Trade Finance

Description

This highly practical and interactive 5 day Euromoney Learning training course comprising 25 modules provides practical, in-depth coverage of international trade and commodity finance. The conflicting needs of buyer and seller are identified and how trade finance provides risk mitigation and working capital solutions for both exporter and importer.

The training covers the importance of Incoterms® rules, the nature of trade documentation, how to maintain control over the goods, the risks faced by exporters, importers and banks, and detailed coverage of the key documentary trade and open account supply chain finance products to include the parties, mechanics, risk mitigating features, optimal structuring techniques, and funding solutions.

Emphasis is placed upon risk assessment, problem solving techniques and deal structuring, through a clear understanding of a corporate’s trade cycle. Great attention is paid to the effective and appropriate use of structured financing techniques in meeting the corporate’s needs for optimal working capital solutions, whilst satisfying the bank’s requirement for controlled lending and credit support.

The course uses extensive case studies1 and exercises to develop the understanding of participants in a practical and engaging way across a range of scenarios on the identification of risk, risk mitigation, structuring techniques, and optimal working capital solutions.

Each training session is delivered via a mix of presentational slides, interactive discussion with the trainer, breakout syndicate sessions, and a quiz running throughout the programme to check the delegates understanding and application of the acquired knowledge.

What you will learn

• Describe what trade finance is and why it is required.
• Appreciate key corporate drivers and to satisfy these through the use of trade finance.
• Identify trade risk and how this can be mitigated.
• Describe the methods of payment, their use, risks and benefits to the buyer, seller, and the bank.
• Understand how each of the trade finance products operate and when they should be used.
• Gain an appreciation of how trade finance can mitigate risk and transform working capital.
• Structure documentary credits, standby credits, and letters of guarantee to mitigate risk.
• Appreciate the operation, use, risks, and benefits of specialist types of letters of credit.
• Use standby credits to support receivables financing.
• Construct a trade cycle timeline to evaluate type, amount, and duration of trade finance.
• Gather information to thoroughly assess and evaluate a trade proposition.
• Understand the role, key criteria, and risk management benefits of structured trade finance.
• Appreciate why structured trade finance is an alternative to traditional lending assessment.
• Structure a self-liquidating trade finance facility.
• Identify the key differences between a self-liquidating and partially structured facility.
• Describe the different types of payables and receivable finance solutions and when each is used.
• Appreciate the risk and benefits of approved trade payables finance (supply chain finance).
• Understand the products, structures, and risk management in commodity trade finance.
• Lean about recent developments in trade finance.