Navigating transaction banking requirements for Special Purpose Vehicles

Special Purpose Vehicles (SPVs) are entities established for a specific purpose and time-bound financial activity and are widely used across the fund industry for various reasons including: risk isolation, fulfilling specific legal requirements, securitisation, enabling asset transfers, or tax efficiency.

The legal form used for SPVs may change per jurisdiction, and SPVs might have different levels of transactionality. However, in all cases, having access to transaction banking services is crucial for day-to-day functioning. 

Understanding SPV transaction banking needs

SPVs require a range of transaction banking services, typically including:

• Efficient (international) collections and payouts 
• Domestic accounts in relevant on and offshore jurisdictions 
• Access to foreign exchange 
• Cash management for funds held on balance
• Account statement and reporting functionality 
• Online platform with robust authorisation and permissions levels

As SPVs are often set up towards the end of an investment process, these longer onboarding times can put pressure on deal timelines.

Ebury’s Approach

Ebury Institutional Solutions provides a purpose-built solution for SPVs combined with an optimised onboarding process. With a dedicated team, seamless processes and advanced technology, Ebury Institutional Solutions provides integrated global account, international payment and collection, and currency risk management services to SPVs.

What does Ebury SPV offering include

Account groups

• Efficient onboarding of related groups of SPVs
• Single login for users to access a full group of accounts
• Instant intra-Ebury transfers to enable smooth transactions within group
• SPV compartment onboarding in relevant jurisdictions

Client support

• Client support via phone, chat, and email
• Local front office team coverage

Ebury Online platform

• Up to 10-eye authorisation groups (e.g. A, B, C, D, E groups)
• Tailored permission levels for users
• Extensive reporting and statement functionality

Account location and currencies

• Local accounts in over 20 countries, including Luxembourg, Ireland, UK, Netherlands, Dubai, Hong Kong, Singapore, USA, and more
• Accounts offered in 29 currencies

Client onboarding

• Targeted client onboarding time for an SPV of 2 weeks
• Single client onboarding across jurisdictions for cross-border structures

Cash management and FX

• Access to over 130+ currencies
• Cash management for funds held on balance

The bottom line

In conclusion, transaction banking services are integral to the smooth functioning of Special Purpose Vehicles. Ebury’s team and product set is well placed to support the efficient operation of SPVs.

Let’s start a conversation

Get in touch with our experts to discuss the needs of your fund and how Ebury can help you and visit our page to learn more.

Disclaimer

The information provided herein is general in nature and should not be construed as financial or investment advice. The information provided here is not legally binding. The information, data or views expressed here is for the exclusive use of the recipient and is subject to changes without any notice. You may ask the support team or your dedicated relationship manager to provide additional information regarding Ebury products.