Finance

Learn about the drivers for transforming the tax function, the framework to reimagine the tax function, and how to bring it to life through real stories.

Learn the principles of an Digital Audit, how EY’s leading the way, the various client profiles, and activating the Digital audit through roadmaps.

This tutorial introduces budgeting and the five most commonly used methods of budgeting.

• Objectives On completion of this tutorial, you will be able to: Recognize the components of the capital adequacy ratio (CAR) and how their values are determined Identify the permitted approaches for regulatory capital calculations for Pillar 1 risks Recognize the purpose of the output floor Tutorial Overview Capital adequacy measures the ability of a bank to survive losses under both normal and stress conditions. Regulators offer a number of approaches to banks in order to measure exposure to the different types of risk. At a high level, these are broken down into standardized approaches and internal models approaches. This tutorial details those approaches.

• Prerequisite Knowledge Basel III - Pillar 1 & Capital Adequacy

• Tutorial Level: Intermediate Tutorial

• Duration: 75 minutes

• Objectives On completion of this tutorial, you will be able to: Identify the key client sectors of the asset management industry Interpret the concepts of asset allocation, as well as passive and active management List the main types of investment vehicle used in the asset management industry Recognize the current state of play in the asset management space and future industry trends Tutorial Overview Asset management is the management of portfolios of assets by professional firms serving institutional, high net worth (HNW), and retail clients. This tutorial provides an overview of the structure and activities of a typical asset management firm, including its clients, products, and services. The current state of the global asset management industry is also discussed.

• Prerequisite Knowledge Investment - An Introduction

• Tutorial Level: Introductory

• Tutorial Duration: 60 minutes NASBA CPE

• Credits: 1

• Author: Patrick Pancoast Field of Study: Economics

• Creation Date: January 2, 2018

• Expiry Date: January 2, 2020

• Exam Expiry: You must take the tutorial exam within one year of starting the tutorial

• Objectives On completion of this tutorial, you will be able to: Identify the key client sectors of the asset management industry Interpret the concepts of asset allocation, as well as passive and active management List the main types of investment vehicle used in the asset management industry Recognize the current state of play in the asset management space and future industry trends Tutorial Overview Asset management is the management of portfolios of assets by professional firms serving institutional, high net worth (HNW), and retail clients. This tutorial provides an overview of the structure and activities of a typical asset management firm, including its clients, products, and services. The current state of the global asset management industry is also discussed.

• Prerequisite Knowledge Investment - An Introduction

• Tutorial Level: Introductory

• Tutorial Duration: 60 minutes NASBA CPE

• Credits: 1

• Author: Patrick Pancoast

• Field of Study: Economics

• Creation Date: January 2, 2018

• Expiry Date: January 2, 2020

• Exam Expiry: You must take the tutorial exam within one year of starting the tutorial

• Objectives On completion of this tutorial, you will be able to: Recognize the risk/return nature of debt capital and the tax benefits to be derived from the use of debt financing Define and use the capital asset pricing model (CAPM) to calculate the cost of equity capital Calculate the cost of debt and equity capital to get an overall weighted average cost of capital (WACC) Tutorial Overview Most companies are funded by a mixture of debt and equity capital. This means that their overall cost of capital is made up of the cost of equity finance and the cost of debt finance. This tutorial shows how to calculate the cost of each form of financing and how to combine the cost of debt and equity to get overall weighted average cost of capital (WACC) for a company.

• Prerequisite Knowledge Corporate Finance - Capital Structure & Liquidity

• Tutorial Level: Intermediate

• Tutorial Duration: 60 minutes

• Objectives On completion of this tutorial, you will be able to: Identify the accounting metrics that companies use to measure financial performance Recall the measures used to determine how well a company has managed its assets to generate profits Recognize alternative approaches to evaluate business performance, such as free cash to the firm, free cash flow to equity, enterprise value, and economic profit Tutorial Overview This tutorial looks at the key accounting metrics use to measure company business performance, such as return on equity, free cash flow to the firm, free cash flow to equity, enterprise value, and economic profit.

• Prerequisite Knowledge Corporate Finance - An introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 60 minutes

• Objectives On completion of this tutorial, you will be able to: Identify the reasons why companies have different dividend policies Recognize the purpose of a share repurchase (stock buyback) program as well as the benefits and impact of such a program Distinguish between stock dividends and stock splits Tutorial Overview What would make a company choose to pay out a dividend rather than keep the cash as retained earnings on the balance sheet? This tutorial explains why a company might choose to do this. It also describes other methods through which companies can offer value or benefits to shareholders, such as share buybacks and how these differ to stock dividends and stock splits.

