Big Corporations

Question 1

According to Clearwater Analytics:

% of corp cash allocated to…

1. Agency debt
2. Government debt
3. Non-U.S. Gov debt
4. Municipal debt

Answer 1

1. Agency debt = 6.2%
2. Government debt = 20%
3. Non-U.S. Gov debt = 2%
4. Municipal debt = 1.5%

Question 2

According to Clearwater Analytics:

% of corp cash allocated to…

1. Asset-backed securities
2. Mortgage-backed securities
3. Auction
4. Equity

Answer 2

1. Asset-backed securities = 2.5%
2. Mortgage-backed securities = 4%
3. Auction = less than 1%
4. Equity = 1%

Question 3

According to Clearwater Analytics:

% of corp cash allocated to…

1. Corporate debt
2. Commercial paper

Answer 3

1. Corporate debt = 52%

2. Commercial paper = 6.5%

Question 4

According to Clearwater Analytics:

% of corp cash allocated to…

1. CD
2. Repo
3. Other

Answer 4

1. CD = 3%
2. Repo = 0.32%
3. Other = 0.8%

Question 5

According to Clearwater Analytics:

How has the allocation of cash towards corporate bonds changed since 2008…?

Answer 5

In 2008, between 16-20% of corporate cash was held in corporate bonds.

That figure rose steadily between 2009-2012, reaching 32% in Jan of 2013.

On Oct 2016 that figure stood at 52%