Products: Sovereign FTFs, Financial FTFs, Corporate FTFs
Overview: TreasurySpring is a London-based financial technology company operating in the short-term money markets through the world’s first Fixed-Term Fund (FTF) platform. The platform enables clients to invest surplus cash in the same way as the world’s largest treasury teams without needing any infrastructure.
The company was voted amongst the top three fintech startups in Europe at Money20/20 in June 2019. It launched FTF portal in July 2019.
An FTF operates in the same way as a term deposit, or notice account, offering exposure to a particular issuer, for a fixed-term, ranging from a week to a year. A single onboarding provides access to a menu of FTFs across three core verticals: Governments, banks and corporations, always of a high credit quality. In the bank space, the focus is on secured exposures rather than unsecured deposits. Every FTF is 100% maturity-matched, so clients are never exposed to ‘run risk’.
TreasurySpring was founded in 2016 by Kevin Cook (CEO), Matthew Longhurst (COO) and James Skillen (CTO) who have worked together since 2006.
The platform is integrated with several of the largest global financial institutions, offers more than 30 products across USD, GBP, EUR and ZAR and has already issued more than $9bn of FTFs.
In September 2019, it closed a £2m investment round. This was led by ETFS Capital, with participation from MMC Ventures and existing investors. The round was three times oversubscribed. Proceeds were set for the development of the platform’s core technology and the expansion of the firm’s sales, technology and operations teams. The company has raised around £3.6m since its first external capital injection in November 2017.
In February 2021, TreasurySpring announced a partnership with Global Reach, a provider of foreign exchange and international payments. It gives respective clients access to each service. The partnership is the first white-label platform providing access to TreasurySpring’s FTFs.
In June 2021, TreasurySpring announced the closing of its latest capital raise, securing more than $10m of new investment in a round that was co-led by MMC Ventures and Anthemis Group, with participation from existing investors, including ETFS Capital. The company has now raised more than $15m since its first external capital injection in November 2017.
TreasurySpring is currently live with more than 140 products on the portal.
Clients: FTFs are designed for all institutional holders of large cash balances. TreasurySpring has attracted clients from a broad range of sectors including multinational corporations, SMEs, family offices, charities, intergovernmental agencies, and a range of fund managers. Its menu of investment-grade Fixed-Term Funds suit cash management portfolios across currencies, maturities and asset classes.
Active region(s): UK, Channel Islands
Partners: FIS, Global Reach Group and Hazeltree
Ownership: Private Company. Nine known investors, with ETFS Capital and MMC Ventures the most recent new investors which, along with return investor ESO Capital Group, together raised a further £2m in September 2019.
Elevator pitch: “TreasurySpring is a London-based financial technology company that is unlocking multi-trillion dollar short-term money markets. Our regulated Fixed-Term Fund (FTF) platform delivers new digital pipelines to connect cash rich firms to institutional borrowers. FTFs enable all firms to invest excess cash in the same way as the financial institutions, without the need for any infrastructure – to minimise risk and maximise return, with just a couple of clicks.”
Phone: +44 (0)20 34881701
TMI view: Alex Schmid, Managing Partner, ESO Capital has said: “Over the last two years [TreasurySpring] have achieved everything that they set out to do and more, so we were very comfortable following on from our initial investment for a second time”. With investor confidence, a unique offering, and a strong pedigree, the company can anticipate growth acceleration.
Verdict: TreasurySpring adds some real value for treasurers with surplus cash. Well worth exploring further.