TREASURY RISK MANAGEMENT

OVERVIEW

In a letter sent to chief executives of all banks and building societies, the FSA’s deposit takers division (DTD), stated: “Although there have been numerous well-publicized examples of material losses arising from inadequate controls within treasury operations, it seems that, in many instances, firms are still failing to address effectively some fairly basic issues.” The review highlighted flaws in segregation of duties across front, middle and back office, poor understanding of risks by senior management, inadequate internal audit and IT procurement and implementation practices, and weaknesses in limit management, risk measurement and pricing policies. The cross-section of firms visited included domestic banks and building societies and a number of branches and subsidiaries of international banks. This highlights the crucial need for all banks and financial institutions to look very carefully at their treasury function and the practices they adopt. In order to help you successfully deal with these overwhelming challenges IFF has designed this brand new highly topical programme. During these intensive two-day, you will develop all the theoretical strategies and practical techniques to manage risk, allocate funds effectively and, as a result, and increase the all important shareholder value!

KEY LEARNING OBJECTIVES

At the end of this training, participants would have acquired skill to

• Learn how to identify treasury exposures.
• Be able to calculate and quantify interest rate and currency risk.
• Understand how successful banks manage treasury risks.
• Gain an enhanced understanding of treasury risk management policies.
• Appreciate the current regulatory regime and the implications for banks.
• See the links between equity, commodity, interest rate and currency derivative hedging techniques.
• Appreciate the differences between hedging in the forward, futures swaps and options markets

TARGET PARTICIPANTS           

Treasury Officers, Risk Officers, Compliance officers, Control Officers, Internal Auditors, Back office personnel, Operations

COURSE CONTENT

• Treasury management today
• Liquidity risk management
• Funds transfer pricing
• Treasury risk management
• Managing currency risk
• Forwards, forward/forwards and futures
• Managing interest rate risk
• Mastering the practicalities of spot foreign exchange
• Forward foreign exchange
• Practical treasury management

DURATION: 3 Days