Currency Management Strategies for Global Operations
Mitigating FX Risk and Enhancing Treasury Efficiency Across Borders
Course Schedule
| Venue (InHouse) | Fees |
|---|---|
| At Your Organization Premises | Ask For The Quotation |
Course Introduction
In today’s volatile global markets, managing currency exposure is critical to sustaining profitability and operational stability. This course equips treasury, finance, and corporate professionals with the frameworks and tools to identify, measure, and hedge foreign exchange (FX) risks. Participants will learn how to develop a comprehensive currency risk management policy, implement effective hedging techniques, and optimize cash flows in multi-currency environments.
Course Objectives
By the end of this course, participants will be able to:
- Understand the types and sources of FX risk in global operations
- Develop effective strategies for hedging transaction, translation, and economic risk
- Utilize financial instruments such as forwards, options, and swaps
- Optimize currency exposures within global treasury operations
- Design a policy framework for managing currency risk proactively
Key Benefits of Attending
- Learn best practices in identifying and managing currency exposure
- Gain hands-on experience with FX risk assessment and hedging instruments
- Build practical strategies for treasury optimization and global liquidity
- Understand the regulatory and accounting implications of FX hedging
- Strengthen cross-functional alignment between treasury, finance, and operations
Intended Audience
This program is designed for:
- Corporate Treasurers and Treasury Analysts
- Finance Managers and Controllers
- Risk Management Professionals
- CFOs and Financial Decision Makers
- International Trade & Operations Executives
Individual Benefits
Key competencies that will be developed include:
- Strategic thinking in FX risk management
- Proficiency in applying hedging instruments and derivatives
- Ability to assess FX impact on financial reporting and cash flow
- Improved coordination with banks and trading desks
- Stronger leadership in designing global currency risk policies
Organization Benefits
Upon completing the training course, participants will demonstrate:
- Enhanced risk-adjusted financial planning across business units
- Improved protection against currency volatility and geopolitical shocks
- Greater confidence in managing multi-currency exposures
- Alignment of FX risk strategy with business objectives
- Cost-effective treasury operations and better use of hedging tools
Instructional Methdology
The course incorporates:
- Case Studies – Real-world examples of FX risk and hedging failures/successes
- Workshops – Building a currency risk policy from scratch
- Hands-on Simulations – FX instrument pricing and strategy
- Group Discussions – Problem-solving across industries
- Expert Input – Facilitator insights on global treasury practice
Course Outline
DETAILED 5-DAY COURSE OUTLINE (Customizable)
Training Hours: 07:30 AM – 03:30 PM
Daily Format: 3–4 Modules | Breaks: 09:30 & 11:15 | Lunch: 01:00 – 02:00
Day 1: Fundamentals of Currency Risk
- Module 1: FX Market Mechanics and Currency Instruments (07:30 – 09:30)
- Spot, forward, futures, options, and swaps
- Market participants and pricing mechanisms
- Currency pairs and volatility metrics
- Module 2: Types of FX Exposure (09:45 – 11:15)
- Transaction, translation, and economic exposure
- Identifying risk in trade flows, assets, and liabilities
- Exposure mapping across operations
- Module 3: Assessing Your FX Risk Profile (11:30 – 01:00)
- Measuring exposure levels and sensitivity
- Cash flow at risk and scenario analysis
- Intercompany transactions and netting considerations
Day 2: Hedging Instruments and Their Application
- Module 4: FX Forwards and Natural Hedges (07:30 – 09:30)
- Using forwards to hedge transactional risk
- Operational hedging and internal offsetting
- Contract structuring and counterparty terms
- Module 5: FX Options and Strategic Hedging (09:45 – 11:15)
- Option types: vanilla, zero-cost collar, participating forwards
- Cost-benefit analysis of option strategies
- When to hedge and when to stay unhedged
- Module 6: FX Swaps and Structured Products (11:30 – 01:00)
- Managing funding and liquidity across currencies
- Swaps for rolling forward hedges
- Risks, pricing, and margin requirements
Day 3: Designing an FX Risk Management Framework
- Module 7: FX Policy Development (07:30 – 09:30)
- Governance, controls, and board mandates
- Hedge ratios, effectiveness metrics, and KPIs
- Documentation and internal policy alignment
- Module 8: Accounting and Compliance Considerations (09:45 – 11:15)
- Hedge accounting under IFRS and US GAAP
- Documentation and testing for effectiveness
- Regulatory reporting and risk disclosure
- Module 9: Systems and Tools for Managing FX (11:30 – 01:00)
- Treasury Management Systems (TMS)
- Risk dashboards and data aggregation
- Integration with ERP and finance platforms
Day 4: Treasury Optimization and Advanced Strategies
- Module 10: Centralized vs. Decentralized Currency Management (07:30 – 09:30)
- Global cash pooling and intercompany netting
- In-house banks and shared services
- Jurisdictional and tax considerations
- Module 11: Multi-Currency Cash Flow Forecasting (09:45 – 11:15)
- Forecast accuracy and rolling forecasts
- FX budgeting and cost of hedging
- Scenario planning and stress testing
- Module 12: Strategic Currency Positioning (11:30 – 01:00)
- Currency overlays and benchmark comparisons
- Dynamic hedging strategies
- Risk-adjusted return optimization
Day 5: Simulation, Case Studies & Action Planning
- Module 13: Case Study – Designing a Global FX Policy (07:30 – 09:30)
- Work in teams to assess risk and create a policy
- Present policy recommendations
- Peer review and facilitator feedback
- Module 14: Simulation – Hedging in Volatile Markets (09:45 – 11:15)
- Simulated trading and hedging decisions
- Responding to breaking news and shocks
- Managing liquidity and costs
- Module 15: Final Wrap-Up and Personal Action Plans (11:30 – 01:00)
- Building a tailored FX strategy for your company
- Personal development goals
- Certification and course close
Certification
Participants will receive a Certificate of Completion in Currency Management Strategies for Global Operations, validating their expertise in FX risk management, hedging, and treasury optimization.