Czech Association of Treasury

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Czech Association of Treasury

• CAT presentation September 2005
• Croatia
• "CAT experience in the Financial World - CAT
  organisation, activities, membership in IGTA and
  EACT, educational program"
• Ivan Haco, president CAT

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CAT Association

• Macroeconomics CZK
• aim anti-inflation policy and stable
  interest rates
• Low CPI (1,9) does allow to Czech National
  Bank to lower short term
• interest rates and support GDP growth (4,7)
• Increase of the FDI - privatisation continues
• Future development of prices deregulation will
  support expressively lower inflation level in
  the future
• Low interest rate difference between CZK
  (1,75 and EUR (2)
• FX rate CZK/EUR moved from 36 to 29.5 during 1
  year !
• High probability of its decreasing in the
  future .. to 28 CZK/EUR ?
• Convergence the CR to EU . common currency in
  2010 ?

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CAT Association

• In the Czech Republic the treasury function is a
  very new area in the financial management of
  corporations, and its uses and responsibilities
  are being gradually developed. The evidence of
  this fact is that no expression has been found
  yet in the Czech language which would present a
  real equivalent of the English word treasury.
• Significance of the Treasury departments
  increased especially after the currency crisis in
  1997, when a number of important companies had
  terrible problems as before then the protection
  of currency and interest risks had been rather
  exceptional specialised. Treasury departments
  started to arise, professionals have been active
  in the financial activities inside the
  corporations, so that the importance of Treasury
  has been developing.

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CAT Association

• The role of the treasury professional has evolved
  rapidly over the last ten years. In addition to
  the basics of banking relationships and cash
  management, treasury managers have to inform
  themselves about developments in electronic
  payment systems, e-commerce, risk management and
  relevant SWs for modelling and evaluating risks,
  credit management, accounting standards tax
  optimisation and a variety of other issues. More
  than ever, treasury practitioners also have to
  participate with other managers to co-ordinate
  the flow of financial information throughout an
  organisation.
• CAT has created its own web pages in Czech and
  English, where CAT transmits knowledge of
  treasury management in the Czech republic and
  discover more information about activities CAT
  Committees, our current Seminars and all of
  around the treasury in CR for finance
  professionals.
• www.czechtreasury.cz

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CAT Association

• The Czech Association of Treasury (CAT) was
  founded at the beginning of the year 2001. The
  founders are professionals from the treasury
  departments of leading corporations in the Czech
  Republic.
• The principal aims of the Association are to
  publicise and to develop the treasury
  profession, while becoming the leading authority
  on questions of Treasury development and Risk
  management within the financial framework of
  corporations. It would also like to be a
  recognised authority in the area of corporate
  management in the Czech Republic.
• At the present time the Presidium (Board) of the
  Association is preparing activities for
  financials professionals, especially those
  working for the top 100 corporations in the Czech
  Republic. We have 92 registered members and
  suppose that by the end of this year we will have
  around 100 members and 200 active non-members in
  the Association.

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CAT Association

• The entry into the international organisations
  IGTA and EACT is, besides expanding the
  membership base, the main priority for the next
  development. The CAT has already been introduced
  as an IGTA candidate at the 3rd Treasurers Forum
  held in London in March 2002. At this Conference
  several national associations also supported our
  entry. CAT was accepted as the IGTA member during
  2002 . EACT member is CAT unofficially from
  November 2004, officially
• is CAT member of EACT from May 2005
• Establishing a good reputation of CAT in
  financial circles is another goal. The CAT should
  like to provide opportunities for financial
  education and consultations in the future.
• The main internal aims of the CAT are the
  functioning in elementary areas of the financial
  management concentrated to the Professional
  Committees, as well as its share in the
  professional development of our members. Further
  CAT want to co-operate with commercial banks, and
  companies concerning the treasury systems. The
  professional activities are controlled by
  individual committees

