Trade Finance Operations

Importing & exporting are vital business activities in Canada and federal government has adopted many regulations related to these activities. Whether course participants are new to international trade or wanting to streamline their finance and operational procedures, this course is an investment for professionals involved in importing and exporting activities, who wish to improve their international trade skills. This intensive practical 2-day course examines recent regulatory developments affecting trade finance.

Date: Winter 2013
Time: 9:00 am - 5:00 pm
Location: 688 Sherbrooke West
Course Fee: $895 CAD plus applicable taxes

Course Description:

This course addresses current trade finance instruments and techniques, facts and tips for use of Letters of Credit in export or import transactions with focus on Uniform Customs and Practice for Documentary Credit UCP 600 rules (ICC); Differences between guarantees and standby L/Cs, forfeiting and factoring, warehouse financing, fraud avoidance, structured pre-export finance.

Course Objectives

At the end of this course participants will be able to:

• Use trade finance instruments
• Structure successful trade deals
• Be familiar with structures, products, developments and risk management in trade finance
• Understand all contractual obligations in trade finance
• Master facility and back-to-back structures
• Support the exporter: guarantees and forfeiting including the legal aspects
• Manage the recent regulatory developments affecting trade finance

Course Outline

• Use trade finance instruments
• 1. Letter of credit (L/C) characteristics
  2. Letter of guaranty versus Stand By L/C
  3. Letter of guaranty characteristics
  4. Letter of guaranty types
• Structure successful trade deals
  1. Needs recognition phase
  2. Financial institution selection
  3. Counterparty selection
  4. Credit risk assessment
  5. Costs analysis
• Be familiar with structures, products, developments and risk management in trade finance
  1. Parties to a letter of credit / letter of guaranty
  2. Letter of credit / letter of guaranty cycle
  3. Letter of credit / letter of guaranty workflow
  4. Credit risk hedging : Insurance, political contacts
  5. Trade finance trends
• Understand all contractual obligations in trade finance
  1. Uniform Customs and Practice for Documentary Credit UCP 600 rules (ICC)
  2. Commercial obligations versus L/C and L/G obligations
• Master facility and back-to-back structures
  1. Back-to-back L/C logic
  2. Back-to-back L/C structures
  3. Back-to-back L/C pitfalls
  4. Trade finance facility structures
  5. Facility versus back-to-back
• Support the exporter: guarantees and forfeiting including the legal aspects
  1. Who is at risk and who needs support?
  2. Use of guarantees
  3. Use of forfeiting
  4. Contractual legal issues
• Manage the recent regulatory developments affecting trade finance
  1. The Canadian framework
  2. The international framework
  3. Best practices

Who should attend

• Professionals involved in Import & Export activities
• Treasury managers with international activities
• Finance managers and employees in international operations
• Business owners and managers with international counterparts
• Supply managers
• Professionals switching jobs
• Bank and financial institution employee

Lecturer

Messaoud Abda, CFE, CGA, CICA, CSI, MBA, FICB is an experienced senior corporate manager and instructor with over 20 years of experience in various sectors of the financial market. Mr. Abda has extensive experience in finance and accounting with large Canadian corporations, including Caisse de depôt et placement du Québec and Hydro-Québec. Messaoud is currently a lecturer at McGill University School of Continuing Studies, as well as professor and program manager at Université de Sherbrooke.

How to register

Register Now!

Contact Information

Telephone: 514-398-5454
E-mail: pd [dot] conted [at] mcgill [dot] ca