Treasury Contrarian View: Should Treasury Own ESG Data and Reporting?
Environmental, Social, and Governance (ESG) reporting is becoming a critical expectation for companies worldwide. Regulators, investors, and stakeholders increasingly demand transparency. But here’s the contrarian question: Should treasury—not sustainability or finance—own ESG data and reporting? The Case for Treasury Ownership The Case Against Treasury Ownership A Collaborative Model Perhaps the best approach isn’t treasury owning ESG outright, but treasury playing a critical role: Let’s Discuss We’ll share perspectives from treasurers, CFOs, and sustainability leaders—join the conversation! COMMENTS Ricardo Schuh, Treasury Masterminds Board Member, comments: I believe that ESG should be led by a dedicated professional or function within the organization, given its scope goes far beyond financial reporting. While Treasury can add significant value in ensuring data integrity, governance, and technical alignment with financial markets, ESG encompasses a broader set of dimensions such as environmental metrics, supply chain ethics, and social responsibility. In my view, Treasury’s role should be to support and challenge the ESG function, ensuring that information is reliable, finance-grade, and presented in a way that meets the expectations of banks, investors, and rating agencies. This partnership creates a stronger framework where financial expertise complements, but does not replace, subject matter specialization. From my practical experience, banks increasingly place heavy demands on companies in terms of ESG-related disclosures, particularly when structuring loans, sustainability-linked instruments, or green financing. In these situations, Treasury often acts as the interface with financial partners, but our effectiveness relies heavily on the dedicated ESG team. Their expertise, agility, and ability to provide accurate content, supporting materials, and standardized forms have been critical in meeting external requirements on time and with credibility. This collaborative approach ensures that Treasury maintains its focus on financial strategy while ESG professionals drive the broader agenda, together reinforcing the company’s overall transparency and sustainability positioning. Eleanor Hill, Founder, Treasury Rebel, comments: From what I’ve seen in the market, this very much depends on the company and their organisational structure (including whether there is a standalone sustainability team). Interestingly, a couple of years ago, I did see one or two treasury teams being tasked with ESG oversight and reporting – admittedly quite rare cases. But I haven’t encountered any others since then. The current political climate and rhetoric around ESG certainly isn’t helping, either. If I had to come down on one side, I’d probably say treasury should support ESG reporting rather than own it outright. Treasury teams already have a tremendous amount on their plates and adding full ownership of ESG reporting could risk spreading precious resources far too thinly. It would also require some upskilling in most treasury functions as the ins and outs of a niche area like sustainability can be complex. That said, I do believe that (where they can and want to) treasury professionals have a valuable role to play, particularly in pushing banks and vendors for better reporting on the sustainable aspects of their products and services. Treasury leaders – especially in large organisations – are well positioned to make those demands, given their relationships and the commercial leverage they hold. I’d love to see more treasurers asking for greater ESG transparency and accountability from their counterparties going forward – and this should help increase the value that treasury can bring to ESG reporting. A virtuous circle! Royston Da Costa, Treasury Masterminds Board Member, comments: Treasury should not be the sole owner of all ESG reporting. But Treasury should be a co-owner and the lead steward for finance-linked parts of ESG reporting — especially anything that affects capital markets, debt instruments, financed emissions, financial disclosures, assurance-ready controls, and the numbers that feed investor/creditor decisions. The best practical model is a clear cross-functional (hub-and-spoke) model where Sustainability owns operational ESG strategy and data collection, Finance (CFO/Controllership) owns integrated reporting controls and accounting alignment, and Treasury owns the finance-market, funding and financed-emissions disclosures and assurance controls that relate to capital, liquidity and counterparty exposures 1) Why this question matters to Treasury 2) Key external standards and rules 3) Ownership models — what they look like and how they affect Treasury Recommendation: adopt the hub-and-spoke with explicit RACI for each reporting element (I = Information owner, R = Responsible lead, A = Approver, C = Contributor). 