Lessons learned from top performing companies and the impact of real-time treasury
In-house Banks (IHBs) may not be a riveting topic. Yet, they remain a linchpin of top performing corporate treasuries.
For those less familiar with IHBs, they are a concept comprised of a legal entity, liquidity structure, system infrastructure, and personnel. The IHB serves as an internal virtual bank, designed to centralize cash, investments, foreign exchange (FX) currency exposures, intercompany lending, and transacts on behalf of participants.
An IHB has the ability to reduce overall banking transactions. It is important to recognize that an IHB is not a regional treasury center, shared service center, re-invoicing center, or cash pool. Although, it may be supported by – or support – all of the aforementioned.
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