Treasury Products

The ultimate goal is to manage the firm's liquidity and mitigating its operational, financial and reputational risk.

Giving you more opportunities to invest.

Treasury products include a firm’s collections, disbursements, concentration, investment and funding activities all round

Spots

Commodities and securities market, transactions are cash based and delivered immediately. Contracts are usually immediately effective.

  • Transaction done on the spot
  • Delivery in 48 hours (sometimes up to 7 days)
  • Sale/purchase against base currency
  • Short term financing needs
  • Simple product
  • Known cost
  • Good credit rating with bank
  • Pre-determined credit limit
  • Application Process

 

 

Bonds

It’s a debt security i.e. a long term financial obligation or secured loan issued through underwriting or auctions by either the government or corporate organisations.

  • Long term debt instrument.
  • It is listed on the stock exchange and is therefore tradable.
  • Government bonds are tax-free

Treasury Bills

It is a short-term negotiable bill of exchange used by governments to help finance national borrowing requirements, quoted for purchase/sale in the secondary market on an annual percentage yield to maturity. It is also issued at discount.
  • Short-term debt instrument.
  • Issued at zero coupon rates i.e. no interest paid during the life cycle of the bill.
  • Issued in fixed tenures i.e. 91 days, 182 days and 364 days.
  • T-bills qualify as liquid assets for the purpose of liquidity ratio computation.
  • Used as collateral securities for repurchase transactions.
  • Interest received not subject to tax.

 

 

Money Market Deposits

Cash transactions made with deposit money banks either secure or non-secure.
  • Transaction depends on limit for counter parties.
  • Can be secured or unsecured.
  • Can be Open Buy-Back or Fixed Buy-Back.
  • Simultaneous transfer of funds and securities by both counter-parties.