4) Dimension-by-dimension breakdown — who should lead, who should contribute, what Treasury must do I’ll go through the main dimensions and for each say: Lead, Treasury role, Why it matters. A. Strategy & targets (net-zero, ESG strategy) B. Governance disclosures (board oversight, committees) C. Metrics & targets (GHG, KPIs, financed emissions) D. Data collection & systems E. Accounting & financial statement alignment F. External reporting (ESG report, investor presentations, bond prospectuses) G. Regulatory compliance (CSRD, ISSB/IFRS S1 & S2, local rules) H. Assurance & controls (internal and external) I. Investor relations & credit markets J. Capital products (green bonds, SLBs, loans) K. Risk management & scenario analysis (transition & physical risk) L. Incentives & remuneration linkages M. M&A, due diligence & disclosures 5) Practical RACI (example) — core reporting components (Abbreviated; expand for your organisation) 6) Pros & cons for Treasury owning ESG reporting (straightforward) Pros Cons Net: Treasury should own finance-linked ESG reporting and be a core co-owner of consolidated reporting. Not the only owner. Also Read Join our Treasury Community Treasury Mastermind is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below to get more information. Notice: JavaScript is required for this content.
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Hedging or Gambling: A 300-Year-Old Lesson for Modern FX Markets
This article is written by HedgeFlows “I’m not gambling, I’m hedging!” How many times have you heard this in the world of Foreign exchange? The confusion between hedging and speculation isn’t new—it nearly destroyed the insurance industry in the 1700s. The Modern Confusion Walk into any corporate treasury department today and you’ll likely hear heated debates about FX hedging strategies. Some CFOs swear by natural hedges and forward contracts. Others worry their treasury teams are essentially running a side business in currency speculation. The line between prudent risk management and gambling can seem frustratingly blurry. Sound familiar? This exact same confusion plagued London’s financial markets 300 years ago—and the solution developed then holds the key to understanding hedging today. Lloyd’s Coffee House: When Insurance Met Gambling In the 1750s, Edward Lloyd’s Coffee House had become London’s center for maritime insurance. Ship owners could protect their investments, merchants could secure their cargo, and underwriters could earn premiums for accepting these risks. It was the birth of modern insurance—and it was working beautifully. Until it wasn’t. By the 1760s, the coffee house was overrun with gamblers masquerading as insurers. When newspapers reported that prominent figures were seriously ill, bets were placed at Lloyd’s on the anticipated dates of their death. People with no connection to ships were taking out “insurance” policies on vessels, essentially gambling on whether they’d sink. The line between legitimate risk management and pure speculation had completely disappeared. The respectable underwriters were horrified. As one historian noted, Lloyd’s had become infiltrated by “persons of dubious character, particularly inveterate gamblers” who threatened to bring discredit upon legitimate business. Parliament’s Brilliant Solution: The Insurable Interest Doctrine In 1745, Parliament passed the Marine Insurance Act—the first major intervention in insurance law. The solution was elegant in its simplicity: you can only insure risks you already face. The Act established that insurance was only valid when the policyholder had a genuine “insurable interest”—a pre-existing financial stake that would result in actual loss. No more betting on random ships. No more death pools disguised as life insurance. If you didn’t already face the risk, you couldn’t insure against it. The Life Assurance Act of 1774 extended this principle, banning life insurance policies where the policyholder had no legitimate connection to the insured person. The message was clear: insurance protects existing risks; gambling creates new ones. The Modern Application: FX Hedging