Global firms build hedge fund cash service

A hedge fund services firm with US$363 billion in assets under administration has partnered with a global treasury solutions provider to launch a cash management service.

Cash Optimization has been co-developed by Northern Trust Hedge Fund Services (NTHFS) and Hazeltree Treasury Solutions, and will allow investment managers to manage broker debit and credit cash positions and deploy excess cash in one dashboard.

The new service utilises cash projection and intraday cash activity data from NTFHS to provide users with a comprehensive view of liquidity and cash positions.

NTHFS chief executive officer Peter Sanchez said that NTHFS have met client needs with the new tool. "Cash Optimization is a significant step for investment managers looking to automate what has been a labor-intensive process of managing cash balances, liquidity investments and payments among a complex network of counterparties," Sanchez said.

"Our clients are looking for enhanced treasury and collateral functionality and Cash Optimization provides this by incorporating Hazeltree's innovative technology in a solution hosted on our middle office platform."

Hazeltree president and chief executive officer Sameer Shalaby was said the tool allowed investment managers to pair NTHFS support with the cash managament capabilities of Hazeltree.

"We are pleased to collaborate with NTHFS on a solution that offers enhanced treasury functionality to help its clients meet requirements, minimize cash financing costs and invest excess cash in a rising interest rate environment," Shalaby said.

"With Cash Optimization, investment managers have access to Hazeltree's cash management and optimisation capabilities through a solution that is hosted and supported by NTHFS."

Read more: Cash OptimizationHazeltree Treasury SolutionsPeter SanchezSameer ShalabyNorthern Trust Hedge Fund Services
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