Managing Corporate & Islamic Finance and Corporate Governance

Introduction

Managing corporate finance is broadly concerned with the effective acquisition and use of financial resources in creating corporate value, and its translation into shareholder value. Following the global financial crisis of 2008 and the continuing downward pressure on oil prices, excellence in financial management has become even more a number one priority for all Organizations to ensure their survival and future prosperity.

Use of the most appropriate financing and the techniques necessary to achieve strategic financial Objectives now increasingly includes Islamic finance, the fastest growing element in the finance sector.

Growing exponentially with an annual average growth rate of 17% between 2009 and 2014, Islamic finance was estimated to have a global worth of over US$2,000bn in 2014.

What is appropriate financing, what are the necessary tools and techniques, and how are they implemented?

This essential and exciting LAKESHORE ISL Financial & Budgeting training seminar on Managing Corporate & Islamic Finance and Corporate Governance, answers these and many more questions, bringing to life theoretical principles using contemporary practical examples, and highlights:

• Optimal long-term financing and minimising weighted average cost of capital (WACC)
• Islamic finance
• Appraisal and financing of domestic and international capital investment projects
• Financial planning and alternative financial strategies to maximise shareholder wealth
• Management of financial risk relating to interest rate foreign currency exchange rates
• Corporate governance

Objectives

By the end of this LAKESHORE ISL training seminar, delegates will be able to:

• Use the financial tools and techniques necessary to create corporate value and shareholder value to achieve the primary corporate objective of maximisation of shareholder wealth
• Identify the various types and appropriate uses of corporate financing and Islamic financing
• Evaluate the impact of alternative capital structures on your organisation’s WACC
• Develop long-term financial planning models to provide the necessary framework for the choice and implementation of appropriate financial strategies
• Manage financial risk exposures to interest rates and foreign currency exchange rates volatility using hedging and derivatives, and an appreciation of behavioural finance
• Consider how corporate behaviour impacts on achievement of corporate Objectives, and the importance of corporate governance in influencing that behaviour

Training Methodology

This interactive and user-friendly LAKESHORE ISL Managing Corporate & Islamic Finance and Corporate Governance training seminar answers the questions you have always wanted to ask about the management of corporate finance, Islamic finance and corporate governance. It is presented in a very hands-on way to suit individuals with varying levels of financial knowledge and experience using a variety of proven adult learning teaching and facilitation techniques. It is conducted along workshop principles with formal presentations, numerous worked examples, and real-world experiences and scenarios. Team case studies, exercises, and discussion reinforce the application of each of the learning points and topics covered.

Difficult mathematical concepts are minimised wherever possible and handled in a visual way that is easy to understand – our aim is for this to be an enjoyable learning experience.

Organizational Impact

You will go back to your workplace with an up-to-date and relevant skill-set that will benefit your organisation through:

• An emphasis on the critical impact of financing decisions on organizational performance
• The use of the appropriate long and short-term financing that matches the purposes for which it is required
• Investment in risk-assessed capital projects that add real value to the organisation
• Ensuring that the primary objective of shareholder wealth maximisation underpins all financial planning and decision-making
• The tools and techniques of risk analysis and risk management used to mitigate and minimise the impact of financial risk
• A corporate governance system of direction and control that facilitates effective and prudent management to deliver long-term success of the organisation

Personal Impact

This LAKESHORE ISL training seminar will greatly improve your skills in the use of the tools and techniques of financial management and their impact on organizational performance:

• Identification of the alternative sources of long-term finance and Islamic finance
• Evaluation of the impact of two of the most important features of corporate finance, capital structure (the proportions of debt and equity financing) and weighted average cost of capital  (WACC) on organizational performance and shareholder wealth maximisation
• The DCF techniques of NPV, IRR, MIRR, and EAC to evaluate new domestic and international capital investment projects, and the techniques of capital budgeting and the profitability index (PI) to determine how financial resources may be optimally allocated between competing projects
• Evaluation of risk relating to capital investment projects using sensitivity, simulation, and scenario analysis
• The techniques of financial risk analysis and appropriate risk management tools, and insurance and hedging of interest rates and foreign currency exchange rates
• The implementation of and reporting on systems of corporate governance
• More effective communication on financial and strategic issues with financial and other professionals and sharing throughout the organisation the knowledge gained from the seminar

Who Should Attend?

This LAKESHORE ISL Finance & Budgeting training seminar on Managing Corporate & Islamic Finance and Corporate Governance is essential for a wide range of professionals from companies, corporations and governmental Organizations and those employed in banking and financial services, and all professionals having financial, project management, planning, treasury, and cash management responsibilities, and all senior and director level managers.

In addition, any other financial and non-financial professionals that need or wish to learn more about the management of corporate and Islamic finance, and corporate governance.

Seminar Outline

DAY 1

The Framework of Corporate Finance and Islamic Finance

• What are Corporate Finance and Corporate Financial Objectives?
• Maximisation of Shareholder Wealth
• Long-term Financing – equity and debt
• Short-term Financing – internal and external to the organisation
• Shari’a Law and The Foundations of Islamic Finance
• The Growth of The Islamic Finance Industry
• The Bases of Islamic Finance, Corporate Value and Shareholder Value

DAY 2

Sources of Corporate and Islamic Finance

• The Financial Statements – What do they tell us about financing?
• Sources of Long-term Financing
• The Capital Markets
• Financial Institutions
• Islamic Finance and Riba (interest)
• The Two Pillars of Islamic Banking: Mudaraba (trust financing) and Musharaka (partnership financing)
• Islamic Banking Financial Instruments
• The 2008 Global Financial Crisis

DAY 3

Domestic and International Capital Investment and Financing

• Long-term Financing and Financial Risk
• Cost of Equity, Cost of Debt, and The Weighted Average Cost of Capital (WACC)
• Capital Structure Models to Minimise WACC
• Future Values, Present Values and Discounted Cash Flow (DCF)
• Capital Investment Appraisal using NPV, IRR, MIRR, and EAC
• Evaluating International Capital Investment, Its Financing and Cost of Capital
• Capital Budgeting, Capital Rationing and The Profitability Index (PI)
• Further Factors to Consider in Investment Appraisal

DAY 4

Financial Planning and Financial Risk

• Long-term Financial Plans to Determine Funding Requirements
• Assumptions that Support Financial Plans
• Financial Planning Models
• The Choice of Financial Strategies
• The Impact of Financial Risk on Corporate Financial Objectives
• Interest Rate Risk
• Foreign Currency Exchange Rate Risk
• Financial Risk Management and Behavioural Finance

DAY 5

Corporate Governance and Corporate Social Responsibility

• Insolvency, Wrongful Trading and Fraudulent Trading
• Shareholders, The Responsibilities of Directors, and The Agency Problem as An Obstacle to Achieving Corporate Objectives
• The Roles of Auditors and Directors
• The Need For Corporate Governance and Corporate Social Responsibility (CSR)
• The UK Corporate Governance Code 2010, USA Sarbanes-Oxley Act 2002, and GCC and Other Countries Corporate Governance
• The Board of Directors and The Role of Non-executive Directors
• Nomination, Remuneration, and Internal Audit Committees
• Corporate Governance Reporting in The Annual Report and Accounts