Treasury professionals, financial professionals, finance managers, corporate controllers, financial controllers, chief accountants, accounting managers, senior accountants, banking professionals, back-office managers, traders and dealers, finance regulators and corporate business professionals.

It is essential for every organization to effectively utilize its funds and manage its exposure to key risks arising from fluctuations in interest rates and foreign exchange rates. The certificate in the treasury and cash management course examines the important roles of the corporate treasury in managing cash flow and liquidity, working capital, accessing debt financing and managing capital. This course provides professionals with a sound understanding of the tools and techniques required for effectively managing the various aspects of treasury risk.

• Describe and explain the roles of corporate treasury management and the treasury function
• Apply up-to-date practices covering asset-liability management and cash management techniques
• Develop a practical understanding of financial markets and their products
• Recognize and correctly measure financial instruments under International Financial Reporting 
• Standards (IFRS) and Generally Accepted Accounting Principles (GAAP)
• Describe fair value measurement and explain its effect on financial instruments’ presentation
• Explain hedging and speculation, and distinguish between the different hedging techniques applied by the treasury function

The course uses a mix of interactive techniques, such as brief presentations by the consultant, application of theories presented by the consultant and group exercises to exchange experience and apply the knowledge acquired throughout the course.

Module 1: Introduction to the Treasury Function

• Definition and responsibilities of the treasury function
• Treasury professionals’ role
• Risks surrounding the treasury function:
  • Credit and interest rate risk
  • Liquidity risk and exchange rate risk

Module 2: Cash and Liquidity Management

• Asset and liability management versus treasury management
  
• Understanding the cash cycle
  
• Reasons for holding cash: transaction, precautionary and speculative
  
• The optimum cash balance: 
  • Baumol’s model
  • Miller-Orr model
• Managing and accelerating collections
• Managing and decelerating disbursements
• Ratio analysis for decision making
  • Days sales outstanding versus credit term
  • Days inventory on hand versus lead time
  • Days of payables
  • Cash conversion cycle Module

Module 3: Corporate Finance Theory

• The time value of money
  
• Steps in the investment management process
  
• Calculating holding period return
  
• Risk and return concepts
  • The calculating mean of returns
  • Variance and standard deviation as a measure of risk
  • Covariance and correlation of returns for two securities
  • Interpreting the correlation of returns

Module 4: Fixed Income Securities and Bond's Valuations

• The money market and instruments
  
• The debt market
  
• Bonds and Sukuk
  
• Risks associated with the debt market
  
• Credit risk
  
• Prepayment risk
  
• Interest rate risk
  
• Bonds’ valuation techniques
  
• Price and maturity relations
  

Module 5: Stock Market and Equity Valuations

• The equity instruments: IPOs, seasoned offerings, and private equities
  
• Holding period returns for equity securities
  
• Equity valuation techniques
• The discounted cash flow model
• Multiplier model

Module 6: Accounting for Investments: Recognition, Impairment and Hedge Accounting

• Type of investment securities
• Classification under IFRS 9: Fair Value Through Profit or Loss (FVTPL)
• Fair Value Through Other Comprehensive income (FVTOCI), amortized cost
• Initial recognition and subsequent measurement
  
• Transfer between categories
  
• Impairment of financial assets under the new standard
  
• The expected credit loss model
  
• Initial recognition of expected credit loss
  
• Stage 1,2 and 3 evaluation
  
• Briefing on hedge accounting under IFRS 9
  
• Conditions for hedge accounting
  
• Fair value hedge and cash flow hedge

Module 7: Briefing on Derivatives Markets, Hedging, and Speculation

• Definition of derivatives: forwards, futures, options, and swaps
• Difference between hedging and speculation
  
• General internal hedging strategies
  
• Investing in the home currency
  
• Creating a natural hedge
  
• Currency diversification
  
• Mark-ups
• Counter trades and currency offsets