ACI DEALING CERTIFICATE WORKSHOP

Date:       27-30, November 2017

Time:      9.00am – 5.00pm daily

Cost:       $1,500.00 per participant

Venue:    Moneymart Centre, Plot 1398B, Tiamiyu Savage Street, Victoria Island, Lagos

The ACI Dealing Certificate qualification is recognized worldwide as an entry-level qualification for dealers’ active in the unregulated financial markets. This intensive workshop gives delegates insight into the workings of the Money, Repo, Forex and Derivative Markets and prepares them for the online examination.

The following delegates will find the workshop beneficial:
* Foreign Dealers
* Treasury Staff in back office and middle office
* Trainee Dealers
* Money Market Dealers
* Corporate Dealers
* Economists
* Internal Auditors
* Risk Managers
* Settlement Clerks
* Compliance Officers

Outline

Section 1- Basic Interest rate calculations

Objective of this section:

To understand the principles of the time value of money. To be able to calculate short-term interest rates and yields, including forward rates, and to use these interest rates and yields to calculate payments and evaluate alternative short-term funding and investment opportunities. Candidates should know what information is plotted in a yield curve, the terminology describing the overall

shape of and basic movements in a curve, and the classic theories which seek to explain changes in the shape of a curve. They should also know how to plot a forward curve and understand the relationship between a yield curve and forward curves.

 Section 2 – Cash Money Markets

Objective of this section:

To understand the function of the money market, the differences and similarities between the major types of cash money market instrument and how they satisfy the requirements of different types of borrower and lender. To know how each type of instrument is quoted, the quotation, value date, maturity and payment conventions that apply and how to perform standard calculations using quoted prices. Given the greater inherent complexity of repo, a good working knowledge is required of its nature and mechanics.

 Section 3 – Foreign Exchange

Objective of this section:

To understand and be able to apply spot exchange rate quotations. To understand basic spot FX dealing terminology and the role of specialist types of intermediary. To recognise the principal risks in spot and forward FX transactions. To calculate and apply forward FX rates, and understand how forward rates are quoted. To understand the relationship between forward rates and interest rates. To be able to describe the mechanics of outright forwards and FX swaps, explain the use of outright forwards in taking currency risk and explain the use of FX swaps in rolling spot positions, hedging outright forwards, creating synthetic foreign currency assets and liabilities, and in covered interest arbitrage. To be able to recognize and use quotes for precious metals, and demonstrate a basic understanding of the structure and operation of the international market in precious metals.

 Section 4 – Forward – Forwards, FRAs and Money Market, Futures and Swaps

Objective of this section:

To understand the mechanics of and how to use money market interest rate derivatives to hedge interest rate risk.

 Section 5 – Options

Objective of this section:

To understand the fundamentals of options. To recognise the principal classes and types, and understand the terminology, how they are quoted in the market, how their value changes with the price of the underlying asset and the other principal factors determining the premium, how the risk on an option is measured and how they are delta hedged. To recognise basic option strategies and understand their purpose.

Section 6 – Principles of Asset and Liability Management

Objective of this section:

To understand the fundamentals of Asset and Liability Management as a practice of managing and hedging risks that arise due to mismatches between the asset side and liability side of the balance sheets of a bank. To explain how main risk factors like funding and liquidity risk, market risk (FX, Interest Rate, Equity, Commodity, etc.), credit risk, leverage risk, business risk and operational risk are interrelated and how they affect the balance sheet of a financial institution. To describe common risk management and hedging techniques which help control these effects and to understand how these techniques are used to set up  a state-of –the-art ALM approach.  

Section 7 – Principles of Risk

Objective of this section:

To identify and distinguish between the principal types of risk in the markets, and to explain the main policies and procedures used to mitigate these risks. To understand the principles of position- keeping and valuation, using spot FX as an example.

Section 8 – The model Code

Objective of this section:

A thorough working knowledge of The Model Code and its recommendations on best market practice and conduct for professional dealers, with particular emphasis on dispute procedures.

Revision and Mock Examinations

Objective of this section:

This day will be committed to revisiting the difficult topics and delegates will be given a comprehensive mock examination allowing them to experience the type of question that will be asked in the examination and to assess their exam readiness.

Dealing Presentation:

Insight is provided to dealers around dealing methodology whereby valuable strategies and application is shared by an experienced trader.

 

FACILITATORS

Billy Viljoen

Billy Viljoen is the CEO of a specialist Treasury Risk Management advisory firm. With over 16 years of experience in the financial markets, he currently acts as an advisor to some of South Africa’s major corporate clients on treasury risk management. He held senior positions at two of South Africa’s major financial institutions both in South Africa and New York with the most recent being Director and head of FX Options sales at Absa Capital (Part of the Barclays Group) where he was responsible for the bank’s FX Structuring business across South Africa.

He is considered a subject matter expert in Foreign Exchange Derivatives and obtained unparalled dynamic hedging expertise as a corporate client advisor and derivative structurer to clients located across Africa, Europe and the Americas.

His time spent in New York exposed him to a broad variety of clients ranging from Hedge Funds looking for trade ideas to capture market anomalies, Private Investors requiring Yield Enhancement trades and Multinational Corporates hedging their various FX exposures. During the numerous years specialising in Foreign Exchange he has developed an in-depth knowledge of identifying and managing FX Risk, as well as evaluating the appropriateness of various hedging instruments that are available to mitigate these risk.

 

Niel Le Roux

Niel gained international exposure with Credit Suisse, initially in London and later New York and Singapore. He returned to South Africa in 2009 and joined ABSA Capital in Structured FX Sales, where he worked until March 2012 before founding his own financial services advisory firm.

In his role as Internal Auditor he was involved in analysing various functions across the Investment Banking and Asset Management divisions, including:

  • Credit Derivatives Sales and Trading;
  • Re-pricing of Structured Fixed Income products (CDO’s & CDS’s)
  • OTC Derivatives Operations;
  • Leveraged Finance;
  • Fund Linked Products Middle Office;
  • Cash Securities Operations;
  • Model Development & Validation;
  • Regulatory Reporting

Moving across to a Front Office dealing role exposed him to a broad variety of clients ranging from Hedge Funds and Investment Managers looking for analysis and insight into macroeconomic factors and information flow, to Corporations seeking to hedge their currency exposure.

During the years specialising in Foreign Exchange, he has developed an in-depth knowledge of identifying and managing market risks. Thus, combined with his insight into the operational aspects of financial institutions, puts him in a unique position to evaluate the appropriateness of various hedging instruments and internal protocols that are available to mitigate the risks facing local corporations.

Niel is a qualified Chartered Accountant (SA) and CFA® Charter holder. He is also a registered Dealer in the Equity and Currency Derivatives Markets on the Johannesburg Stock Exchange and passed the ACI Dealing Certificate examination.

For more information on this workshop, call 2700427-9, 2701282 or email: mmanhq@fmda.com.ng