Cash Flow, Fair Value & Net Investment Hedging Strategies Webinar (1.5 Hours)

In this information-packed webinar, you’ll receive a review of common cash flow, fair value and net investment hedging strategies, gain valuable insight on how to maximize the benefits of each, and explore comparisons of methods within old and new GAAP. 
 

AGENDA HIGHLIGHTS

•  Cash Flow Hedging Strategies
   – Overview of Cash Flow Hedge Accounting
   – Assessing Hedge Effectiveness for Different Strategies
   – Excluded Components
      • FX forward examples, old and new GAAP
      • Option products: time value, intrinsic value, accounting benefits
      • Amortization vs. Caplet Method
   – Forecast uncertainty
      • Unpredictable plant shutdowns
      • Seasonal forecast
      • Delays in supply chain
      • Rolling exposure buckets: How do they work?
   – Changes to the Hedged Risk
   – Contractually specified risks
   – Non-Financial Risk
      • Old and new guidance
      • Benefits of New Guidance

•  Fair Value Hedging Strategies
   – Hedge accounting roadmap
   – Overview of fair value hedge accounting
   – Where does ineffectiveness come from?
   – Fair value hedging improvements                                                                 
   – Ineffectiveness gain and loss
   – Portfolio hedging reinvented
   – Hedging fixed-rate bonds
   – Outstanding balance analysis
   – Similar asset test
   – Hedging prepayable fixed-rate loans and hedge analysis
   – Last of Layer Balance Analysis

•  Net Investment Hedging Strategies
   – Overview of net investment hedge accounting
   – Economic Alternatives
      • Foreign denominated debt
      • Cross currency swaps
      • Series of FX forwards
      • Methods of assessing hedge effectiveness
   – Spot method: New vs. old GAAP
   – Using a cross currency swap
   – Intentional over-hedging
   – Amending new cross currency swaps

LEARNING OBJECTIVE  To provide accounting and financial professionals with an in-depth look at cash flow,
fair value and net investment hedging strategies, as well as guidance on the best ways to implement them.

PREREQUISITE  None.    ADVANCE PREPARATION  None.    PROGRAM LEVEL  Update.    
NASBA FIELD OF STUDY  Accounting.   DELIVERY METHOD  Group Internet-Based.