SET C - Self-Paced Online Modules | LecturePedia

SYLLABUS

SET C

SELF-PACED ONLINE MODULES

PAPER-1: RISK MANAGEMENT (100 MARKS)

Objective

To gain knowledge and acquire an insight into the spectrum of risks faced by businesses and to develop an understanding of the techniques of managing risks in practical case scenarios.

Contents	Section	Weightage
1. Introduction & Overview Introduction to Risk & Uncertainty Classifications & Types of Risks Importance & Objectives Overview of Mitigation & Controls Opportunities in RM for CAs	I	10-13%
2. Risk Strategy & Governance Risk Management Frameworks Implementation of Risk Management Polices & Processes Enterprise Risk and linkage to Business Governance & Ethical dimensions Legal, Regulatory & Compliance	II	10-12%
3. Role of Risk Stakeholders Board Oversight Role of CEO, Management Role of Risk Managers, Owners Role of Auditors (Statutory/Internal)	III	10-12%
4. Risk Assessment Risk Identification Risk Evaluation (Impact/Likelihood) Risk Quantification & Ratings RM Quantification Tools Risk Prioritization & Heat Matrix	IV	10-13%
5. Risk Response Risk Appetite Risk Treatment Techniques Controlling Risk Contingency Planning	V	10-12%
6. Risk Monitoring & Reporting Information & Communication Automation & Continuous Monitoring Auditing & Evaluating Risk Continuous & Periodic Reporting	VI	10-12%
7. Strategic Risk Business Portfolio Risks Industry/Competition Risks Investments & Funding of Growth Product/Service Risks	VII	10-12%
8. Operational Risk Process level Risk Management Outsourcing Risks & 3rd Party Risk Supply Chain (Sale/ Purchase) Product/Service Quality etc.	VIII	10-12%
9. Emerging Issues in ERM External Influences Global Developments Technology & Automation	IX	10-12%

PAPER-2 : SUSTAINABLE DEVELOPMENT AND SUSTAINABILITY REPORTING (100 MARKS)

Objective

(a) To develop an understanding of the concepts and principles of Sustainable Development

(b) To analyse impact of business decisions on Sustainable Development

Contents	Section	Weightage
1. Fundamentals of Sustainable Development Origin Key terms Need for sustainability Decoding Sustainable Development Benefits of integrating sustainability in business State of sustainability in current business planning	I	10%-15%
2. Sustainability Reporting in India National Guidelines on Responsible Business Conduct, 2018 (NGRBC) Background and Structure Nine Principles of NGRBC Linkage with the Sustainable Development Goals (SDGs) Sustainability Reporting Standards Board of ICAI Social Stock Exchange and Institute of Social Auditors of India	II	20%-25%
3. Business Responsibility and Sustainability Reporting (BRSR) in India Business Responsibility and Sustainability Report issued by Committee on Business Responsibility Reporting of Ministry of Corporate Affairs Securities Exchange Board of India (SEBI) Circular on Business Responsibility and Sustainability Reporting (BRSR) Business Responsibility and Sustainability Reporting (BRSR) Disclosures Sustainability Reporting Maturity Model (SRMM), ICAI Overview of Format of Business Responsibility and Sustainability Reporting (BRSR) Lite	III	20%-25%
4. Global Trends in Sustainability Reporting United Nations Sustainable Development Goals (UNSDG) and Reporting Objective Structure The 17 Sustainable Development Goals (SDGs) Overview of Key Global Sustainability Reporting Standards and Frameworks International Sustainability Standards Board (ISSB) and overview of its Sustainability Reporting Standards	IV	20%-25%
5. Sustainability Assurance Overview of Assurance Standards on sustainability Types of Assurance: Limited vs. Reasonable	V	15%-25%

PAPER-3 : PUBLIC FINANCE AND GOVERNMENT ACCOUNTING (100 MARKS)

Objective

To develop an understanding of the economic policies of the Government, Budgets, Fiscal tools, Government Grants, Public Funds, Rules, Regulations and Accounting Systems pertaining to Government departments/Institutions of Centre, State and Local-Self Government.

