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