Short-term Investments: What’s Hot? What’s Not?

2022 has rocked the short-term investment world with soaring inflation, interest rate hikes, and pending MMF regulatory reforms. Treasurers have much to consider if they want to maximise the efficiency of their cash investments.

In this timely guide, written by TMI in partnership with Northern Trust Asset Management, we explore current trends in short-term investing. The goal is to help treasurers understand and maximise the efficiency of their cash investments. And since this aim comes with a broad (and increasingly broadening) scope of possibilities, our expert-led deep dive also uncovers some of the most suitable pathways ahead.

Through keen exploration of liquidity drivers, this guide also outlines the advantages of maintaining a diversified portfolio, and how understanding the liquid qualities of all underlying investments reveals how quickly cash can be freed up from short-term investments in an emergency. In addition, we consider the value of cash segmentation as an optimisation tool, especially as interest rate hikes and high inflation demand that treasurers better manage their short-term investment portfolios.

Eleanor Hill, Editor, TMI