Global Trade Finance
1. Trade risks and risk assessment
- International trade practices
- Product risks
- Commercial risks (purchaser risks)
- Adverse business risks
- Political risks
- Currency risks
- Financial risks
2. Methods of payment
3. Bonds, guarantees and standby letters of credit
4. Currency risk management
- Currency risk
- The currency markets
- The spot trade
- Currency exposure
- Hedging currency risks
- Practical currency management
5. Export credit insurance
6. Trade finance
- Finance alternatives
- Pre-shipment finance
- Supplier credits
- Refinancing of supplier credits
- Buyer credits
- The international money market
7. Structured trade finance
- International leasing
- Lines of credit and local currency finance
- Project finance and joint venture
8. Terms of payment
9. Capital budgeting
- Cash flows estimation and management
- Other factors to consider: exchange rate fluctuations, inflation, financing arrangements, etc.
- Adjusting project assessment for risk (sensitivity analysis)
10. Collections and Disputes
- Collection procedures for international debts
- Commercial disputes and dispute resolution options
Lectures, discussions, case study analysis, class presentations, and guest lectures on industry-specific subjects.
1. Term Exam(s) (1+)*
2. Final Exam
3. Assignments (4-8)
1) No one examination may be worth more than 40%
2) 50% of non-exam assessments must be for individual work
3) Students must achieve a grade of at least 50% on the combined exam components to pass the course.
4) Students may conduct research as part of their coursework in this class. Instructors for the course are responsible for ensuring that student research projects comply with College policies on ethical conduct for research involving humans, which can require obtaining Informed Consent from participants and getting the approval of the Douglas College Research Ethics Board prior to conducting the research.
At the end of the course, the successful student should be able to:
- demonstrate understanding of the foundations of international trade and finance (transaction facilitation, risk management, financing, information sharing);
- evaluate the purchaser-related and the country-related risks (e.g. political and economic risks), and find possible ways to minimize or avoid them;
- evaluate the foreign-exchange risks;
- search for alternatives to finance international trades in the proper timeframe (short-, medium- and long-terms);
- prepare a trade project, identify its positive and negative cash flows, project the cash flow statements and evaluate the feasibility of the project from the financial perspective; and
- analyze financial statements, prepared using different accounting standards in accordance with the regulatory body for a specific country.
International Trade Finance, FITT, latest edition (Free eBook download for students registered with FITT)
Grath, Anders, The Handbook of International Trade and Finance, Kogan Page, latest edition.
Madura, Jeff., International Corporate Finance, Cengage Learning, latest edition.
Moffett, M. H.; Stonehill, A. I.; Fiteman, D. K., Fundamentals of Multinational Finance, Pearson, latest edition.
Or any alternative textbook that has been approved by the Business-Finance department.
ACCT 1210 or ACCT 1235, and FINC 1231 (minimum of C for all courses) OR currently active in the:
PDD International Business Management AND a minimum of C Grade in CSIS 1190 or FINC 1231, or
PBD International Supply Chain Management AND a minimum of C grade in CSIS 1190 or FINC 1231.
Course Guidelines for previous years are viewable by selecting the version desired. If you took this course and do not see a listing for the starting semester / year of the course, consider the previous version as the applicable version.
These are for current course guidelines only. For a full list of archived courses please see https://www.bctransferguide.ca
|Institution||Transfer Details for BUSN 3200|
|Athabasca University (AU)||AU FNCE 3XX (3)|
|Capilano University (CAPU)||CAPU BFIN 3XX (3)|
|College of the Rockies (COTR)||COTR ACCT 3XX (3)|
|Coquitlam College (COQU)||No credit|
|Kwantlen Polytechnic University (KPU)||KPU SOBU 2XXX (3)|
|Northern Lights College (NLC)||No credit|
|Thompson Rivers University (TRU)||TRU IBUS 2XXX (3)|
|University Canada West (UCW)||UCW BUSI 2XX (3)|
|University of British Columbia - Vancouver (UBCV)||UBCV COMM 3rd (3)|
|University of Northern BC (UNBC)||UNBC COMM 3XX (3)|
|University of the Fraser Valley (UFV)||UFV BUS 2XX (3)|
|University of Victoria (UVIC)||UVIC COM 3XX (1.5)|
BUSN 3200 001 - This section is restricted to Business Management Diplomas, BBA Management, PDD International Business, and PBD International Supply Chain Management until Wednesday, July 06, 2022 at 9 am.
BUSN 3200 002 - This section is restricted to Business Management Diplomas, BBA Management, PDD International Business, and PBD International Supply Chain Management until Wednesday, July 06, 2022 at 9 am.