vs. Currency Speculation This 300-year-old principle perfectly explains the difference between FX hedging and currency speculation: True FX Hedging: Currency Speculation: Just like the 1745 Act required demonstrable insurable interest, legitimate FX hedging requires demonstrable currency exposure. No underlying business risk? Then it’s speculation, not hedging. The Ironic Twist: “Hedging Your Bets” Was Gambling Slang Here’s the historical irony that explains so much confusion: the phrase “hedging your bets” actually originated in 17th-century gambling houses, not agricultural fields or financial markets. The first recorded use appears in the 1670s, describing a betting strategy where gamblers would place offsetting wagers to limit losses—essentially the gambling equivalent of what we now call hedging. The agricultural metaphor of protective boundaries came later, as the financial meaning evolved. No wonder people are confused! The term literally started as gambling terminology before becoming a cornerstone of risk management. We’ve come full circle from gambling slang to legitimate risk management and back to gambling again when misapplied. The Practical Test: Ask These Questions Before any FX transaction, ask yourself the Lloyd’s Coffee House test questions: If you can’t answer these clearly, you’re probably speculating rather than hedging. Why This Matters More Than Ever The Lloyd’s Coffee House crisis teaches us that the distinction between hedging and gambling isn’t academic—it’s fundamental to market integrity. When speculation masquerades as hedging: The 79 respectable underwriters who broke away from Lloyd’s in 1769 understood something crucial: true professionalism requires clear boundaries between risk management and speculation. The Bottom Line The next time someone claims they’re “hedging” a currency position, remember Lloyd’s Coffee House. The distinction that saved the insurance industry 300 years ago remains the gold standard today: Insurance and hedging protect risks you already face. Gambling and speculation create risks you don’t need to take. The irony that “hedging your bets” started as gambling slang just proves how easily the lines can blur. But the principle established in 1745 remains crystal clear: link it to underlying risk, or call it what it is—speculation. The ghost of Edward Lloyd would be proud to see his coffee house principles still working in modern treasury departments. The question is: are you following them? Also Read Join our Treasury Community Treasury Masterminds is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below to get more information. Notice: JavaScript is required for this content.
Why Treasury Tech Projects Fail – and How to Turn Them Around
written by Lorena Pérez Sandroni, Treasury Masterminds board member Treasury technology projects often fail due to not starting with a structured approach from the beginning—one that prioritizes collaboration, thorough assessment, and most importantly, adaptability throughout the implementation process. Key Factors Behind Failure Real-World Examples of Failure A company invested in a best-in-class TMS to improve global cash visibility and automate payments. However, due to poor stakeholder engagement and a lack of training, the system failed to meet treasury’s needs for bank connectivity, forecasting, and liquidity management. Manual processes persisted, and ROI was never realized. A new payment processing platform was introduced without considering the complexity of integrating with outdated systems. Frequent customizations were needed, leading to delays and technical glitches that disrupted daily operations. A debt module was purchased without a proper assessment. It couldn’t handle all debt types, forcing teams to manually calculate and manage exceptions—defeating the purpose of automation. From a technical standpoint, the project was a success. But beneath the surface, daily operations lacked the controls and discipline needed to maintain data integrity: What Went Wrong After Go-Live: The Consequences: Key Takeaway: Even the best TMS can become a liability if data governance isn’t embedded into daily operations. Success isn’t just about implementation—it’s about sustaining accuracy, ownership, and trust. Turning It Around Also Read Join our Treasury Community Treasury Mastermind is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below to get more information. Notice: JavaScript is required for this content.
Gut feelings vs. FX tech: does your hedging strategy need an upgrade?
