IFMP Financial Derivative Traders Certification (FDTC), Pakistan case studies
IFMP Financial Derivative Traders Certification (FDTC), Pakistan · Put your knowledge to work in context.
The Financial Derivative Traders Certification (FDTC) is one of the specialized certifications listed by the Institute of Financial Markets of Pakistan (IFMP), appearing on the institute's programmes menu alongside the Anti-Money Laundering (AML)-(CFT) Certification, Clearing & Settlement Operations Certification, Compliance Officer Certification, Fixed Income Securities Certification, Islamic Finance Certification and Risk Management Certification. IFMP describes itself as Pakistan's first securities market institute, established as a permanent platform to develop quality human capital for financial markets, and it states that it conducts licensing examinations leading to certifications for different segments of financial markets. The IFMP Financial Derivative Traders Certification (FDTC), Pakistan case studies are 5 cases and about 2,696 words.
1Exporter's Over-Hedged USD Futures Proposal
A Karachi-based textile exporter expects USD 2.4 million in 90 days and wants to protect a budget rate of PKR 278/USD. A relationship manager at a PMEX member proposes exchange-traded USD/PKR futures with notional USD 24 million-ten times the receivable-arguing margin is only 8%, 'the exchange guarantees settlement,' and no board approval is needed because futures are 'off-balance-sheet.' Annual revenue is PKR 1.8 billion and EBITDA margin is 6%; a 2% adverse USD/PKR move on the proposed notional would lose about PKR 133 million.
629 words, about 3 min2Gold Futures Position-Limit Aggregation at the Close
Assume a PMEX member's proprietary gold futures desk has a published proprietary limit of 1,000 lots per contract. The member's 90%-owned subsidiary holds 150 lots in the same contract, and the member's own desk holds 850 lots.
466 words, about 2 min3Intraday Margin Call After a Nine Percent Gap
A clearing member holds a client's short position of 200 energy futures lots. Each lot has a contract value of PKR 1.2 million at the current price, so notional is PKR 240 million.
450 words, about 2 min4Unauthorized 500-Lot Fill Versus a 50-Lot Client Order
At 10:02 a broker-dealer's order desk receives a client instruction to buy 50 lots of a PMEX wheat futures contract at market. The dealer enters 500 lots.
602 words, about 3 min5Matched Trades in an Illiquid Wheat Contract
Surveillance at a PMEX member flags two accounts trading an illiquid wheat contract. Account A is a proprietary account of a small trading company; Account B belongs to the spouse of the member's head of operations.
549 words, about 3 min