Exploring international treasury operations with J.P. Morgan

Partner Insights spoke to Heather Jonason, Vice President and Treasury Management Officer, Real Estate Banking, of J.P. Morgan for an overview of what’s happening in international markets. Jonason, who spent 6 years in Singapore and is now based in New York, brings a wealth of real-world experience and keen insight into the complexities of treasury operations across the globe.

Commercial Observer: What are the current trends in international treasury management that commercial real estate companies should be aware of?

In today’s rapidly evolving financial landscape, real estate companies are reimagining their international treasury management strategies to stay ahead of market volatility and regulatory complexity.

Liquidity management has become a top priority, with firms leveraging advanced forecasting tools and centralized cash pooling to ensure they can fund acquisitions, development, and debt obligations across borders.

As commercial real estate (CRE) portfolios become more global, managing foreign exchange risk is critical. Companies are increasingly adopting sophisticated hedging strategies and multi-currency platforms to protect asset values and income streams from currency fluctuations.

Strategic bank relationship management is key to ensuring CRE companies have access to local expertise and competitive financing in every market they operate. Together, these trends are redefining how real estate firms manage risk, optimize capital, and drive growth on the global stage.

Commercial Observer: How should commercial real estate companies approach treasury management when expanding into new international markets?

Finding the right partner is essential. The landscape is complex with varying tax laws, regulations, and privacy requirements, which creates challenges around currency exchange, payments, and liquidity.

It’s important to choose a banking partner that brings global reach and local expertise. It’s wise to consider factors like counterparty risk, regulatory alignment, and the bank’s ability to support your treasury and lending needs at scale. Companies should ask themselves some key questions about what sort of counterparty risk are they willing to take.

The right banking partner should not only meet your current requirements but also help you achieve your long-term goals, acting as both a service provider and a trusted advisor.

Commercial Observer: How can commercial companies effectively manage foreign exchange risk in today’s volatile market?

It starts with the simple question of “how am I going to manage my cash?” Treasury teams need to consider not only foreign currencies but also U.S. Dollars (USD), as inflation, monetary policy shifts, and political changes can dramatically impact currency values.

Whether it’s proceeds from a sale or monthly rental income, companies need to consider how they are going to manage their currency exposure.

Many clients feel more comfortable with cash being held in their U.S. headquarters. If that’s the case, how will they manage their foreign currency exposure? How volatile is the local currency against USD? How frequently will they repatriate cash?

Real estate firms should look for advisors who understand local market dynamics and can offer creative solutions—whether that means implementing a hedging program, optimizing yield on cash, or managing trapped cash in markets with capital controls like Brazil, India, Vietnam, or China.

By partnering with a global bank that offers both research-driven insights and practical treasury solutions, real estate companies can confidently navigate currency volatility and optimize their international operations.

Commercial Observer: What strategies can real estate companies use to optimize cash flow across multiple currencies and countries?

Optimizing cash requires a blend of strategic planning, robust technology, and industry-specific expertise. Treasury teams must ensure the right amount of liquidity is available at the right time, while minimizing costs and risks.

Investing in a quality Enterprise Resource Planning (ERP) system that can handle international and multicurrency needs is a foundational step. Without clear visibility into cash positions, effective treasury management simply isn’t possible.

Best practice calls for a banking platform that supports both domestic and international requirements. By consolidating banking relationships with a single provider, companies can streamline operations and focus on strategic cash initiatives, rather than juggling multiple platforms to track daily balances.

This is especially important in real estate, where ownership structures often involve joint venture partners in foreign markets, adding layers of complexity and making cash visibility even more challenging

Real estate companies must also get creative in managing foreign currency, yields, and visibility. While options for USD yields are straightforward—such as interest-bearing accounts and money market funds—international yield strategies require navigating local restrictions.

Commercial Observer: What role does technology play in modern treasury management, and how can commercial real estate companies leverage it to improve efficiency?

Fraud protection is one of the most significant advancements technology brings to treasury management. Modern banking platforms and treasury management systems now offer robust fraud prevention tools, such as real-time transaction monitoring, multi-factor authentication, and automated alerts for suspicious activity.

Account and entity validation service allow companies to verify recipient identities and account details instantly, dramatically reducing the risk of erroneous or fraudulent payments. As fraud risks continue to evolve, leveraging advanced technology is essential for protecting both company funds and reputation.

The rise of digital platforms, Application Programming Interfaces (APIs), and blockchain has made treasury management not only more strategic but also more dynamic.

J.P. Morgan’s blockchain product, Kinexys, was recently deployed by a leading real estate company resulting in streamlined loan operations and transformed business processes. Banking innovation and cutting-edge technology continue to deliver tangible and measurable results.

The integration of property management systems with banking partners is a key driver of operational efficiency for real estate companies. API-driven connectivity enables seamless communication between platforms, automating processes from tenant invoicing to cash application.

As real estate firms expand internationally, their property management systems (PMS) often follow, making consistent connectivity across regions increasingly important. Having a partner capable of integration empowers firms to optimize working capital and deliver an enhanced experience to tenants and stakeholders, positioning them for success in an increasingly digital and interconnected real estate market.

These innovations also provide treasury teams with immediate visibility into payment status and cash flow across multiple currencies and markets, helping companies stay agile and compliant in a fast-evolving global landscape.

These details are crucial for treasury teams with staff in multiple countries, ensuring everyone can work efficiently and securely.

If a single banking partner isn’t feasible, implementing a Treasury Management System (TMS) is a smart alternative. Modern TMS solutions automate payments, consolidate cash reporting, and help maintain compliance and risk controls across various banking providers.

Commercial Observer: What are some of the key regulatory challenges that commercial real estate companies face in international treasury management, and how can they navigate these challenges?

Navigating a regulatory environment outside your home country is difficult. Companies must navigate a complex web of local and international laws, including currency controls, tax regulations, anti-money laundering (AML) requirements, and reporting standards that vary widely across jurisdictions. Cross-border transactions often require detailed documentation and approvals, further complicating cash movement and liquidity management for global treasury teams.

Companies need a strong international bank to guide them through complex foreign exchange and tax regulations, ensuring all documentation and approvals are handled correctly. This expertise helps minimize delays and compliance risks during cross-border transfers, enabling efficient repatriation of funds and reliable liquidity management for global operations.

Commercial Observer: What do you see as the future of international treasury management, and how should commercial real estate companies prepare for upcoming changes?

The future of international treasury management is shaped by rapid technological innovation, evolving regulatory landscapes, and a growing emphasis on agility and transparency. For real estate companies, this means treasury functions will become increasingly digital, data-driven, and integrated across global operations.

We can expect further adoption of advanced technologies such as artificial intelligence, machine learning, and blockchain, which will automate routine tasks, enhance risk management, and provide real-time insights into cash positions and market exposures. The rise of digital currencies and instant cross-border payments will also transform how companies manage liquidity and transact internationally.

To prepare for these changes, real estate firms should invest in scalable, flexible treasury infrastructure that can adapt to new technologies and regulatory requirements. Building strong partnerships with global banking providers will be crucial for navigating complexity and staying ahead of industry trends.

Companies should also prioritize continuous education for treasury teams, ensuring they are equipped to leverage new tools and respond to shifting market dynamics. By embracing innovation, fostering collaboration, and maintaining a forward-looking approach, real estate companies can position themselves to thrive in the next era of international treasury management.