• Prerequisite Knowledge Corporate Finance - An Introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 60 minutes

• Objectives On completion of this module, you should be able to: Recognize the importance of capital budgeting in selecting which investments and expenditures will increase shareholder wealth Identify the investment appraisal techniques used by analysts, including net present value, investment rate of return (IRR), the payback method, the discounted payback method, accounting rate of return, and profitability index (PI) Tutorial Overview Capital budgeting involves determining the most advantageous investment options for a company, in terms of increasing shareholder wealth. This tutorial looks at the key techniques used in this analysis, such as NPV, IRR, and the payback method, using the example of a small airline company throughout.

• Prerequisite Knowledge Corporate Finance - An Introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 60 minutes

• Objectives On completion of this tutorial, you will be able to: Recognize the different types of equity finance that are available to companies throughout their lifecycle Identify the different forms of debt finance that companies use Tutorial Overview Over a company's entire lifecycle, it will have a need to raise financing in order to grow. At a high level, the choice is whether to issue equity capital or raise debt finance. However, there are many varieties of both forms of finance to consider in practice. This tutorial describes the different options available to companies to fund their development and illustrates the reasons why they may choose one type of funding over another.

• Prerequisite Knowledge Corporate Finance - An Introduction

• Tutorial Level: Introductory

• Tutorial Duration: 60 minutes

• This scenario explores the application of various corporate finance activities in practice. You will observe a situation where a New York-headquartered international company is seeking to expand its operations into the Australian market. As it does so, you will see the work undertaken by various members of the company's corporate development team as they assess the expansion options available.

• Prerequisite Knowledge A broad understanding of corporate finance concepts is required.

• Level: Intermediate

• Duration: 30 minutes

• Objectives On completion of this tutorial, you will be able to: Recognize the need for the Basel III framework to include requirements related to liquidity and leverage Calculate a bank's Liquidity Coverage Ratio (LCR), Net Stable Funding Ratio (NSFR), and leverage ratio Tutorial Overview The global financial crisis underlined the need for regulators to address not only capital adequacy but also liquidity and leverage. This tutorial describes the liquidity and leverage framework introduced by the Basel Committee on Banking Supervision (BCBS) as part of Basel III. Building on the lessons learned from the financial crisis, the tutorial details the components and methodology of the three ratios introduced by the BCBS - namely the LCR, the NSFR, and the Basel III leverage ratio.

• Prerequisite Knowledge Basel III - An Introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 75 minutes

Within 4-5 hours you’ll obtain all the essentials of basic finance and budgeting. It will boost your business and financial literacy, resulting in well-informed economic decisions. The course starts by introducing accounting basics and then teaches you to understand financial statements. Then you will learn about financial reports including the Balance Sheet, Income Statement and Cash Flow. These are the things you must know to succeed in a new business or make your current business more profitable. We will even have fun analyzing the financial statements of corporate giants like Apple, Facebook, and Ford. Along the way, you will learn how to make your own financial statements, create a great budget, and how to run your business. We'll even get a bit advanced and explore Zero-Based-Budgeting and Cost Management.

• Objectives On completion of this tutorial, you will be able to: Identify how the Pillar 3 disclosure regime has evolved through the years and the challenges that banks face in meeting these requirements Recognize the key Pillar 3 disclosure obligations and the templates/tables that banks must use when making such disclosures Tutorial Overview Pillar 3 is the third element of the three pillars framework that was originally introduced by Basel II and subsequently retained and enhanced by Basel III. It deals with requirements related to market discipline, which it seeks to achieve by specifying minimum levels of public disclosure as well as standards applied to those disclosures. This tutorial describes the Pillar 3 regime in detail.

• Prerequisite Knowledge Basel III - An Introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 45 minutes

• Objectives On completion of this tutorial, you will be able to: Recognize the purpose of the Pillar 2 framework and the four key principles outlined by the Basel Committee on Banking Supervision (BCBS) Identify the steps involved in the ICAAP process Recognize the need for supervisors to undertake an SREP and the various elements in the assessment process Tutorial Overview Pillar 2 is the second element of the three pillars framework that was originally introduced by Basel II and subsequently retained and enhanced by Basel III. The focus of Pillar 2 is on ensuring that banks have adequate capital to cover the material risks to which they are exposed. This tutorial describes the Pillar 2 regime in detail.

• Prerequisite Knowledge Basel III - An Introduction

• Tutorial Level: Intermediate

• Tutorial Duration: 60 minutes

This tutorial describes in detail the structure and elements of income statements, including revenue, gross profit, operating expenses, operating income, interest income/expense, taxation, and the calculation of net income. The tutorial also covers crucial accounting policies related to income statement-related concepts, such as revenue recognition and the calculation of diluted earnings per share (EPS).

