HA Finance & Treasury for Board Members and Executives

Do your board members need greater financial awareness to respond to the new regulatory regime?

Objectives

  • To help board members and senior executives deepen their understanding of HA finance and treasury issues.
  • To de-mystify finance for non-finance board members and provide new insights for finance executives.

“The awareness and confidence to ask the right questions about finance.”

Who should attend?

Anyone with an executive or non-executive responsibility for management or governance of HAs, who needs to become more comfortable with the financial dimensions of his/her role.

Course Design

  • Five modules of flexible duration to suit an individual association’s requirements and which can be tailored to a half or full day.
  • Flexible delivery available during the day, evenings or weekends to suit members and executives.
  • Modules can be run individually or in combination.
  • Focus is on an individual associations profile and business needs using client association’s data.
  • The teaching style is interactive and participative.

Content of Modules

Module 1Module 2Module 3Module 4Module 5

Module 1 – Understanding the Accounts

  • Understanding the three accounting statements
    • Review the role and the form of the three main accounting statements
    • Review key accounting issues for members
    • Manipulating accounting data: what to look for
  • Understanding performance
    • Demonstrate simple but fundamental analysis of financial performance
  • Board requirements for management accounting information
    • Review of the financial aspects of governance in the sector

Module 2 – Investment Appraisal

  • Using DCF for investment appraisal
    • Payback, NPV, IRR pros and cons
    • Time value of money
  • Cash flows and discount rates
    • Geared versus ungeared analysis
    • Cost of capital
    • Use of terminal values in DCF
  • Project risk analysis and risk mitigation

Module 3 – Funding

  • HA sector funding as context for the Association’s funding
  • Bank (and capital market) debt features
  • Ratings
  • Policies and Board Oversight

Module 4 – Interest Rate Risk

  • The Association’s interest rate cost and risk
    • significance
    • origins
    • management
  • Derivatives, e.g. swaps, for managing interest rate risk
  • Policies and Board Oversight

Module 5 – Group Finance and Treasury Management

  • Regulatory framework
  • Finance/treasury policy and planning
  • Governance, risk and control