This article is a contribution from one of our content partners, Bound Cognitive biases are sneaky. They mess with your decision-making – without you even realising it. Whether it’s deciding what to have for lunch or how best to manage your FX risk, your brain is constantly taking shortcuts, often based on past experiences. Yes, we all love the easy route now and again. But these mental detours can lead you down the wrong path, especially when you’re under pressure. Are you thinking straight? Luckily for you (and us), neuroscientist and firefighter, Dr Sabrina Cohen-Hatton, gave some hot tips on how to spot and manage cognitive bias at TreasurySpring’s recent Tea & Treasury event. Two traps she taught us to watch out for are: Confirmation bias: seeking what you want to believe You’ve probably heard of this one. It’s when you subconsciously look for information that confirms what you already think. Take a CEO who strongly believes that acquiring a particular company will lead to significant future growth for the business. As a result, they focus heavily on positive forecasts and optimistic valuation reports, while downplaying or ignoring risks, as well as warnings from analysts. This is confirmation bias in action. So, next time you choose which FX forecasters to believe (don’t even get us started on that!), maybe think about whether you’re picking them based on your own idea of where the market is heading rather than objective factors. The mere exposure effect: playing it safe (maybe too safe?) Ever been tempted to buy the same tech brand again and again, just because it’s what you always do? That’s the mere exposure effect – a tendency for people to develop a preference for things simply because they are familiar with them. What you already know feels safe. But in FX, using the same hedging strategy on autopilot, or always choosing to have no hedging strategy at all, could mean you’re missing opportunities to manage your risk smarter. Beating the bias Can you really outthink yourself to make better decisions, though? Short answer: yes, you totally can – well, most of the time! Once you’re aware of the biases at play, you can hack your brain’s shortcuts and stop letting them hijack your common sense. Dr Cohen-Hatton shared a super simple but powerful framework that firefighters use called ‘decision controls.’ It’s a mental checklist that helps avoid snap, emotional choices. (And it could be handy for reducing bias in your FX strategy too). Restoring logic through FX tech Let’s take this thinking a step further, though. Why not take bias out of the equation by handing over the heavy lifting to tech? Sounds scary, but it’s actually pretty simple. So, instead of second-guessing yourself, you automate the process (well, get tech to automate it for you!). Forward contracts, for instance, can easily be automated based on specific business needs or market triggers, meaning you consistently lock in rates without reacting emotionally to short-term market shifts. Automated strategies can also be set up to execute regular currency conversions at set intervals, spreading risk over time. This removes the temptation to time the market, which can lead to decisions clouded by fear or optimism. Been there, done that… Bottom line: automated FX hedging strategies can help treasurers and CFOs make more consistent and objective decisions by avoiding the emotional trap of reacting to market swings. That means sticking to your long-term FX goals and getting more predictable foreign cash flows, with a lot less hassle. It doesn’t mean losing control over your hedging decisions. It’s just about making sure your strategy is driven by consistency and logic – not bias. Recommended Reading Join our Treasury Community Treasury Masterminds is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below. Notice: JavaScript is required for this content.
Counterparty Management: Automating Payments and Collections
This article is written by Embat Automating payments and collections has become an essential requirement for any company aiming to optimise its financial management. Regardless of the structure of the finance team or the industry sector, automating these processes helps reduce operational risks, accelerate liquidity availability, and free up resources that can be redirected to higher–value activities. Counterparty Management: Technology as the Driver of Financial Automation Counterparty management – the use of technology to simplify, accelerate, and control financial processes related to payments to suppliers and the receipt of customer income– relies on connecting accounting and enterprise management systems with electronic banking to enable automatic synchronisation of financial data, minimising manual intervention. This technological integration not only enhances operational efficiency and reduces error rates but also provides real–time visibility into cash positions. This optimises cash flow management and mitigates risks associated with payment delays or collection issues.This technological advancement is supported by various solutions that, when integrated, enable faster, more accurate, and more controlled operations. The primary objective is to connect accounting systems with electronic banking, facilitating automated and synchronised financial information management, particularly through open banking APIs. Key Benefits of Automating Payments and Collections Automation delivers multiple tangible benefits that positively impact business growth. First, it lowers operational costs by reducing manual involvement, thereby minimising errors and issues related to manual invoice and transfer processing. It also allows treasury teams to dedicate more time to tasks with higher strategic value. Another crucial benefit is improved liquidity: by accelerating collection cycles and ensuring timely payments, companies can better manage their treasury and avoid cash flow tensions. Timely payments not only optimise internal management but also strengthen supplier relationships and enhance corporate reputation. Additionally, automation simplifies bank reconciliations and monitoring