The tools of corporate finance will help you as a manager or business owner to evaluate performance and make smart decisions about the value of opportunities and which to pursue.  An understanding of Corporate Finance is essential for the professional manager in order to meaningfully discuss issues with colleagues and upper management. You need to be versed in this subject in order to climb any corporate ladder. Get started understanding corporate finance today.  

Using balance sheets and income statements, accountants are able to draw up statements of cash flows that detail the areas where cash is being generated and “burned” by a business. This tutorial explains the importance of the statement of cash flows in assessing a company’s performance and future prospects. This depends not so much on earnings for the period, but more realistically on cash flow. The tutorial identifies the key elements of the statement of cash flows and how these statements are prepared.

This scenario explores how the time value of money and its related concepts of present value and future value impacts investment decision making. You will observe a situation where a novice retail investor is shown how the time value of money affects the selection of deposit alternatives.

It is essential to the profitability of a business that it manages its cash efficiently and cost-effectively. This tutorial explains the process of cash collection and disbursement and shows how a firm can determine the cash balance that will minimize opportunity costs and trading costs. The use of money market instruments in cash management is also explored.

Corporate finance is concerned with how companies raise finance and structure their liabilities. At a deeper level, this involves key issues such as public flotations and debt financing (raising capital), managing short-term cash flows (working capital management) and acquiring all or part of a business (mergers and acquisitions, management buy-ins and buy-outs, etc.). This tutorial introduces the subject of corporate finance to newcomers in the area.

M&A, Capital Raising, Capital Markets, Debt Financing, Equity Financing and more.

Options are one of the basic building blocks in finance. A combination of options with other products allows almost infinite customization possibilities for hedgers, investors, traders, and speculators. This tutorial outlines the basic structures and terminology associated with options, and looks at the ways in which they are used. The tutorial also describes option variations across asset classes and markets.

The process of securitization collects together financial assets, such as mortgages, into a single pool. The returns generated by a collection of such assets are more predictable than returns on individual assets. Securities backed by the pool can then be issued to investors and the returns on such securities are linked to the returns on the assets. This tutorial examines in detail the main elements of the securitization process, providing information on a variety of topics including the main players involved in the process, the construction of the securities, and the motivations for a securitization.

A collateralized debt obligation (CDO) is a security backed by a pool of loans, bonds or other securities. A CDO deal is broken into multiple tranches, each with separate maturity and credit risk, appealing to different classes of investors. Various forms of credit enhancement are used and CDO tranches are rated by the main credit rating agencies. CDOs represented the fastest growing segment of the securitization market in the years leading up to the global financial crisis of 2007/9. This tutorial explains how CDOs are issued and structured, and outlines the common issuer and investor motivations for entering CDO deals.

Although the residential mortgage-backed securities (RMBS) market accounts for the majority of securitized transactions, the basic securitization technique is asset-independent. This tutorial looks at how securitization has evolved to face the challenges presented by different asset classes. In addition to descriptions of some of the major classes outside of RMBS, the tutorial also examines how the markets for the associated securities operate and how valuation techniques have been developed to cope with the idiosyncrasies associated with securitization.

Originating in the 1970s, swaps were once small, heavily structured, transactions. Today, they have developed into commoditized products that dominate derivatives markets around the globe. This tutorial outlines the basic structure of a swap and the different swap types. It also describes how market participants can use swaps to transform existing asset or liability positions, or speculate on underlying market movements. Finally, the significant changes in the regulatory environment, particularly as regards clearing and trading, are discussed.

The Financial Sustainability of an Infrastructure Project (1 hour)

You can choose to do complete the full course, however, only 5 hours of learning will be eligible for the badge.

The “Ktrends in Pensions" deck is intended to provide our professionals with a timely and relevant trends deck on kdynamics, emerging themes and potential disruptors in the space.

High yield debt refers to bonds or loans that are rated below investment grade, that is, rated below Baa3 (Moody's) or BBB- (Standard & Poor). This tutorial focuses on high yield bonds, also known as junk bonds or non-investment grade bonds. The tutorial explains the various features of high-yield debt. It also identifies the different types of high yield debt, their benefits, and risks. Finally, the tutorial describes the issuers of and investors in high yield debt, and their motivations. On completion of this tutorial, you will be able to: - explain the features of high yield debt - identify different types of high yield debt - recognize the main issuers and investors in the high yield debt market.

This annual global survof hedge funds, private equity funds and investors focused on kindustry topics such as: allocation trends, strategic priorities, talent management, investments in data and technology, and the future landscape of the industry.

This course describes the main characteristics of alternative assets and outlines different types of alternative assets.