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CAT Association

• CAT Professional Committees
• Cash / Liquidity management
• Risk management
• Foreign relationships
• Career development
• Banking relationships
• Treasury systems and technology
• Legal, Tax, Accounting and Audit management

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CAT Association

• CAT Objectives
• 1. To create and develop a professional
  association for those practising corporate
  treasury management
• 2. To provide a forum of members to meet and
  discuss relevant issues
• 3. To promote ongoing professional development of
  corporate treasury
• 4. To improve the availability and standard of
  education in corporate treasury management
• 5. To collate members' views on topics of
  interest and to provide a collective voice on
  these topics to the Government, industry and the
  community

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CAT Association

• CAT objectives in practise
• 1 Co-operation with EACT and IGTA
• 2 Co-operation with associations in Czech
  Republic associations in abroad (ACT - 2006
  Conference, educational programme for CEE)
• 3 ensure monthly Seminars/workshops for members
  / non-members
• 4 annual Treasury Management Forum conference
• 5 co-operation on Eurofinance treasury
  conference in Prague as professional guarantor
• 6 Participation in economic legislation and
  regulation process
• 7 Medial presentation of professional opinions
• 8 Increasing quality of the Financial Manager
  quarterly journal
• 9 Support of CAT members training activities
• 10 start co-operation CAT with the universities
  (managers students academics)

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CAT Association
CAT structure
General Assembly (92)
CAT Office (1)
Board of Directors (9)
7 Committees
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CAT Association

• CAT membership

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CAT Association

• CAT members admission criteria
• -Membership Subscription for one representative
  of groups member (further Subscription) for one
  calendar year is 4.000,- CZK
• -Membership Subscription for individual member
  (further Subscription) for one calendar year is
  2.000,- CZK
• -50 Subscription, if Presidium decided about
  origin membership after 30.6.
• -Group CAT member remit Subscription in
  multiplication of basic Subscription and number
  of representatives.
• -In case of extend representative Group CAT
  member will occur from the decision Presidium
  after 30.6., remit for that representative(s) 50
  basic Subscription
• -Honorary member has no obligation to pay
  Subscription.

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CAT annual conferences

• 1 - annual conference Payment Transactions
  through Electronic Banking Systems May 2003 as
  1-days conference- takes place in Prague - Hotel
  Holiday Inn- organised by top vision
  marketing-education company - 120 participants
• 2 - annual conference Treasury Management Forum
  - TMS and other Information systems systems
  for financial support
• - June 2004 as 1-day conference- takes place in
  Prague - TOP Hotel - 80 participants
• 3 - annual conference Treasury Management
  Forum - Payments System, Financial Management
  Information Systems June 2005, 1-day
  conference- takes place in Prague - Congress
  Centrum Prague
• - 160 participants

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CAT Association

• CAT activities some of Seminars
• 1. Investment funds for cash management of Czech
  corporations
• 2. Hedging IR and FX risks by derivatives and
  structured products discussion with main bank
  analysts
• 3. Accounting of financial treasury instruments
  IAS standards
• 4. Practise of hedging and speculation on FX and
  IR instruments - examples in corporate treasury
  management (2 days)
• 5. Implementation the basic Risk management
  procedures
• 6. Practise workshops of presentation skills for
  CAT members

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CAT Financial journal

• CAT works on the basis of internet information
  flow, but we realised and organised just now
  professional magazine.
• 2 ways our own quarterly journal x
  co-operation with professional Financial
  Management monthly journal (part of the journal
  will be by CAT)
• First issue - winter 2005.
• OBJECTIVE professional news, experiences,
  discussion between treasurers and academics
• SECTIONS spotlights, Contemporary papers,
  European financial law, Financial English
• AVAILABILITY all CAT members and contacts, many
  university libraries in Czech Republic

