Treasury Management

Last Updated: Jun 7, 2019

Created By :

Last Edited By :

Created On :

Treasury management (or treasury operations) comprises the management and administration of an enterprise's cash and liquidity resources. Cash and liquidity functions (or components) within Treasury Management include management of a company’s cash sources and uses, bank accounts, and investment activities. In more sophisticated company’s, treasury management can also include trading and investment activities, such as the use of financial derivatives to management risks associated with various currencies and commodities.

Most banks have whole departments devoted to providing treasury management services and supporting their clients' needs in this area. The term Treasury Management is often used interchangeably with the term Cash Management, although the scope of treasury management is larger (and includes the funding and investment activities mentioned above). In general, Treasury Management is the responsibility of a company’s financial and/or accounting executives and staff.