JSW Steel - Manager - Treasury/Forex

Purpose :

- This position responsible to Identify, monitor and compliance to hedging policy for Forex exposure of approx. $ 5-6 Billion efficiently to minimize Forex Risk arising out of foreign exchange rate fluctuation for JSW Steel and Its subsidiaries

- This position responsible to Identify, monitor and ensure compliance to hedging policy for the commodity price risk of approx. 9-10 Mio ton of raw material and key inputs ; for which Company is exposed on key raw material due to the nature of volatilities in the prices of raw material in international market.

- Ensure that the hedges undertaken are in compliance with Ind AS and ensure appropriate hedge accounting for the same

- Preparation of hedging cost on a monthly basis

- Ensure the accounting for forex exposures, hedge accounting and hedge effectiveness and MTM accounting is done as per Ind AS.

- Drive automation of preparation of hedging cost and automation of entries in the books of accounts

- Preparation of MIS relating to Forex and commodity exposures

- This position is responsible for Corporate Account compliant especially proper accounting / disclosures of all borrowings, trade credit, Investments, Fixed Asset of approx. Rs. 45,000 Crs, and hedge accounting and documentation in Financial Statements as per IND AS.

- Compliance to RBI and FEMA guidelines of all hedges undertaken by the Company to minimize currency risk and price risk.

Key Result Areas (Key Performance Indicators):

- Ensure proper hedging instrument is undertaken to minimise currency risk and price risk as per hedging policy approved by Risk Committee of Board of directors of Company.

- To identify and Monitor Forex Exposure on real time basis and identify foreign exchange risk by minimise the adverse impact of exchange rates and interest rates on Company's performance.

- Reviewing of Forex Exposure MIS and reports to senior management for their review on daily basis.

- Corporate Monthly closure of Books relating to fx / commodity exposures

- Forex System implementation

- To identify and Monitor commodity exposure on real time basis and identify commodity exposure risks and escalate for appropriate actions.

- Compliance with RBI and FEMA Guidelines, Statutory Audit and Tax Audit

- Corporate Presentations and MIS - Preparation of Hedge Vs No hedge analysis, effectiveness of hedging - Forwards and options

Critical Tasks

Treasury Forex Middle Office Operation:

- Identity Forex exposure on real time basis to determine currency Risk and BL dates.

- Communicate same to Front Office to Hedge same through proper hedging instrument.

- Mapping of hedging instrument to Forex exposure to retirement of Forex liability.

- Analysing hedging instrument rate with bench mark rate to determine hedging instrument efficiency.

- Authorisation of booking / cancellation of of Forward contract, IRS and Option on daily basis in Forex Software application.

- Review of cash flow for cancellation Gain or loss on cancellation of Forward contract and have a control monitor to recover cancellation gain from counterparty.

- Updating of Cash/ Tom transaction in daily Forex Register to retirement of other forex liability.

- Review of conformation of trades with counterparties.

- Updating of Forex transaction in Forex Register.

- Determine interest rate risk on long term borrowing and preparing working and circulate to front office to cover interest risk through Interest Rate Sawp .

- Authorisation of all IRS cover in System.

- Validate all Forward contract, IRS and Currency option with counterparty.

- Company has Price risk exposure in raw material prices. To protect price risk , Company undertake Swap Cover to protect price risk as per Company Hedging policy. We maintain Complete MIS for Commodity hedging.

- keep a track of all the derivative deals undertaken to protect commodity price, concluded and tally the same with deal confirmations received directly from the counterparties & deal settlement.

- Ensured Cash flow position for all deals for commodity settlement and properly accounted in respective commodity cost.

- Review of Daily Forex Exposure MIS including all Forex exposure with outstanding forward contract, options, IRS Swap and outstanding commodity hedges with Mark to market value.

- Ensure all forwards booking charges, cancellation charges and cancellation gain or loss properly accounted in books of accounts.

- Ensure and validate all forwards / derivative confirmation at period end match with counterparty.

- Authorisation of all entry including of MTM at month end.

- Monitor and preparing hedging cost to check any deviation with expected level of hedging cost.

- Evaluate and monitor the currency option performance with day 1 forwards contract rate.

- Evaluate and determine national gain or loss by comparing with bench mark rate set up by Risk Committee of Board members and also evaluate hedge effectiveness whether hedges are effectively working.

- Ensure front office shall not use any financial instrument or undertake any activity that is explicitly prohibited by the Board of Directors, RBI and Regulatory bodies.

- Reports of any deviation/ exceptional transaction undertaken by front office to the CFO and JMD.

System Improvement :

- Implementation of Forex Software and Hedge documentation & Accounting.

RBI / FEMA Compliance :

- Arranging Turnover / Import Certificate for setting limits based on Past performance.

- Arranging Statement of unhedged foreign exposure.

- Getting Auditors Certificate for Forex derivative contract and underlying exposure.

- Ensure all underling documents will reach to counterparty Banks on due dates.

Corporate Books Closure and Audits:

- Ensure Debt/ Interest entries are closed and ensure interest is charged as per agreed terms.

- Ensure forex entries are closed.

- MTM and Provision entry are done.

- Ensure entry related to IND AS disclosure for Borrowing and Deposits are provided on time.

- AUC Creation, AUC Settlement, Creation and Change of Asset

- Final settlement of Asset

- Physical verification of Fixed Asset

- Preparation of FA Schedule

- Review of Treasury module activity related to Debt, Buyers Credit/Supplier Credit/PCFC/Mutual Fund.

- Preparing the details for FORM 3CD for Tax Audit for HO

- Passing entry for BC/Loan repayment for ARCL in TR Module

- Provisional entries passed for Interest and FX Gain (Loss) on Principal for Buyers Credit/Loan/FD for ARCL.

- Manage & ensure all external & internal audit testing & development of existing controls are in compliance and operated as designed.

- Ensure Statutory and Tax Audit completed on times and resolve all audit query and convince auditors.

Presentations and MIS:

- Record and daily Report of Forex Exposure MIS to JMD and CFO for their review.

- Acceptance

- Mapping of import FWC with BC repayment

- Hedge reserve& FCTR.

- Evaluation of Hedging policy of peers Company

- Interest

- Analysis and Prepare working for Annual Forex Business Plan.

- Responsible and review of Treasury Forex Presentation for EC Committee - Analysis of Hedge Vs No Hegde, effectiveness of Hedges for forwards / options

- Responsible Treasury Forex Presentation for Risk Committee of Directors.

Decision making authority:

- Review of unhedged foreign currency exposure and escalate to senior management to minimize

- Without availability of LC, cover forex risk by booking Forward Contract in other Banks to minimize Risk.

- Determination of cash flow hedge and fair value hedge for proper hedge accounting to avoid non-disclosure in Financial Statement

- Proper classification of derivate asset and derivate liability in Financial Statement.

- Proper determination of capitalization date for assets capitalized in Corporate.

- Ensuring all Analyze compliance with approved hedging policy and reporting of any deviation with respect of hedging policy to senior management to take corrective measurement to avoid penalty and prosecution.

- Maintaining of Bank wise derivate limit to avoid non booking of Forward contract.

Educational Background and Work Experience : Chartered Accountant and Company Secretary with 10-15 years of experiences