How does a fast growing private equity owned firm, take its risks, manage conflicts of interest so that it can maintain its lightly externally regulated status?Was anyone strong enough to challenge the CEO?

Greensill: Potential regulatory, governance and ethical issues raised

Regulation – Did UK regulatory oversight fail? Does the appointed representative regime work? Should bank structures or activities be regulated?. SMR regime applied? Group supervision? How were COVID related programs approved?

Regulation – Did regulatory oversight fail for the bank? How were concentrations of risk monitored by the regulator? What was the bank’s risk appetite? Should depositors waive their deposit insurance? Is $10bio a systemic risk? By Chet Student, S123456

Governance – How did a PE owner manage its own conflicts?Did the PE owner invest into the bank funds? Did the GAM episode not embed learning lessons?

Governance – How does a fast growing private equity owned firm, take its risks, manage conflicts of interest so that it can maintain its lightly externally regulated status?Was anyone strong enough to challenge the CEO?

Ethics – Why was a ex UK PM an advisor and board observer for an activity which he may have had limited technical knowledge of? Did he forfeited potentially millions of upside?Did others open doors to lucrative government contracts?

How were the conflicts of interest managed and by whom?

Greensill was a private equity owned, lightly regulated firm that offered supply chain financing, with a high concentration of clients, funders and insurers

Largest clients were linked with 2–3 groups (Behindthebalancesheet, 2021)

Most of its funding came from one global bank, via a fund offering sold to wealth management clients. Some funding came from a small bank in Germany,where some depositors may not be shielded by deposit insurance (Reuters, 2021)

Most of the trade credit insurance, that suggested these were safe products for investors, was concentrated with one credit insurer (Bloomberg, March 2021)

How were the conflicts of interest managed and by whom?

Stakeholders in this complex set–up include (underlined):

How a lightly regulated UK firm or “appointed representatives regime” can amass $10bio of funds from a global bank managed fund sold as low risk but be exposed to potential losses for fund investors,

Good clients who relied on its financings, staff and the owners (PE)

Depositors of the bank that also provided funding, deposit insurance?

Board members, auditors, suppliers, industry competitors, firm partners

How a lightly regulated UK firm can generate substantial potential losses?

Greensill was a provider of supply chain financing which filled bankruptcy in 2021

Greensill was a private equity owned firm that offered supply chain financing

Most of its funding came from one global bank, via a fund offering sold to wealth management clients.

Some funding came from a small bank in Germany

By Frank Student, S123456 §Most of the trade credit insurance, that suggested these were safe products for investors, was concentrated with one credit insurer (Bloomberg, March 2021)

The importance of this case is many, but it raises:

How a lightly regulated UK firm can generate substantial potential losses?

Management of any conflicts of interest

Seemingly weak internal governance and ties to powerful political forces

Who will pay? Investors, credit insurers, depositors, banks? It is a systemic issue?

Identify the risks,how might your firm be negatively impacted by fluctuations in the money supply?

Final Project Milestone Three: Analysis of the Scenario

Overview: For the final project, you will respond to the following scenario:

Imagine you are the chief financial officer (CFO) of the Fortune 500 company y ou chose in Module One (JPMorgan Chase & Co., AT&T, or Qualcomm). Given the positive macroeconomic trends, including improvements in labor market conditions, the Federal Reserve recently increased the federal funds rate. With the continued improvement in economic outlook, the Federal Reserve is poised to increase the federal funds rate again in the near future. The Fed believes that with the gradual increase in monetary policy, the economic activities and labor market will strengthen and inflation will remain consistent. As the CFO of your company, you must analyze and evaluate the likely impacts of the aforementioned Federal Reserve monetary policy actions to the wider economy (and specifically, to capital markets), as well as the resulting implications for your firm. Based on your assessment, you will put forth various recommendations to the company’s board for improving their financial position while safeguarding against corporate risk.

Prompt: This milestone will help you complete Section IV of the final project by analyzing the provided scenario.

Your work must address these critical elements:

IV. Analysis of the Scenario

Interpret the macroeconomic events described in the scenario to determine their likely impacts to capital market conditions. Cite specific evidence and principles discussed in the course that support your claims.

Draw connections between your analysis of the events and the more specific likely impacts to your own firm and their strategic objectives. Cite specific evidence and principles discussed in the course that support your claims.

