The Corporate Treasury — From Cost Center to Profit Center

Investment banks that issue or sell ARS products, not surprisingly, take issue with Carfang’s blanket dismissal of these securities. “On balance, as long as companies account for this properly, they usually do come out ahead,”” says Peter Jankovskis, chief investment officer of Oakbrook Investments LLC. “Even if they look foolish in the short-run, by writing off losses on continuing investments, they can hold the securities until they pay off.”