Contents	Section	Weightage
1. Introduction to Government Functioning: Role and responsibilities of Central, State, Panchayati Raj Institution and Urban Local Bodies, Union-State-Local Government Fiscal Relations, Fiscal Federalism	I	10%
2. Constitutional Provisions and Related Authorities: 112. Annual financial statement. 113. Procedure in Parliament with respect to estimates. 114. Appropriation Bills. 115. Supplementary, additional, or excess grants. 116. Votes on account, votes of credit and exceptional grants. 117. Special provisions as to financial Bills, 148. Comptroller and Auditor-General of India. 149. Duties and powers of the Comptroller and Auditor-General. 150. Form of accounts of the Union and of the States 280. Finance Commission. 281. Recommendations of the Finance Commission. State Finance commission, CGA, Niti Aayog.	II	10%
3. Public Finance Public Finance - Meaning, Importance, Scope and Categories, Fiscal/Budgetary functions, Distinction between Private and Public Finance, Public Finance & Economic System, Fiscal & Monetary Policies.	III	10%
4. Public Revenue Sources of Tax and Non-tax Revenue for Centre, States and Local Government, Efficiency and Equity in Tax Policy Design, Tax Policy and Tax Administration in India, Tax collection by Government- Union, State & Local Governments.	IV	10%
5. Budget: Budget Cycle: Planning, Preparation, Execution, Monitoring, how to interpret data from Budget document, Fiscal Deficit, Primary Deficit, Revenue and Effective Revenue Deficit.	V	10%
6. Public Debt/Bond: Meaning and Types of Public Debt, Burden of Public Debt, Principles of Public Debt Management, Debt Profile of the Union Government, Debt servicing, Role of multilateral agencies.	VI	10%
7. Public Expenditure: Canons of Public Expenditure; Classification of Public Expenditure; Wagner’s Law of Public Expenditure; Public Expenditure as an Instrument of Fiscal Policy: PFM Structure -An Introduction and IT Intervention.	VII	10%
8. Union & State Accounts: Constitutional Provisions, Structure of various ministries/departments of Government of India, Controller General of Accounts - Hierarchy and Functions, Structure of Government Accounts and Flow of Funds, Classification of Government Accounts - Consolidated Fund, Contingency Fund and Public Accounts, Classification of Government expenditure in India including introduction to Chart of Accounts, Banking Arrangements, Bankers to the Government.	VIII	10%
9. Urban Local Bodies: Introduction: - NMAM , National Municipal Asset Valuation Manual, State Municipal Accounts Manuals/Rules and ASLBs.	IX	10%
10. Standard Internal Control and Risk Management: Internal Control Systems in Government, Internal Audit, Outcome Budgeting & Reporting, Procurement Control, Asset Controls, Cash Controls, etc., Type of Audit – Role of CAG & PAC, Contingent liability, and Parliamentary Control, Brief Introduction of IGAS, IGFRS and IPSAS.	X	10%

PAPER-4: THE INSOLVENCY AND BANKRUPTCY CODE, 2016 (100 MARKS)

Objective

To develop an understanding of the Code and acquire the ability to apply such knowledge in practical situations.

Contents	Sections	Weightage
The Insolvency and Bankruptcy Code, 2016 covering references of Significant Rules and Regulations: 1. Introduction covering Journey of development of Insolvency and Bankruptcy Code and its importance. 2. Preliminary: Relevant Definitions and application of the Code.	I	15%-25%
3. Insolvency Resolutions and Liquidation for Corporate Persons: Corporate Insolvency Resolution Process, Liquidation Process, Pre-Packaged Insolvency Resolution Process, Fast Track Corporate Insolvency Resolution Process, Voluntary Liquidation of Corporate Persons, Adjudicating Authority for Corporate Persons.	II	50%-65%
4. Insolvency Resolution and Bankruptcy for Individuals and Partnership Firms: Preliminary (Application & Definitions), Fresh Start Process, Insolvency Resolution Process, Bankruptcy Order for Individuals & Partnership Firms, Administration & Distribution of the Estate of the Bankrupt, Adjudicating Authority, Offences & Penalties.	III	15%-30%
5. Regulation of Insolvency Professionals, Agencies and Information Utilities: The Insolvency and Bankruptcy Board of India, Powers & Functions of the Board, Insolvency Professional Agencies, Insolvency Professionals, Information Utilities, Inspection & Investigation, Finance, Accounts & Audit. 6. Miscellaneous provisions including Forms 1-6 filed for initiation of CIRP before the NCLT, lists of all rules and regulations under IBC. 7. Significant Judicial Pronouncements under Insolvency and Bankruptcy Code, 2016.*	IV	-

* Since the question will be based on any of the chapters pertaining to the Code, so no separate section wise weightage is assigned to this chapter.

