Fund Accounting Training Course

Why Select this Training Course?

The accounting field has its technical aspects, and it is vital for personnel working in areas like banking and investment to be thoroughly groomed and aware of these aspects. Accordingly, this Rcademy course espouses the rudiments, principles, and accounting practices for managed funds and financial instruments.

What is fund accounting?

Fund Accounting is a medium or technique employed by various non-profit entities to identify the amount of money designated for a particular purpose(s) and how much was spent. The principal rationale for fund accounting is not to decipher how much profit was made but to be accountable for funds or money received by these entities.

Persons running non-profit entities need to be aware of the available resources for their organisations and have a medium used to provide tenable reports to sponsors and contributors of these entities on how their money was spent; this is simply what fund accounting is.

Why Should I study fund accounting?

With this fund accounting training course delivered by Rcademy, you would have an in-depth understanding of the principles and practices of fund accounting. Also, you would understand the technical aspects of fund accounting, like the reporting of collective investment, net assessment valuation, and the introductory pricing of several securities. As a result of this course quality, participants would also be taught the basic rudiments of accounting and bookkeeping and how to deliver excellent financial services necessary to perform excellently in a business environment.

The goal of the deadline-driven, detail-oriented Fund Accounting Training Course by Rcademy is to teach its learners to simplify the back-office operations of a corporation so that management may focus on its primary responsibilities of raising capital and acquiring assets.

Who Should Attend?

The Fund Accounting Training Course by Rcademy is suitable for accounting professionals and those looking to switch to this area. The following personnel should undertake this course:

• Investment and Banking Managers: responsible for creating, and managing accounts of entities
• Accounting officers for non-profit entities: responsible for identifying and evaluating funds, resources, and expenditures of non-profit organizations
• Investors and contributors to non-profit organizations: interested in the mechanisms and reports on how donations are spent
• Accounting students: interested in working in the department of account for non-profit entities
• Chief operating officers of non-profit entities: responsible for managing and regulating the day-to-day activities of such entity
• Personnel: interested in garnering the essential skillset of accounting for funds provided to non-profit entities

What are the Course Objectives?

The Fund Accounting Training Course by Rcademy aims to help participants achieve the following objectives:

• Learn the basic rudiments and techniques in fund accounting for the optimum delivery of financial services for non-profit entities
• Equip personnel with the necessary skill set that would help them contribute overall to the standard, development, and integrity of non-profit entities
• Create a pathway for participants interested in building a career path in accounting and finance
• Apply the basic tenets and frameworks of accounting in a national and international context
• Equip participants with the ability to identify various forms of funds, accounting entries, and the building of financial statements for general funds, capital projects, debt services, and permanent funds
• Analyse and formulate accounting entries and financial statements for non-profit entities
• Learn and demonstrate accounting techniques for financial statements and differentiate that which applies to non-profit entities from governmental organizations
• Identify, describe, and evaluate various financial models for non-profit entities

How will this Course be Presented?

The content of this course is designed solely to improve and sharpen participants’ skills; it is participant-oriented. Several quality methodologies are employed to ensure constant participation and satisfaction of participants. This course is taught by experts in this field, alongside in-depth individual modules that thoroughly deal with several principles and practices in fund accounting.

The Rcademy course on Fund Accounting consists of theory and practical learning by providing lecture notes, case studies, visual aids, group discussions and problem-solving sessions, quizzes, review of class activities, seminars, and individual reports after every interaction.

What are the Topics Covered in this Course?

Module 1: Background to Fund Accounting

• Definition of Fund Accounting
• Accounting concepts
  – Background to various international accounting standards
• Financial statements
  – Overview and format
  – Preparation of statement of total return
  – Balance sheet
  – Portfolio statement
• Statutory Reporting
  – Reports of a fund manager, trustees, and auditors
• Audited Financial Statements
• Bookkeeping
  – Transactions for an investment fund
  – Accounting for equities
  – Accounting for derivatives
  – Accounting for fund expenses

Module 2: Capital Instruments

• Shares
  – Ordinary and preference
• Fixed Income
  – FRN and forms of bonds
• Hybrids
  – Warrants, ADRs
  – Derivatives
• Pricing capital instruments
  – Discounted cashflows
  – Dividend yield
  – Replacement cost
• Corporate actions
• Standards of accounting on financial statements

Module 3: Fund Operations

• Fund Accounting for corporate actions
• Fees for performance
• Fixed income securities

Module 4: Fund Reporting

• US GAAP Fund Financial Statements
• US GAAP Fair Value Measurement Disclosures
• IFRS Fund Financial Statements
• IFRS Disclosures of Financial Instruments

Module 5: Budgeting

• Planning, control, and analysis of budgeting
• Approaches and emphasis on budgeting
• Budget preparation
• Budgeting Accounting and reporting
• Budgeting for non-profit entities

Module 6: Financial Reporting Models for Non-profit Entities

• Differentiation between government and not-for-profit entities model
• Aim of financial reporting standards
• Activities and reports of non-profit entities

Module 7: Accounting Entries for Funds

• General funds
• Proprietary funds
• Fiduciary funds
• Special revenue
• Debt service
• Capital projects
• Permanent funds
• Components of non-governmental funds
• Measurement focus
• Accounting for revenue and expenditure
• Accounting for various fund types

Module 8: Net Asset Valuation

• Meaning of Net Asset Valuation (NAV) cycle
• Calculation of Net Asset Valuation Cycle
• Description of subscription and redemptions
• Consequences of a NAV Error

Module 9: Equity Trade

• Vital Elements of equity trade
• Importance of trade and settlement dates
• Effect of equity positions on NAV
• Recognition of interest income by an investment fund

Module 10: Accruals Concept

• Calculation of interest accruals on cash deposits
• Cash dividends
• Consequences of cash dividends on the market price
• Effect of cash dividends on NAV

Module 11: Expenses

• Calculation of fixed and variable expenses
• Prepaid expenses
• Effect of Expenses on NAV
• Impact of investment fund prices on Portfolio
• Elements of a valuation pricing policy