This Privcap podcast provides an in-depth discussion with on environmental, social and governance (ESG) and how it can improve the operations of portfolio companies. - The podcast includes professionals from TPG, First Reserve and RSM (December 2019)

Please note - to get badge credit, learners can attend any podcast(s), but only 45 min duration is awarded for this badge

The final course of the specialization expands the knowledge of a construction project manager to include an understanding of economics and the mathematics of money, an essential component of every construction project. Topics covered include the time value of money, the definition and calculation of the types of interest rates, and the importance of Cash Flow Diagrams.

Please note: The total duration for this course is greater than 4 hours. For the purpose of this Badge, only completion of the following modules need to completed and evidenced towards your Badge:

* Real Estate Finance for Development Projects (4 hours)

You can choose to do complete the full course, however, only 4 hours of learning will be eligible for the badge.

Investment funds control a vast amount of global wealth, but there are many different fund types and structures that investors can choose from.

- Identify the features and characteristics of the various funds available to investors

- Recognize the importance of the separation of funds and fund management when establishing most investment funds

This course covers ASC 606 Revenue from Contracts with Customers, and recent FASB amendments. Please note that this course is a replacement for WBL R5855.

This course covers ASC 606 Revenue from Contracts with Customers, and recent FASB amendments.

This course covers ASC 606 Revenue from Contracts with Customers, and recent FASB amendments. Please note that this course is a replacement for WBL R7447.

This course covers ASC 606 Revenue from Contracts with Customers, and recent FASB amendments. Please note that this course is a replacement for WBL R8126.

This annual global survof hedge funds, private equity funds and investors focused on kindustry topics such as: allocation trends, strategic priorities, talent management, investments in data and technology, and the future landscape of the industry.

This annual global survof hedge funds, private equity funds and investors focused on kindustry topics such as: allocation trends, strategic priorities, talent management, investments in data and technology, and the future landscape of the industry.

Required: This tutorial describes the features and characteristics of various alternative assets, including real estate, private equity, hedge funds, infrastructure, exchange-traded funds, commodities, currencies, liquid alternatives, distressed securities, credit derivatives, managed futures, volatility, and art and other collectibles.

This tutorial examines the main asset classes that are used to diversify an investment portfolio, including equities, fixed income, money market securities, real estate, and alternative assets.

Required: This tutorial looks at the key characteristics of hedge funds and provides an outline of the development of the hedge fund industry. It then discusses the key players in the hedge fund industry and the roles they perform.

Required: In this tutorial we describe the benefits and shortfalls of various measurements of risk and return and highlight the way in which an investor can examine alternative opportunities. We look at how it is possible to separate measurements of return which are “skill-based” from those due to overall market movements and how a potential investor can distinguish between “good” and “bad” hedge fund investments.

Required: Hedge funds exist to make money from investing – anywhere. This leads to numerous different and ever-evolving investing styles. These hedge fund investing styles are the subject of this tutorial. It examines the key differences between such styles in terms of market exposure, required leverage, correlation to major markets, and gives a description of the key categories. It also briefly examines the topic of hedge fund factor analysis and replication.

This tutorial examines the emergence of liquid alternative funds (“liquid alts”) as a significant asset class since the global financial crisis. The drivers behind the growth of liquid alts are examined, along with the differences between these funds, standard mutual/investment funds, and hedge funds. The tutorial also covers the main liquid alternative trading strategies, as well as the key risk and regulatory considerations for both fund managers and investors.

Securities loans are collateralized instruments, with borrowers permitted to post cash or non-cash collateral to secure loans. This tutorial describes the two types of securities loan structure. It also discusses the main types of risk associated with securities lending, in addition to the loan documentation and codes of practice used to mitigate some of those risks.

In simple terms, the concept of volatility refers to an asset's degree of unpredictable price change over a specified period of time. The more volatile an asset, the more difficult it is to predict where its price might be on a future date, and hence the greater the risk associated with the asset. Volatility reached unprecedented levels in many markets in 2008 and huge losses were incurred by many market participants. This tutorial looks at the concept of volatility and how it is assessed and estimated, with particular emphasis on the market volatility of 2008.

When the ground beneath your feet is shifting, do you stand still or leap forward? To thrive in this global $70 trillion industry, firms must have an infrastructure designed for ongoing change. Simply being responsive to change will not be enough to succeed in the future. Since rebounding from the events of 2008, the pace of change has accelerated across the industry, driven by a confluence of market forces and megatrends. For wealth and asset managers, these forces have necessitated bold action, which many firms are taking now. Those firms able to define the optimal product, pricing, distribution and service strategy and move quickly to transform their operating model will remain competitive. Speed and agility are key, both during transformation and as attributes of new and sustainable operating models.

After you have read this article / abstract / book, you will need to prepare a written synopsis of what you have read and submit it as part of the evidence of learning to your counsellor.

