Treasury Products and Risk Management: Strategies for Financial Stability
Introduction
In today’s volatile global markets, treasury functions play a pivotal role in ensuring an organisation’s liquidity, profitability, and risk resilience. This 5-day intensive programme provides participants with an in-depth understanding of modern treasury operations, financial instruments, and risk management practices. It offers a comprehensive view of the role of the treasurer, treasury tools, and strategies used to mitigate market, liquidity, and currency risks while enhancing financial performance.
Participants will explore real-world treasury structures, currency and interest rate hedging techniques, and the latest tools for managing exposure in dynamic markets. The course combines theory, hands-on exercises, and case studies to ensure practical application in corporate and financial environments.
Course Objectives
By the end of this programme, participants will be able to:
* Understand the strategic role of treasury within corporate financial management.
* Identify and manage different types of treasury and financial risks.
* Apply advanced techniques in currency and interest rate risk management.
* Evaluate and use treasury products such as forwards, swaps, and options effectively.
* Understand and implement best practices in treasury policies, controls, and compliance (including IAS 39).
* Analyse yield curves and money market instruments for informed decision-making.
* Enhance financial stability and optimise liquidity management.
Course Content
Day One: Treasury Functions and Risk Management Framework
* Role of the Treasurer and CFO in treasury governance
* Core functions of a treasury department
* Profit centres vs. cost centres in treasury operations
* Netting, in-house banking, and centralized treasury systems
* Importance of treasury policies, procedures, and risk management controls
* Building a robust treasury risk management framework
Day Two: Treasury Solutions for Currency Risk
* Client exposure management and risk identification
* Hedging solutions in currency risk management
* Spot foreign exchange and forward pricing mechanisms
* Base and variable currencies; cross rates
* Forward foreign exchange and swaps (FX and currency swaps)
* Principal exchanges: gross and net settlement
* Relationship between spot, forward, and swap markets
* Currency options and their comparison with forward markets
* Natural hedging strategies and their limitations
Day Three: Understanding Hedging and Derivatives
* Identifying and analyzing financial risks
* Long and short positions in hedging
* Contracts for differences and physical delivery
* The importance of carry, leverage, and put/call parity
* OTC vs. exchange-traded derivatives
* Initial and variation margins – how they work
* Settlement and clearing risks (Herstatt risk, DVP, PVP, CLS Bank)
* Symmetrical and asymmetrical risk management
* When a hedge becomes a speculative position
* IAS 39 – hedge accounting principles and implications
Day Four: Treasury Evaluation and Performance Management
* Measuring upside and downside risk in treasury operations
* Evaluating the cost-benefit of hedging and treasury solutions
* Managing treasury costs and performance indicators
* Treasury advisory and internal client communication
* Aligning treasury objectives with organizational strategy
* Best practices for risk reporting and audit compliance
Day Five: Money Markets and Interest Rate Risk Management
* Key money market instruments: T-Bills, CDs, CP, ABCP
* Understanding interbank markets: IBORs, IBIDs, IMEANs
* Repos, securities lending, and sell/buy-back transactions
* Day count conventions and calculations (act/360, 30/360, act/act)
* Discounts, yields, and present/future value calculations
* IRRs, YTMs, and AICs
* Understanding money market and swap market yield curves
* Liquidity preference, market expectations, and segmentation theories
* Efficient markets and implications for treasury strategy
Methodology
This course employs a highly interactive and practical approach, including:
* Real-life case studies from corporate treasury environments
* Group discussions and problem-solving simulations
* Practical exercises in hedging and yield curve interpretation
* Interactive workshops and scenario analysis
* Review of international best practices and governance standards
Benefits of Attending
Participants will:
* Gain a strong command of treasury operations and financial instruments.
* Improve capability in identifying, measuring, and mitigating financial risks.
* Develop a strategic understanding of liquidity and cash flow management.
* Strengthen financial decision-making through applied analysis.
* Build confidence in advising management on treasury and risk strategies.
* Network with other finance professionals and treasury leaders.
Who Should Attend
This course is ideal for:
* Treasury Managers and Officers
* Chief Financial Officers (CFOs) and Finance Directors
* Corporate Accountants and Controllers
* Risk Management Professionals
* Investment and Portfolio Managers
* Internal Auditors and Compliance Officers
* Professionals involved in financial strategy, planning, and control
Enquiries and Registration
Enquiry at : admin@keleaders.com
Whatsapp: 0044 790 125 9494
For more details visit our website : www.keleaders.com
