Definition: Continuous tracking of cash balances across bank accounts, currencies, and counterparties to support funding and settlement decisions.
Example: A hedge fund enters several large positions that increase its aggregate risk profile, so the risk team uses balance monitoring to automatically detect when margin balance falls short due to daily market activities and make the appropriate transfers to avoid a margin call.
Explore IVP Cash Management
The IVP Cash Management Solution provides easy balance monitoring. This buy-side platform centralizes and automates cash settlements, balance monitoring, and payment workflows across banks, funds, and counterparties. By replacing manual processes with configurable, straight-through automation, it gives firms real-time visibility, stronger controls, and greater confidence in every cash movement.
