Latest news with #commercialpaper
Yahoo
5 days ago
- Business
- Yahoo
McCormick Adopts Clearwater's CP Platform to Streamline Capital Strategy
Clearwater Analytics Holdings, Inc. (NYSE:CWAN) is one of the growth stocks that could double by 2027. On July 22, McCormick & Company (NYSE:MKC) announced its adoption of Clearwater Analytics' commercial paper workflow solution to modernize short-term capital raising. SFIO CRACHO/ The move comes amid a surge in U.S. commercial paper issuance, which topped $1.4 trillion in May 2025. McCormick's treasury team cited the need for real-time visibility and cost control in a volatile rate environment. Clearwater's platform offers benchmarking tools, maturity tracking, and integrated reconciliation, helping McCormick optimize issuance decisions and dealer performance. The partnership reflects a broader shift among corporations toward tech-enabled liquidity management, especially as short-term rates begin to ease and long-term commitments remain limited. Clearwater Analytics Holdings, Inc. (NYSE:CWAN) offers cloud-based SaaS solutions for investment data management, serving global financial institutions and government entities. Its core platform, Clearwater Prism, provides tools for reporting, compliance, risk analysis, and reconciliation, while specialized products like LPx, MLx, and JUMP support private funds, mortgage oversight, and full trade lifecycle needs. While we acknowledge the potential of CWAN as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and . Disclosure: None. This article is originally published at Insider Monkey.
Arab News
28-06-2025
- Business
- Arab News
PIF establishes its first commercial paper program
Saudi Arabia's Public Investment Fund has announced the establishment of its commercial paper program, adding a new source of funding to its existing instruments. The program, which allows CP issuance through offshore special purpose vehicles, comprises two sub-programs, a US CP program and a Euro CP program. The program is rated P-1 by Moody's and F1+ by Fitch, the highest possible ratings for such an initiative. CP issuances enhance PIF's short-term financing flexibility and complement its long-term capital raising efforts. CP is a common cash management tool in global financial markets, and the establishment of this program by PIF reflects its agile capital raising strategy. Fahad AlSaif, PIF's head of global capital finance and investment strategy and economic insights, said: 'The establishment of our CP program reflects the continued strength and depth of PIF's capital raising strategy, one that is dynamic, resilient, and fit for purpose, aligning funding solutions with our long-term investment priorities.' PIF's medium-term capital-raising strategy is built on diversified funding solutions that include a range of instruments, such as bonds, sukuk and loans. In October 2022, PIF became the first sovereign wealth fund globally to issue a green bond including the world's first century green bond. This was later followed by PIF's inaugural sukuk issuance priced at $3.5 billion. PIF is rated Aa3 by Moody's with a stable outlook, and A+ by Fitch, also with a stable outlook. PIF is one of the world's most impactful investors, enabling the creation of key sectors and opportunities that help shape the global economy, while driving the economic transformation of Saudi Arabia.
Arab News
27-06-2025
- Business
- Arab News
PIF embraces ‘precision finance' with diversified debt strategy, says Global SWF
RIYADH: Saudi Arabia's Public Investment Fund is embracing a calibrated, multi-instrument approach to debt issuance described by Global SWF as a model of 'precision finance.' According to the research firm, the purpose — following the issuance of the commercial paper program in June — is to align PIF's funding tools with investment timelines, liquidity needs, and investor targeting, while reinforcing financial discipline across its expanding portfolio. In its report, Global SWF noted that PIF is moving away from a singular focus on long-term mega-bond issuances and toward a more agile debt framework that includes commercial paper, sukuk, green bonds, and multi-tranche conventional bonds. This strategy is designed not just to raise capital, but to do so with precision, which is matching maturities to project lifecycles and diversifying funding sources across global markets. Global SWF highlighted that PIF's latest move, completes a full-spectrum debt portfolio that now includes ultra-short to ultra-long maturity instruments. The commercial paper, issued in US dollar and euro denominations via offshore special-purpose vehicles, secured the highest short-term credit ratings available: Prime-1 from Moody's and F1+ from Fitch. These ratings reflect exceptional credit quality and grant PIF access to deep liquidity pools among institutional investors such as money market funds. The commercial paper program is a critical addition to a borrowing strategy that also includes a $3 billion 100-year green bond issued in October 2022, a $5.5 billion green bond in February 2023, a $3.5 billion sukuk in October 2023, and a series of multi-tranche bonds and sukuk issued through early 2025. With each offering, PIF has tailored tenor, currency, and structure to match specific financial and investor objectives. The evolution of PIF's financial strategy is closely tied to its broader transformation under Vision 2030. Since 2016, the fund has grown its assets under management from $160 billion to $941.3 billion, according to the latest Vision 2030 Annual Report. It has now increased its 2030 AUM target to $2.67 trillion, reflecting its expanded mandate and rising international profile. PIF's investment strategy is balanced between domestic development and global positioning. About 40 percent of its assets are allocated to Saudi-based companies and projects, while the remaining 60 percent target international sectors such as technology, logistics, mining, and tourism. According to the Vision 2030 report, PIF's initiatives have helped create 1.1 million jobs, attracted over $37 billion in private capital, and grown the number of PIF-established companies from 45 in 2021 to 93 in 2024. A strategic departure from Gulf norms While other sovereign wealth funds such as Norway's NBIM remain entirely debt-free, and Singapore's Temasek or China Investment Corporation borrow sparingly, PIF has opted for a hybrid model, one that combines government equity injections with strategic use of debt instruments. According to Global SWF, this is not a matter of opportunistic borrowing. Rather, PIF is practicing deliberate asset-liability matching which focuses on issuing