This semester module is one of the three semester modules of the postgraduate program Treasury Management & Corporate Finance.
The operations of cash and liquidity management deal with technology (treasury management systems), organizational structure of (global) treasury function, and fiscal consequences of the treasury organization. All these topics are interconnected.
Module Cash and Treasury Operations in short:
- Duration: 5 months – starting 1 February 2024
- 19 sessions on Thursdays from 15:30 - 17:30 and 18:00 - 20:00 with diner.
- On location at the VU Amsterdam
- English as the language of instruction
- +/- 225 hours per semester module. Including lectures, cases and self-study [requiring approximately 8 hours a week)
- Successful completion of a semester module will be rewarded by a certificate.
- Investment:€ 9.500 first module,€ 9.000 second module, €8.500 third module [+approximately€ 250 for books per semester module) For DACT members the module Cash and Treasury Operations can be taken at € 7.500;
- The registration form is available at: vu.nl/treasury
After attending this semester module, you will be able to:
- optimize internal financing by applying cash pooling techniques and better understand the legal, tax and accounting aspects of cash pooling;
- understand the concept and limitations of working capital financing and trade finance;
- have a good understanding of payment innovations and blockchain;
- understand what and how treasury management systems are used and understand the security aspects of these systems.
Topics:
Cash/Payment systems
- Cash flow forecasting
- Cash management, payments and clearing
- New developments: blockchain technology and crypto currencies
- Treasury systems, cash management systems (technology and security)
Short term cash/liquidity management
- Liquidity management
- Working capital management
- ST funding and trade finance
Organization of the treasury function in a corporate
- Organization of the treasury function in a corporate
- Treasury information systems
- Compliance and governance
Fiscal Law
- Fiscal aspects of (international) treasury organization (transfer pricing, intercompany financing etc.)
Short (not comprehensive) description of the module
The semester module starts with the principles of international payments, international banking infrastructure, payment systems and the role of correspondent banking. Examples are check clearing, SWIFT, CHIPS, SEPA, EURO1 and TARGET. Next, traditional aspects of cash management are discussed (like multilateral netting, netting cycle, leading and legging, notional pooling, cash concentration) as well as the latest developments ( like blockchain technology and crypto currencies).
Working capital management, liquidity management and ST financing disciplines are integral and essential to the daily practice of cash management. As theory building in this field is rather limited, a large number of practical cases/solutions are mentioned, for example factoring, asset based financing and securitization.
Apart from the cash management process itself the semester module treats the technology support and the organization of the treasury function in a (global) corporate. The role of the treasurer and the treasury department varies across corporates. Central versus decentralized, adviser or agent, cost center versus profit center are considerations in the organizational design of the treasury function. Currently the role of the treasurer shifts towards a critically investigative, advisory and supervisory role. The treasurer gets a more active role in the management of the company. This semester module provides professionals with the knowledge and skills to fulfil this role.
Once choices for the organizational model are made, the internal control of the treasury function comes into play. Important internal control concepts are outlined (COSO model, segregation of duties, necessity compliance with Sarbanes-Oxley legislation) and are illustrated with practical examples. Next to administrative-organizational aspects, information technology to prevent fraud is discussed.
Attention is paid to the fiscal aspects of international cash management (including withholding tax). Fiscal profit determination of groups, transfer pricing and withholding taxes on (international) money flows are extensively discussed. Considerable attention is given to specific tax aspects of group financing and a large number of financing instruments, including derivatives.
