Professional Development Courses - Applied Securitisation Program
This new program is designed for those professionals working within the securitisation industry who wish to enhance their practical skills and knowledge of structuring and cash flow modelling and other areas of specialised securitisation knowledge.
Financial markets professionals who want to gain a more in-depth knowledge of the application of securitisation technology to the financing of financial assets.
Program structure
The Applied Securitisation Program comprises of the Structuring, Cash Flow and Waterfall Modelling module and two of the four elective modules (click through for detailed outlines):
The Program has been developed by the ASF Faculty of Education and comprises a blended approach of written course materials, workshops facilitated by experienced industry professionals and independent study.
Course requirements
Participants complete the Structuring, Cash Flow and Waterfall Modelling module and select two of the electives set out in the diagram below.
It is suggested that to undertake the full Applied Securitisation Program participants should have completed the Diploma of Securitisation (or Securitisation Professionals Program) or have the equivalent prior industry experience and knowledge.
The elective modules can also each be undertaken as a stand-alone workshop.
How I will benefit
Upon completion of the Applied Securitisation Program, you should be able to:
apply securitisation industry standards to ensure information on deals and transactions is consistent and reliable
locate and extract pricing and valuation data that is key to deal analysis and modelling
apply calculation methodologies, assumptions and yield analysis to cash flow models
run and evaluate test scenarios of cash flow models for single and multiple tranches
analyse issues that emerge in cash flow modelling and deal structuring
create solutions and recommendations when problems arise in deal structuring
interpret emerging trends and reforms and assess their likely impact on the securitisation market both domestically and internationally
critically analyse cash flow models, deal structures and transactions and communicate recommendations to relevant parties
assess/analyse the key factors that impact on the success or otherwise of a securitisation transaction
evaluate tools and technology relevant to deal structuring and transactions
actively and articulately discuss findings and issues with other participants during workshops
exchange industry experience and knowledge with other participants during workshops.
Structuring, Cash Flow Modelling - Mandatory
Module duration: 1 day hands-on, interactive workshop
By the time you’ve completed this mandatory workshop, you should be able to:
Overview of securitisation
describe how securitisation has developed to meet the unique needs of financial markets
explain the necessary components required for securitisation and the types of assets that can be securitised
describe the roles played by industry participants (e.g. originators, rating agencies, trustees, swap providers, arrangers, investors, and ancillary services providers such as auditors, lawyers, tax specialists, insurers or guarantors) within the securitisation process
explain the purpose and function of a special purpose vehicle.
Key concepts in mortgage assets and non-mortgage assets
analyse the detailed cash flow, legal and credit features of mortgages
assess the general features of non-mortgage assets.
Building a financial model
assess the role and importance of the financial model in structuring
analyse the risks involved in spreadsheet financial modelling
apply key elements of spreadsheet modelling best practice and determine how these can mitigate risk.
Asset cash flow modelling
perform the key calculations in a mortgage cash flow model
construct a basic mortgage cash flow model
analyse the key differences between mortgage cash flows and other major asset classes.
Review of a typical information memorandum
navigate an information memorandum and successfully determine the relevant information.
Key structuring concepts
distinguish the key structural elements of a securitisation transaction
describe the purpose of different structural elements of a securitisation transaction.
Trust liability cash flow modelling
create waterfall cash flows based on transaction structure and loss assumptions.
Key model outputs
calculate and understand the importance of the key model outputs for a RMBS transaction.
Scenarios and structuring
determine the key requirements of the commercial parties to a transaction
perform the process of using the financial model of a transaction to run different scenarios
modify the transaction structure in order to target desired commercial outcomes.
Other assets and structures
analyse the key features of non-mortgage assets and unusual structures.