of accounts receivable and payable by providing real–time information that facilitates decision–making. Finally, it supports business scalability and flexibility, enabling the handling of increasing transaction volumes without the proportional increase in resources and adapting easily to new requirements. Steps to Implement an Automated Financial Transaction Management System Implementing a payment and collection automation system demands careful and thorough planning. The first step involves a detailed analysis of current processes to identify critical points, frequent issues, and duplicated tasks, defining the project’s scope with precision. Secondly, it is essential to select the most suitable technological solutions considering the company’s size and needs, prioritising scalability, integration, and user–friendliness.The treasury and accounting sectors have notably evolved over recent years, with the emergence of digital and real–time solutions that integrate directly with enterprise management systems. The third, and most critical, step involves securing the treasury team’s commitment since automation represents a cultural shift that should not be underestimated. Resistance to change, particularly in family–run businesses or traditional sectors, remains one of the main obstacles to the successful deployment of these tools.Training, transparent communication, and active participation of the team in defining new processes are key elements to transform the finance team into a primary ally of change. It is vital to understand that automation is not a final destination but an ongoing journey. Cultivating a culture of continuous improvement, with regular reviews and openness to new functionalities, is the best guarantee of long–term success. In short, combining the right technology, adequate resources, and effective change management maximises the potential of automating payments and collections, optimising financial management and strengthening the treasury function in any company. Also Read Join our Treasury Community Treasury Masterminds is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below. Notice: JavaScript is required for this content.
Treasury Contrarian View: Forecasting Accuracy Is Overrated
Cash forecasting is often described as the holy grail of treasury. Countless hours are spent fine-tuning spreadsheets, implementing new tools, and chasing the elusive “perfect forecast.” But here’s the contrarian view: forecast accuracy is overrated. What matters more is flexibility, adaptability, and decision-making agility. Why Forecast Accuracy May Be Overrated What Matters More Than Accuracy A Smarter Forecasting Approach Let’s Discuss We’ll feature insights from treasurers, CFOs, and forecasting tech providers—share your perspective below! COMMENTS Patrick Kunz, Treasury Masterminds Founder/Board Member, comments: “Couldn’t agree more with this contrarian view. I’ve seen too many treasurers obsess over a forecast being 95.3% accurate while the business around them is changing by the hour. You know what? The CFO doesn’t care about the decimal places, they care if you can react when the unexpected happens. Forecasts are always wrong (yes, always). The trick isn’t perfection, it’s agility. Can you re-forecast quickly? Can you explain the why behind variances? Can you give your CFO the confidence that, no matter what happens, treasury is on top of it? Understand your numbers. A treasurer who doesn’t know the story behind the numbers is just a number cruncher, a computer can replace that 😉 Story telling and internal relationship that help you tell this story -> irreplaceable. I’d rather have a 75% accurate forecast with a plan B, C, and D which is explainable than a 95% accurate one that’s outdated the moment it leaves Excel and I cannot sell to the CFO” Johann Isturiz Acevedo, Treasury Masterminds Board Member, comments: Forecasting is still something considered as important but no sacred , two things that we have learned over the last year is about the way that we respond changes and responsiveness. When we build forecast is important to include sensitives in term of flexibility and strategic insight. It is not the same to forecast in Egypt as if we forecast in Spain forecast in Egypt. We as treasurers and finance functions need to measure how to mitigate changes in our forecast and how to respond in each situation to avoid issues in our supply chain process and fix cost payment. Anticpation and way of pilot remain as king. Tanya Kohen, Treasury Masterminds Board Member, comments: Cash forecasts are never static. Customer payments slip, supply chains shift, and conditions change. The real value is not in hitting 95% accuracy at a single point, but in constantly adjusting as new information comes in. The level of detail matters. Invoice patterns and customer or supplier behavior give real insight, while historical bank deposits may look steady but can point in the wrong direction. By layering adjustments like due dates, payment behavior, seasonality, late payment probabilities, risk scores, and macro signals, forecasts become more realistic and more useful for decisions. From this perspective, accuracy is less important than agility. Treasury teams that see forecasting as a living process, not a fixed deliverable, are better prepared to manage liquidity, allocate capital, and respond quickly when things shift. Matthias Varenkamp, Account Executive at Cobase, Comments: At Cobase we see treasurers working with different banks, multiple ERPs and local payment systems. In that environment, even the smartest forecast model struggles, because the inputs are incomplete or outdated. Accuracy becomes a mirage. The real challenge is: Our view: Forecasting adds value when it’s built on consolidated, real-time data and tied directly to execution. That’s what allows treasurers to adapt and make decisions with confidence even when the forecast itself is “wrong.” Also Read Join our Treasury Community Treasury Mastermind is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below to get more information. Notice: JavaScript is required for this content.
