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CFE-In-Practice

 

 Integrity.   Intelligence.   Independence.

  

 

 

 

 

 

professional coaching - capital market & derivatives

 

DERIVATIVES & SPECULATION

 

 

Sign Up NOW!

 

Enjoy immediate savings:

2nd participant* pays 75%,

subsequent participant* pays 50% only.

 

Register on-line:

registration@cfe-in-practice.com

*terms & conditions apply.

Closing Date: 24 November 2008

 

Monetary Authority of Singapore, Deloitte Touche Tohmatsu, Auditor General Office, Attorney General Office, ... more

 

"My expectations of the seminar were exceeded."

Monetary Authority of Singapore ... more

 

Check out on our other programs.

 

Derivatives Products 1

 

Derivatives Products 2

 

Derivatives and Speculation

 

Derivatives for Non-Traders

 

Derivatives for Decision Makers

 

Investment Banking and Structured Finance 1 

 

Investment Banking and Structured Finance 2

 

Risk Control for Derivatives

 

Treasury & Derivatives Audit

 

Understanding and Marketing Financial Derivatives

 

Understanding Financial Futures and Swaps

 

Understanding Options

 

 

Audit Skills & Techniques

 

Capital Market & Derivatives

 

Foreign Exchange & Treasury Management

 

Loss Prevention

 

Risk/Credit Management

 

VENUE: THE TRADERS HOTEL - SINGAPORE

 

DECEMBER 15, 2008

Introduction:

(How strange to think that it can only happen to others!)

Derivatives are financial instruments that have no intrinsic value, but derive their value from something else.  They hedge the risk of owning things that are subject to unexpected price fluctuations, e.g. foreign currencies, bushels of wheat, stocks and government bonds.  There are two main types: futures, or contracts for future delivery at a specified price, and options that give one party the opportunity to buy from or sell to the other side at a prearranged price.

 

The job of a derivatives trader is like that of a bookie once removed, taking bets on people making bets.

 

CFE-In-Practice gives you the following facts to consider.

 

Financial Derivatives Went Wrong Timeline 
(This could happen to you...)

 

1994 Metallgesellshaft loses $1.5 billion on oil futures.

 

1995 Barings Bank goes bust.

Nick Leeson loses $1.4 billion by gambling that the Nikkei 225 Index of leading Japanese company shares would not move materially from its normal trading range.  That assumption was shattered by the Kobe earthquake on the 17th January 1995 whereafter Leeson attempted to conceal his losses.

 

1997 Nobel Prize in Economics awarded to Robert Merton and Myron Scholes.

 

1998 Long Term Credit Management Bailout

The hedge fund is rescued at a cost of $3.5 billion because of worries that its collapse would have severe repercussions for the world financial system.

 

1999 The Flaming Ferraris

Some traders at CSFB are sacked following allegations of illegal trades in an attempt to manipulate the Swedish stock market Index.

 

21st Century

2001 Enron goes Bankrupt 

The 7th largest company in the US and the world's largest energy trader made extensive use of energy and credit derivatives but becomes the biggest firm to go bankrupt in American history after systematically attempting to conceal huge losses.

 

2002 AIB loses $750 million

John Rusnak uses fictitious options contracts to cover losses on spot and forward foreign exchange contracts.

 

COACHING OUTLINE

Once and for all, you learn what is:

 

1.  Futures Market

  • The nature of Futures contracts

  • Hedging strategies with Futures contracts

  • Understand interest rate futures and currency futures

  • Contrast the use of futures with forward contracts

2.  Forward Rate Agreements

  • The nature of FRAs

  • How FRA prices are quoted

  • Applications of FRA

3.  Swaps

  • The role of banks in swap activity

  • The value of swaps to the corporate treasurer

  • Swap Terminology

  • Risks Associated with Swaps

4.  Interest Rate Swaps

  • The nature of an interest rate swap

  • Characteristics and features of interest rate swaps

  • Interest rate swap pricing

  • Identify opportunities for interest rate swaps

5.  Currency Swaps

  • The nature of a currency swap

  • Application of currency swaps

  • Explore pricing

6.  Fundamentals of Options

  • Terminology of Options

  • Moneyness of Options

  • Payoff and Value profiles

  • Intrinsic and Time Value

  • Put Call Parity

Methodology

This coaching by a Certified Fraud Examiner consists of a lively series of short participative lectures conveyed using plain uncomplicated explanations.  Learning will be facilitated through discussion and case studies.  Ample coaching materials will be given to participants so that these will be a constant source of reference to them.  Ample time will be allotted for the transfer of ideas. 

 

For whom

Risk Managers, Compliance Officers, Operations Managers, Treasury Managers, Training Managers Relations Managers, HR Managers, Internal Control Officers and all Bank Internal Auditors.  

 

Principal Coach

Tommy Seah, CFE MIIA CMC ACIB etc.  Click here for Tommy Seah's Profile and business.

 

Register by email

Register on-line today.  Our email address is: registration@cfe-in-practice.com

 

Important Notice

Payments are required with registration and must be received prior to the Coaching Session to guarantee your place. Walk-in delegates will only be admitted on the basis of space availability at the Coaching Session and with immediate full payment.

 

Cancellations & Transfers

If you are unable to attend, a substitute delegate is welcome at no extra charge. Please provide the name and the title of the substitute delegate at least 2 days prior to the Coaching Session. A refund less 10% administrative charge will be made cancellation received in writing 10 working days before the program date. A complete set of program documentation and a 50% refund will be given for cancellation made 3 working days before program date. Regrettably, no refund can be made for cancellation made on and or after program. A complete set of documentation will however be sent to you.

The organizer reserves the right to make any amendments and/or changes to the programme, venue, speaker replacements and/or topics if warranted by circumstances beyond its control.  

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