Fair Value Hedging And Financial Risk Mitigation
Published 10/2024
MP4 | Video: h264, 1920x1080 | Audio: AAC, 44.1 KHz
Language: English | Size: 873.17 MB | Duration: 2h 3m
Master the art of financial risk management with expert insights into fair value hedging, risk mitigation, accounting!
What you'll learn
Fundamentals of Fair Value Hedging: Students will learn the foundational principles of fair value hedging, its importance in financial markets.
Types of Hedging: Understanding the different types of hedging strategies, including fair value and cash flow hedging, and their roles in protecting investment
Real-World Examples of Fair Value Hedging: The course will guide students through practical examples of fair value hedging, helping them to visualize
Swap Agreements for Hedging: Detailed lessons on swap agreements, including liability-side swap hedging, to help students understand how swaps are managed
Cash Flow Accounting Techniques: Students will be introduced to cash flow accounting, including how to record and analyze cash flows
Exposure Management: Learn how to measure and manage cash flow exposure, using options and contracts in financial decision-making.
Net Investment in Foreign Operations: This course covers the accounting and financial implications of net investment in foreign operations
Practical Use of Options and Contracts: Students will explore how derivatives, particularly options and contracts, are employed in hedging cash flows
Swap Agreements for Cash Flow Hedging: A deeper understanding of how swap agreements are used to mitigate cash flow risk, including real-world case studies
Application of Hedging Techniques: Finally, the course will help students apply what they've learned through scenarios and examples
Requirements
Basic Knowledge of Finance: A fundamental understanding of financial principles, such as investment strategies, risk management, and financial statements, is recommended. This will help students grasp the concepts of hedging, fair value, and cash flow accounting more effectively.
Introductory Accounting Skills: Familiarity with basic accounting concepts, especially financial accounting and balance sheet structures, will be beneficial for understanding how hedging impacts financial statements and cash flow.
Mathematics and Analytical Skills: The course involves numerical examples, so a basic understanding of mathematics, particularly in relation to financial calculations (such as interest rates, swaps, and exposure management), is necessary.
Familiarity with Financial Instruments: Knowledge of financial instruments like swaps, derivatives, options, and futures will be useful when exploring the application of these tools in hedging strategies.
Interest in Risk Management: An interest or background in risk management will help students understand the application of hedging techniques in financial decision-making.
Excel Proficiency: As the course may involve financial calculations and scenarios, proficiency with spreadsheet software (especially Excel) for performing calculations is helpful.
Basic Understanding of Foreign Exchange: For sections dealing with net investment in foreign operations and foreign exchange risk, familiarity with foreign exchange concepts will be advantageous.