How Cash Management Automation Can Transform Your Business Operations
This article is written by our partner, Nilus In a world where every dollar counts and every hour matters, manual cash management is costing you more than you think. From missed optimization opportunities to delayed decisions and duplicated effort, outdated cash processes are dragging finance teams down. The good news? There’s a better way. Cash management automation helps treasury and finance teams to work faster, smarter, and with greater confidence. Whether you’re trying to reduce reconciliation headaches, optimize liquidity across entities, or support more agile forecasting, automation is the lever that turns tactical treasury work into a strategic advantage. In this post, we’ll explore the must-have features of automated cash management systems, explain how cash allocation software transforms liquidity planning, and show how finance leaders are using automation to shift from reactive reporting to proactive control. Key Takeaways Why Automating Cash Management Is a Strategic Advantage If your team is still reconciling cash across spreadsheets, toggling between bank portals, and manually allocating funds between accounts, you’re not just working harder; you’re flying blind. Manual processes slow everything down: decision-making, reporting, investment timing, and risk response. And as your organization scales, so does the complexity and the cost of getting cash wrong. Automating cash management doesn’t just clean up inefficiencies. It unlocks a new level of agility, insight, and control. Instead of playing catch-up with your cash flow, you’re anticipating issues and optimizing resources proactively. Here’s how automation delivers a strategic edge: In short, automating cash management doesn’t just make you faster, it makes you smarter. And in today’s unpredictable market, that intelligence is what separates you from the pack. Key Features of Cash Management Automation Tools The right automation tools do more than just digitize workflows; they fundamentally rewire how cash gets managed. Whether you’re a global enterprise or a high-growth company juggling multiple entities, modern cash management platforms act as the command center for your liquidity. They centralize cash data, automate recurring processes, and deliver timely insights to drive confident action. These tools aren’t just about speed; they’re about strategic enablement. Here’s what to look for in a cash management automation solution built for modern finance: Here are the must-have features that define a best-in-class solution: 1. Transaction Scheduling & Recurring Payments No more calendar reminders or last-minute logins to make critical payments. Automation tools handle recurring disbursements like payroll, leases, vendor bills, and tax payments with rule-based scheduling. This reduces the risk of missed deadlines, avoids costly late fees, and ensures your payment cycle runs like clockwork. You can also adapt schedules easily when vendors, amounts, or due dates change, without rebuilding your entire workflow. 2. Bank & Smart Safe Reconciliation Reconciliation doesn’t have to take days or even hours. Automation tools instantly match bank transactions, smart safe deposits, and internal records in real time. They flag mismatches the moment they occur, making investigations faster and reducing end-of-month surprises. This not only tightens controls and audit readiness but also significantly cuts down on manual labor across finance and store operations. 3. Cash Allocation & Liquidity Tracking Seeing your cash is one thing, optimizing it is another. Automated tools monitor cash by account, entity, and region, and reallocate it where needed most. Whether it’s funding APAC payroll from EMEA surpluses or topping up an investment account from a revenue windfall, cash gets where it needs to be, automatically. You stay within thresholds, avoid idle capital, and optimize yield without manual transfers. 4. Integrated Data Synchronization Disparate systems create blind spots. Cash automation tools sync bank feeds, ERP data, AR/AP platforms, and treasury systems into a single source of truth. This integration ensures that your forecast, actuals, and transaction details are always aligned and that your team is always working with real-time numbers. It eliminates spreadsheet jockeying and gives everyone access to the same, current view of liquidity. 