TRAINING ADVANCED CORPORATE CREDIT
TRAINING PEMAHAMAN ADVANCED CORPORATE CREDIT
TRAINING PENTINGNYNA ADVANCED CORPORATE CREDIT
BENEFITS
To revise and enhance analytic skills in order that participants will
become:
* Structured and focused in their approach to analysing corporate
credit risk
* More effective in assessing the success of a company’s business
model and the appropriateness of a company’s capital structures
(i.e. the degree of liquidity and the ability to service debt)
* Better equipped to critique the terms and conditions of credit
instruments to ensure that they reflect the commercial needs of
the business and protect the debt provider’s position.
The course makes extensive use of case studies, live examples and
exercises to ensure that the training is highly interactive,
practical, topical and challenging. Case studies are drawn from a
number of countries and industries and provide participants with the
opportunity to practice the application of the analytic frameworks and
tools in context of real situations. The emphasis is on developing
critical judgement; participants are required to be focused, practical
and realistic in their approach.,
OUTLINE
A. PURPOSE~ PAYBACK MODEL: A STRUCTURED ANALYTIC APPROACH
* A 4-step approach to credit analysis: Purpose, payback, risks and
structure
* Purpose: identifying the borrower and the potential for structural
subordination
* Assessing repayment sources: refinancing / access to markets, cash
flow profits, market value of assets and third party support
* Risks to repayment: identifying sector, management, business and
financial risk
* Structure: evaluating the risks in the exposure profile, ranking,
safeguards and pricing.
B. STEPS 1 AND 2: PURPOSE AND PAYBACK
* Purpose: Payback: the challenges to identifying and analysing
credit risk.
C. RATINGS AND RELATIVE VALUE
* Overview: understanding corporate credit ratings
* Understanding how credit ratings impact market access and debt
structures
* The impact of economic cycles on default and recovery rates
* Using default and recovery statistics to evaluate an appropriate
level of return (risk adjusted return on capital)
* Understanding why instruments might trade “outside” their rating.
D. STEP 3: RISKS TO REPAYMENT
The operating environment :
* Statement logic: Understanding how the business dynamics impact
the asset configuration, funding structure and earnings of
companies in different sectors
* Analysing sector drivers: structure, key competitors and the
outlook for growth, earnings and cash flow
* Assessing the characteristics necessary for industry success and a
company’s ability to create and sustain a competitive advantage.
E. EVALUATING BUSINESS RISK
1. Assessing commercial viability: asset investment and earning
dynamics
* Evaluating the business model: a practical approach to assessing
the success of management’s strategy
* Use of peer analysis to bench-mark performance: focusing on ratio
and cash flow to analyse asset efficiency
* Quantifying performance looking beyond EBITDA: defining,
calculating and using operating cash flow to analyse profitability
* Assessing a company’s ability to sustain profitability and cash
flow through economic and business cycles
* Different accounting conventions: looking beyond the numbers and
uncovering misleading accounting practices.
2. Forecasting the business requirements
* Using qualitative and quantitative analysis to assess future
performance
* Assessing forecasts of operating performance and asset investment
requirements.
F. EVALUATING FINANCIAL RISK
1. Evaluating financal strategy
* Using business risk to gauge the appropriate level of financial
risk
* Identifying an acceptable candidate for leverage
* Understanding a company’s financial strategy: ratings targets and
shareholder considerations
* Corporate treasury objectives: tenor matching, funding and
liquidity needs
* Credit strength and its impact on access to markets.
2. Measuring financial risk – liquidity
* Assessing liquidity and a company’s financial flexibility: on and
off balance sheet and cash flow indicators
* Understanding the limitations of traditional liquidity measures
(current ratio, quick ratio and working capital)
* A practical approach to evaluating liquidity – identifying a
company’s short term sources and uses of cash (base case, best
case and downside case)
* Using the liquidity analysis to determine the need for refinancing
* Determining the causes of a liquidity squeeze and anticipating a
company’s ability to react (e.g., access to capital, ability to
sell non-strategic assets, third party support).
* Measuring financial risk – solvency Measuring solvency: leverage
ratios versus cash flow measures
* Understanding financial risk: the limitations of traditional ratio
analysis
* Using cash flow statements to determine debt servicing ability
* Using discounted cash flows to quantify a company’s debt capacity
* Anticipating future borrowing requirements and reliance on market
access and refinancing.
3. Understanding the credit implications of various forms of capital
* Debt products: distinguishing features of strong versus weak
credits
* Understanding the effects of market demand on access to capital,
the degree of structural protection and the impact on pricing
* Understanding how other forms of capital may enhance or diminish a
creditor’s position
* Commercial paper: the benefits and the risks
* Bank debt versus bonds: terms and conditions compared,
understanding how bondholders are potentially at risk to
subordination by bank lenders
* Off balance sheet financing: the implications for other debt
providers
* Equity: understanding the difference in viewpoints (upside and
downside returns).
4. Assessing management and shareholders
* Management competence: how to evaluate and measure performance
* Corporate aims and goals: their effect on the company’s future
creditworthiness
* Evaluating the shareholder structure, the level of support and the
degree of influence.
G. STEP 4: DEBT STRUCTURE
* Framework for assessing the structure of a debt instrument: debt
profile, seniority, safeguards and pricing
* Seniority: identifying the borrower and the potential for
subordination
* Challenges to uncovering ranking and maintaining seniority.
H. APPLIED ANALYTICS: COMPLEX CASE STUDY
Part I: Assessment of historical performance
* Identifying the use of proceeds
* Determining the sources of repayment
* Review of the operating environment and the impact on the company
and its peers
* Commercial viability: determining the success of the business
model relative to peers
* Funding structure: assessing the company’s historical ability to
service debt and meet non-discretionary expenditures.
Part II: Evaluating sources of repayment
* Looking for indicators of quality and value
* Assessing existing liquidity
* Determining the ability to repay
* Evaluating future cash flows
Part III: Conclusions
* Quantifying the key sensitivities and their impact on the ability
to service debt
* Conclusions on the credit outlook and the key risks to taking
credit exposure.
TRAINING METHOD
Presentation
Discussion
Case Study
Evaluation
JADWAL TRAINING TAHUN 2023
17 – 18 Januari 2023
14 – 15 Februari 2023
20 – 21 Maret 2023
4 – 5 April 2023
16 – 17 Mei 2023
20 – 21 Juni 2023
17 – 18 Juli 2023
15 – 16 Agustus 2023
25 – 26 September 2023
17 – 18 Oktober 2023
21 – 22 November 2023
27 – 28 Desember 2023
Metode Training
- Tatap Muka/offline
- Online via zoom
Kota Penyelenggaraan jika offline :
- Bandung
- Jogjakarta
- Surabaya
- Jakarta
fasilitas yang didapatkan
- Training Kit Eksklusif
- Tas
- Name Tag
- Modul
- Flash disk
- Ballpoint
- Block Note
- Souvenir
- Harga yang Reliable
- Trainer Kompeten di bidangnya
- Pelayanan Maksimal untuk peserta
- Penjemputan dari dan ke bandara
Investasi :
Public training : Rp. 4.500.000 (minimum 3 pax)
In House Training : on Call
