The Women in Treasury Global Study 2019


The Women in Treasury Global Study 2019

Treasury Today’s global Women in Treasury initiative recognises the importance of women in the corporate treasury profession and creates a means for women in treasury to communicate with one another; learn from each other and network in order to help each other. Whilst the treasury profession remains largely male-dominated, there are remarkable women enjoying remarkable careers.

Women need to be much more visible in their roles, both inside and outside of their organisation. While women can hesitate to promote themselves, this initiative aims to help bridge the gap.

Treasury Today run an annual global study of women working in the treasury profession to build up a picture of the profiles and careers of women from junior roles to Group Treasurer/Financial Director/CFO positions. The study is now open and we strongly encourage you to participate and make a difference!

Exchange April 2019

The April Exchange Newsletter is out now! The newsletter covers upcoming CPD events including the Treasury Management Course and Fundamentals, and more!

Agile Treasury Thought Leadership Series

Agile Treasury Thought Leadership Series


People should be empowered to innovate and perform critical decision making, which means they are driving long-term strategies that maximise enterprise value.

Any agile treasury process needs to be designed from a holistic stakeholder perspective. This means lateral input across a senior level, but also, critically, horizontal input from key operational staff through to the CFO and the Board. This is especially true for global entities with staff in diverse time zones or who maintain relatively low interaction with head office.

Common Shortfalls
– Lack of time
– Skills or experience gap
– Competing or uncertain strategic agendas
– Team size limitations
– Excessive key-man risk
– Lack of KPI alignment to commercial & risk management objectives

Solutions
– Consultation with stakeholders
– Ongoing experienced strategic and operational support
– Event driven strategic advice and management
– Upskilling internal personnel
– Align individual’s performance assessment/awards to relevant KPIs

Download a copy of the case study prepared by Rochford Group on how they identified, designed and implemented an interim and long-term solution for a client.

This case study has been developed by Rochford Group

EACT Briefing Focus: KYC

EACT Briefing Focus: KYC

KYC has become a serious concern for many corporate treasurers over recent years: it is increasingly complex to fulfill all unstructured requests. In all recent surveys conducted by the EACT, KYC is listed as a top priority for corporates and its rising costs are a source of frustration as KYC consumes lots of time, resources and money. Central KYC registers or solutions would create significant savings.

Exchange March 2019

The March Exchange Newsletter is out now! The newsletter covers upcoming CPD events including Essential Treasurer and Fundamentals, and a blog post from our WA Chapter Chair sharing tips for the modern treasurer.

Kirsty Dent on her way to becoming a CFO

Kirsty Dent on her way to becoming a CFO

Kirsty Dent

In 2018, FTA member Kirsty Dent was awarded a scholarship from Women & Leadership Australia to support her ongoing professional development.

Having seen the Finance and Treasury Association LinkedIn post promoting the scholarship, Kirsty was instantly interested in finding out more and didn’t think twice about applying. ‘The program is specifically designed for leadership development for women in finance and it stood out to me as a program that would help my confidence and develop my skills as a leader.’

Kirsty’s ultimate career goal is to become a CFO and a Board Member. In order to do so, she recognised that she needed to work on her leadership skills. In her current role as Treasury Analyst for Brisbane Airport Corporation, Kirsty has huge exposure to majority of the treasury functions however saw a gap she needed to fill.

‘My role is to ensure that all the cash flows of the company are effectively forecasted for and supporting the core treasury functions. In order to achieve my long-term career goal, I recognised that I needed to work on my ability as a leader.’

Kirsty has almost completed the Accelerated Leadership Performance Program, which allows participants to explore their strengths, areas of development and opportunities in order to build and maintain highly effective teams. ‘The modules focus on different areas of leadership development such as feedback, communication, conflict resolution and leading throughout change periods.’

The benefits have already taken effect with many of the newly learnt skills put into practice, opening new opportunities for developing her leadership skills and empowering her to lead within the organisation. ‘I have been able to mentor new employees within the greater corporate finance team, as well as take greater responsibility to oversee team members meeting their goals.’

When asked what advice she would share with women in treasury who want to enhance their career prospects she focussed on two areas:

Broaden your network
Kirsty spoke about how the FTA networking events and annual conference have been invaluable to her career path. ‘You never know who you’ll be able to connect with and where that connection will lead you. Broadening your network outside your organisation is extremely valuable.’

Be open to a mentor
If you are open to having a mentor, it can be the key driver to your success. ‘Find someone who you believe can provide general advice and guidance on how they achieved their career outcomes. Mentors can provide insights into their successes and missteps and steer you closer to your career goals.’

If you’d like to follow in Kirsty’s footsteps, applications for the next round of Scholarships close 22 March 2019.

Want to join the next FTA Networking Event?

CFO Sentiment | Edition 6 by Deloitte

CFO Sentiment | Edition 6 by Deloitte

A weaker domestic and global economic outlook weighed on Australian CFO sentiment in the final half of 2018. The US-China trade war and broader sharemarket declines have emerged as major drivers of weaker confidence, and this is limiting risk appetite. This shift means CFOs are now looking to government to provide further economic support through investment activities.