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CAT partners

• In Czech Republic
• 1 - Ministry of Finance
• 2 - Czech National Bank
• 3 - Bank Association, CFO Association, Institute
  of Internal Audit
• 4 - Chamber of Commerce CR
• 5 - Parliamentary Committees, President CR office
• In abroad
• 1 International Group of Treasurers
  Associations - IGTA (membership since 2002)
• 2 - Euro.Associations of Corporate Treasurers -
  EACT (membership since 2004)
• 3 - SAF - Slovak Association of Financials (since
  2001)
• 4 - ACT in London (we co-operate on the mutual
  Treasury Conference 2006)

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CAT and IGTA

• IGTA
• INTERNATIONAL GROUP OF TREASURY ASSOCIATIONS
• established in 1986, 21 professional associations
  of 5 continents
• CAT membership
• ordinary membership since 2002
• CAT role is rather formal
• membership fee from 2005 (300 Euro minimum)

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CAT and EACT

• EACT EURO- ASSOCIATIONS OF CORPORATE TREASURERS
  
• represent more than 7600 members from 4300
  European companies
• established in 2002, 15 professional
  associations now
• president of the EACT is for 2005 François
  Masquelier, earlier Pierre Poncet
• key issues are reviewed and discussed within
  the EACT membership, with several
• representations made to their own commissions or
  experts and liaison with the relevant
• national and European bodies - ECB, European
  Commission, European Parliament,
• CESR, EBF etc.
• - IAS 32 and 39
• - Harmonisation of payment systems in Europe
  (SEPA and NLF)
• SEPA Single European Payment AREA
• NLF New Legal Framework (European directive of
  the new pan European payment schemes as well as
  rights and obligations of Payment Services
  Providers -PSP- and Payment Services Users -PSU-)
  

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CAT and EACT

• CAT membership
• ordinary membership since May 2005
  (unofficially since November 2004)
• CAT activities
• active participation in the processing of EACT
  agreements inside the treasury environment and
  public financial authorities.
• half-year meetings place for discussion and
  preparation
• financial education in the future
• consultations of experts
• - professional opinions for negotiations with
  CNB
• members of the professional Committees
• development of our association and members by
  common activity (prepared ACT/CAT Conference)

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CAT educational program

• 2000 IGTA had developed a syllabus for a Global
  Treasury Manager. This outline is ACTs material,
  but highlighted areas have to be developed by
  each association in relation to local situations
  
• 1. Basic syllabus for the Global Treasury
  Manager
• 2. Basic syllabus for treasury competence
• 3. International treasury advanced syllabus
• 2002 IGTA supports a process of accreditation
  of existing education programmes developed by
  treasury associations and other education
  providers. This is to ensure that the programmes
  meet IGTA standards.
• The accreditation committee awards accreditation
  in 3 categories of diploma / certificates
• "IGTA treasury management diploma"
• "IGTA certified treasurer diploma, "IGTA
  certification"
• "IGTA certificates in Operational Treasury

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CAT educational program

• Accreditation process
• process is managed by accreditation committee of
  IGTA
• accreditation committee consists of treasurers,
  financial directors, academic people and experts
  named by IGTA, representatives of national
  associations of corporate treasurers,
  Universities representatives of educational
  company
• Conditions of courses
• for IGTA certified treasurer diploma have to be
  prepared syllabus for 1,5 years education and
  minimum 300 hours (á 45 min.)
• end of programme must be finished by examination
  - graduation paper
• organisation of course must be similar as
  external MBA course
• CAT and certification
• CAT havent started educational program yet. We
  asked for support from EU structural funds
  co-operate with Economy University of Prague
  other Associations in the CEE (Slovakia,
  Slovenia, Hungary). common program ?

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CAT Association

• Contacts
• National Office
• The CATAssociation of Corporate
  TreasurersPrague 5
• Na Plzence 2/1235
• www.czechtreasury.cz
• info_at_czechtreasury.cz
• Ivan Haco (chairman)
• phone [phone] e-mail
  ivan111_at_seznam.cz
• Petr Polak (foreign relations)
• phone [phone] e-mail
  petr_polak_at_post.com