Note: If new legislations are enacted in place of the existing legislations, the syllabus would include the corresponding provisions of such new legislations with effect from a date notified by the Institute.

The specific inclusions/ exclusions in the various topics covered in the syllabus will be effected every year by way of Study Guidelines, if required.

PAPER-5: INTERNATIONAL TAXATION (100 MARKS)

Objective

To develop an understanding of the basic concepts, principles and provisions of international taxation and acquire the ability to apply such knowledge in practical case scenarios

Contents	Section	Weightage
1. Background of International Taxation Genesis of international taxation International tax conflicts and double taxation Meaning of treaty Source rule v. Residence rule of taxation	I	15% - 20%
2. Overview of the Income-tax Act, 1961 Charge of income-tax and important definitions Residential Status and Control and Management Scope of total income Concept of ‘deemed accrual’- Section 9 Business connection (including significant economic presence) 3. Non-resident Taxation Categories of income and their taxability Withholding tax Return filing obligations of non residents	II	20% - 25%
4. Taxation of E-Commerce Transactions (including Equalization levy) 5 Double Taxation Relief Concept of double taxation and circumstances that give rise to double taxation The Concept of Tax Neutrality Types of Relief Tax Residency Certificate Treaty shopping 6. Model Tax Conventions Introduction – OECD and UN Model Tax Conventions Comparative analysis of some of the significant articles of OECD and UN Model Tax Conventions (with examples of India’s DTAAs with USA, Singapore, UK, UAE and Netherlands) Protocol to DTAAs (MFN Clause)	III	30%-35%
7. Transfer Pricing Introduction International transaction Associated Enterprises Specified domestic transaction Arm’s-length price Computation of arm’s-length price Safe Harbour rules (SHRs) Overview of Advance Pricing Agreement Secondary Adjustment and Thin Capitalisation Documentation and Compliances	IV	20%-30%
8. Overview of BEPS	V	0%-5%

Note: If any new legislation(s) are enacted in place of an existing legislation(s), the syllabus will accordingly include the corresponding provisions of such new legislation(s) in the place of the existing legislation(s) with effect from the date to be notified by the Institute. Similarly, if any existing legislation(s) on direct tax laws ceases to be in force, the syllabus will accordingly exclude such legislation(s) with effect from the date to be notified by the Institute.

Further, the specific inclusions/exclusions in any topic covered in the syllabus will be effected by way of Study Guidelines every year, if required.

Specific inclusions/exclusions in a topic may also arise due to additions/deletions made every year by the Annual Finance Act.

PAPER-6: THE ARBITRATION AND CONCILIATION ACT, 1996 (100 MARKS)

Objective

To develop an understanding of the Arbitration and Conciliation Law and acquire the ability of understanding issues in practical situations.

Contents	Sections	Weightage
1. Introduction: Introduction to the various modes of Alternate Dispute Redressal Mechanism (ADRs).	I	5%-10%
2. Fundamentals of Arbitration: General provisions, Arbitration Agreement, Conduct of Arbitral Proceedings, Making of Arbitral Award and Termination of Proceedings, Recourse against Arbitral Award, Finality and Enforcement of Arbitral Awards.	II	45%-55%
3. Enforcement of Certain Foreign Awards: Types of Arbitration, Arbitral Awards (Adhoc, Domestic and International Commercial Awards), Enforcement of Foreign Awards (New York Convention Awards and Geneva Convention Awards).	III	15%-25%
4. Conciliation: Difference between Arbitration and Conciliation, Commencement of Conciliation Proceedings, Number of Conciliators, Appointment of Conciliators, Submission of statements to Conciliator, Conciliator not bound by Certain Enactments, Role of Conciliator, Administrative Assistance, Communication between Conciliator and Parties, Disclosure of Information.	IV	20%-25%

The specific inclusions/ exclusions in the various topics covered in the syllabus will be effected every year by way of Study Guidelines, if required.

PAPER -7: FORENSIC ACCOUNTING (100 MARKS)

Objective

(a) To develop an understanding of the basic concepts of Forensic Accounting and its application in Fraud Investigations.