Required: The Alternative Investment Fund Managers Directive (AIFMD) was introduced in response to calls for greater regulation of hedge funds, private equity funds, and other alternative investment funds (AIFs). Driven by the events of the financial crisis and the Madoff investment fund scandal, the AIFMD represented the most radical reshaping of fund management regulation in Europe since the first UCITS directive in 1985.This tutorial describes the main provisions of the AIFMD, including (among others) the requirements in relation to authorization, remuneration, risk management, liquidity management, securitization positions, valuation, delegation, and depositaries.

This video provides a broad overview of the different asset classes available to investors. Both key characteristics of both mainstream assets, such bonds are equities, and alternative assets, such as currencies and commodities, are described in detail.

Objectives On completion of this tutorial, you will be able to: Identify the key client sectors of the asset management industry Interpret the concepts of asset allocation, as well as passive and active management List the main types of investment vehicle used in the asset management industry Recognize the current state of play in the asset management space and future industry trends Tutorial Overview Asset management is the management of portfolios of assets by professional firms serving institutional, high net worth (HNW), and retail clients. This tutorial provides an overview of the structure and activities of a typical asset management firm, including its clients, products, and services. The current state of the global asset management industry is also discussed. Prerequisite Knowledge Investment - An Introduction Tutorial Level: Introductory Tutorial Duration: 60 minutes NASBA CPE Credits: 1 Author: Patrick Pancoast Field of Study: Economics Creation Date: January 2, 2018 Expiry Date: January 2, 2020 Exam Expiry: You must take the tutorial exam within one year of starting the tutorial

This document discusses the “mega” trends reshaping the global asset management industry and the top priorities for C-suite level executives. While margin challenges persist for global asset managers due to fee pressure, shift to passive products, need to spend on technology and regulatory pressures, asset managers that will win out in the end are the ones that will have the scale and ability to invest in people and technology in order to be global within an increasingly politically fragmented world.

The UK’s Asset Management sector is the second largest in the world, managing approximately £7 trillion of assets. Recognising that asset managers provide an important economic function, the FCA embarked on a Market Study to discover if markets work well and offer consumers value for money. It published an interim study in November 2016 and, after consultation with the industry, its final report on 28 June 2017. welcomes the FCA’s Asset Management Market Study — the largest of its kind. This is not a ‘do nothing’ report; what we see is a package of remedies, including a reinforcement of other regulations in motion, to improve investor protection.

After you have read this article / abstract / book, you will need to prepare a written synopsis of what you have read and submit it as part of the evidence of learning to your counsellor.

The UK’s Asset Management sector is the second largest in the world, managing approximately £7 trillion of assets. Recognising that asset managers provide an important economic function, the FCA embarked on a Market Study to discover if markets work well and offer consumers value for money. It published an interim study in November 2016 and, after consultation with the industry, its final report on 28 June 2017. welcomes the FCA’s Asset Management Market Study — the largest of its kind. This is not a ‘do nothing’ report; what we see is a package of remedies, including a reinforcement of other regulations in motion, to improve investor protection.

After you have read this article / abstract / book, you will need to prepare a written synopsis of what you have read and submit it as part of the evidence of learning to your counsellor.

The UK’s Asset Management sector is the second largest in the world, managing approximately £7 trillion of assets. Recognising that asset managers provide an important economic function, the FCA embarked on a Market Study to discover if markets work well and offer consumers value for money. It published an interim study in November 2016 and, after consultation with the industry, its final report on 28 June 2017. welcomes the FCA’s Asset Management Market Study — the largest of its kind. This is not a ‘do nothing’ report; what we see is a package of remedies, including a reinforcement of other regulations in motion, to improve investor protection.

After you have read this article / abstract / book, you will need to prepare a written synopsis of what you have read and submit it as part of the evidence of learning to your counsellor.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

This tutorial provides an introduction to the regulation and supervision for EU financial services. It details who is responsible for the different products and how those responsibilities are divided. Its also provides a high-level overview of the EU directives and regulations used to regulate the market.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

The Bank of England is the central bank for the United Kingdom and has a wide range of responsibilities, similar to those of most central authorities worldwide. This tutorial looks at the Bank’s two core duties – executing monetary policy by setting Bank Rate and (if necessary) buying financial assets through the asset purchase facility, and protecting and enhancing the resilience of the UK financial system as a whole.

