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Investment Management

Investment ManagementTechnology
May 13, 2021

Square’s Bitcoin Investment: The Early Steps of a Crypto Pioneer

Digital payment processor Square describes the details and nuances of its $220 million bitcoin investment.Square, the digital payments company, has generated headlines by investing significant sums in bitcoin—along with crypto heavyweights like MicroStrategy and Tesla (which on Wednesday said it will stop accepting bitcoin for purchases but isn’t selling its stockpile). Allison Rossi, Square’s global treasury lead, recently described details of the company’s $220 million investment—about 5% of its cash— to members of NeuGroup for Cash Investment 1.  Square allows…
Justin Jones
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Investment ManagementTechnology
May 13, 2021

Planning Ahead: What Role Will Cryptocurrency Play in Treasury?

As cryptocurrency takes flight, market maker B2C2 teams with NeuGroup to shine a light on this new world.More than half (52%) of the members at a recent NeuGroup meeting said they expect cryptocurrency to become a regular part of day-to-day treasury activity. To help get members up to speed, NeuGroup teamed with sponsor B2C2, a leading crypto liquidity provider, and other industry leaders. Rob Catalanello, CEO of B2C2 USA, said, “There is a pretty big groundswell of interest from the…
Justin Jones
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Investment ManagementTreasury Management
May 6, 2021

Spreading the Word: Investment Reporting and Who Sees What When

The head of investments at a large company with a sizable portfolio describes reporting processes and paths.A member of one of NeuGroup’s two investment management groups who oversees a significant investment portfolio at a major tech company recently described to peers what reports he receives daily as well as what information is reported within the company and how often. The member receives approximately 15 reports daily by email, his preferred delivery method. The emails are sent to the team and…
Justin Jones
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Investment ManagementTechnology
April 29, 2021

What the Crypto Craze Means for Corporates Seeking Use Cases

Treasurers eye the value of Bitcoin and other digital assets as payment methods, investments and tech tools.The fast-paced, volatile and increasingly popular world of cryptocurrencies like Bitcoin and other digital assets is sparking interest, questions and a few concerns among finance and treasury professionals. Discussion at a recent NeuGroup meeting of assistant treasurers pointed up how some corporates are approaching the decision about what role, if any, digital assets should play in their futures.Other members are grappling with more granular…
Justin Jones
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Cash & Working CapitalInvestment Management
March 11, 2021

Counting Cash: Many Companies Will Maintain or Up Cash Levels in H1

An ICD survey also shows steady and growing use of money market funds and higher interest in ESG products.Cash on corporate balance sheets reached a record in 2020, topping $2 trillion, as companies responded to economic uncertainty created by the pandemic. New data from money market fund portal ICD suggests that a majority of corporates do not plan to cut cash levels in the first half of 2021. 61% of the 150 treasury clients surveyed by ICD plan to maintain or…
Justin Jones
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BankingDiversity & InclusionInvestment Management
February 25, 2021

Treasury’s Key Role in ServiceNow’s Commitment to Racial Equity

ServiceNow has turned to RBC to create a $100 million fund to support Black homebuyers and communities.ServiceNow in late January unveiled a $100 million “racial equity fund”—in the form of a separately managed account— that will be managed by RBC Global Asset Management’s impact investing team. In mid-February, during Black History Month, ServiceNow senior treasury director Tim Muindi, who played a leading role in the process, described the project to other NeuGroup members who work at high-growth tech firms. ServiceNow…
Justin Jones
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ESGInvestment Management
November 12, 2020

Navigating Prime Funds and Social Impact Investing

Key takeaways from the Treasury Investment Managers’ Peer Group 2 2020 second-half meeting, sponsored by DWS. By Joseph NeuReclaiming prime funds. Members are still skeptical of prime funds, yet they would not have been sorry had they kept their cash in them through the Covid crisis. Prime funds could be helped going forward by some tweaks to the money market reform regulations concerning gates and fees, plus a pickup in CP issuance next year. However, what prime funds may really need…
Justin Jones
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Investment ManagementRisk ManagementTechnology
November 5, 2020

Data-Driven Decisions Aided by Dashboards and Scorecards

A NeuGroup member describes his money market fund dashboard and investment manager scorecards.Dynamic dashboards that help corporates leverage data to make better decisions are becoming essential tools for finance teams committed to tapping technology to transform. Some companies in the NeuGroup Network are generating envy by using in-house tech talent skilled in programs such as Python to create dashboards, while other members are turning to Power BI or Tableau to ramp up.But a recent meeting of treasury investment managers underscored that…
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Investment ManagementPension and BenefitsRisk Management
November 3, 2020

Walk Before You Run: Using Derivatives in Pension Funds

The value of educating stakeholders on why using derivatives can make sense.During a recent NeuGroup for Pension and Benefits session sponsored by Insight Investment and BNY Mellon, a pair of members shared their knowledge and experience using derivatives in managing corporate pension plans. Two highlights: “Walk before you run” emerged as a key piece of advice to members, most of whom do not make extensive use of derivatives.Educating stakeholders including finance committees, C-Suite executives and accountants on derivatives and their…
Justin Jones
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Capital MarketsInvestment Management
October 29, 2020

Nice Fit: A Matched Portfolio With a Hybrid Management Model

The benefits for one corporate of matching portfolio cash flows to debt payments and using internal and external managers.Matching assets and liabilities, a staple of pension fund managers, is central to how one NeuGroup member runs his technology company’s treasury investment portfolio—or at least a big chunk of it. At a recent NeuGroup meeting, the member explained the benefits of the matched portfolio strategy as well as the advantages of what the company calls a hybrid management model—using internal managers…
Justin Jones
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