RISK MANAGEMENT Dewit Finance advises companies & institutions
- foreign exchange exposure management - interest rate exposure management
Dewit Finance focuses on delivering expert advice and its independency , in your and/or your company’s interests without having to disrupt (existing) banking relationships
Dewit Finance is your advisory firm that guarantees: • • • •
in-house expertise independent advice unique service in Belgium exclusivity
“excellence in advisory services”
Agenda
need for consultancy independent advisor experienced partner key missions
need for consultancy
“Efficient risk management is a must for any business, also in the area of Market Risk” this as a result of …
-> economic crisis (since 2008) => turnover + profit margins under pressure companies seek to reduce financial costs !!! Market Risk efficiency (optimalisation) = cost reduction -> volatile financial markets (currencies, interest rates, commodities) => financial risks increase for enterprises -> amendment of policy framework at Belgian banks : - selective lending - stricter capital requirements for dealingroom products policy on hedging currencies/rates (credit limit lowered, rollover policy) -> European legislation increases (ISDA, EMIR, LEI, Mifid 2)
companies need good treasury management = efficient market risk management
independent advisor
* analysis of financial markets - market information (flashes) - technical analysis - newsletters - seminars - economic forecasts services provided from the “Competence Centre� (Hove-Antwerpen)
to inform and to detect market opportunities
* optimization of “market risk” operations ->
Risk scan - defining risks within the company (foreign exchange, interest rates,…)
->
Market Risk solutions - optimization of hedge portfolio (new positions, restructuring, ...)
- development of corporate hedging policies - set-up of treasury administration (library) - training of treasury staff, …
riskmanagement-analysis within your company optimization of treasury processes within the company (improvement of strategy and method)
* professional advice on FX- and interest rate transactions What When Where -
(type of market operation) (timing) (counterparty)
assistance with execution of market operations (+ reporting) creative and practical solutions to complex Market Risk management issues analysis of proposals of different banks (product, pricing, ‌) participation in treasury management meetings
Advice is 100% objective (with an independent market vision)
“ advice is not product-, transaction- or margin-driven �
Banks need to take a margin (related to capital requirement). No problem with that !! Using an external advisory firm will bring an adequate control of pricing (banks) goal : to create price transparancy ! => MIFID 2 correct pricing is a minimal requirement for your company !!!
advice in support of (strategic) financial decisions strengthens your negotiation position (with banks) cost-reductive
experienced partner
* partner for banking relationships oa periodic meetings with account manager/sales dealer evaluation of the quality of the services provided by banks startup of new banking relationships conflictmanagement, …
* partner for shareholderds, auditors, lawyers, …
company’s interests will be better protected
key missions
key missions to inform and to detect market opportunities riskmanagement-analysis within your company optimization of treasury processes within the company (improvement of strategy and method)
advice in support of (strategic) financial decisions strengthens your negotiation position (with banks)
cost-reductive company’s interests will be better protected