The words behind Treasury liquidity structures

THE DRILL AS TEXT

1. Concentrating balances by actually moving money from subsidiary accounts into one header account, so surpluses and shortfalls net in real cash.
   • Physical cash pooling
2. Combining account balances for interest and offset purposes without moving money — the bank nets the positions arithmetically, leaving each account intact.
   • Notional cash pooling
3. Automatically moving balances between accounts to a target — e.g. emptying accounts to a header or topping them to zero — on a set schedule.
   • Cash sweeping
4. A ledger sub-account under one real bank account, used to route and identify collections or payments so treasury can attribute them without many real accounts.
   • Virtual account
5. An IBAN issued as an alias that routes payments to one underlying real account, giving each payer or purpose its own account number for identification.
   • Virtual IBAN