Separately managed accounts can provide an attractive alternative for treasurers looking to generate higher yields on their excess cash than are available from money market funds.
The decision on the part of Latin American companies to allocate at least a portion of their liquidity to USD-denominated products is considered best practice given the volatility that has roiled the region's debt markets in the past.
Managing cash in separately managed accounts (SMA) should be considered by institutional investors as a real option where the benefits of customisation can be realised.
After carrying out a 'root and branch' examination of its investment policy, Ahold Group's treasury department now favours alternative products over MMFs.
Investors need to be aware of the decisions that their providers are making in respect to credit risk so transparency is more important than ever before.
SunGard recently commissioned a study among corporate treasury professionals to understand corporate attitudes to cash investment, including strategic cash holdings, asset allocation, investment policies and transaction execution. We outline some of the key findings.
The Editor discusses some of the current issues in the money funds industry, and how corporate investment behaviour is changing.