The management of financial risk is vital for all companies as these risks have the potential to cause a company to collapse if they are not identified and mitigated. This financial risk exists in many forms, for example, currency risk, commodity risk, interest rate risk, funding and liquidity risk, and credit risk.
The course identifies sources of financial risk and examines how these risks can be assessed and quantified. It recommends and justifies techniques and tools to mitigate the risks in different situations and within the context of a risk management framework. Many of these techniques involve the application of financial derivatives. Therefore, you will examine common uses of forwards, options, interest rate and currency swaps, and credit default swaps. You will look at how these derivatives are priced, how their values are affected by external factors, and how their use gives rise to operational and counterparty risks.
You will work on case studies throughout the course to illustrate practical applications of the course material. The cases are based on real-life companies exposed to financial risk and show the risk management solutions they apply. The companies are drawn from a variety of sectors such as oil and gas exploration and production, airlines, airports, agriculture, engineering and retail.
Who Should Attend
This course is designed for anyone who is involved in managing financial risk or who needs to analyse or understand the financial risks that arises from a company’s business operations. This could be from the viewpoint of someone within the company applying solutions to mitigate the risks or senior management wanting to understand their Treasury activities. Or, it could be from outside the company looking in, to evaluate the risks within the company and the effectiveness of the risk management framework.
The course is designed for professionals in Treasury, Finance Directors, lending officers, financial analysts, equity analysts, portfolio managers, equity and debt traders, and risk managers.
Benefits of Attending
- Critically discuss the structure of risk management frameworks
- Examine sources of currency, commodity, interest rate, funding and liquidity, and credit risk, and examine how to assess and quantify them
- Compare and contrast the characteristics of common derivatives: forwards, options, interest rate and currency swaps, credit default swaps
- Calculate estimated values for derivatives
- Recommend and justify hedging solutions to mitigate currency, commodity, interest rate, funding and liquidity, and credit risk
Hor Chan provides specialist financial markets consultancy and training to international banks, institutional investors and regulators. He is a Senior Assessor for the Association of Corporate Treasurers for the Risk module of the Diploma in Treasury Management.
He worked in Credit Risk Monitoring and for Risk Advisory Services at the EBRD and ABN Amro respectively, and was also responsible for technical skills training delivering courses both in-house and to clients globally.
Prior to moving into training, he worked in investment banking front-office roles. These included: Emerging markets debt trading and sales at Raiffeisen Zentral Bank; helping to set up the Asset Structuring Group at Unibank; and eight years at SG Warburg in various sales and trading positions in fixed income, OTC Options, LIBOR trading/asset swaps and credit derivatives, and where he was also Head of Structured Euro-MTN issuance.
Hor is an author for the Open University Business School’s Master’s in Finance modules on Investment and Portfolio Management and Derivatives and Risk Management. He is also a Visiting Lecturer at the University of Roehampton, teaching Capital Markets courses.
Hor studied Corporate Finance at London Business School and holds an MSc in Management Science from Imperial College, the University of London. He has earned a BSc in Physics from the University of Birmingham.
Upon completion of this training course, participants will earn a digital badge.
Earners of the Financial Risk Management badge are able to understand the mechanics of risk management on macro and micro levels and recognise the value of good risk controls. They are able to assess credit risk exposure and the methodologies risk managers use to hedge credit risk as well as manage the risk inherent in the cash flows of large complex books.
Identify interest rate risk, assess foreign exchange rate risk exposures, utilizing derivatives, structure risk management strategies
- Attend and participate in the 4 full days of training course duration, led by the designated training expert, with less than 2 hours of noted absence.
- Successful completion of the course assessment
08 August 2021
12 September 2021
USD 4,195 USD 4,695
Course fees include documentation, luncheon and refreshments. Delegates who attend all sessions and successfully complete an assessment, will receive an Informa Certificate of Completion.
Pricing excludes 5% VAT, which will be charged where applicable