Digital Transformation in Treasury
Be sure to avoid false promises when it comes to reverse factoring
Reverse factoring – or Supply Chain Finance (SCF) – is yet to gain traction in France. While the volume of factored receivables hit EUR 427 billion in 2023, reverse factoring only accounted for 3% and has stagnated in volume since 2020, according to the Association des Sociétés Financières.
Redbridge Uncovers Excessive FX Fees Banks Charge Corporate Clients
Nine out of ten companies are overpaying for their foreign exchange (FX) transactions. That’s the key takeaway from Redbridge Debt & Treasury Advisory’s extensive experience working with businesses of all sizes on cash management, financing, and banking relationships.
The Silent Cost of ISO 20022 Migration: Will It Be a Burden or an Opportunity for Corporates?
ISO 20022 is an open, international standard for financial messages between financial institutions, financial market infrastructures and companies. ISO 20022 payment messages contain richer, better-structured data than legacy messages. Adopting the standard can improve compliance processes and help protect against fraud. All financial institutions will be required to comply with ISO 20022 for cross-border payments by November 2025. But why should companies be concerned, and what do they need to consider when deciding whether to migrate? Corporates risk becoming silent victims of ISO 20022 migration if they fail to seize the opportunities it presents. Here’s why.
Hugh Paterson joins Redbridge Debt and Treasury Advisory as Global Head of Payments
A highly accomplished payments leader with extensive experience in helping merchants increase their scale, Hugh will spearhead Redbridge’s Global Payments Advisory practice, fostering the vision, strategy, and direction to deliver secure business growth to clients worldwide.
Understanding and building a balanced banking relationship
Redbridge recently hosted a roundtable discussion on the theme of banking relationships. Three guests: Jean-Christophe Sautereau, Director of Treasury and Financing at SMCP; Chloé Audrin, Director of Financing and Banking Relationship Management at Air Liquide; and, from the banking side, Arnaud Morgant, Head of Corporate Clients at Société Générale Corporate & Investment Banking (SGCIB), shared their views on some of the most important issues.
Top Finance and Treasury Insights from Redbridge in 2024
We’ve curated a selection of the top articles of finance and treasury insights 2024 from Redbridge’s experts in finance, treasury, and payments. These pieces offer in-depth analysis, case studies, and insights into emerging market trends that will continue to be relevant in 2025.
How Payment Orchestration Helps Conquer Complex Merchant Challenges
In today’s payments landscape, merchants are dealing with more complex systems, often suffering from legacy technologies and an expanding range of payment options. As managing these payment processes becomes increasingly complicated, optimising them has become essential, usually requiring the involvement of Finance, Marketing, and IT teams. Payment orchestration offers a practical solution to these challenges. Unifying various payment methods and providers into one streamlined system simplifies how businesses manage transactions. This integration ensures payments are routed through the most efficient and cost-effective channels, saving time and reducing costs.
FX Solutions: Strategies to Overcome Foreign Exchange Challenges and Boost Merchant Revenue
The foreign exchange (FX) market is pivotal in facilitating international trade and investment. Traditional banking methods, though reliable, often fall short in terms of speed, cost, and accessibility, paving the way for alternative payment methods that leverage advanced technology to optimise FX transactions. With a daily trading volume exceeding USD 7.5 trillion, the FX market is the largest and most liquid financial market globally. Operating 24 hours a day, five days a week, it enables currency exchange among banks, financial institutions, corporations, governments, and individual traders, while serving as a platform for speculative trading, where participants aim to profit from fluctuations in exchange rates. In addition, it gives businesses the flexibility to choose when to hold or convert funds based on market conditions. This approach also enhances cost optimisation and control. I this srticle you will find FX solutions to boost merchant revenue.
Leveraging Securitisation for the Energy Transition
With the launch of the Green Deal in 2019, the European Commission has placed the fight against climate change at the forefront of its agenda. One major challenge will be funding the EU’s energy transition strategy; in his 2024 report on European competitiveness, Mario Draghi has identified securitisation as a particularly suitable financing tool. However, Europe lags behind the United States—and even China—when it comes to green securitisation.
Les Mousquetaires: how artificial intelligence is revolutionizing treasury operations
Laurent Bonhomme and Sébastien Schweickert share their insights with Redbridge about Groupement Les Mousquetaires’ success in improving its treasury operations (cash flow forecasting) using a predictive artificial intelligence model. Initiated five years ago, this groundbreaking project has delivered tangible benefits, driven by the dedication of an expert three-person team. It represents a compelling example of the opportunities, but also the challenges, that integrating artificial intelligence in treasury processes can involve.
Sustainability and ESG initiatives in payment systems: key developments and trends
While sustainability is becoming a key topic worldwide – especially in Europe – Environmental, Social, and Governance (ESG) factors still lack traction in the payments industry. In this article, we will deep dive into the existing examples of ESG initiatives within payment systems and share some thoughts on how the industry may further embrace such a strategic topic. The following article was originally published in The Paypers.
Companies in the US should act now to maximize their Earnings Credit Rate
The Earnings Credit Rate (ECR) is a mechanism offered by US banks to help businesses operating in the US offset their bank fees. Functioning similarly to an interest rate – it’s often linked to the Effective Federal Funds Rate – the ECR is applied daily to the balance in a company’s non-interest-bearing account. Instead of generating cash earnings, however, the ECR results in a credit that is taken away from the cost of cash management services. This rate is an important part of a company’s relationship with its banks, but is frequently overlooked in banking negotiations.
Securitisation: A Necessary Revival of the European Market
The Draghi report on European competitiveness* is clear: “To enhance the financing capacity of the banking sector, the EU must revive securitisation.” In response, the European Commission** recently launched a consultation on potential improvements to the functioning of the securitisation market.
ABB Revolutionizes Trade Finance Guarantees Management
ABB , a global technology leader in electrification, robotics, automation, and motion, has successfully implemented an innovative solution to streamline and optimize its trade finance guarantees process. With a presence in more than 100 countries and revenues surpassing $30 billion, managing complex financial operations such as trade finance is a crucial part of ABB’s success. Recognizing inefficiencies in its guarantees management, ABB took decisive action to modernize the process, ensuring greater control, compliance, and operational efficiency.