Media – Whitepapers
February 3, 2015
The economic backdrop in January 2015 is markedly different from a year ago. The price of oil, the most widely used global commodity, is down over fifty percent and new deflation scares are emerging in Japan and the Eurozone. Even Tom Brady’s footballs are feeling the deflation contagion. Besides the
Read more
February 2, 2015
Abstract Lower oil prices and easier central bank policies outside the U.S. led the market to question the Fed’s timetable for raising interest rates. While both disinflationary and expansionary forces are present, financial markets appear to be focusing on the former, as the latter is still materializing. The net effect
Read more
January 1, 2015
Abstract The three new trends we watch out for in 2015 include the start of an interest rate tightening cycle, consequences of worsening supply shortage, and resurging geopolitical uncertainties. We recommend moderate portfolio duration and a laddered portfolio structure. Other suitable tools may include callable securities, floating rate notes and
Read more
December 1, 2014
Abstract A well-structured separately managed account may serve liquidity investors better than money market funds, especially when faced with uncertain interest rate prospects and opportunity costs. Given historical fed funds and LIBOR rates, a moderately structured hypothetical SMA portfolio outperformed a hypothetical MMF in each of the last three rate
Read more
November 3, 2014
Note: For the purposes of this paper, we will define “healthcare” as life sciences/biotech, medical devices, diagnostics and health tech. Capital Advisors Group is a Boston area-based institutional investment advisor that has been helping venture-backed companies invest their cash assets for more than 23 years. Its debt finance consulting division
Read more
October 1, 2014
Abstract An effective counterparty strategy must provide clarity on counterparties’ credit strength, individually and collectively, and have a desired “benchmark” level. Changing credit landscapes, aggregation challenges and inconsistent and irregular policy practices are just some of the challenges facing treasurers transitioning from a reactive counterparty risk management practice to a
Read more
September 2, 2014
Abstract This research commentary discusses liquidity in the context of corporate cash portfolios, coming challenges in the post-crisis era, why liquidity reversal may be a systemic concern, and how investors should prepare for the new liquidity equilibrium in a normalized interest rate environment. Our suggestions for corporate cash professionals include
Read more
August 1, 2014
Abstract Greater vigilance is required of today’s treasury investment professionals. Neither bank deposits nor money market funds may be appropriate in the post-crisis, post-regulatory environment. As yields start to rise, cash investment strategy decisions that may have been delayed will require serious consideration. Direct purchases in separately managed accounts may
Read more
July 1, 2014
Note: For the purposes of this paper, we will define “healthcare” as life sciences/biotech, medical devices, diagnostics and health tech. Capital Advisors Group is a Boston area-based institutional investment advisor that has been helping venture-backed companies invest their cash assets for more than 22 years. Its debt finance consulting division
Read more
June 2, 2014
Survey goal To shed light on treasury departments’ efforts to mitigate liquidity risk in short-term cash investment, debt and forecasting practices. What we’ve learned in 2014 Treasury and financial professionals appear to have begun to control bank exposures Decrease in bank deposits Firms seem to have increased the pace at
Read more