The demands on professional treasurers and the need for treasury management expertise have dramatically increased over the past few years.

In a company consisting of a large group of international businesses, a treasurer’s role becomes broader, perhaps including managing centralised treasury operations for the group’s subsidiaries worldwide. 

Corporate treasury refers to activities carried out in companies, that use (as buyers) financial products to support their main business. This is in contrast to treasury activities, which take place in banks and financial institutions and in the public sector, and to work carried out by treasury professionals acting as advisers and consultants.

Treasury is key to determining a firm’s financial strategy and financial policy – advising in which parts of the business to invest for growth and development,organising the appropriate funding and financing for this, and controlling the risks (mainly financial ones) from these activities. Corporate treasury as a profession is built on the foundation of a number of financial disciplines, all of which are not only vital in their own right but also support and complement each other. The principal tasks of a treasurer are broadly defined under these five core treasury elements:markets and funding; corporate finance; treasury operations; cash management; and risk management. 

Find out more 

Corporate Finance Faculty and Faculties online members only 

• Download the complete article: Treasure chests 

Non-Members 

Why not join the Corporate Finance Faculty and take full advantage of faculty benefits.  

This is an extract from Corporate Financier October 2014.