Yesterday, Treasury Strategies released a "case study on one of the most important transformations in Cash Management -- the adoption of electronic trading systems by banks and financial institutions for their corporate clients. The study examined the features and benefits that online trading platforms have provided to two of the nation's largest financial institutions." See the full study, "Web-based Trading Platforms: Improving Efficiency and Control for Users and Providers," here.
The two cases in the study -- PNC and SVB -- both feature software from provider Cachematrix. The press release says, "Under increased audit, compliance, and regulatory concerns, corporate treasurers are seeking greater control, transparency, and efficiency in managing their core and operating cash through the use of buying institutional money funds and ultra safe short term fixed income securities via online trading systems," said Chrystal Pozin of Treasury Strategies. "Web-based trading, research and reporting tools are rapidly being adopted by banks to address the needs of their corporate clients. This case study shows a path to success in two scenarios."
In other news, The Bank of New York Mellon recently "announced the launch of MarginDIRECT, an innovative new liquidity tool that helps hedge funds manage margin positions and reduce counterparty risk in an uncertain credit environment. (See the press release on PR Newswire.)
The release says, "MarginDIRECT provides safekeeping for posted margin balances away from a hedge fund's over-the-counter (OTC) derivative trading counterparties, and thereby reduces the hedge fund's risk exposure. Margin assets received on behalf of clients are targeted for investment through MoneyFunds DIRECT, the bank's on-line liquidity portal that provides direct access to over 100 money market funds in multiple currencies, as well as individual money market securities, on a single, centralized investment and reporting platform."
Jonathan Spirgel, managing director and global head of liquidity services at The Bank of New York Mellon says, "MarginDIRECT reflects our commitment to helping our clients succeed in the current credit environment. `Hedge funds need access to resources that measure up to today's challenging market conditions, and MarginDIRECT can serve as a single and complete solution for managing margin positions, account data and money market investments."
