notional pooling

Notional Pooling

Optimise group cash balances without moving funds

Notional Pooling

Optimise group cash balances without moving funds

At a Glance
Notional Pooling optimises your group cash balances across multiple accounts without physical movement of funds.
offset

Offset balances

Credit and debit balances across a group of accounts in the same location are notionally aggregated to derive a pool net balance used as the basis for net interest computation

optimise

Optimise balances

Reduce borrowing costs and earn higher interest on pooled balances

operational benefit

Operational benefits

Benefit derived from pooling can be apportioned systematically across the participants in the pool as per pre-agreed criteria

Features & Benefits

Preserve the individual autonomy of sub-accounts with control and governance at the Group level or Treasury entity on the overall liquidity position

Eliminate the hassle of manual reporting, tracking and reconciling your various accounts

Access real-time liquidity position, alerts and reports via DBS IDEAL, our online banking platform

How it Works

 

How to Apply

Arrange for our Relationship Manager to call you.
Call us at 2290 8068.

FAQs
Can DBS Notional Pooling support structures in different currencies?

Yes.

Can it be performed for accounts of subsidiary companies?

Yes.

Where will the interest benefit be allocated to?

DBS provides flexibility of interest allocation. Interest derived from pooling can be apportioned to the pool master account or the sub accounts depending on the interest allocation method selected by client.

What’s the difference between Notional Pooling and Cash Concentration?

Cash Concentration involves physical movement of funds into a concentration account, thus, it creates inter-company loans, as money belongs to a different entity. There is no physical movement of funds for Notional Pooling, because account balances are notionally set-off. 

Can we do this on a regional basis?

Notional Pooling only works across accounts in the same location. In addition, we provide interoperability with other liquidity techniques such as Cross-Border Sweep and Interest Optimisation to consolidate funds from multiple countries and regions. However, they are subject to the regulations of each country/region.