What is Treasury Management

 Collects funds and disburses money.

 Managing Funds
 Responsibilities fall under the scope of CFO  The CFO’s responsibilities include capital

management, risk management, strategic planning, investor relations and financial reporting.

TB. CD.Integrated Treasury Department Domestic Treasury Operations • Make investment in their own account • SLR. . foreign exchange swap markets . CP. Equities and various other derivaties Forex Treasury Operations • Conduct operation on behalf of clients • Spot and forward markets. CRR. FCNR and Nostro Account. Bonds & Debentures.

Integrated Treasury  Objectives a) b) c) d) Meeting reserve requirements Provision for adequate and timely liquidity Global cash management Optimizing profit by exploiting market opportunities in forex market. money market and securities market Risk management a) .

settlement and reconciliation . accounting and management information Back office Confirmations.Structure of Treasury Department Function Responsible for Front office Mid-Office Dealing Risk management.


Bank treasury departments  Money market desk  Foreign exchange or FX desk  Equities Desk  Derivatives Desk .

Functions of Treasury Management  Reserve Management & Investment  Cash Management  Liquidity & Funds Management  Risk Management  Asset liability management  Transfer Pricing  Derivative products  Arbitrage .

Reserve Management & Investment  Meeting CRR/SLR obligations a) CRR – 6% b) SLR – 25%  Appropriate mix of investment portfolio Cash Management  Control & care of the cash assets and liabilities of the organization.  Selection of investment products. . cash management information systems. investment brokers. methods of borrowing.

Liquidity & Funds Management  Analysis of cash flow arising out of asset liability transaction  Fund various asset of balance sheet  Policy inputs to strategic planning and yield expected in credit and investment. Risk Management  Changes in Interest rates  Increasing NPA’s  Increasing level of disintermediation .

Transfer Pricing  Transfer of funds to related party.  Assist in enhancing profits  Performance evaluation Derivative Products  Develop Interest Rate Swap and other cross currency derivative products  Hedge bank’s own exposure and also sell to customers Arbitrage  Risk less profits .

Treasury Management Services  Improve your receivable collection processes  Increase control and management of your     disbursements Enhance your level of timely and comprehensive information controls Maximize your liquidity management Reduce the potential for fraud and possible monetary losses to your company Provide the most advanced information technology tools available .

Thank You .

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