Our Approach

The MyTreasury model is based on full disclosure between corporates and funds or banks rather than on omnibus trading or nominee accounts. This means that the platform reinforces corporate relationships with funds and banks who will always know who is investing with them. The full-disclosure approach contrasts sharply with the omnibus trading or nominee account models in which individual corporate investments are bundled together by the trading platform and invested as a lump sum or invested in the name of the nominee, often without disclosing the individual sources of the funds to the recipient. Most banks and funds do not like these approaches precisely because they weaken relationships with corporate clients. Our research also demonstrated very clearly that most corporates do not like these other models either because they want to maintain direct contact with their relationship banks.

The reason why omnibus and nominee account trading have emerged is largely due to the settlement efficiencies that they can offer with single consolidated payments for multiple individual investments. Because of the strong preference amongst both corporates and banks to maintain transparency in their relationships, MyTreasury started from the point that the solution was not to introduce consolidated payments at the cost of losing transparency but to support individual investments and automate the settlement process with the use of straight through processing (STP). MyTreasury is working with the major Treasury Management System (TMS) suppliers to develop interfaces to support automated settlement. We are also working with the major Fund Administrators to ensure seamless integration with their own back office systems.

As a result MyTreasury protects, and actually strengthens, the corporate/bank relationship whilst delivering the same level of settlement efficiency through its STP capabilities.