The CFO outlook for the Australian economy has also become more subdued, with expectations of further house price declines. There are still some positives, with expectations of a stable dollar and share market recovery.

Given these challenges, CFOs continue to look to leverage the benefits of digital transformation to improve efficiency. They are also actively changing their talent acquisition processes to access people who can manage this transformation going forward.

Exchange February 2019

The February Exchange Newsletter is out now! The newsletter covers International Women’s Day events, liquidity insights from JP Morgan Asset Management, funding opportunities for women in finance and more.

The RBA’s 50/50 Conundrum

The RBA’s 50/50 Conundrum

Aidan Shevlin, CFA
Head of Asia Pacific Liquidity Fund Management
J.P. Morgan Asset Management

The Reserve Bank of Australia’s (RBA’s) overnight cash rate has been unchanged at a record low of 1.50% for a record 28-months (Exhibit 1A). Throughout 2018, the central bank’s meeting minutes and speeches suggested that rates remained appropriate — implying a broadly neutral policy stance — while hinting that the next rate movement would be higher, albeit with “no strong case for a near- term adjustment in monetary policy”(1) .

For most of 2018, forwards markets agreed with the central bank and were firmly pricing in future RBA rate hikes — but this has abruptly changed (Exhibit 1B) with the market now indicating a 50/50 chance of a rate cut in 2019. This rapid reversal could exert substantial influence on the central banks thinking with significant implications for money market and fixed income investors.

Source: Bloomberg, Reserve Bank of Australia, J.P. Morgan Asset Management; data as at 22nd January 2019.

Stuttering growth engines

Historically, Australia’s twin engine economy has been a source of strength, with the combination of commodity exports and domestic demand helping the country avoid recession for a record-breaking 27-years. In the past half-decade, as mining infrastructure investment waned, a booming housing market — with prices jumping by 45% between 2012 and 2017 – replaced it as the key driver of economic growth.

However, the factors that triggered the housing surge — low interest rates, easy bank financing, limited supply and strong foreign demand have recently faded due to a combination of new macro prudential measures, higher commercial bank mortgage rates and tighter restrictions on foreign buyers. House prices (Exhibit 2A), building permits and new home sales have all fallen sharply, with negative repercussions for retail sales and consumer confidence.

Meanwhile, the well-publicized slowdown in Chinese economic growth and rising global trade tensions have raised the specter of lower demand for key Australian commodity exports including coal, gas and iron ore.

Source: CoreLogic, J.P. Morgan Asset Management, as at 22nd Jan 2019

Consequences and conundrums

Throughout 2018, solid business sentiment, an improvement in capital expenditure intentions and a tight labor market — with strong hiring momentum and an up-tick in wage price pressures – encouraged the central bank’s belief that inflation would move higher — implying the need for future rate hikes. But weaker housing, sharply lower business sentiment and softer domestic demand are already impacting growth and are challenging the viability of the RBA’s optimistic 3.5% 2019 GDP forecast(2). The hawkish bias is also being questioned as the RBA has never hiked interest rates during a housing market downturn (Exhibit 2B).

The path of least resistance

Economic growth will likely slow in 2019, albeit from a previously robust level. However, fears of a property price crash are likely overdone: Low unemployment and low-interest rates suggest mortgage payments remain affordable and most homeowners still enjoy positive equity. Little mortgage borrowing was completed at the peak which was perceived by many as unsustainable.

Finally, even if the economy slowed faster than expected, the RBA has capacity to cut base rates if necessary and the government’s improved fiscal position has given it the ability to cut taxes or boost spending if required.

Given this backdrop, the RBA is likely to strike a more neutral tone in meeting minutes and revise down its 2019 GDP forecast while keeping base rates unchanged for the foreseeable future — further extending its record-breaking period of inertia.

For cash investors, this suggests that money market yield curves could flatten further, although the recent tight liquidity conditions represent an excellent opportunity to extend duration and lock in attractive longer tenor yields.

To read more our liquidity insights, visit www.jpmgloballiquidity.com.

(1) Reserve Bank of Australia’s December monetary policy meeting minutes as at 18th Dec 2018
(2) Source: Reserve Bank of Australia Statement On Monetary Policy, 9th Nov 2018

2019 Treasury Fraud & Controls Global Survey

2019 Treasury Fraud & Controls Global Survey

This annual survey seeks to evaluate the current and projected impact of fraud on the finance and treasury environment. Practitioners from all industries are polled on their experiences with fraud and on the range of controls, safeguards, and security practices employed to protect their financial assets and information.

Data related to bank account management and reconciliation practices is also gathered for a more comprehensive view of how various treasury operations impact security. This data is compiled annually and used to educate the industry as to how the fraud landscape is evolving, and how practitioners can better protect themselves and their organizations against attacks.

In this survey, treasury and finance professionals were asked questions on topics such as fraud experience, cyber risk management, bank account management and more.