CFOs Prioritize Resilience Amid Uncertainty: Optimizing Liquidity, Managing Risk, and Maintaining Optionality

CFOs prioritize resilience in uncertain times, focusing on optimizing liquidity, managing risk, and maintaining optionality. Key concerns include heightened anxiety around tariffs, a weaker dollar, and rising working capital needs. Trade policy and tariffs remain a top concern, with firms seeking more financing and unlocking idle cash to meet rising working capital demands. FX risk management is also front and center, with an uptick in receivables finance and supply chain finance usage. M&A activity is expected to continue picking up as companies become more comfortable with policy and market dynamics.

In an era marked by market uncertainty, geopolitical risks, and rapid technological change, CFOs are prioritizing resilience to navigate the complexities of 2025. Key concerns include heightened anxiety around tariffs, a weaker dollar, and rising working capital needs. Trade policy and tariffs remain a top concern, with firms seeking more financing and unlocking idle cash to meet rising working capital demands. FX risk management is also front and center, with an uptick in receivables finance and supply chain finance usage. M&A activity is expected to continue picking up as companies become more comfortable with policy and market dynamics.

According to Gartner’s 1H25 CEO survey, 47% of CEOs cite financial volatility as a top concern, driving a wave of operational changes across the C-suite [1]. This is leading CFOs to focus on optimizing liquidity, managing risk, and maintaining optionality. One of the most effective strategies is diversifying deposits across multiple institutions to stay within FDIC insurance limits and reduce concentration risk [3]. This approach not only protects depositor funds but also maintains a strong reputation for safety and reliability.

To maximize earnings without compromising liquidity, banks are employing yield optimization strategies. Sweep accounts allow banks to move unused deposits into interest-bearing accounts daily, ensuring funds are put to work effectively [3]. This dynamic allocation of funds across demand accounts, money market accounts, and time deposits is crucial for treasury teams to manage short-term needs efficiently.

Risk appetite is down among CEOs, prompting more incremental, lower-risk moves such as supply chain redesign and selective market entry [1]. This shift is reflected in the CFO’s role, which now includes driving growth while maintaining relentless attention to cost, automation, and operational agility. CFOs are also focusing on FX risk management, with an uptick in receivables finance and supply chain finance usage to mitigate currency risk.

The Federal Reserve Chair selection process, led by Treasury Secretary Scott Bessent, is another significant factor influencing financial strategies. The search for a new Fed Chair is expected to shape the central bank’s role in monetary policy, balancing Trump’s priorities with economic credibility amid inflation and market scrutiny [2]. This uncertainty adds another layer to CFOs’ strategic planning, requiring them to stay vigilant and regularly update strategies to adapt to evolving economic conditions.

In conclusion, CFOs are navigating 2025 with a focus on resilience, liquidity optimization, risk management, and maintaining optionality. By diversifying deposits, optimizing yields, and managing FX risks, CFOs are positioning their organizations to thrive in an uncertain and dynamic market environment.

References:
[1] https://www.gartner.com/en/articles/2025-ceo-challenges
[2] https://www.ainvest.com/news/trump-admin-interviews-top-fed-chair-contenders-2025-transition-2508/
[3] https://www.cambr.com/insights/effective-bank-deposit-liquidity-management-strategies