Training Program - On Group Demand Foreign Exchange Risk Management
Program Objectives
  • To provide an understanding of :
  • Fundamentals of forex markets, key players and their roles
  • Trading mechanism, forecasting and speculation
  • Risks involved in forex markets and their evaluation
  • Role of hedging in managing forex risk and applying trigger signals
  • Real-time examples
Program Contents
  • Session 1

    Overview of Foreign Exchange Markets
    Cash & Spot Exchange
    Eurocurrency Markets
    Market Players, Inter bank ,Corporates
    Mechanism of making a foreign payment
    Forex and Interest Rate markets
    FEMA Regulations
     
  • Session 2
    Factors affecting Exchange Rates
     
  • Session 3
    Trading in Foreign Exchange Markets
    Trading Procedure
    Management of International Trade Transaction
    Information Analysis for Trading
    Speculation
    International Transactions Financing
    Concept of Volatility in Forex Markets
     
  • Session 4
    Forecasting Exchange Rates
    Various theories of forecasting
    Drawbacks associated with these theories
    Technical Analysis
    Real-time example
     
  • Session 5
    Foreign Exchange Risks
    Types of Risks & exposures for corporates, exports, imports, borrowing, competitions
    Measurement and quantifying of Risks
    Value at Risk (VaR)
    Introduction to VaR
    Application of VaR in Forex Markets
     
  • Session 6
    Tools of Risk Management
    Forward/Futures/Swaps/FRA
    Options
    Types of Options like range notes, spreads, knock-ins/outs/digital/barrier, leveraged etc.
    Risk Return and Hedging Profile
    Product Structuring
    Actual illustration
     
  • Session 7
    Hedging in Forex Market
    Hedging through Forward/Futures/Options/Swaps
    Pricing of Options/Swaps/Forwards
    Factors affecting pricing
    Understanding trade logic by forecasting factors affecting pricing
     
  • Session 8
    Case Study
    Where Corporate Treasuries have failed using FX derivatives
    Practical structures used by Indian and International corporates (Making sense out of theories and various structures)
Participants Profile Senior Executives from Banks, Corporates, & Financial Institutions, Dealers, Traders, Brokers, Consultants and other Capital Market Intermediaries.
Duration and Timing 2 days - 9.30 am to 5.30 pm
Fees Rs. 15,000.00 +10.30% (Service Tax + Education Cess) per participant inclusive of course material, tuition fees, snacks and lunch.