(b) To acquire the ability to apply such concepts in practical case scenarios.

Contents	Section	Weightage
1 Background & Overview Brief overview & evolution of Forensic profession Increasing Importance of Forensic Accounting profession Legal & Regulatory ramifications Opportunities in Forensic Accounting for Chartered Accountants	I	5%
2 Introduction & Basic Concepts Meaning of Fraud, Forensics, Forensic Accounting, Investigations Differences between Audit, Forensics & Investigations Roles & Responsibilities of Stakeholders Theories and Vulnerabilities of Fraud Introduction to Forensic Accounting and Investigation Standards (FAIS)	II	15%
3. Nature & Types of Frauds Different Categories of Fraud Different Nature of Frauds Types of Occupational Frauds - Fraud Tree Specialised Areas/schemes of Fraud Cyber Fraud/Crime Fraud Mechanisms	III	15%
4. Financial Statement Frauds Characteristics, nature and Reasons Different types of Financial Statement Frauds Legal & Regulatory provisions related to Financial Statement Frauds Fraud Risk Factors in Financial Statement Frauds	IV	10%
5. Process of Forensic Investigation Initialization & defining mandate Develop Plan & gather expertise Gathering Relevant Evidence Perform the analysis Reporting Court proceedings	V	15%
6. Fraud Detection Fraud Predication/Indicators Quantitative Evidence - Data Mining & Analysis Qualitative Evidence Law and Evidence Applying Hypothesis	VI	10%
7. Digital Forensics Digital Evidence Use of Technology Tools Laboratory Analysis of Physical and Electronic Evidence Important legal sections of Information Technology Act	VII	10%
8. Interviewing Skills Art & Science of Interviews - Nature & Type The Interview Process Importance of Non-verbal Cues Recording the Statements Case Studies/Role play	VIII	5%
9. Writing a Forensic Investigation Report Summary of findings Presenting & discussing draft report Key Elements as per Forensic Accounting and Investigation Standards (FAIS) Assumptions and Limitations	IX	10%
10. Fraud Prevention Anti-Fraud Policies/ Vigilance Mechanism Internal Controls and Systems & Processes Compliance culture Disciplinary Mechanism	X	5%

PAPER-8 : VALUATION (100 MARKS)

Objective

(a) To develop conceptual understanding of valuation, various approaches and methodologies.

(b) To develop understanding of the regulatory requirements and the framework.

(c) To develop basic understanding towards applying various valuation methodologies, techniques and its approaches on business organizations.

Contents	Section	Weightage
1. Introduction to Valuation Genesis of Valuation Valuation under present scenarios Reference to important terminologies Valuation Valuer Registered Valuer Types of Value Distinction between Price and Value Valuation Bases and Premise Valuation Date	I	10%-12%
2. Need and Purpose of Valuation Purpose of Valuation Transaction based Valuation Regulatory & Tax based Valuation Other Requirements based Valuation	II	5% - 8%
3. Valuation Approaches and Methodologies Valuation Approaches (Definition) Asset Based Approach Income/Earning Based Approach Price/Earnings Ratio & Price/Growth Ratio Earning measure on Cash Flow Basis (DCF Approach) Earning measure non-Cash Flow Basis (Non DCF Approach) Market Based Approach Fair Value Computation Guidelines for opting Approaches/ Methodologies under various circumstances	III	45%-50%
4. Valuation Documentation and Report Valuation Documentation Valuation Report	IV	10%-12%
5. Valuation Standards Basic understanding of ICAI Valuation Standards 2018 and its application	V	10%-13%
6. Other Applications of Valuation Valuation in specific Situations and Cases Valuation of inventories Valuation of Investments Fixed income instruments Valuation of Intangibles Valuation of liabilities	VI	10%-15%

PAPER-9 : FINANCIAL SERVICES AND CAPITAL MARKETS (100 MARKS)

Objective

(a) To gain knowledge of financial services rendered by various intermediaries and their role and activities in the financial market, especially in capital market.

(b) To acquire the ability to apply such knowledge to address issues in practical scenarios.

