1 The Global Leader In Audit and Information Security Training Auditing the Treasury Internal Audit Function Understand the control environment and 4 day course: provide audit plans for your Treasury 2-5 June operations 15-18 December London Course Director Mark J Dougherty A Banker, Big Four Certified Accountant and Senior Corporate Governance and Risk Management Professional with over 20 years financial services experience. The role and structure of Treasury in the corporation/bank n . n The audit of interest rate & foreign exchange risk management n The audit of asset and liability management n The audit of liquidity risk management n The audit approach for sophisticated instruments n Auditing the measurement of interest rate and currency exposure n Auditing and analysing different kinds of risk n Understanding and Auditing different risk management instruments n Understanding and Auditing controls operation in the Treasury environment Save up to50%.
2 With In-House Training Register Online at: Auditing Course focus and features This intensive training course is designed to offer Treasury auditors, whether in corporations or financial institutions, a the Treasury thorough coverage of the techniques available of the modern Treasury management and its audit. The complexity of cash management in modern financial markets has placed much more emphasis on the Treasury Function . This not only involves Function keeping control over increasingly complex interest rate and currency exposures, but also keeping abreast of the latest techniques for managing those risks whilst effectively managing the funds of the institution.
3 Understand the control environment and Learning Objective provide audit plans for your Treasury The key benefits will be that participant will systematically review operations all elements of a Treasury operation and consider the nature of the control environment that should be applied, leading to development of the audit programmes suitable to the firm. Key issues to be addressed will include: The role and structure of Treasury in the corporation/bank Course Director The audit of interest rate & foreign exchange risk management Mark J Dougherty The audit of asset and liability management Mark Dougherty, is a Banker, Big Four Certified Accountant and Senior The audit of liquidity risk management Corporate Governance and Risk Management Professional with over 20 years financial services experience, particularly fourteen years in The audit approach for sophisticated instruments Risk Management leading all aspects of Credit, Market.
4 Liquidity and Operational Risks initiatives for multi-billion dollar banks and financial Auditing the measurement of interest rate and currency exposure institutions, and insurance (General and Life). Auditing and analysing different kinds of risk He has held senior management positions within the banking, accountancy and insurance profession as an internal auditor (Canadian U. nderstanding and Auditing different risk management Imperial Bank of Commerce) and has extensive financial institutions instruments experience in the UK and Europe, the West Indies, Asia, Canada and the United States. U. nderstanding and Auditing controls operation in the Treasury Mark started his career in financial services with a mandate to upgrade environment the internal audit Function in an internationally active bank.
5 This role required establishing new audit standards and practices, training Methodology of audit staff globally, developing Risk-based audit programs and managing numerous field audits in Treasury , Capital Markets and Retail The teaching method will include lectures, group discussions and the Banking. development of audit programmes. He has a successful track record in implementing regulatory initiatives to establish industry-leading standards in Basel II, Sarbanes-Oxley Advanced Preparation: None (SOX) in banking and insurance in Risk Management, as well as Governance and Regulatory best practices such as methodologies, Training Type: Group-Live models, systems, policies and procedures, and Solvency II.
6 Learning Level: Basic Mark's Treasury experience includes risk oversight and policy setting for Asset-Liability Committee, Funds Transfer Pricing (FTP), foreign Field of Study: Auditing exchange, hedging and managing cash & liquidity. Since 2007, Mark has worked in the UK and Europe as an independent Price: GBP 2,845 +VAT*. consultant for a number of financial services firms including Europe- Arab Bank. *Delegates may be able to claim back VAT. Visit for more information. His risk advisory services have included extensive training on improving the effectiveness of risk management and dealing with the challenges posed by changing regulation, especially for Risk and Capital CPEs: 30.
7 Management under Basel II and Solvency II. Mark is a member of the Canada-Russia Financial Working Group (Banks and Financial Markets) and participated in the Basel II Working Committee for Operational Risk. He is a qualified accountant (CMA-Certified Management Accountant (Canada) and International Associate (American Institute of Certified Public ). Telephone: Email: +44 (0)20 7779 8202 Agenda Auditing The Treasury Identify, Auditing the Middle and Back Office Traded financial futures and options Analysing and Managing Risk The pricing, modelling and risks of derivative The role of the Middle and Back Office activities The structure of a Treasury Function The transaction cycle The regulatory model risk requirements Front, middle and back office functions Reconciliations and settlement The documentation to support derivatives The treasurer's role Documentation and contracting activities What information would you require in advance of The role of ISDA Auditing in an ISDA environment the audit?)
8 Using and negotiating ISDA The transaction cycle What are the skills you would need on the audit? The role of the central counterparty Confirmation and reconciliation How would you plan the audit? Collateral management The control over the use of derivatives Risk versus return and it's impact on capital Valuation and processing Controls over trading activities Types of risk within a Treasury area: when are they Investigating issues Limits, controls and excesses addressed Case Study: Develop an audit programme to Case Study: Develop audit programme to address - Credit address middle and back office processing the following - Market Case Study: Develop an audit programme to The use of derivatives - Operational address collateral management The use of models - Liquidity Case Study.
9 Develop an audit programme to The audit of forward transactions address ISDA issues - Other Risks The audit of futures transactions Identification analysis & control of risk Auditing Foreign Exchange and Foreign An introduction to key modelling approaches: Auditing the use of Swaps &. Exchange Risk Management Associated Products - VAR. - Back testing Types of transaction The role of swaps - Stress Testing Spot transactions Why are they important? - Simulation Forward transactions Interest rate & currency swaps Case Study: What should be in the audit planning Yield curves and valuation issues Swaptions memorandum for the Treasury audit? Translation exposure Analysing cash flows Currency options Constructing the discount Function Auditing Asset & Liability Management Hedging decisions Hedging with swaps The role of ALM The risk in foreign exchange risk management Swaps and the capital markets Relationship to risk management Controls over foreign risk management Basic swaps The role of the ALCO Case Study: Develop an audit programme to Asset swaps Membership of the ALCO address the management of foreign exchange risk How is the market likely to change?
10 ALCO minutes Case Study: Develop an audit programme to Case Study: Develop audit programmes to address: Centralised or distributed Treasury operations address the audit of foreign exchange transactions The use of swaps The role of the Treasurer Interest Rate Swaps Auditing Interest Rate Risk Management Reporting to ALCO Currency Swaps Reporting from ALCO The impact of liquidity on interest rates More complex transactions Case Study: Develop an audit programme to Gap analysis and the maturity ladder address the audit of the ALCO Types and uses of the gap analysis Rules Regulations and Stress Stress testing and the impact of rate shocks Auditing Bank Capital Management S ensitivity analysis.