Currencies around the world have weakened relative to the U.S. dollar, a boon to multinationals buying supplies in dollars but less so for companies selling into those markets, and a reminder to corporates to manage currency risk proactively.
On average, how long does it take before you stop listening to the person who is talking to you and begin mentally going over your remaining “to do” list, think about what you’re going to say next, or plan how you can tactfully extract yourself from the person and the conversation? Think about that the next time you are working on your resume.
This month, we look at the Foreign Account Tax Compliance Act (FATCA), the Mt. Gox meltdown, the importance of having an enterprise payment strategy that works in harmony with your working capital strategy, new revelations about the Target breach, NACHA's new plan for same-day ACH settlement, and more.
U.S. Federal Reserve Chair Janet Yellen made some waves in her news conference Wednesday when she said that interest rates may begin to rise about six months after the central bank concludes its bond-purchasing program. With the Fed expected to end quantitative easing in the fall, the rate hike would therefore begin in spring 2015.
Did harsh weather affecting much of the United States this winter put a chill on business activity, or was the slowdown in factory orders, the labor market, construction and vehicle sales a sign of another cool-down in the economy? That was the question as momentum seen last fall dissipated in early 2014.
The Canadian dollar (CAD) surprisingly tied with the Brazilian Real (BRL) to top FireApps' list of the most volatile currencies in the fourth quarter of 2013. But for the first time ever, the euro (EUR) was not on the list.
NACHA announced Tuesday that it is taking steps to bring ubiquitous, same-day ACH settlement to the U.S. Through a “phased approach,” NACHA plans to introduce multiple, same-day settlement options that would be available for virtually any ACH Network transaction.
This week, we look at how the Target breach was the result of the retailer's security team brushing off serious malware alerts. Also, how the Target breach has affected organizations that take recurring payments, and Sally Beauty reveals that its recent hack did indeed compromise customer card data.
Mizuho Bank, one of the largest lenders in Japan, has been named in lawsuits in the U.S. and Canada in the aftermath of the Mt. Gox collapse. The bank has been accused of profiting from fraud.
As with any risk, recognizing its mere existence doesn’t necessarily translate to mandatorily hedging it. When, then, should a recognized price exposure be hedged?
To manage cash effectively, a competent treasury department must understand the context in which the organization operates and develop cash management structures and services that will adapt with it. This is especially true for organizations that work in difficult contexts, such as World Vision, a charity with nearly $3 billion in annual revenue.
What’s ahead in risk management? How should risk managers communicate with the c-suite? Where should risk management even begin? The March issue of Risk digs in to these weighty topics with thought leadership from John Drzik, chairman of the Global Risk Center at Marsh & McLennan, on the decade ahead, and frequent contributor Ira Kawaller on price risk.
Finance professionals are responsible for most of their organizations' numbers. Unfortunately, that’s only 10 percent of the challenge of communicating quantitative information effectively. The other 90 percent depends on communicating that information.
It is essential to develop a working capital management strategy to maximize cash flow, reduce reliance on short-term debt and pay for current liabilities and operating expenses. And one of the greatest opportunities to avoid a cash crunch is to ensure you have an enterprise payment strategy that is working in harmony with your working capital strategy.
In some parts of Europe, the term financial planning and analysis is completely unknown. In the Nordic regions, for example, FP&A professionals are typically called business controllers.
The Foreign Account Tax Compliance Act (FATCA) is scheduled to take effect July 1, 2014. The law imposes new reporting requirements and a withholding mechanism on payments made from U.S. sources to certain noncompliant foreign entities.
The Commodity Futures Trading Commission (CFTC) indicated Tuesday that it is considering regulating Bitcoin. Separately, New York’s financial services regulator also took steps toward state regulation of virtual currencies.
Last week, Swedish financial planning and analysis professionals gathered for the launch of the Stockholm FP&A Club. Practitioners discussed the latest trends in FP&A and the new FP&A Certification from AFP.
The largest global financial market is at the center of a mounting international investigation into alleged currency benchmark rigging. Investigations opened by over a dozen regulators in United States, Asia and the United Kingdom, have implicated trading desks of some of the largest banks who reportedly position their own trades to profit from client orders and distort foreign exchange rates.
Canada has reached a free-trade deal with South Korea, which is expected to provide exporters with a better chance to compete with the U.S., Europe and other nations. South Korea is phasing out virtually all tariffs on Canadian imports, which could add C$1.7 billion to Canada’s economy over the next 15 years.
