Treasury

Operations
17-18 October, 2018

& Risk Management Marriott Hotel, Karachi

Overview
Treasury operations have grown into one of the key administrative areas of a financial institution,

responsible for processing all financial market transactions and usually much more, including a crucial

role in the control of risk. Most banks have a large daily turnover in numerous currencies from treasury

transactions, which result in high value payments and receipts at many centers. Errors can be expensive,

so there is a strong emphasis on early discovery and fast rectification of mistakes: this means that

stringent cross-checking systems and procedures need to be in place.

This 2-day practical and highly interactive course will discuss all aspects related to the management of

risks in the treasury environment as well as the various functions that are performed in Treasury

Operations area in an easily understandable and comprehensive structure to ensure that the learning

experience is fruitful and rewarding. Each item of the programme shall be deliberated and reviewed in

detail. Case studies and exercises will also be included in the presentation.

Who should attend?

Branch Managers

Risk Managers

Treasury Staff

Internal Auditors

Compliance Personnel

തതതതത
۰۲۷ Le ar ni ng www.bdipk.com
Treasury Operations and Risk Management
Day 1
Module 1:
o Treasury operations – An overview
o Why treasury? Role & importance
- Regulatory requirements fulfillment – Reserve
management
- Exposure management – FX exposure limits
- Funds management
- Interest rate management
- Banker to the branches
- Acting as reserve bank for the bank as a whole
o Foreign exchange – Definition, scope and importance
- Exchange rate systems
- Factors influencing exchange rates
- Direct, indirect, cross rates
- Spot and forward rates
- Characteristics of forward rates
- Swaps (premium and discounts)
- FX positions and concept of overbought /oversold
- Revaluation of currencies and concept of mark to
market
Module 2:
o Hedging – To hedge or not to hedge
o Hedging FX exposures
- Individual and collective exposures
- What if FX exposures cannot be hedged
- Market lacks depth due to supply side shortages and
central bank limitations
- Restrictions on forward trade impedes hedging
business especially import cover
- Mitigating risks related to foreign exchange exposure
- Forward function of spots and swaps – interest
differentials in theory and practice
- Why swaps points do not follow differentials in
Pakistan when it is practiced globally
- How PKR interest rates become lead indicators in
exchange rate quotations
- Central bank guidance on exchange rates leads the
market or lags behind
- Official vs. Unofficial market - how central bank
controls, monitors and manages kerb market
Closing Session:
- Group exercises on foreign exchange, market
quotations and hedging
തതതതത
۰۲۷LLeeaarrnniinngg
തതതതത
۰۲۷
Day 2
Module 1:
o Treasury a profit or service centre?
o Is treasury a banker to the branches just as Central
Bank is banker to the banks?
o Treasury investments in govt. Securities, bills, bonds
etc
o Branches lending to customers and treasury and
borrowing or accepting deposits from customers and
treasury – Risks involved
o What is money market/capital or bond market
o Equity market
o Treasury bills, Pakistan investment bonds, commercial
papers, certificate of deposits
o Call lending/borrowing
o Outright sale/purchase of securities
o Open market operations
o Repos/reverse repos
o CRR/SLR
o Bifurcation of portfolio & revaluation of securities
Module 2:
o Role of treasury in managing overall risk of the bank as
per bank policy which includes operational risk, credit
risk counter party risk and market risk
o Can treasury only lend to the government via bills and
bonds instead of other banks or invest in non
government securities
o Branches operational risk in day to day handling of
deposits and all other operations and credit risk in
terms of lending to customers
o Can branches lend to treasury instead of lending to
customers and mitigate risk and return especially when
they have low cost of funds
Concluding Session:
o Group exercises/ Quiz/ Q & A
www.bdipk.com
Treasury Operations and Risk Management

Date:
Workshop instructor
17-18 October, 2018 AYAZ WASAY

Time:
Mr. Ayaz Wasay is a senior commercial banker with vast knowledge and experience
0900 - 1700hrs
in Treasury, Institutional Banking, International Finance and Equity Portfolio
Venue:
Marriott Hotel, Karachi Management. He has served leading Banks and Financial Institutions in senior

Fee: positions as Treasurer and Head of Equity firm. Until recently, he was MD and CEO
Rs. 24,500/- Per participant
of Foundation Securities. He has also been involved in advisory services on Islamic
(Exclusive of Tax)
Banking, Treasury and International Banking and Finance. He has been on the
(Includes cost of tuition, lunch, refreshments,
course material, group photograph and BDI faculty of IBA where he taught Treasury and Funds Management. . He has attended
certificate)
a number of trainings on critical treasury topics both at home and abroad. He has
*10% group discount for 3 or more
also conducted seminars and workshops for different organizations on Treasury
nominations
related topics. .

LAST DATE OF REGISTRATION: Mr. Wasay is considered an expert trainer on the subject.
16 October, 2018

For registration & further information please contact us at:

Bankers Development Institute (BDI)

P: (92-21) 35384021-22
F: (92-21) 35384023
E: register@bdipk.com; bdipk.training@gmail.com; info@bdipk.com
W: www.bdipk.com

https://www.facebook.com/BDIKarachi

https://pk.linkedin.com/in/bdi-35384021

തതതതത
۰۲۷ Le ar ni ng www.bdipk.com