Companies Unleash the Cash as Confidence Returns
Fueled by loads of cash and low borrowing rates, companies are starting to make up for time lost from the 2008 recession and opening their wallets for capital expenditures.
Will New Money Fund Rules Spur Corporate Interest in Repos?
Corporates lending directly in tri-party repurchase agreements remain rare. Now, spurred by new money market fund regulations that likely will make this favorite short-term investment less attractive, corporate treasurers are re-visiting repos.
Case Study: Moving to a Notional Pooling Structure
Using multiple financial institutions around the world is a challenge for any global treasurer. But for John Hanbury, CPA, CMA, treasurer for CHC Helicopter, corporate banking across the globe presented a liquidity management challenge. CHC realized that the only way to solve the issue was to move to a notional pooling structure.
Fed Mulls Controversial Commodity Proposal
Mulling a proposal that would limit banks’ participation in the physical commodities market, the Federal Reserve is attempting a delicate balance—companies seeking to hedge commodity risk and concerns about systemic risk.
2Q14 Corporate Cash Reserves Up, Short-Term Investment Quickens
Coinciding with the SEC’s money market mutual fund ruling for corporations, the AFP Corporate Cash Indicators ® (AFP CCI), underwritten by State Street Global Advisors, revealed that U.S. businesses built cash reserves at a faster pace during the second quarter of 2014 and invested those assets more conservatively. But the burst in cash accumulation is expected to be short lived.