This covers the international trade process,mode of payments such as Letter of Credit in detail,with live cases and examples. A detailed section on Bank Guarantees,Buyer and Supplier credit,Bill discounting and Factoring makes this program very practical and interesting. The other aspect of Transaction Banking relating to Cash Management,including cash receipts,payments and Liquidity Management is also covered in detail
|Introduction to Transaction Banking||Introduction to Trade: Understanding why and how trade takes place.Risks in International Trade: Types of risks faced by the parties involved, such as country risk, credit risk etc.Types of Trade Documents: Overview of the documents required for a trade transaction.|
INCO Terms: These determine the cost, risks and responsibilities of the buyer and seller.
|Types of Trade Transactions||Advance Payment and its Process flow: The process underlying such a payment, and the conditions under which such terms and conditions are decided.Open Account and its Process flow: The process underlying such a payment, and the conditions under which such terms and conditions are decided.Documentary Collection and its Process flow:Documentary Collection and its Process flow: The process underlying such a payment, and the roles of the different banks involved, such as Remitting Bank, Presenting Bank etc.Types of Collections: Understanding terms such as Documents against Payment, Documents against Acceptance etc.Risks faced by parties: Typical risks faced by the buyer and seller in a trade. transaction.Parties in an LC Transaction: How an LC works and the parties involvedIssuance & Settlement: The detailed workflow of an LC, roles of various parties and the risks involved. Classification of different LCs and the circumstances under which such LCs are issued.|
UCPDC: An overview of the guidelines governing international trade.
|LC Case Study|
Live Case: A live illustration of a trade transaction with an LC, and how it works in practice.
|Trade Finance||Trade Finance for Exporters: The various financing options available to an exporter, and their evaluation in practiceLC Bill Discounting (LCBD): How Bill discounting works, and the risks faced by the bank.Factoring: How Factoring works, and the services provided under Factoring.|
Trade Finance for Importers: How buyers' credit and suppliers' credit works, and when they are typically used in practice.
|Bank Guarantees||Types of Bank Guarantees: Types of guarantees, and the situations under which the different guarantees are used in practice.|
Invocation of a Guarantee: Circumstances under which bank guarantees are invoked, and the process involved.
|Pricing of Trade Products||Pricing for LC related services: The different fee structures for the trade services offered by banks, and how they are calculated.|
Pricing for Bank Guarantees and Pre/Post Shipment Credit: The different components of the charges for bank guarantees and export credit, and how they are calculated.
|Cash Management Services(CMS) - Introduction||Understanding liquidity: The reasons for holding cash, and the challenges faced by a cash manager.Cash management strategy: What determines the size of cash holding in a firm, and the factors impacting cash position.|
Impact of centralized/decentralized management: How cash management is structured in an organisation, and the benefits of centralization.
|Payment Systems - An Introduction||Players in the Payment System: The different parties in the payment process - payer, payee etc.|
Key Terms: The concept of float, types of payments - physical and electronic.
|Receivables Management||Process: The detailed process of how receivables are collected.Products under receivables management: The types of instruments and the collection process for each in detail.|
Case study on receivables management: A live illustration of the receivables management process in a company.
|Payables Management||Types of payments: Details on NEFT,RTGS,ECS etc. and how they work.CMS other services: Other services such as escrow accounts, and Dividend payout services.|
Case study on payables management: A live illustration of the payables management process in a company.
Fund Management: Understand the importance of Liquidity forecasting, and the use of Pooling Systems for Liquidity management.
Abin has worked in the corporate banking space for over 6 years. Presently he is responsible for driving the Trade Services business in the southern region for Yes Bank Ltd. Abin also loves to teach & has driven training initiatives at various banks.