This tutorial focuses on the micro prudential regulation and supervision of the UK financial services industry. We examine the two micro prudential regulators in terms of who they manage, their statutory objectives and the means by which they meet those objectives

Financial regulation in the US is a complex affair, with the various sectors of the financial markets regulated by numerous agencies and other entities. For many years, regulation was relatively loose, which yielded space for innovation and expansion in the banking sector. Banks took full advantage and profits soared. A number of institutions became too big to fail. The financial crisis brought the era of lax regulatory standards to a crashing halt. Banks, and their regulation (or lack of), became front page news. Gaps and weaknesses in the supervision and regulation of the financial industry were laid bare for all to see. The US government responded by introducing the most sweeping set of reforms to the regulatory landscape since the aftermath of the Great Depression. This tutorial looks at the structure of the US regulatory environment and the role of the various key regulators. It also describes the massive changes that have come about as a result of the Dodd-Frank Wall Street Reform and consumer Protection Act of 2010.

This tutorial introduces the major financial markets:

• What are their functions?

• Who needs them?

• What products do they offer?

• Where are they?

• How do they operate?

• How are they changing?

Broadly speaking, the tutorial outlines the financial markets’ defining characteristics, focusing on the way in which money shifts between participants. More specifically, it describes the types of financial market, the products offered, the people/participants involved, and the different types of marketplace.

Regulators expect banks to assess interest rate risk in the banking book based on outcomes of both economic value and earnings-based measures, arising from a wide and appropriate range of interest rate shock and stress scenarios. This tutorial looks at the various measures of interest rate risk that banks used and the issues and challenges they face in that regard.

Objectives: Recognize the influence of official central bank rates on money market rates of various maturities Calculate interest on various money market productsIdentify market benchmark rates such as LIBOR and Euribor, and the growing significance of overnight indices as market benchmarksTutorial Overview This tutorial introduces official interest rates and their influence on financial markets and the economy as a whole. The tutorial outlines the use of simple, zero-coupon, interest rates and their application to accrual products in the money markets. It also examines market rates and the currency day count conventions used in money market calculations. Finally, the tutorial shows how reference rates such as LIBOR and Euribor are calculated in today’s money markets, and how overnight indices have developed as a benchmark replacement for LIBOR and Euribor. Prerequisite Knowledge Interbank Market Tutorial Level: Intermediate Tutorial Duration: 60 minutes NASBA CPE Credits: 1 Author: Kevin Campbell Field of Study: Economics Creation Date: July 10, 2015 Expiry Date: July 10, 2017 Exam Expiry: You must take the tutorial exam within one year of starting the tutorial.

Required: Terms like “investment” or “investing” are used in the media every day without anyone actually defining what exactly they mean. This tutorial adopts a different perspective and will set you out on the road to understanding the fundamentals of investment and its management. Beginning with a discussion of the concept of investment as a whole and the various perspectives on it, the tutorial goes on to deal with a variety of crucial concepts and issues that must be grasped by all investment industry professionals.

This deck provides a timely and relevant overview of kdynamics, emerging themes and potential disruptors in Asset Management.

Markets in Financial Instruments Directive (MiFID) II is a package of EU legislation, which regulates firms who provide services to clients linked to financial instruments and the venues where those instruments are traded. This tutorial covers the main areas covered by the MiFID II regime, including market structure, market transparency, investor protection, and transaction reporting.

This tutorial examines the important role played by money market funds (MMFs) in the wholesale money markets. It explores the difficulties that money market fund managers face in terms of counterparty credit risk and in identifying investment products that will deliver a better return than bank deposits. Key regulatory requirements in relation to issues such as credit quality, liquidity, diversification, and maturity are also discussed. Finally, the tutorial describes the accounting approach to the valuation of MMF assets and the use of net asset value (NAV) in this process.

Strategic asset allocation refers to the long-term allocation of an investment portfolio to various asset classes based on an investor's goals and tolerance for risk. A portfolio's strategic asset allocation incorporates a base policy mix that should remain unchanged even when the market moves up or down. This tutorial looks at the strategic asset allocation decision, which is generally recognized as the most important decision in the investment process and the key determinant of portfolio performance. It describes in detail how investors can rebalance their portfolio and the various considerations around such rebalancing.

Tactical asset allocation is an active portfolio management strategy that involves diverging from a portfolio's strategic asset allocation (long-term asset mix) to exploit short-term opportunities for making above-average returns and/or taking on lower downside risk on certain asset classes. The success of any approach to tactical asset allocation depends on the ability of the investor/portfolio manager to predict short-term market movements. This tutorial outlines the basics of tactical asset allocation, how TAA strategies are employed, and how they can add alpha to a portfolio.

