Media – Blog
July 28, 2016
As stocks soar to record highs, it seems as though the decline in long bond yields has been endless. Less than a year after the Federal Reserve saw economic conditions sufficient to warrant the first rate hike in almost a decade, rates on long-term U.S. Treasury bonds now lie at
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July 1, 2016
As seismic events go, Brexit ranks right up there. It was unpredicted, and its disruptive influence quickly radiated out from its London epicenter. As the news spread, commentary from a sea of pundits flooded the market with various macro views of the potential damage Great Britain’s exit from the Euro
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July 1, 2016
After an initial shock, global financial markets calmed down in the week following the June 24 vote by the British electorate to leave the European Union (Brexit). As leaders from the United Kingdom and EU began a process of separation that could take several years, the immediate impact on institutional
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June 7, 2016
Venture debt has long been a useful tool for early-stage companies seeking more cash without the share dilution that comes from another visit to equity markets. But what happens to companies that have already negotiated healthy debt packages—especially at a time when venture capital investing has slowed, and when tapping
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May 25, 2016
When the Fed raised interest rates last December for the first time since 2008, many corporate cash investors who had lived through previous tightening cycles expected a series of increases through 2016. But worldwide turbulence in equity markets in the first quarter, additional easing by central banks overseas, and ongoing
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April 1, 2016
Two years ago, the SEC was still deliberating on rules for prime money market funds that eventually resulted in floating net asset values (NAVs), liquidity fees and redemption gates. Basel III reforms affecting bank deposits were still only in the early stages of implementation. But we were already warning clients
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March 23, 2016
Many people tend to believe that the world of corporate cash investments revolves around two limited choices: bank deposits and money market funds. But several decades ago before the rapid adoption of prime money funds, a third choice—direct purchase and management of marketable securities in separately managed accounts (SMAs)—was routinely
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March 21, 2016
CFOs of emerging growth companies have always faced unique challenges in managing their corporate cash accounts as they juggle multiple rounds of financing, unpredictable burn rates and uncertainty about when products in development will turn into revenue. But in 2016, rising interest rates combined with recent regulatory reforms will make
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March 3, 2016
For corporate cash managers, planning to reallocate investments in an orderly way as money fund reform approaches may be a common goal, but trying to balance decisions on the utility of government money market funds versus the yield opportunities of a separately managed account can be a conundrum. While the
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December 10, 2015
With amendments to SEC Rule 2a-7 going into effect in the fall of 2016, institutional prime money market funds will be required to adopt floating net-asset values (NAVs) as well as provisions for fees and gates on redemptions. Because floating NAV prime funds present new considerations for cash investors managing
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