/woman-s-hands-counts-on-the-calculator-1016978230-70aa22ad11554b92a28de460cbe35e83-661b0e30dad54c5680e7c0fe47ce4519.jpg "Certified Treasury Professional (CTP) Definition 1")
What Is a Licensed Treasury Skilled (CTP)?
The time period licensed treasury skilled (CTP) refers to a monetary designation awarded to people skilled in money administration and who cross an examination demonstrating their experience by the Affiliation for Monetary Professionals (AFP). Profitable candidates earn the suitable to make use of the CTP designation with their names for 3 years, which might enhance job alternatives, skilled repute, and pay. CTPs work in quite a lot of completely different fields together with treasury administration, finance, and accounting.
Key Takeaways
- The licensed treasury skilled designation is awarded to people skilled in money administration.
- People should cross an examination demonstrating their experience by the Affiliation for Monetary Professionals.
- These with the designation are likely to earn increased incomes, have larger job safety, and are higher capable of market themselves within the business.
- The CTP designation is nice for 3 years and requires recertification.
Understanding a Licensed Treasury Skilled (CTP)
As talked about above, the licensed treasury skilled (CTP) designation is given to monetary professionals who meet sure standards by the Affiliation for Monetary Professionals. People will need to have between one to 2 years of labor expertise in money or treasury administration or company finance in the event that they want to take the examination. Those that do not have related work expertise should both have a graduate diploma in enterprise, finance, or accounting, or related educating expertise on the faculty or college degree.
Candidates should submit proof of their eligibility earlier than they’ll take the examination to turn into a CTP. Data of their work expertise and educational {qualifications} have to be submitted to the AFP previous to taking the examination. The certification committee throughout the affiliation opinions and determines whether or not or not an applicant is certified to take the examination.
The CTP examination is closed-book and consists of 170 multiple-choice questions that may be accomplished on a pc. Candidates are given 4 hours to finish the check. The examination is split into 5 classes:
- Treasury operations and controls: 21 to 24 questions
- Working capital administration: 32 to 35 questions
- Money and liquidity administration: 37 to 42 questions
- Capital markets and funding: 22 to 24 questions
- Company treasury perform: 30 to 35 questions
AFP members pay a price of $925 for the examination in the event that they register early. The associated fee jumps by an additional $100 in the event that they register through the closing deadline interval. Non-members can also apply for the examination however the charges are increased—$1,320 for early registration and $1,420 by the ultimate deadline.
An Affiliation for Monetary Professionals membership prices $495 and is nice for a 12-month interval.
The CTP designation is taken into account a benchmark within the monetary occupation. CTPs can earn extra money than their friends—as a lot as 13% greater than those that aren’t licensed as CTPs. In addition they have larger job safety and are higher capable of market themselves within the business. Profitable CTPs usually have a background in finance and/or accounting, and turn into consultants in treasury administration. They need to perceive income assortment, obligation fee, money processing, reconciliation, managing present accounts, sustaining documentation, monitoring transactions, forecasting, and monitoring money stream, receiving and processing wire transfers, analyzing monetary statements, and extra.
Particular Issues
Some universities supply coaching applications to arrange would-be candidates for the examination. The curriculum could goal to show the candidates working capital methods for managing liabilities and belongings, how one can optimize capital construction, and how one can preserve a company’s liquidity to satisfy their future obligations. They could additionally learn to monitor and management an organization’s publicity to potential monetary and operational dangers. Such lessons could embrace real-life case examine eventualities for college students to use their creating data.
The CTP designation is used as an indication of credibility amongst company treasurers and different professionals within the monetary sector. The designation is nice for 3 years, after which the person should recertify. So as to preserve the CTP designation, people should full 36 hours of continuous training referred to as recertification credit and pay a price to proceed utilizing the designation. Candidates need not wait till their designation expires in an effort to recertify—the 36 hours may be accomplished and reported at any time.