Course Details
Course Outline
5 days course
Corporate Treasury Today
- The importance of cash and liquidity management
- Trends in today’s treasury market
- Organisation and structure of treasury in MNCs
- Managing treasury as a global process
- The changing role of the corporate treasurer
- Centralising treasury functions
- Treasury in an ERP world
- Passive or active treasury models
Risk Management Strategies in Treasury
- The right treasury policy
- Identifying exposures and strategies to manage them
- Categories of Financial Risk
- Understanding the instruments for hedging and risk mitigation
- Defining an appropriate Hedging strategy
- Transactional, Cash Flow and Balance Sheet Hedging
- Risk models – VAR
- Risk management frameworks and the control environment
(Market risk, Liquidity risk and Currency risk)
Practical Treasury Management
- Preparing cash flow statements
- Using ratio analysis
- Raising finance – debt versus equity
- The weighted average cost of capital (WACC)
- Establishing investment criteria and objectives
- Investment strategies; passive, active, matching, outsourcing and risk-reduction
- Balanced diversification across asset classes, geographic spread, currencies etc.
- Risk appetite
Capital Markets Role and Regulation
- Functions of the capital markets, compared with money markets
- Role of the primary market
- Role of the secondary market
- Aims, objectives, players and structures of market regulation
- Types and characteristics of equity
- Equity valuation methods
- Fixed income (debt) instruments – government and corporate bonds
- Valuing fixed income instruments
Effective Financial Analysis
- The main sources of information for financial analysis purposes
- The main financial statements according to International Financial Reporting Standards (IFRS)
- Income statement ratios; common size, profit margin, return on equity etc.
- Balance sheet ratios; quick ratios, current ratios, debt to equity and more
