Currency management is a process by which international companies that have considerable cross-border transactions devise strategies to limit their exposure to and impact from fluctuations in the foreign exchange rate. This is also aimed to maximise return on foreign market operations. Effective management of currency and its associated risks is key to the successful performance of global portfolios. Currency management includes the protection of cash flows, assets and/or liabilities from exchange rate fluctuations. There are various types of foreign exchange tools and strategies that are adopted by companies to stay relevant in the market space and survive the competition.

This training course will empower you with a comprehensive understanding and detailed knowledge and information about currency management, including its strategies, associated risks, etc. This training course will also prepare you to undertake any role and responsibility within the domain of currency management, thus making you a dynamic professional capable of handling multiple responsibilities and accepting greater opportunities enabling faster career growth and progression..

    COURSE OBJECTIVES

     By the end of the course, participants should be able to:

• understand and learn about all critical areas and aspects of currency management
• apply the skills and knowledge gained through the training course in various areas of interest in one’s organisation
• devise and implement competitive and strong strategies to combat any impact of exchange rates on the performance of one’s organisation
• predict and prevent future instances or hindrances in exchange rates from interfering with the operation of one’s organisation
• train other professionals on best practices and other important concepts related to currency management
• review and amend current organisational systems and processes to match industry standards and to be able to compete at the global level
• multitask among multiple roles to be able to help one’s organisation meet performance standards and grow within the industry, thus demonstrating one’s potential and talent, inviting additional opportunities for career development
• thoroughly understand currency management to be able to undertake and successfully fulfil any role or responsibility offered to one across any organisation, thereby increasing avenues for one’s growth and progression

DURATION

10 Days

WHO SHOULD ATTEND

This training course is suitable to a wide range of professionals but will greatly benefit:

• Executives handling various functions related to currency management
• Managers and leaders overseeing functions related to currency management
• Investors or potential investors who need to understand the currency management strategies of an organisation before making investment decisions
• Legal and financial advisors who play important roles in their respective domains when currency fluctuations impact organisational performance, position or prospect
• Compliance officers who need to ensure that the firm is operating in adherence with external standards
• Government officials working closely with organisations facing an impact of foreign exchange fluctuations
• Any other professional who would like to know more about currency management, including the related risks, strategies and asset management

COURSE CONTENT

The course of Currency Management covers the following content to better understand currency management:

Module 1 – Top Currency Management Strategies

• Clear forex strategy
• Billing/invoicing choices
• Different payment methods
• Complete regulatory requirements
• Efficient cash flow management
• Centralised multi-forex treasury management
• Automated payments solution

Module 2 – Currency Management Planning and Forecasting

• Understanding currency lifecycle
• Distribution of currency within the country
• Currency Design and Printing
• Strategies to protect the currency & Cash handling guidelines
• Data analytics and forecasting

Module 3 – Factors Affecting Foreign Exchange Rates

• Inflation rates
• Interest rates
• Country’s current account/balance of payments
• Government debt
• Terms of trade
• Political stability and performance
• Recession

Module 4 – Types of Exchange Risks

• Transaction risk
• Translation or consolidation risk
• Economic risk

Module 5 – Techniques for Foreign Exchange Risk Management

• Risk sharing
• Diversification
• Natural hedging
• Payments netting
• Leading and lagging
• Cross hedging
• Overseas loan
• Money market hedge
• Borrowing policy

Module 6 – Currency Risk Management Tools

• Limit orders
• Stop-loss orders
• OCO (‘One Cancels the Other’) orders
• Forward contracts
• Futures currency hedging

Module 7 – Derivative Instruments for Forex Risk Management

• Forwards
• Futures
• Options
• Swaps

Module 8 – Types of Hedging

• Forward exchange contract – currencies
• Currency future contracts
• Money market operations – currencies
• Forward exchange contract – interest
• Money market operations – interest
• Future contracts for interest
• Covered calls on equities
• Short straddles on equities/indices
• Bets on elections/sporting events

Module 9 – Types of Hedging Strategies

• Back-to-back hedging
• Tracker hedging
• Delta hedging

Module 10 – Categories of Hedge-able Risks

• Commodity risk
• Credit risk
• Currency risk
• Interest rate risk
• Equity risk
• Volatility risk
• Volume risk

Module 11 – Advantages of Hedging

• Limits losses to a great extent
• Increases liquidity
• Offers a flexible price mechanism

Methodology

The instructor led trainings are delivered using a blended learning approach and comprises of presentations, guided sessions of practical exercise, web-based tutorials and group work. Our facilitators are seasoned industry experts with years of experience, working as professional and trainers in these fields.

Key Notes

a. The participant must be conversant with English.

b. Course duration is flexible and the contents can be modified to fit any number of days.

c. The course fee includes facilitation training materials, 2 coffee breaks, buffet lunch and A    Certificate upon successful completion of Training.

d. One-year post-training support Consultation and Coaching provided after the course.