INTERNSHIP REPORT ON FOREIGN EXCHANGE OF BANKS

Thank you for inviting me to this forum, I am grateful to all who organized the event especially Fr. Peter Stravinskas who certainly knows how to bring people together from different disciplines and dioceses’ for the purpose of Catholic Education.

This report will initially identify the root of foreign exchange risk that Clearwater Seafoods is encountering. After then, it will also discuss about the business risks that the firm needs to overcome. Further, we will try to find out relevant

This article relates to our class because it shows how the actions of one organization or country affects many other in international business.

International projects present multinational corporations with many complexities in organizing a profitable transaction structure.Foreign exchange risk is an underlying problem. Credit risk presents another challenge. Payment terms and the certainty of realizing them can be difficult points. Negotiations with foreign corporations and governments, and with agents and intermediaries, present additional challenges. An example of the demanding environment for global financial activities is presented in the case of "Avicular Controls and Pakistan Airlines". It is found in Cases in International Finance on page 40.

American Express provides an online currency exchange service to its customers and small businesses. To maintain competitiveness, the company must ensure that their service is secure, easy to use and cost effective. There are innumerable and continuous opportunities for the company to take advantage of other companies or businesses that need to manage foreign currency and exchange rates. The opportunities exist in established markets as well as emerging markets. The increase in access and usage of the internet makes it easier to find buyers or suppliers even in remote places ("Online Currency Exchange", 2016).

Exchange rates play a pivotal role in the relationships between individual economies and the global economy. Almost all financial flows are processed through the exchange rate, as a result the movements and fluctuations of the exchange have a significant impact on international competitiveness, trade flows, investment decisions and many other factors within the economy. Due to the increasing globalisation of the world economy, trade and financial flows are becoming more accessible

Central banks intervene in foreign exchange markets by “influencing the monetary funds transfer rate of a nation’s currency” with the purpose of building reserves, keeping the exchange rate stable, to correct imbalances, to avoid volatility and keep credibility. It implies changing the value of a currency against another one. It creates demand or supply of a currency by buying or selling the country’s currency in the foreign exchange market. (Foreign Exchange Intervention)

In preparation for my first visit to the Denver Art Museum I browsed their numerous extravagant collections online. I was taken back by the wide range of skilled artwork as well as impressed. I spent hours completely entranced by the artwork. When I was done viewing the gallery virtually I questioned whether or not I should even still visit the actual museum. I felt that I had just had the same experience only free and from the comfort of my couch. Fortunately, my sister convinced me into going with her and I have not regretted it since! Viewing artwork in person is far more beneficial than viewing it from a virtual gallery.

International business is the most desirable and vital phenomena in today’s modern world. Most individuals know that International Business is the necessity for the prosperity of our world. No one can prosper without performing business internationally. When learning of how other countries conduct International Business, a company can expand their market to appeal to citizens of these places. However, being as close knit as we are to other countries, not everyone holds the same values. Every business’ goals is to make profit and if one company acts in an unethical matter, that will create a downfall domino effect. This statement holds truth for the result of the financial/banking crisis that occurred in 2008 because of many errors that were made unethically and eventually affected many other countries around the world and their living conditions.

In the mixture of reading altogether the information on EXIM, a large portion of the organizations that made installment to these outside authorities have been subjected to criminal and common activities which result in fines, suspensions and jail time. Many organizations have actualized a consistence programs with strategies to stay away from this sort of results that can radiant influence the firm and notoriety. In numerous monetary establishments, these sorts of strategies are executed and in addition trainings to distinguish these sorts of exchanges to outsiders are likewise

• Financial management effort: To minimize the risk of exchange-rate fluctuation and transactions processes of export activity the financial management needs more capacity to cope the major effort

The first work experience that I had after obtaining a bachelor degree was as Research Assistant of Center for Central Banking Research and Education of Bank Indonesia from February to July 2015. Having working experience in central bank helped me to develop my expertise in financial field. The responsibility as the research assistant was to aid researcher of Bank Indonesia in composing a book regarding products and sharia contracts of Islamic finance and Islamic monetary instrument. This book was addressed as a guidance for Islamic banking and finance practitioners to develop and offer financial products and services to their prospective costumers. Afterwards, I worked in Roosdiono and Partners (a member of ZICOlaw) as their sharia consultant. In this firm, I served as a consultant in several sharia or legal cases related with Islamic financial institution clients. Having these experiences, I understand and fully aware that my proficiency and expertness of Islamic finance was inadequate to become an expert in this field. Thus, I opt to enlarge my knowledge by pursuing higher level of education in master

A bank’s capacity of handling and intermediating large financial flows depend crucially on its capital base and quality of risk management. To enhance this capacity in banks in Bangladesh, BB has introduced mandatory Basel II based capital requirements for banks from 2010 after a year in trial run; steps have also been taken to develop and strengthen risk assessment capacities including forward looking stress testing in the banks as well as in BB supervision departments. To sum up, BB’s routine half yearly monetary policy formulation exercises aimed at maintaining

In modern life we cannot think without banks and financial institutions. All financial transactions such as export, import, buying, selling, loan and borrowing are dependent on bank system. Economic stability socio-economic development, international business affairs all are interrelated with banking system. The history of banking system is old. It is derived from reserve system of grains and after exchange of money. History of banking system in our subcontinent especially our country is not old. Bangladesh is a developing country, in where, limited resources, burden of overpopulation, economic instability, political instability, corruption, natural disaster, are always hindering the development. The high performance of remittance has a greater contribution in present economic stability of the country, when we can convert the burden of overpopulation toward better human resource through effective human resource management, skill development program, training, education, creating new working sector to reduce unemployment, emphasis on entrepreneurship. Only banking system or financial institutions may convert the overpopulation into better human resource by providing soft loan for building new working sector for employment, encouraging people to be efficient in one’s working aria. This assignment has been written or created on the basis of performance management in banks and financial institutions in perspective of Bangladesh. Performance management is an

Banc One’s overall strategy of risk management is to stay within a permissible limit of earnings sensitivity. Based on the last meeting, it was decided that for 50 basis points increase (average over a year) in the interest rates, the level of earnings change should not be more than 4%. Banc One also used a balancing portfolio for asset-liability management, which consisted of investments in conventional securities and derivatives with an underlying mandate to achieve a reasonable rate of return, fulfill short term liquidity needs, manage interest rate exposure, and maintain a modest regulatory capital obligation. Also, Banc One has recently shifted its focus to synthetic instruments owing several advantages these new securities present.