Treasury Management and Liquidity Optimization Essentials

Overview:

Introduction:

This training program is designed to deepen participants' understanding of effective treasury operations, liquidity planning, and financial risk management, with practical approaches to enhance organizational decision-making.

Program Objectives:

By the end of this training, participants will:

•  Understand the role of treasury management in enhancing liquidity.

•  Develop strategies for optimizing cash flow and managing liquidity risks.

•  Explore various financial instruments for liquidity management.

•  Analyze the impact of global financial conditions on liquidity.

•  Implement effective liquidity forecasting and reporting techniques.

Targeted Audience:

•  Treasury professionals looking to advance their skills.

•  Finance managers and analysts.

•  Accountants involved in liquidity and cash management.

•  Financial consultants.

•  Corporate finance professionals dealing with risk management and treasury operations.

Program Outlines:

Unit 1:

Introduction to Treasury and Liquidity Management:

•  Overview of treasury functions in corporate finance.

•  Key liquidity concepts: Cash flow vs. profit.

•  Role of central banks and financial institutions in liquidity.

•  Corporate governance and its impact on treasury management.

•  Ethical considerations in treasury operations.

Unit 2: 

Liquidity Planning and Cash Flow Management:

•  Understanding cash flow cycles in different industries.

•  Forecasting cash needs and liquidity gaps.

•  Techniques for cash pooling and centralized treasury management.

•  Cash flow optimization: Reducing idle balances and excess liquidity.

•  Managing working capital for improved liquidity.

Unit 3: 

Financial Instruments for Liquidity Management:

•  Overview of short-term financial instruments: Repos, commercial paper.

•  Liquidity through credit lines and overdrafts.

•  Role of bonds and securities in liquidity planning.

•  Derivatives and hedging for managing liquidity risks.

•  Understanding money market instruments.

Unit 4:

Liquidity Risk Management:

•  Identifying and measuring liquidity risk.

•  Stress testing for liquidity under adverse conditions.

•  Regulatory requirements: Basel III liquidity coverage ratio (LCR).

•  Implementing contingency funding plans.

•  Risk mitigation strategies in corporate liquidity management.

Unit 5: 

Treasury Management Systems and Reporting:

•  Overview of treasury management systems (TMS).

•  Automation in liquidity reporting and forecasting.

•  Data analytics and treasury KPIs.

•  Treasury reporting under IFRS and GAAP standards.