Objectives: - describe the extraordinary growth and collapse of the US subprime mortgage market - explain how the securitization of subprime mortgages lay at the heart of the wider impact of the crisis - realize the magnitude of the crisis as emphasized by the number and type of institutions, markets, and countries affected- describe some of the main factors that caused the crisis- outline the response of governments and financial authorities to the crisis The degree to which the many components of the financial system are intermingled was made abundantly clear by the sequence of events that led to the global financial crisis. Before 2007, few people had heard much about the US subprime mortgage sector, and terms like credit crunch and toxic debt had yet to enter into everyday usage. However, problems in the subprime area and rapid declines in the values of some of the associated assets, led to unprecedented difficulties across the global financial system.This tutorial describes the unfolding of this watershed event, from the development of the crisis in the US subprime mortgage market to its spread across global markets and institutions. It also looks at how the authorities responded, and the lessons to be learned for future generations.Prerequisite Knowledge Financial Markets An Introduction Tutorial Level: Introductory Tutorial Duration: 75 mins

In simple terms, Undertakings for Collective Investment in Transferable Securities (UCITS) are investment funds regulated at a European level. The broad aim of the UCITS regulatory regime is to allow collective investment schemes to operate freely throughout the EU on the basis of a single authorization or passport. Since their introduction in the mid-1980s, UCITS have become a phenomenal success with well over 8 trillion euro in assets under management today. The UCITS brand is now considered to represent one of the highest standards in the fund management industry. This tutorial describes the key provisions of the UCITS Directive and how it has evolved from the original UCITS Directive to the existing UCITS V (and UCITS VI) requirements. The tutorial also looks at the main attractions of UCITS funds from the point of view of both investors and fund managers.

In simple terms, the concept of volatility refers to an asset's degree of unpredictable price change over a specified period of time. The more volatile an asset, the more difficult it is to predict where its price might be on a future date, and hence the greater the risk associated with the asset. Volatility reached unprecedented levels in many markets in 2008 and huge losses were incurred by many market participants. This tutorial looks at the concept of volatility and how it is assessed and estimated, with particular emphasis on the market volatility of 2008.

It is essential to the profitability of a business that it manages its cash efficiently and cost-effectively. This tutorial explains the process of cash collection and disbursement and shows how a firm can determine the cash balance that will minimize opportunity costs and trading costs. The use of money market instruments in cash management is also explored

This document discusses the “mega” trends reshaping the global asset servicing industry and the top priorities for C-suite level executives. While the outlook for the asset servicing industry as a whole is one of increased opportunity, winning firms will be those that can successfully redesign their operating model to monetize data to meet evolving customer and business needs.

This deck provides a timely and relevant overview of kdynamics, emerging themes and potential disruptors in Asset Servicing.

Securities loans are collateralized instruments, with borrowers permitted to post cash or non-cash collateral to secure loans. This tutorial describes the two types of securities loan structure. It also discusses the main types of risk associated with securities lending, in addition to the loan documentation and codes of practice used to mitigate some of those risks.

The process of securitization collects together financial assets, such as mortgages, into a single pool. The returns generated by a collection of such assets are more predictable than returns on individual assets. Securities backed by the pool can then be issued to investors and the returns on such securities are linked to the returns on the assets. This tutorial examines in detail the main elements of the securitization process, providing information on a variety of topics including the main players involved in the process, the construction of the securities, and the motivations for a securitization.

Required: The Basic Financial Concepts course provides foundational information that will help you to better understand some important financial products. To begin building your foundational financial expertise, there are basic fundamentals needed to understand the products. This course is the first in the Financial Products Curriculum and must be taken before registering for any other courses in the curriculum.

Credit derivatives allow one party to transfer an asset's credit risk to another party without transferring ownership of the underlying asset. This tutorial outlines the basics of credit derivatives and examines the structure of a basic credit derivatives trade, known as a credit default swap (CDS). Other topics covered include the development of the market pre- and post-financial crisis, and the risks associated with undertaking credit derivatives transactions.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

This tutorial provides an introduction to the regulation and supervision for EU financial services. It details who is responsible for the different products and how those responsibilities are divided. Its also provides a high-level overview of the EU directives and regulations used to regulate the market.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

In the aftermath of the Asian financial crisis of the late 1990s, many Asian economies took advantage of improved global conditions to strengthen their economic and financial fundamentals. As a result, when the global financial and economic crisis erupted in 2007, Asian economies were well positioned to avoid its worst effects. The learning experience gleaned from the region's own financial crisis nearly a decade earlier helped Asia emerge relatively unscathed. Notably, most banks in the region were not heavily exposed to distressed markets for structured credit products and other toxic securities. A number of institutions actually seized the opportunity to acquire assets at fire-sale prices. The expectation is that Basel– the new global capital standards – is unlikely to be too onerous for most Asian banks due to their reasonable core capital buffers, modest reliance on hybrid capital, and generally good liquidity. This tutorial describes the regulatory framework and the key financial authorities operating in four major Asian economies – Japan, China, Hong Kong, and Singapore.

