Liquidity Risk Management/ 21-May-2018 - 25-May-2018

Liquidity Risk Management

Bankers Committee members pay N 123,465.00 only

Background

Central to liquidity in banking is that most deposit takers are in the business of maturity transformation. Such organisations take in deposits that are often repayable on demand or at short notice and use these deposits to fund credit facilities to borrowers over longer periods. Banks are exposed to the risk that depositors' demands for repayment outstrip their ability to realise longer-term assets in cash. For this reason, liquidity is a key area for prudential supervision by banking regulators. In recognition of this, banks must appreciate the liquidity risk management function, and ensure their risk officers are competently equipped on all aspects of the liquidity risk management practices. Banks and other deposit taking institutions must consider liquidity management under stressed or crisis conditions.

Target Participants

Officers involved in Treasury, Corporate Finance, Compliance and Risk Management, as well as those being prepared for these roles in the near term.

Objectives

At the end of the course, participants should be able to effectively:

  • Examine liquidity management principles
  • Analyse the Impact of the changing regulatory environment on liquidity risk
  • Identify the tactics for monitoring and reporting liquidity risk
  • Build a framework for managing liquidity risk

Contents

  • Overview of liquidity risk

- Three definitions (market, structural, contingency)

- Linkage to risks and asset prices
- Liquidity shocks (credit crisis and liquidity spirals)
- How liquidity risk fit in

  • Regulatory changes

- BIS - principles for sound liquidity risk management
- APRA - Prudential Standard 210 and the role of liquidity transfer pricing
- Impact on Nigeria and global markets - products and processes

  • Liquidity Risk Management (i)

- Types of liquidity risk
- Strategies to managing liquidity risk
- Funding requirements

  • Liquidity Risk Management (ii)

- Group Liquidity
- Scenario Analysis
- Effective Limit Setting
- Techniques to identify liquidity Risk at working capital level

  • Liquidity Risk Management (iii)

- Maturity mismatch and repercussion to protability
- Liquidity Risk Management Governance
- Liquidity Risk Management Contingency Funding

  • The Risk Management Process

- Measuring liquidity risk
- Cash flow models
- Systems - weaknesses and problems
Management of Market Liquidity Risk
- Tactics for monitoring market liquidity
- Traded risk (trading books) and non-traded risk (banking books)
- Bank-specific problems

  • Management of Funding Liquidity Risk

- Tactics for maintaining a standby liquidity reserve
- Syndication, sales and securitisation
- Tactics for liability diversification
- Other liability management tactics
- Activity: managing liquidity for three different scenarios

  • Monitoring of Liquidity Risk

- Reporting of liquidity risk
- Liquidity risk stress testing
- Internal and external communication

  • Measuring Market Risk: Liquidity-Adjusted Value at Risk
  • Liquidity Risk in the Treasury Framework

For more information: call Adeola: 0816 126 1683 or Email: aagbato@fitc-ng.com

Register Now

If you would like to attend this training programme, please fill the form below and we will contact you as soon as possible. You can also pay for courses online.




Our learning sessions are unique in 4 ways

  1. Programme design & delivery recognize the needs of adult learners in career
  2. Experience sharing by practitioners, with well over two decases of experience in areas relevant to course topic, whom we call "Programme Directors"
  3. Course delivery by practitioners based on conceptual research background
  4. The essence of our corproate brand and orientation within concept implementation thinking

The fees cover tuition, course materials, group lunch, tea/coffee and snacks but EXCLUDE accommodation.
Dress Code: Formal

Discount on Fees

3 participants 5% Discount
4 participants & Above 7.5% Discount


Payment of Fees

Payment of fees should be in cash or CERTIFIED CHEQUE/BANK DRAFT made payable to the FITC before the commencement date or on arrival at the venue.

Refund of Fees

Fees paid for participants who do not turn up eventually would be refunded, subject to deduction of 25% administrative cost.

Methodology

Formal lectures, case studies, participative group exercises and experience sharing.

Administration

The programme commences at 10.00a.m. on Monday, 9.00a.m other days and ends at 4.00p.m. daily.

In-plant Option

Do you intend to train more than 20 participants? Are you considering an in-plant option?
Please call us ☎


International Participants

International participants should please inform FITC of their attendance ahead of the programme, to enable us prepare airport pick-up for them.

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