Finding wider global deposit options and improved liquidity management.
A local government treasurer is seeking to manage large pools of cash with multiple counterparties, requiring stringent AML and compliance security. There is an additional challenge when the client advises they need to diversify and require cost effective access to select Chinese banks while maintaining all of their existing treasury policy controls. The client wishes to rebuild a more robust liquidity ladder of available cash to better service due obligations.
Using FIIG’s Money Market Optimiser Service the client would be able to direct risk, local and international issuers and instruments for their pools of cash in strict compliance with their treasury policy. The client would also enjoy an enhanced liquidity ladder to manage operational / reserve cash flows and receive consolidated reporting to provide a wholistic view of cash positions and maturing deposits.
Achieving investment diversity with holdings to maturity
A metropolitan local council is only permitted via legislation to invest of a restricted investment menu. There is a preference for the investment to be held to maturity for ease of accounting. The treasurer requires cost effective access to the bond market with a well credentialed provider and the ability to achieve investment diversity.
Using FIIG’s DirectBond Service the local government treasurer can receive cost effective access to the bond market as well as the ability to achieve unparalleled investment diversity across their required investment menu. The investments can be held for whatever term required by the investor as they maintain direct control and direct ownership of the investment throughout the duration of their ownership.
An interim investment solution
A metropolitan local council is in receipt of a special grant that cannot be spent for 18 months due to to delayed infrastructure upgrades. The treasury is seeking an investment solution that will allow them to protect their capital and produce returns greater than term deposits.
The local council could invest in MIPS’s Core Income Program to obtain improved yield with a shift in risk that is within acceptable risk parameters. The grant is effectively quarantined from operating capital in a closed environment with dedicated reporting and compliance assurity.