Covid-19 Impacts on Trade

Nathan Feather |

April activity on a supply chain finance platform indicates how the pandemic is affecting specific industries and regions.

Optimism Overrides Volatility

Eric Krell |

If Winston Churchill’s observation that “the optimist sees the opportunity in every difficulty” still holds, then upbeat treasury leaders possess especially sharp vision these days.

Treasury & Risk

Join Treasury & Risk

Don’t miss crucial treasury and finance news along with in-depth analysis and insights you need to make informed treasury decisions. Join Treasury & Risk now!

  • Free unlimited access to Treasury & Risk including case studies with corporate innovators, informative newsletters, educational webcasts, and resources from industry leaders.
  • Exclusive discounts on ALM and Treasury & Risk events.
  • Access to other award-winning ALM publications including PropertyCasualty360.com and Law.com.

Already have an account? Sign In Now
Join Treasury & Risk

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.