Aite Group Releases New Liquidity Management Report

A new report from Aite Group examines liquidity management solutions that target the internal treasury groups of financial institutions. The report defines many of the unique aspects of financial institution liquidity management, provides an overview of the market, and profiles and assesses four vendor solutions. It is the first in a series of vendor reports covering the liquidity management and treasury technology space, geared toward defining, differentiating and profiling solutions as they address different types and uses of liquidity.

Optimizing liquidity is an ongoing process that focuses on maximizing the value of an institution's funds. Financial institution treasury groups often struggle with identifying liquidity positions at an enterprise-wide and real-time level, resulting in excessive time spent on manual processes, and a reduced focus on the strategic aspects of liquidity management. Today, liquidity management solutions provide new opportunities for financial institutions to utilize technology and increase control in managing liquidity. These solutions support treasury groups in automating the gathering of critical liquidity balance and position information enterprise-wide and in real-time. Some solutions also assist treasury in more strategic tasks, such as payment flow control, collateral management, cash forecasting and even predictive analytics. In fact, Aite Group anticipates that these and other factors will drive total annual revenues of such systems to quadruple by 2011. "Liquidity management solutions have gained attention in recent years as gains in technology enable solutions to meet the complex needs of financial institution treasury groups," says Judson Murchie, the author of the report. "Manual, time-consuming tasks are now able to be automated as a result of high-volume processing engines and bolt-on solutions that reduce the need for costly replacements of legacy systems," she said in a press release.

The 69-page Impact Report contains 28 figures and eight tables, and profiles and assesses the following vendor solutions: Aleri's Liquidity Management System, Fundtech's Global Liquidity Manager, Polaris's Intellect Suite, and SmartStream's TLM Cash Management.