September 16, 2021

A Bank Connectivity Crystal Ball: The Future Promise of Open APIs

Perspective on where APIs are adding value from a global bank that’s ahead of the curve.A banker at a top US global bank invited to a recent session of NeuGroup for Global Cash and Banking said real-time balance (intraday) reporting is the bank’s most popular API, followed by payment transaction tracking. Regarding “as a service” offerings: Real-time reporting will be part of the bank’s larger vision for reporting as a service to provide real-time balances and FX rates.That will be…
BankingTalking Shop
September 16, 2021

Talking Shop: Selecting Signatories on Global Bank Accounts

Editor’s note: NeuGroup’s online communities provide members a forum to pose questions and give answers. Talking Shop shares valuable insights from these exchanges, anonymously. Send us your responses: [email protected] Member question: “The signatories on your global bank accounts are most accurately reflected by which of the following choices?” Treasury staff only.Treasury staff plus non-treasury staff in the region of the account.Non-treasury staff who are in the region of the account. Peer responses: Peer answer 1: “We have split the global treasury…
September 9, 2021

Tapping APIs to Power Better Bank Connectivity

Progress on connectivity with APIs starts with payments and administrative efficiency, GCBG members learned at a recent meeting.Members of NeuGroup for Global Cash and Banking got a realistic assessment of the state of bank connectivity with open APIs at a recent meeting sponsored by ION Treasury, a top provider of treasury management systems. ION’s perspective, an example from a member company and comments from a global bank considered ahead of the curve with APIs provided a view of the current…
August 19, 2021

Send in the Robot: Automating Bank Account Signatory Maintenance

One corporate’s solution uses RPA and ServiceNow to solve the problem of updating signatories on bank accounts.Treasury teams at multinational corporations with scores of banks and hundreds of bank accounts often struggle to find out in a timely manner when the people who are signatories on those accounts—spread across the globe—change jobs or leave the company. That’s a problem. One member of NeuGroup for Global Cash and Banking recently described to peers how her company solved the problem by creating…
BankingCapital MarketsFX
July 22, 2021

Ripple Effects: Gauging Inflation’s Impact on US Rates and Economy

Despite increasing inflation, interest rates should remain low until late 2023, UMB bank tells assistant treasurers. Economic growth turned negative at the start of the pandemic but is rebounding strongly as the United States advances through what some call the Great Rotation—major changes that Eric Kelley, executive VP and director of research and fixed income for UMB Bank, said should result in a strong reopening over the next 12 to 24 months. UMB Bank is a large regional bank serving mainly…
July 15, 2021

A Bigger Slice: Bank Boosts Roles of Diverse-Led Firms in Bond Deals

Morgan Stanley shares insights on its approach to partnering with diverse-led firms, including increased fees and mentorship.Morgan Stanley recently shared how it is expanding the role of banks and broker-dealers owned and run by minorities, women and veterans—so-called diversity or diverse-led firms—in self-led bond deals. The insights came during a NeuGroup meeting of bank treasurers sponsored by Morgan Stanley. Many corporates in the NeuGroup network are encouraging banks that underwrite their debt offerings to allocate bonds to diverse-led firms and…
BankingInvestment ManagementTalking Shop
July 15, 2021

Talking Shop: Investing in Collateralized Loan Obligations

Member question: “Have any members considered/evaluated adding to their investment portfolio in the current environment? “While we’ve had CLOs in the portfolio in the past, it’s something that hasn’t been actively pursued in recent years and we are dusting it off for evaluation.” Peer answer 1: “We have been investing in CLOs since Q2, almost exclusively in the AAA space, but we have authorization to do AA. Spreads are tight, but they are a good option to park cash and…
June 24, 2021

Early Innings in the Fintech Disruption Game

A partner at VC firm Canapi Ventures says regional banks can play by helping developing the digital infrastructure. Blockchain-technology firms may be among the best-known disruptors of traditional banking services, thanks in part to the extreme volatility of the cryptocurrencies the technology supports, like Bitcoin. But fintechs take many forms, and the real disruption is still to come. That takeaway surfaced at a recent NeuGroup meeting of bank treasurers that included insights from Jeffrey Reitman, a partner at Canapi Ventures, which…
BankingLibor SOFRRisk Management
June 3, 2021

Deep Liquidity: Officials Backing SOFR Point to the Repo Market

ARRC Chair Tom Wipf and Nate Wuerffel of the New York Fed on the benefits of SOFR vs. other rates.Know your Libor replacement term rate inside and out. That was the message delivered to regional bank treasurers by top officials leading the effort to replace USD Libor that has led to the development of the secured overnight financing rate (SOFR). More than $200 trillion in transactions are priced over Libor, but the interbank lending market on which the floating-rate benchmark…
June 3, 2021

Looking at How Banks Look at You: Revolvers, Fees and Wallet Share

Treasurers seeking clarity on bank fees and product profitability get insights from Chatham Financial and NeuGroup.At a recent meeting of NeuGroup for Large-Cap Treasurers, members compared notes on revolving credit facilities, bank groups and share of wallet issues, including which products produce the greatest return for banks. A survey taken before the meeting revealed that despite market volatility last year that could have convinced corporates to replace some banks, most members did not see the size or composition of their…