Assess the potential for the macroeconomic events to pose financial risks to your firm.

i. First accurately identify the risks. For example, how might your firm be negatively impacted by fluctuations in the money supply?

Provide a specific example to illustrate each identified risk.

ii. Then measure (i.e., quantify) the risks using appropriate financial tools. For example, consider calculating your firm’s debt-to-capital ratio, debt/equity ratio, interest coverage ratio and their degree of combined leverage.

Discuss any differences between the capital structures of the firms based in the United States versus those of the foreign companies in your portfolio.

Unit VIII Final Project of All Work of Short-Term Asset and Liability Management

Cumulative Investing Project of MANDATORY EXISTING WORK

Must use Companies in Word document ONLY.

This cumulative investing project will help you to understand the factors, decisions, and ethics that influence the performance of multinational corporations (MNCs) and foreign stocks in the international financial environment.

In this unit, you will continue to work with the stock portfolio that you created in Unit II, consisting of at least three U.S.-based MNCs and two foreign stocks. You have monitored the performance of the portfolio during the course. In this unit, you will attempt to explain why each stock increased or decreased in price and why your portfolio performed well or poorly. Your explanations should offer insight into what is driving the valuations of the companies.

For this unit, continue to use the spreadsheet you created in Unit II to track your investment. The Unit II spreadsheet consists of the following data points:

firm name;
ticker symbol;
amount of investment in each stock ($10,000 per stock for a total of $50,000);
price per share at which you purchased the stock;
exchange rate;
percentage change in stock price, which will be updated for a final time in this unit; and
change analysis, which will identify the primary reason for the change in stock price. (This will be updated for the final time in this unit.)

Update the spreadsheet columns with the percentage change in the stock price since your last assignment submission (at an interval of your choosing) and the primary reason for the change in the stock price up to the current date.

In a separate Word document, respond to the prompts below.

Discuss any differences between the capital structures of the firms based in the United States versus those of the foreign companies in your portfolio.

Do any of the companies in your portfolio have bonds issued in a currency different from their home country? Explain the risks involved with this practice.

How are the companies you have chosen for your portfolio affected by trade-related finance services?

Why might the MNCs in your portfolio consider short-term financing from their subsidiaries?

How did your portfolio perform over time? Why do you think your portfolio value increased or decreased during the time you were invested in the stocks? Was it because of the markets where your firms do business or because of firm-specific conditions? Explain in detail.

Submit your spreadsheet and summary. Your summary should be at least two pages in length. Adhere to APA Style when constructing this assignment, and include in-text citations and references for all sources that are used.Note that no abstract is needed. For your summary, use a minimum of two sources, one of which may be the textbook. Your summary should include a title page, introduction, body, conclusion, and references page.

Critically evaluate research from a variety of sources to explain why you have identified this as a risk,and whether you would consider hedging.

Financial Risk Management

Question 1 (20 marks)

Assume you are a US company and expect to receive £ 24,540,000 in 3 months from now. Given the current economic environment in the US and globally, you fear that your company will be adversely affected and wishes to hedge to reduce its risk related to exchange rate changes. Based on this scenario, please answer the following questions:

Identify ONE financial risk faced by the US company given the above scenario. Systematically review and critically evaluate research from a variety of sources to explain why you have identified this as a risk,and whether you would consider hedging.

Discuss in your answer the outlook for the underlying variable and cite evidence of an adverse and/or favourable direction. NB: reference list will not be part of the word count. (250-300 words)

Explain the benefits of implementing your recommendations and justify why you are making these specific recommendations.

Zero Based Budgeting

Read the Hospital transformation through zero based budgeting Download Hospital transformation through zero based budgetingPowerPoint presentation. The Board of Directors of Windsor Memorial Hospital has hired you to be their zero-based budget consultant. Specify how Windsor Memorial Hospital can implement a zero-based budget and provide your recommendations to the Board of Directors of the Hospital. Explain the benefits of implementing your recommendations and justify why you are making these specific recommendations.

Your paper must include an introduction and conclusion.

Your paper must be four to five double-spaced pages in length (excluding title and reference pages) and formatted according to APA style as outlined in the Writing Center. Utilize three scholarly and/or peer-reviewed sources (excluding the course text) that were published within the last five years.

Cite your sources within the text of your paper and provide complete references for each source used on the reference page.