Cost of Capital, Environment, Finance and Management

Should Companies Retain "Strategic" Cash?

Harvard Business Review

APRIL 16, 2012

This raises the question of whether retaining strategic cash makes economic sense and should be viewed as a legitimate corporate finance tool in today's environment. Arguments for Strategic Cash. Often citing the maxim that "cash is king", CFOs know that strategic cash can enhance shareholder value in various ways. It can: Save Taxes.

Company

Company Cost of Capital Finance Long-term

Providing Earnings Guidance? Think Again

Harvard Business Review

MAY 4, 2012

Although the empirical evidence is mixed, this argument has intuitive logic: Because investors abhor uncertainty, knowing management's expectations is a valuable data point that can strengthen their confidence in the investment.

CFO

CFO Metrics Price Depreciation

Leadership Digital

Should Companies Retain "Strategic" Cash?

Providing Earnings Guidance? Think Again

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