Contents	Section	Weightage
1. Introduction to Financial Markets Introduction to Financial Market Role of Financial Market in Economic Development of a country Stakeholders in Financial Market (Domestic and Global) Indian Financial Market scenario	I	5%
2. Impact of various Policies of Financial Markets Credit Policy of RBI Fed Policy Cost Inflation Index Consumer Price Index Wholesale Price Index	II	5%
3. Capital Market - Primary Basics of Capital Markets Segments of Capital Markets Capital Market Instruments Aspects of Primary Market – Kinds of Securities, Types of Offer Documents, Issue Requirements, Intermediaries to the Capital Markets, Book Building, Special Purpose Acquisition Companies, Application Supported by Blocked Amount (ASBA), Green Shoe Option, Anchor Investors, Private Placement of Shares, Right Issue, Exit Offers.	III	10%
4. Capital Market - Secondary Introduction to Secondary Market Development of the Stock Market in India Stock Market Organization in India Demutualization of Stock Exchanges Share Trading in Secondary Market – Trading by a Retail Investor, Algorithmic Trading, Basket Trading Stock Market and its Operations – Growth of Stock Exchanges, Characteristics of Stock Exchanges in India, Functions of Stock Exchanges, Basics of Stock Market indices, Index Management: Rebalancing and Reconstitution, Uses of Market Indexes Risk Management in Secondary Market – Trading Rules and Regulations, Circuit Breakers to curb excess volatility, Trading and Settlement, National Securities Clearing Corporation Limited, Market Making System, Securities Lending and Borrowing, Short Selling, Straight Through Processing, Margin Trading, Block Mechanism in Demat Account. Other aspects of Secondary Market – Buy Back of Shares, Block and Bulk Deals. Indian Debt Market Emerging Markets – GIFT City, Power Exchange, Energy Exchange, Social Stock Exchange	IV	10%
5. Money Market Basics of Money Market Money Market Participants Money Market Instruments Cash Reserve Ratio and Statutory Liquidity Ratio Determination of Interest Rates – MIBOR, LIBOR, Replacement of LIBOR Money Market Instruments – Government Securities (G Sec) Recent developments in Money Market Repo and Reverse Repo CRR, SLR Day Count Convention	V	10%
6. Bond Market Introduction to Bond Market Primary Bond Market vs Secondary Bond Market Types of Bond Market Bond Market Strategies Bond Indices Bond Market vs. Stock Market	VI	5%
7. Derivative Market Introduction to Derivatives Forward Contract Futures Contract Options Contract Concept of Swaps	VII	5%
8. Institutions and Intermediaries Depository Stock and Commodity Exchanges – Indian and Global Intermediaries in the Capital Markets – Merchant Bankers, Registrars to an issue and Share Transfer Agents, Underwriters, Bankers to an issue, Debenture Trustees, Portfolio Managers, Stockbrokers, and sub-brokers Institutional Investors Foreign Portfolio Investors (FPIs) Custodians Clearing Houses – Indian and Global	VIII	5%
9. Commodity Market Introduction of Commodity Markets Role of Commodity Markets Commodity Market in India – Including warehousing and physical settlement Application of Derivative in Commodities Global Commodities Exchanges	IX	5%
10. Mutual Funds Meaning Evolution Mutual Fund Organization Types of Mutual Funds Net Asset Value (NAV) Performance Measurement Advantages and Disadvantages of Mutual Fund Factors influencing the selection of Mutual Funds Signals highlighting the exist of investors from the Mutual Fund Scheme Money Market Mutual Funds Exchange Traded Funds (ETFs) Real Estate Investment Trusts (ReITs) Infrastructure Investment Trusts (Invits) Other aspects - Side Pocketing and Tracking Error	X	10%
11. Private Equity Meaning of Private Equity Classification of Private Equity Venture Capital Buyouts Hurdle rate Paid in Capital Term Sheet Cost of Investing in Private Equity Exit Routes Valuation of Private Equity Transactions Private Equity Funds (Distribution of returns in General Partner and Limited Partner) Contemporary issues in Private Equity – The rise of patient capital, Ethical Issues	XI	5%
12. Investment Banking Concept Functions Challenges Developments in Investment Banking Merchant Banking and Issue Management	XII	5%
13. Credit Rating Introduction Rating Services Objectives and types Uses Credit Rating Process Credit Rating Methodology CAMEL Model in Credit Rating Rating Revisions Credit Rating Agencies in India and abroad Credit Rating agencies and the US Sub-prime crisis Limitations of Credit Rating Contemporary Aspects in Credit Rating	XIII	5%
14. Leasing Meaning, types, advantages, and disadvantages of Leasing Financial evaluation of lease proposal from the perspective of Lessee and Lessor Break Even Lease Rental (BELR) from Lessee’s and Lessor’s point of view Cross Border Leasing Regulatory Aspects of Leasing	XIV	5%
15. Factoring Concept, Definition and Mechanism of Factoring Types/Forms of Factoring Functions of a Factor Benefits of Factoring Factors inhibiting the growth of Factoring in India Forfaiting Forfaiting vs Export Factoring Regulatory Aspects of Factoring	XV	5%
16. SEBI Regulations – Compliances in Capital Markets	XVI	5%