5. Dashboards & Alerts Static reports can’t keep up with dynamic cash movement. Real-time dashboards visualize key metrics like available cash, net cash flow, and forecast variances across any dimension, region, currency, or business unit. Meanwhile, alerting rules notify your team of exceptions: when cash dips below critical thresholds, collections slow unexpectedly, or major payments hit. You stay ahead of issues and seize opportunities before they pass. These features work together to eliminate bottlenecks, reduce latency, and build confidence in your numbers. Benefits of Automated Cash Flow Management for Modern Finance Teams Finance leaders today are expected to be strategic advisors, not spreadsheet operators. Yet too often, they’re stuck troubleshooting reconciliations, chasing down data from different systems, or manually compiling liquidity reports. This reactive mode isn’t just inefficient, it’s risky. Automated cash flow management changes the equation. It arms treasury teams with the tools and insights they need to lead proactively, not just report retrospectively. Whether you’re navigating a liquidity crunch or preparing for growth, automation provides the real-time clarity and control needed to act with confidence. Here’s how it empowers modern teams: Real-Time Decision-Making You don’t make next month’s decisions with last month’s data. Automation tools show your cash flow, forecasts, and variances in real time. This means: Lower Risk, Higher Confidence Real-time reconciliation and anomaly detection help flag fraud, errors, and unexpected shortfalls before they become major issues. Automated workflows ensure: Time and Cost Savings Manual cash management takes time, hours a week per staff member. With automation, treasury teams can: How Cash Allocation Software Optimizes Liquidity Planning Even with real-time cash visibility, knowing where to move your money and when is a constant challenge. That’s where cash allocation software becomes invaluable. It bridges the gap between visibility and action by automatically distributing cash to where it’s needed most, based on logic you define and data you trust. This isn’t just about moving money around; it’s about making every dollar work smarter across your organization. Dynamic Fund Positioning Instead of letting cash sit idle in accounts, allocation tools move money based on: Scenario Modeling What if customer collections slow by 15%? What if you delay a capital project? Allocation platforms allow you to model…
Bank Capital Rules: Why Treasurers Should Care
From Treasury Masterminds Capital requirements for banks sound like something for regulators in Basel. Dry stuff, right? Not quite. For treasurers, they hit much closer to home — in your counterparty risk and in the price you pay for funding. Banks’ Cost of Capital = Your Loan Pricing When banks lend to corporates, they have to hold capital against that loan. The higher the regulatory capital charge, the higher their cost. That cost shows up directly in your spread. Here’s the catch: not all banks calculate that cost the same way. I’ve seen this play out in real life: two treasurers, same rating, same market, but debt pricing miles apart — purely because of how the bank models its balance sheet. Counterparty Risk Goes Beyond Default When we talk counterparty risk, it’s usually “will my bank survive a crisis?” But this is also about regulatory complexity. In short: the way banks manage capital determines how much risk you’re carrying, and how much you’re paying for it. Why the Bundesbank’s Push Matters The Bundesbank is pushing to simplify the EU capital framework. Fewer overlapping buffers, clearer distinction between what’s “usable in stress” and what isn’t. For treasurers, this could mean: That’s not a regulatory footnote. That’s directly relevant to how you manage your liquidity and debt portfolio. Takeaways for Treasurers Final Word Capital regulation may look like a bank issue. It’s not. For treasurers, it’s part of the plumbing that drives counterparty risk and funding cost. Ignore it, and you’re flying blind. Watch it, and you’ll know why one bank quotes you 100bps tighter than another. 👉 This is the kind of nuance corporate treasury teams need to stay sharp on. Also Read Join our Treasury Community Treasury Mastermind is a community of professionals working in treasury management or those interested in learning more about various topics related to treasury management, including cash management, foreign exchange management, and payments. To register and connect with Treasury professionals, click [HERE] or fill out the form below to get more information. Notice: JavaScript is required for this content.