The Bank of England is the central bank for the United Kingdom and has a wide range of responsibilities, similar to those of most central authorities worldwide. This tutorial looks at the Bank’s two core duties – executing monetary policy by setting Bank Rate and (if necessary) buying financial assets through the asset purchase facility, and protecting and enhancing the resilience of the UK financial system as a whole.

This tutorial focuses on the micro prudential regulation and supervision of the UK financial services industry. We examine the two micro prudential regulators in terms of who they manage, their statutory objectives and the means by which they meet those objectives.

Financial regulation in the US is a complex affair, with the various sectors of the financial markets regulated by numerous agencies and other entities. For many years, regulation was relatively loose, which yielded space for innovation and expansion in the banking sector. Banks took full advantage and profits soared. A number of institutions became too big to fail. The financial crisis brought the era of lax regulatory standards to a crashing halt. Banks, and their regulation (or lack of), became front page news. Gaps and weaknesses in the supervision and regulation of the financial industry were laid bare for all to see. The US government responded by introducing the most sweeping set of reforms to the regulatory landscape since the aftermath of the Great Depression. This tutorial looks at the structure of the US regulatory environment and the role of the various key regulators. It also describes the massive changes that have come about as a result of the Dodd-Frank Wall Street Reform and consumer Protection Act of 2010.

This tutorial introduces the major financial markets. What are their functions? Who needs them? What products do they offer? Where are they? How do they operate? How are they changing? Broadly speaking, the tutorial outlines the financial markets’ defining characteristics, focusing on the way in which money shifts between participants. More specifically, it describes the types of financial market, the products offered, the people/participants involved, and the different types of marketplace.

Required: Fixed income securities, commonly referred to as debt securities, are assets that produce income based on a stated interest. This course provides general information on fixed income securities, how thare traded and the accounting theories and procedures to record gains and losses for these securities. (Distressed debt and bank debt are covered in another course in this series.)

Floating rate notes are medium- to long-term debt instruments with a floating rate of interest that is reset periodically, based on a margin or spread over a reference rate. Compared with fixed rate securities, FRNs are less sensitive to interest rate fluctuations as their coupon moves in conjunction with underlying market rates. This tutorial will provide an overview of the basic structure and features of floating rate notes. It will also describe the various uses and applications of FRNs, variations of the basic FRN structure, and price/yield calculations.

High yield debt refers to securities and loans rated below the investment grade thresholds laid down by the major credit rating agencies. High yield debt compensates investors for the additional credit risk by generating additional returns. This tutorial looks at the ratings attached to high yield debt, the key structures used, and the primary and secondary markets for these assets.

The process of securitization collects together financial assets, such as mortgages, into a single pool. The returns generated by a collection of such assets are more predictable than returns on individual assets. Securities backed by the pool can then be issued to investors and the returns on such securities are linked to the returns on the assets. This tutorial examines in detail the main elements of the securitization process, providing information on a variety of topics including the main players involved in the process, the construction of the securities, and the motivations for a securitization.

This tutorial introduces the major financial markets. What are their functions? Who needs them? What products do they offer? Where are they? How do they operate? How are they changing? Broadly speaking, the tutorial outlines the financial markets’ defining characteristics, focusing on the way in which money shifts between participants. More specifically, it describes the types of financial market, the products offered, the people/participants involved, and the different types of marketplace.

Terms like “investment” or “investing” are used in the media every day without anyone actually defining what exactly they mean. This tutorial adopts a different perspective and will set you out on the road to understanding the fundamentals of investment and its management. Beginning with a discussion of the concept of investment as a whole and the various perspectives on it, the tutorial goes on to deal with a variety of crucial concepts and issues that must be grasped by all investment industry professionals.

This tutorial focuses specifically on the challenges associated with managing the relationships in a client portfolio, including winning new clients while simultaneously retaining and growing business from existing clients.

This tutorial provides an overview of financial planning for high net worth clients. We examine in detail the steps in the financial planning process and examine regulatory and industry developments in financial planning for private clients worldwide.

This tutorial provides an overview of investment services for private wealth clients. It examines the importance of investment support and portfolio management, fiduciary and custody services, and specialist investment services.

The decision to choose one security over another is a two-stage approach. The first stage requires the expected return to be calculated while the second stage requires the volatility of that expected return to be calculated. This tutorial shows how investors can pick the combination of expected return and risk (variance/standard deviation) that best matches their risk preference.

While there are almost endless possibilities of portfolio composition, we show how given a specific set of stocks, the optimal portfolio composition can be calculated. This tutorial is the same portfolio for all, irrespective of risk preferences. This tutorial shows how we arrive at the optimal portfolio and why it is the same tutorial that every rational investor will choose.