PAPER-10: FOREX AND TREASURY MANAGEMENT – (100 MARKS)

Objective

To gain knowledge in the field of Forex and Treasury Management, deal with its complexities, and apply it in practical situations.

Contents	Section	Weightage
1. Organizational Structure of Treasury Introduction of Treasury Treasury – Its Evolution and Objectives Organization Structure of Treasury – Front, Back & Mid Office Functions of Treasury Department Role of Treasury and Treasurer in: Raising Capital Managing Bank Relationships Money Management Treasury Performance Management Liquidity Management Credit Management Forex Management Risk Management Responsibilities of a Treasurer Integrated Treasury Management - Cost Centre and Profit Centre	I	10%
2. Process of Treasury Treasury Management - Systems and Techniques Treasury Policy and Procedure Manual Delegation with Accountability: Open Position Limits: Daylight, Overnight, Asset Position Limit, Intraday Limit Deal Size, Individual Dealer’s Limit Stop Loss Limits Control and Reporting Requirements Dealing and Trading Operations – Control and Orderly Conduct, Moral and Ethical Codes, Checks of Balances, Signing Ethical Code Agreement An insight into: Float, Availability, Swaps Account Analysis, Clearing Houses Lockboxes, Disbursement Benchmark Rates for Discounting Cash Flows Liquidity and Cash Flow Management – CRR Objectives, Sources and Deployment Internal Control, Netting, Gap Management Treasury Management Processes like Domestic Treasury Remittances, International Treasury Remittances Payment & Settlement Systems, CCIL, CLS, RTGS, NEFT and SWIFT Dealing Room Operations: Nostro / Vostro/ Loro, Mirror A/cs – Open Currency Position, Cash Position by Dealers	II	20%
3. Types of Treasuries Treasury – Manufacturing and Service Corporates: Background Contribution Analysis Operating and Financial Leverage Liquidity Management Foreign Exchange Exposures Commodity Exposures Credit Exposures Debt Restructurings Treasury – Banking Background Capital Adequacy Yield Curve and Spreads Credit Risks Foreign Exchange Risk Interest Risks Re-financing Risks Securitization Asset Liability Management Treasury – Special Reference to: Insurance Companies (Life & General) Mutual Fund Organizations Chit Fund Organizations Housing Finance Companies Non-banking Financial Companies Government (Either State or Central) Reserve Bank of India Profit Centre Vs. Non-Profit Treasury	III	15%
4. Treasury — Domestic Classification of Treasury Market: Domestic or National Treasury Market Forex or International Treasury Markets	IV	15%
5. Treasury – Forex Foreign Exchange Markets: Different Kinds of Inter -Bank Forex Markets Highly Traded Markets - Cash/OTC Nature of Transactions Cross Border Currency Flows Liberalization of Exchange Control Role of Banks in Forex Market Factors Impacting Forex Market Convertibility and BOP Forex Concepts: Exchange Rate Quotes Factors affecting Exchange Rates Exchange Rate Mechanism Spot and Cross and Forward Rates Premium and Discount Forward Contracts–Booking, Extension, Cancellation International Treasury: Market Participants Various Forex Treasury Products Volatility of Major Currencies Currency Trading Global Securities – Portfolio Management Derivative Markets: Futures, Options and Swaps Price Calculation of Various Instruments Swaps - Outright Deals, Dealer Operations Trends in Futures Market Short Term Interest Rate Futures Interest Rate Derivatives: Introduction Brief terminologies Hedging	V	40%

Note: A deviation of maximum ±5% in the specified section-wise weightage is permitted.