Danske Bank and FinanceKey Deliver Real-Time Treasury forEnterprise Customers
This Press Release is from our Partner, FinanceKey Copenhagen, September 2025: Danske Bank today announced a collaboration with FinanceKey to deliver real-time access to liquidity data, enabling CFOs and treasury teams to operate with greater speed, accuracy, and foresight. The collaboration underscores Danske Bank’s growing role as a key bank partner within the financial ecosystem – helping corporate customers unlock the full potential of embedding financial services within any system. This reflects a broader industry shift. According to PwC’s 2025 Global Treasury Survey, cash and liquidity management remain the top priorities for CFOs and treasurers, with 65% of organisations planning to expand API use in the coming years. Treasury teams are evolving from support functions into strategic decision-makers, requiring access to trusted, real-time data. “With our Premium APIs, we want to help financial teams predict the future, not just describe the past,” said Johan Wennerberg, Head of Cash Management at Danske Bank. “As part of our Forward’28 strategy, we are embedding financial services directly into the systems our customers already use. This approach is designed to make daily financial operations smoother, faster, and more resilient, enabling CFOs to make better decisions in a rapidly changing environment.” Real-Time Treasury at Scale As part of the integration, FinanceKey is piloting Danske Bank’s new Premium Account Transaction & Balance API, giving their joint corporate customers real-time visibility of liquidity across multiple accounts in a single dashboard. “Danske Bank’s boldness in embracing true collaboration is what sets this project apart,” said Macer Skeels, Chief Technology Officer and Co-Founder of FinanceKey. “This is a real-world example of what happens when banks and fintechs stop talking and start building – not in isolation, but in collaboration with the financial teams who will use the technology. This is exactly the kind of approach the treasury technology ecosystem needs to deliver lasting value for customers.” Powering the Next Chapter of Financial Services This illustrates how financial services in the Nordic region are being reshaped by Premium APIs, real-time infrastructure, and ecosystem collaboration. Danske Bank’s integration services act as a single entry point for customers and third parties to seamlessly connect their systems with the bank – offering access to file solutions, regulatory APIs, and Premium API products that improve efficiency across payables, receivables, and reporting. “Through our Premium API pilot program, we’re co-developing solutions with customers and partners to ensure we address the real challenges financial teams face,” said Christie H. Kristensen, Integration Partnership Manager at Danske Bank. “This is how we support businesses in today’s data-driven economy: by providing the trusted infrastructure that enables smarter decisions.” By taking a platform-based approach and building a partner-led distribution model, Danske Bank is helping financial teams modernise operations and bridging the gap between finance and technology, breaking down data silos, and enabling agility. About Danske Bank As the preferred bank for Nordic corporate and institutional customers, Danske Bank release the potential in people and businesses by using the power of finance to create sustainable progress today and for generations to come. As the largest bank in Danmark, we are committed to using our expertise and size to drive scale – alone and in partnership with others – while creating volume by encouraging and inspiring our customers to use their power. About FinanceKey FinanceKey is a payment, cash management and banking connectivity platform built for enterprise finance teams. Companies use FinanceKey as their single source of real-time treasury data – either through its intuitive interface or by integrating its treasury API to power real-time workflows across existing systems. Trusted by global organisations, FinanceKey accelerates the shift to intelligent, connected treasury operations. Also Read