HSBC launches automated, multi-manager liquidity and investment solution

Published 
  • Sophisticated investment tool enables clients to optimise their cash investment portfolio, provides access to an array of asset classes and counterparties

London – HSBC, a global leader in global liquidity solutions, today announced the launch of a powerful new tool that will enable treasurers to automate the allocation and investment of excess cash.

Liquidity Investment Solutions (LIS) gives Corporate and Institutional clients the ability to invest and redeem their excess cash across an array of investment options, including a choice of asset managers. Once the client has defined their investment policy, including their risk and liquidity parameters, LIS executes their investments/redemptions accordingly with nominated money market funds of HSBC Global Asset Management Group, BlackRock, Goldman Sachs Asset Management and/or J.P. Morgan Asset Management.

Diane S Reyes, Group General Manager and Global Head of Liquidity and Cash Management, HSBC, said: “I am pleased to announce the roll out of Liquidity Investment Solutions as part of HSBC’s continuing commitment to service the strategic needs of our Cash Management clients.”

With LIS, clients can maintain daily liquidity for transactional purposes while automatically investing their surplus cash on a daily, weekly or monthly basis. This ensures clients can optimise their investments while having sufficient funds available for daily operations. At a time when interest rates remain low and cash holdings are at an all-time high the solution provides transparency of the investment process in a controlled environment and assures compliance with each client’s investment mandate.

LIS frees up treasurers from the daily process of cash prediction and investment to focus on adjusting their investment strategies as the market environment changes.

HSBCnet, HSBC’s online and mobile corporate banking platform, provides clients with a view of their investments alongside their existing accounts and access to integrated reporting of trades and holdings, as well as statements and daily reports that conform with compliance and regulatory requirements.

Tom Schickler, Global Head of Products, Liquidity and Cash Management, HSBC, commented: “Now, more than ever, treasurers need to manage an increasing array of risks while delivering appropriate returns on cash holdings. LIS is the ideal solution to help our clients focus on their investment strategy rather than execution. Automating cash placement into money market funds allows treasurers to optimise excess cash and reduce the time spent on monitoring and executing investments.”

LIS gives treasury professionals access to a range of triple-A rated money market funds providing daily liquidity from a range of Asset Managers – enabling clients to integrate multiple investment vehicles across different geographies and counterparties. With LIS clients are able to consolidate their investment activities, gain efficiencies, enhance controls and be in position to evidence compliance with their investment mandate.

Monitoring liquidity positions, executing and reconciling trades and the associated compliance reporting has become increasingly burdensome for clients. HSBC has responded with a solution that will evolve with changes to their investment mandate.

Tom Schickler concluded: “Cash holdings are at an all-time high. At the same time the complexity and associated cost of compliance continues to increase. LIS offers clients a tool that dynamically rebalances cash holdings between transactional cash and their investment portfolio while satisfying their security, liquidity, yield, reporting and compliance requirements.”

Most recent episodes

40th Annual New York Cash Exchange: What Can Treasurers Expect?

Ahead of the 40th annual New York Cash Exchange, two of TMANY’s distinguished board members, David Miller and Timothy T. Hesler, CTP, provide TMI CEO, Robin Page, with a quickfire rundown of what attendees can expect from this year’s conference. Our guests share their aspirations for the event,...

00:00

Expectation-Beating Inflation Prints Ratchet Up Pressure on Monetary Policy

Welcome to the third edition of Liquidity Link Live, your exclusive market analysis provided by Northern Trust Asset Management, one of the world’s largest cash managers. Tune in each month to discover the very latest insights on the UK, Eurozone and US markets. This edition was recorded on the 9th May...

04:48

Making the Sustainable Transition: A Roadmap to ESG in Treasury

Over the last 18 months, Societe Generale has experienced a steady increase in requests from their corporate clients to integrate ESG features in treasury management.  Louis-David Rouyer, Philippe Pougeard, and Emmanuelle Petelle (Societe Generale) provide TMI’s Eleanor Hill with a whistlestop run...

22:24

Lift Off for Fed Rate Rises

Welcome to the latest edition of Liquidity Link Live, your exclusive market analysis provided by Northern Trust Asset Management, one of the world’s largest cash managers. Tune in each month to discover the very latest insights on the UK, Eurozone and US markets. This edition was recorded on the 5th of...

04:58

Treasury in 2022 and Beyond

Industry experts Bob Stark (Kyriba) and Sebastian di Paola (PwC) join TMI’s Editor, Eleanor Hill, to explore the very latest treasury trends – and to discuss how smart treasurers can get ahead of the game by ...

43:21

How BearingPoint Harnessed Data-Driven Forecasting with CashAnalytics and SAP

Listen back to our recent forecasting masterclass, where Group Treasurer Eveline Stam, and Conor Deegan (CashAnalytics) provided TMI’s Eleanor Hill with a comprehensive overview of how consultancy firm BearingPoint achieved company-wide cash forecasting nirvana by combining specialist solutions from...

37:14

The 3 T’s of The Future: Tech, Treasury, and Transformation

Over the past two years, an increasingly dynamic environment has not only accelerated technology development – from quantum computing to blockchain technology, and even the metaverse – but also technology adoption, bridging colleagues and breaking down silos in a remote work world. In this podcast,...

44:02

Monetary Policy Continues to Drive Markets as Ukraine Invasion Weighs on March Meetings

Welcome to the second edition of Liquidity Link Live, your exclusive market analysis provided by Northern Trust Asset Management, one of the world’s largest cash managers. Tune in each month to discover the very latest insights on the UK, Eurozone and US markets. This edition was recorded on the 3rd of...

05:25

Tax Spotlight: How the OECD’s Two-Pillar Solution Impacts Treasury

Aaron Lee and Joseph Lee (DBS Bank) join TMI’s Eleanor Hill to discuss how the OECD’s Two-Pillar Solution aims to address the tax challenges arising from the digitalisation of the economy. Ahead of the 2023 implementation date multinational corporates will have much to consider around these reforms....

24:00

FX Connections: Bringing Transparency to Cross-Currency Payments

Cross-border activity is growing at a remarkable rate, making FX payments a hot topic for treasurers across the globe.  In this TreasuryCast episode, Eleanor Hill asks Daniela Eder and Gibran Maqsood (Barclays Corporate Banking) to provide their key action points around FX payments in 2022. Our guests...

21:00