Association of Corporate Treasurers (ACT)

Association of Corporate Treasurers Treasury Management Corporate Treasury Professional Organization Education Certification Finance
The Association of Corporate Treasurers (ACT) is an organization established to encourage and promote the study and practice of treasury management in companies. Despite being relatively small compared to professional accounting bodies, it has made a significant impact in corporate treasury management.
On this page

What is the Association of Corporate Treasurers (ACT)?

The Association of Corporate Treasurers (ACT) is a UK-based organization that focuses on the promotion and development of treasury management within companies. It provides guidelines, training, and certification for financial professionals, aiming to uphold high standards and best practices in the field of corporate treasurership. Established in 1979, the ACT has grown to become influential, with its members and fellows contributing significantly to the domain.

Key Features of ACT:

  • Offers qualifications like the Diploma in Treasury Management (AMCT) and the Advanced Diploma (FCT).
  • Provides Continuous Professional Development (CPD) opportunities.
  • Publishes insights and guidelines related to treasury management.
  • Organizes events and webcasts tailored for treasury professionals.

Examples

  1. Professional Development: An individual working as a corporate treasurer in a large multinational firm might pursue ACT’s qualifications to improve their understanding and effectiveness in treasury management.

  2. Corporate Resources: A medium-sized enterprise might use ACT’s guidelines to revamp its treasury operations, aligning them with industry best practices.

  3. Networking and Support: A newly appointed treasurer may join ACT to benefit from its events and networking opportunities, ensuring they are up-to-date with the latest trends and challenges within the field.

Frequently Asked Questions (FAQs)

What is the purpose of the ACT?

The ACT aims to advance the knowledge and practice of treasury management, providing education, certifications, and resources to finance professionals.

What certifications does ACT offer?

ACT offers several certifications including the Certificate in Treasury, Diploma in Treasury Management (AMCT), and Advanced Diploma (FCT).

Who can benefit from joining ACT?

Finance professionals, especially those involved in treasury, risk management, and corporate finance, can greatly benefit from ACT’s resources and certifications.

What is the difference between AMCT and FCT?

AMCT stands for Associate Member of Corporate Treasurers and is awarded upon completing the Diploma in Treasury Management. FCT stands for Fellow of Corporate Treasurers, and it is a more advanced level typically awarded to individuals who have completed further qualifications and have significant industry experience.

Does ACT provide any resources for treasury implementation?

Yes, ACT publishes a variety of guidelines, frameworks, and educational materials intended to support the implementation of effective treasury practices.

  • Treasury Management: The process of managing a company’s liquidity, investments, and financial risk to ensure the firm’s financial stability.
  • Risk Management: The identification, analysis, and mitigation of uncertainties in investment decisions.
  • Corporate Finance: The area of finance dealing with the sources of funding and the capital structure of corporations.
  • Financial Planning and Analysis: A set of financial activities that support a company’s financial health, including planning, budgeting, forecasting, and reporting processes.

Online References

Suggested Books for Further Studies

  • The Principles of Corporate Finance by Richard A Brealey, Stewart C Myers, Franklin Allen
  • Treasury Management: The Practitioner’s Guide by Steven M. Bragg
  • Corporate Treasury and Cash Management by Rolf H. Carlsson
  • Risk Management and Financial Institutions by John C. Hull
  • Treasury Finance and Development Banking by Biagio Mazzi

Accounting Basics: “Association of Corporate Treasurers (ACT)” Fundamentals Quiz

### What does ACT stand for in the context of finance? - [x] Association of Corporate Treasurers - [ ] Asset Capital Trustees - [ ] Accounting Compliance Team - [ ] Alliance of Corporate Trainers > **Explanation:** ACT stands for the Association of Corporate Treasurers, a professional organization dedicated to treasury management in companies. ### What is the primary objective of ACT? - [x] To advance the practice and knowledge of treasury management - [ ] To regulate financial auditing standards - [ ] To oversee tax compliance - [ ] To manage foreign exchange markets > **Explanation:** ACT’s primary objective is to advance the practice and knowledge of treasury management. ### When was ACT established? - [ ] 1969 - [x] 1979 - [ ] 1999 - [ ] 2009 > **Explanation:** The Association of Corporate Treasurers was established in 1979. ### What qualification is designated by AMCT? - [x] Associate Member of Corporate Treasurers - [ ] Advanced Member of Corporate Techniques - [ ] Accredited Management in Corporate Treasury - [ ] Affiliate in Market and Corporate Trading > **Explanation:** AMCT stands for Associate Member of Corporate Treasurers, awarded after completing the Diploma in Treasury Management. ### Who is ACT especially beneficial for? - [x] Finance professionals involved in treasury and corporate finance - [ ] Medical professionals - [ ] Educators - [ ] IT professionals > **Explanation:** ACT is particularly beneficial for finance professionals involved in treasury and corporate finance. ### What does FCT stand for? - [ ] Fellow of Controlled Treasury - [x] Fellow of Corporate Treasurers - [ ] Finance Controller and Treasurer - [ ] Fixed Capital Treasury > **Explanation:** FCT stands for Fellow of Corporate Treasurers. ### What type of events does ACT organize? - [ ] Trade shows - [ ] Fashion weeks - [x] Professional development events and webcasts - [ ] Agricultural fairs > **Explanation:** ACT organizes professional development events and webcasts tailored to treasury professionals. ### Does ACT provide guidelines for treasury practices? - [x] Yes, ACT provides various guidelines and best practices for treasury management - [ ] No, ACT focuses only on certification - [ ] ACT operates as a lobbying institution without practical guidelines - [ ] ACT provides only legislative texts > **Explanation:** ACT provides various guidelines and best practices to support effective treasury management. ### What is the significance of being an FCT? - [x] It indicates a high level of expertise and experience in treasury management - [ ] It limits job opportunities - [ ] It is a rudimentary certification - [ ] It is unrelated to ACT > **Explanation:** Being an FCT (Fellow of Corporate Treasurers) indicates a high level of expertise and experience in treasury management. ### How often should ACT members engage in Continuous Professional Development (CPD)? - [ ] Once in a decade - [ ] Only during certification years - [x] Continuously throughout their career - [ ] No specified frequency > **Explanation:** ACT members are encouraged to engage in Continuous Professional Development (CPD) to stay up-to-date with industry standards throughout their careers.

Thank you for exploring this comprehensive detailing of the Association of Corporate Treasurers (ACT). Enjoy building your expertise through our provided quizzes and resources!

Tuesday, August 6, 2024
Association of Independent Financial Advisers (AIFA)
Association of Chartered Certified Accountants (ACCA)
FCT - Fellow of the Association of Corporate Treasurers January 1, 1
Class January 1, 1
Service Economy January 1, 1

Accounting Terms Lexicon

Discover comprehensive accounting definitions and practical insights. Empowering students and professionals with clear and concise explanations for a better understanding of financial terms.