long-dated bonds to support giga-projects like NEOM or The Line, while using short-term debt for working capital needs and market-timed investments. Sukuk offerings help tap into regional Islamic finance liquidity, and green bonds target environmental, social, and governance-focused global capital. This differentiated approach allows PIF to broaden its investor base while keeping funding costs aligned with the nature and duration of its projects. Why ratings matter The fund's credibility is bolstered by strong long-term credit ratings: Aa3 from Moody's and A+ from Fitch. This has allowed it to secure favorable terms on successive bond offerings and confirmed that PIF is regarded as an exceptionally low-risk short-term borrower, giving it seamless access to institutional liquidity globally. Global SWF emphasized that the ratings, combined with diverse issuance formats, position PIF among a small group of sovereign wealth funds with the internal capability to manage complex, multi-layered debt programs. Saudi Arabia is currently navigating a tighter fiscal environment, with a projected 2.3 percent budget deficit in 2025 and a more disciplined approach to public spending. In this context, PIF's access to capital markets is more than just financial, according to Global SWF, it serves as a strategic bridge that enables ongoing project execution without placing undue pressure on state reserves. The firm noted that the fund's recent bond and sukuk calendar illustrates a sequenced and diversified funding plan, rather than reliance on a single issuance type. This is especially important as global interest rates remain volatile and investors increasingly scrutinize sovereign debt sustainability. Rather than treating debt as a one-off tool, the fund is deploying it systematically, by tenor, purpose, and investor group, to support a $2.6 trillion vision for economic diversification and global investment leadership. As the Kingdom approaches the final stretch of Vision 2030 implementation, PIF's capital strategy offers a case study in how sovereign wealth funds can combine financial discipline, market sophistication, and national ambition under a unified financing framework.
Gulf Business
24-06-2025
- Business
- Gulf Business
Saudi's PIF launches commercial paper programme to diversify funding sources
Image: PIF Saudi Arabia's Public Investment Fund ( According to a statement from the sovereign wealth fund, the new program consists of two sub-programmes: a US commercial paper programme and a Euro commercial paper programe, issued through offshore special purpose vehicles. It has secured the highest possible ratings for commercial paper initiatives — P-1 from Moody's and F1+ from Fitch. The CP programme is designed to enhance PIF's short-term liquidity and cash management flexibility, supporting its dynamic approach to capital raising. 'The establishment of our CP programme reflects the continued strength and depth of PIF's capital-raising strategy; one that is dynamic, resilient, and fit for purpose, aligning funding solutions with our long-term investment priorities,' said Fahad Al-Saif, head of PIF's Global Capital Finance and Investment Strategy and Economic Insights. Programme part of PIF's mid-term strategy The launch marks the latest step in PIF's medium-term capital-raising strategy, which includes a diversified mix of bonds, sukuk and loans. In October 2022, the fund became the first sovereign wealth fund globally to issue a green bond, which included the world's first century green bond. That milestone was followed by its inaugural sukuk issuance, raising $3.5bn. PIF holds a long-term issuer rating of Aa3 with a stable outlook from Moody's, and an A+ rating, also with a stable outlook, from Fitch. Recognised as one of the world's most influential institutional investors, PIF plays a central role in enabling the creation of new sectors and economic opportunities globally while driving the transformation of Saudi Arabia's economy, the fund said in the statement. Read-
Asharq Al-Awsat
24-06-2025
- Business
- Asharq Al-Awsat
Saudi Sovereign Wealth Fund Launches First Global Commercial Paper Program
The Public Investment Fund (PIF), Saudi Arabia's sovereign wealth fund, has launched its first-ever global commercial paper program, marking a significant step in strengthening its short-term financing capabilities and expanding its reach in international capital markets. According to an official statement, the program allows for the issuance of commercial paper through Special Purpose Vehicles (SPVs). It consists of two sub-programs: one for the US market and another for the European market. The program has already earned top credit ratings: Moody's assigned it a Prime-1 (P-1) rating, the highest short-term grade, while Fitch Ratings awarded an F1+ rating, also its highest for short-term instruments. Fahad AlSaif, Head of Global Capital Finance and Head of Investment Strategy at PIF, said the launch aligns with the Fund's broader financing strategy. 'This program reflects our flexible and effective approach to funding, designed to support our long-term investment priorities,' he noted. Commercial paper is widely used in global financial markets as a tool for short-term liquidity management. PIF's program is expected to enhance its agility in managing cash flow while complementing its long-term funding plans. Mohammed Al-Farraj, Head of Asset Management at Arbah Capital, told Asharq Al-Awsat that the initiative highlights PIF's commitment to robust liquidity management and its ambition to lead both domestically and internationally. He called the move a 'strategic addition' to PIF's funding ecosystem, noting that the strong credit ratings will allow the Fund to secure financing at competitive rates, positioning it to capitalize on key investment opportunities without being overly exposed to short-term market volatility or interest rate risks. Al-Farraj added that the launch supports PIF's strategy to diversify its funding sources and balance short-term needs with long-term goals. He pointed out that it will help drive major projects in critical sectors such as renewable energy, future industries, and advanced technology - key pillars of Saudi Arabia's Vision 2030. He also emphasized the program's role in strengthening Saudi Arabia's standing as a global financial hub and increasing its appeal to international investors. The initiative follows PIF's broader financing roadmap, which includes issuing green bonds - such as its landmark $3.5 billion sukuk offering - and reflects its continued pursuit of innovative, sustainable funding solutions to fuel the Kingdom's economic transformation.
