ACI Examinations

  Dealing Certificate
  Operations Certificate
  Diploma

Tailor-made courses:

  Foreign Exchange
  Interest Rates and Money Markets
  Derivatives
  • Currency Options
  • FRAs and Futures
  • Interest Rate Swaps
  Structured Products
  Asset & Liability Management
  Principles of Risk
  Hedging and Risk Management
  Code of Conduct

NB: these subjects can be offered individually, or in
any combination as required

Exchange rate risk management for importers
and exporters

Risk profile assessment
Advising on hedging strategies

Treasury 'health check' for banks and corporates

Staff coaching and mentoring
Training needs
Skills gaps
Systems
MIS reporting

Examples of losses caused by failure to manage
exchange rate risk

  1. 'The Gherkin'
  2. Samsung
  3. Burberry
  4. Rolls-Royce
Wayne Andrews (Managing Director)
 
Treasury Tutor : Hedging and Risk Management
 

The importance of risk management has taken on a new dimension in recent years, with many firms in the finance
sector and elsewhere facing a seemingly ever-increasing number of risks, and a bewildering array of methods and
products for controlling and managing them.

Even a cursory glance through a list of just a few types of risk can be a daunting experience: market risk, credit risk,
settlement risk, systemic risk, reputation risk – and there are many more.

TREASURY TUTOR has produced a 'check-list' of key questions that a firm's shareholders should be asking the
directors and senior management:

  1 What is the company's philosophy towards financial risks?

  2 Do supervisory board members understand the financial instruments the company uses or owns,
      particularly derivatives? 

  3 Who formulates the firm's guidelines and policies on the use of financial instruments?

  4 Has the board approved these policies? 

  5 How can the board foster a risk management culture within the firm? 

  6 Are employees of the firm engaged in speculative trading activity?

  7 If so, is this activity authorised?

  8 Is there a limit system or stop-loss procedure in place?

  9 How does the board ensure the integrity of the risk management system?

  10 Is there a separation of duties between those who generate financial risks and those who manage
        and control these risks? 

  11 What type of financial instruments may the firm use?

  12 How are these financial instruments valued?

  13 What are the major risks resulting from financial instruments?

  14 Are senior managers and the board of directors kept abreast, via MIS reporting, etc, of the financial
        exposures facing the company at any one time?

  15 As a shareholder, how much information on the financial risks of the company can I reasonably expect? 

It will be seen that this list is dominated by concerns about market exposure, but the potential for significant or even
unlimited risks in that area should not be understated.

TREASURY TUTOR has vast experience in managing and advising on all kinds of risk. We are available for
consultancy assignments in which we will identify, evaluate and report on the risks your company is facing,
and how such risks may be controlled and managed.

For a no obligation discussion about the sort of risks your firm might be facing, and how TREASURY TUTOR can help,
please e-mail us by clicking HERE.

Back to Home Page