Overview

Most banks are adapting to the future by effectively utilizing various structured finance tools like pre-shipment or pre-export financing, post-shipment financing, warehouse receipt financing, and structured trade and commodity financing to add desirable new customers and expand into markets that are simply not accessible through traditional channels.

 This program has been designed to deliver a comprehensive understanding of structured trade and commodity finance, with specific focus on risk management and financing of physical flows of commodities. Drawing from real situations, the course provides best practice for the application of key concepts relating to risks and commercial priorities from the perspectives of both the borrower and the bank.

Areas Covered

• International Trade and Commodities
• Trade Finance and other forms of financing
• Critical components of commodity contracts
• Risk analysis of commodity finance transactions
• Push’ factors for success of pre-finance
• Limited recourse upon producer’s failure to deliver
• Distinguishing pre-finance and pre-payment
• Commodity origin countries and pre-export finance
• Documents of Title: title, negotiability and endorsements
• Elements of Bills of Lading – Received for shipment, On Board, Charter Party, etc.
• Principles of marine insurance and clauses
• Covering risk of default in payment by buyer
• Warehouse finance structures
• Clearing currencies and escrow account trade