Treasury and Risk Management

Treasury and Risk Management

OBJECTIVES

• Manage Cash, Liquidity & Working Capital to reduce Finance Costs and Improve Returns
• Make Informed Strategic Decisions
• Determine and Implement the Company’s Risk Management Strategy
• Recommend Hedging and Risk Management Decisions
• Improve the Corporate Governance of the Organization

WHO SHOULD ATTEND?

• Professionals working in Treasury & Risk management who wish to up-date and improve their knowledge and skills
• Financial decision makers, whose techniques of decision making and analysis will be improved through attendance
• Managers and those with financial responsibilities
• Professionals acting upon the financial decisions of others, who will gain an appreciation for decision making thereby ensuring shared values within the organization
• Professionals with an interest in finance and the latest market developments

COURSE OUTLINE

DAY 1

The Role of Treasury Management – An Overview

• The Role & Scope of Treasury Management
• Operation & Location of a Treasury Department – Cost or Profit Centre and Centralised or Decentralised
• Cash & Liquidity Management
• Working Capital Management
• Capital / Finance Management
• Risk Management

DAY 2

Cash & Liquidity Management – A Detailed Analysis

• Cash Budgets & Forecasts
• Variance Analysis
• Meeting Cash Calls and Short-term Methods of Finance
• Working Capital Management – determining the optimum level
• Netting & Cash Concentration Accounts
• Mult-national & Group Cash Management 

DAY 3

Financing and Capital Management

• Methods of Raising Long Term Finance (Equity vs. Debt)
• Optimizing the Capital Structure to Minimize the Cost of Capital (WACC)
• Investment of Cash Surpluses to Maximize Return
• Raising Finance to meet Strategic Objectives – M & A, Joint Ventures etc.
• Capital Investment Appraisal – NPV, IRR, Payback
• Risk Forecasting

DAY 4

Risk Management

• Identifying Risks and Uncertainties – Internal & External; Financial & Non-Financial
• Measuring Risk – volatility; variance; standard deviation; probability; Value at Risk
• Determining the Risk Management Strategy – assessing impact and probability
• The 4 T’s – Tolerate; Terminate; Transfer; Treat
• Internal Controls & Internal Auditing
• Credit & Counterparty Risk Management

DAY 5

Currency; Interest Rate & Commodity (Oil Price) Risk Management

• Forward Contracts and Forward Rate Agreements
• Options – Calls & Puts; European & American
• Futures – Market Correlation; Margin Payments etc.
• Swaps – Currency & Interest Rate Risk and Benefits
• Foreign Currency Accounts other Internal Methods / Tactics
• Foreign Currency Borrowing