JP Morgan Treasury Services
Cash management offerings continue to be driven to increasingly sophisticated heights. Today clients talk about working capital management, risk management and integrating foreign exchange operations – on a global scale – as often as they do about payments and liquidity. JP Morgan’s win with Sony Global Treasury Services was just such a deal.
Sony wanted its London centre to act as the group’s FX and fund management/raising operations. GTS is positioned as a shared service centre, which will integrate FX operations and cash management across the entire group, as well as co-ordinate financial risk management services for group companies worldwide. Sony wants to streamline its cash investments and reduce resources allocated to investing cash actively. JP Morgan Treasury Services has created a global in-house bank structure, providing US dollar pooling and payments, and liquidity management to affiliates worldwide.
Steve Groppi, regional executive, treasury services EMEA and Asia, says: “Leading-edge treasury management has moved way beyond core transactional and cost reduction capabilities. The end game now for corporations is working capital management, to increase the return on equity, increase return on capital and to increase the share price. JP Morgan Treasury Services is committed to being a leader in the high-end solutions that enable a company to achieve those ends.”
Sophisticated customers drive innovation by their providers: in June, JP Morgan introduced intra-day sweeps. “Global corporations are increasingly moving towards managing their treasury operations on a global basis – they have evolved beyond end-of-day cash concentration. To manage operations on a global basis, intra-day sweeps are essential to enhance returns on surplus liquidity. To our knowledge, we are the only bank offering this capability,” says Mr Groppi.
