Over the last five years, European treasurers have learned to manage counterparty risk. They have become less trusting and more cautious in investing their funds. Return had become necessary to correspond to risk. Unfortunately interest rates are so low today that security now has a cost.
This is an economic paradox, if ever there was one. What can treasurers do to find a return while keeping down the risk incurred?
François MasquelierHead of Corporate Finance and Treasury, RTL Group, and Honorary Chairman of the European Association of Corporate Treasurers