Once considered a “nice-to-have,” applying analytics is now mission-critical for organizations, due to increasingly thinner margins for decision error. Yet analytics often are confused with business intelligence.
Villanova University and Rice University are partnering with AFP to offer FP&A professionals an opportunity to prepare for the Certified Corporate FP&A Professional™ in a new, interactive facilitator-led courses. Villanova’s course begins this month, while Rice’s begins in May.
This week, the PCI Security Standards Council issues a warning to banks that after April 8, 95 percent of the world’s ATMs will be susceptible to cyberattacks. Also, Target's chief information officer resigns after the retailer's massive security breach, and thousands of Sally Beauty customers appear to have been compromised.
The two big stories of the week were certainly the U.S. employment report and developments in Crimea. The employment report was stronger than expected. Tensions in Crimea led to a brief flight-to-safety before the markets largely discounted them by week’s end.
If you want to get a group of financial planning and analysis professionals talking, then ask them what they think about budgeting.
Recent regulatory developments relevant to treasury and finance professionals are reviewed in the AFP Reg Report. The latest report looks back at February, which saw six congressional hearings on cybersecurity, rule changes to EU money market funds, movement on the Basel III leverage-ratio requirements and long-awaited tax overhaul legislation.
What’s the best way to get financial planning and analysis talking? Ask them about budgeting. The cover story for March FP&A is a wide-ranging conversation on annual budgeting – some hate it, some don’t, and some see it as a necessary evil.
Chances are your financial planning and analysis team spent a good chunk of 2013 measuring the value of departments, projects and initiatives throughout your company. However, there’s one group in your company that most likely has never received such attention: your own FP&A team.
Less than a week after Mt. Gox admitted to losing all of its money to cybertheft, Bitcoin site Flexcoin has found itself in the same boat. Also, Japan prepares to regulate Bitcoin as a commodity, and the CEO of Bitcoin exchange First Meta is found dead.
The majority of financial professionals expect their ability to forecast risk to remain difficult for the foreseeable future. In a new whitepaper, AFP, the National Association of Corporate Directors and Oliver Wyman examine how companies can develop effective risk communication between the C-suite and the board.
When a group of treasury executives meet nowadays it should come as no surprise that cybersecurity tops the list of conversation topics. That’s what happened when AFP’s Treasury Advisory Group (TAG) met in Washington, D.C.
Following the financial crisis, the treasury role has been elevated to a higher profile in many organizations. Tighter regulatory measures from the banks have led to challenges in obtaining funding for businesses. Hence the priority role of a treasury professional—funds management and cash flow—has been heightened to a business critical function.
Last week, U.S. Representative Dave Camp (R-MI) released the most detailed plan for overhauling the federal tax code since its last major restructuring in 1986. The plan broadens the taxable base and flattens out of the tax rate structure in an effort to down the marginal corporate rate.
The members of AFP’s Treasury Advisory Group (TAG) met last week in Washington, D.C. Members discussed developing and retaining talent, which has been popular topic of discussion among many treasury and finance professionals at recent events like the AFP Annual Conference and the CTC Corporate Treasurers Forum.
This week, Mt. Gox files for bankruptcy, admitting that it has lost approximately all of its Bitcoins—or nearly half a billion dollars. Also, researchers discover 146 different types of Bitcoin malware.
Several factors are contributing to the current state of uncertainty in the U.S. economy. How can corporates navigate those challenges as they attempt to develop and maintain an effective treasury staff?
Many corporates are eschewing using the Chinese renminbi (RMB) due to the complications and rules surrounding it. Now a top 10 payments currency, SWIFT reported this week that the RMB has overtaken the Swiss franc in the no. 7 spot. However, a lack of awareness among Chinese importers and exporters and slow corporate adoption will keep it from cracking the top five—where it belongs.
The month, we take a look at the Corporate Treasury Council's new guide, Attracting and Retaining Talent. Sponsored by Reval, and part of the CTC's Leadership in Treasury series, the guide delves deep into the unique challenges treasurers face in talent management, including practical examples from eight companies in different industries. Also this month, we look at preparing for the FP&A Exam, the characteristics of an optimized close, and more.
Is this the end of Bitcoin? Troubled Bitcoin exchange Mt. Gox suspended trading and was offline Tuesday amid reports that a security breach resulted in the loss of more than $350 million in bitcoins.
This week, fraudsters eschew Bitcoin for their own virtual currencies, crooks offer a discount on cards stolen in the Target breach, and a Barclays branch employee is accused of stealing millions.