Company Profile

Nathan, a Cadmus Company is a leading provider of analytic and economic consultancy services worldwide. In the past decade, we have implemented more than 120 projects in more than 50 countries leveraging our global presence in Washington DC, London, and India. From improved transparency and deeper stakeholder engagement to more effective policies and more resilient businesses, we deliver results that impact economic growth, human development, and poverty reduction. We are passionate about applying our deep analytical expertise and advanced proprietary tools to generate economic solutions tailored to our clients’ unique challenges.  Nathan focuses on a range of economic development subject matter areas including Trade & Logistics; Economic Policy & Governance; Private Sector Development; Women’s Economic Empowerment; and Financial Solutions. 

Job Description

The Feed the Future Ghana Trade and Investment (GTI) Activity seeks to improve the enabling environment for Ghana’s economic growth by (1) facilitating growth in export-oriented trade; (2) improving and developing product standards; (3) catalyzing investments in private enterprises related to high-value commercial crops; (4) promoting job creation, particularly among women and youth; (5) promoting economic diversification; and (6) increasing foreign exchange revenues from high-value export crops. GTI will facilitate investing in firms that trade goods across borders, spur innovation, and build the capacity of the entire trade sector. 

GTI plans to increase and create new innovative financing instruments, incorporating equity and quasi-equity instruments.  These instruments will harness the power of the private sector to enhance bilateral trade and investment between the United States and Ghana. GTI’s transaction advisory services team will streamline exports and investments, ensuring adherence to the principle of additionality to tackle market gaps not addressed by the private sector. Consultants can apply for either A or B or apply for both A and B.

Consultant A - Development of Derivative Trading Policy, Rules, and Regulations

Position Summary (A):

The Ghana Commodity Exchange (GCX) aims to introduce novel financial products to enhance the country's capital market depth. Under D1. of GTI’s work plan, GTI is working with GCX to develop a policy document, rules, and regulations for derivative trading. The document is crucial in supporting innovative financing for agricultural commodities. Developing the derivative trading rules and regulations would necessitate continuous monitoring, adaptation, and communication to ensure effective risk management and compliance within the exchange.  In pursuit of this goal, GTI seeks the services of a short-term international consultant with expertise and knowledge in the mechanics, operations [including rules and regulation], and policy development related to derivative products for commodities.

The international consultant(s) will develop a policy document, rules, and regulations that govern derivatives traded at the GCX. The document will provide the types of commodities, compliance, and legal basis, among others, for operating a fully fletched derivative market. The achievement of this objective will mark a new chapter in the development of financial instruments in Ghana. 

The document must include, among other things:

• Objectives and Scope
• Regulatory compliance
• Authorization and responsibilities
• Counterparty and credit risk
• Documentation and record-keeping
• Valuation and reporting
• Conflict of interest
• Training and awareness
• Legal agreements
• Hedging strategies
• Market abuse and insider training
• Risk management - operational risk, underwriting risk, liquidity risk, market risk, reputational risk, and climate risk.
• Operational procedures
• Enforcement and penalties
• Technology and infrastructure
• Audit and compliance monitoring
• Stress testing
• Collaboration with regulatory bodies
• Exit strategies.
• Dispute resolution
• Documentation of models and assumptions.
• Post-trading analysis

Key Responsibilities and Tasks (A):

• Conduct desk and literature reviews of existing Ghanaian policy documents, rules and regulations, and best practices
• Conduct a comprehensive analysis of relevant local and international regulations.
• Identify regulatory requirements applicable to derivative trading in Ghana.
• Develop a risk management framework for derivative trading.
• Review legal aspects of derivative trading.
• Engage with internal and external stakeholders, such as GTI, GCX, BoG, SEC, CSD, and market operators.
• Consult with experts in derivative trading and ensure technical accuracy and relevance.
• Test the policy against hypothetical scenarios.
• Establish an approval process.  
• Develop a detailed plan.  
• Develop procedures for monitoring derivative trading activities.
• Develop a communication plan for the rollout.
• Define a schedule for regular reviews and develop a system for enforcing compliance.
• Assess technology requirements for derivative trading.
• Develop procedures for managing derivative-related crises.
• Define exit strategies for unwinding derivative positions.
• Specify procedures for resolving disputes related to derivative transactions.
• Evaluate the need for insurance coverage related to derivative trading.
• Document mathematical models and assumptions used in derivative pricing.
• Develop a framework for post-trade analysis.

Deliverables (A):

• Inception report
• Draft report on policy, rules, and regulations
• Presentation to a validation workshop involving market actors.
• Stakeholder engagement report
• Final report on the derivative rules, regulations, and policy document.

Location and Reporting (A):

This position will be remote, with one 8-week trip to Accra, Ghana. The Derivative trading policy rules and regulations Consultant will report to the Investment & Transaction Director.

Period of Performance (A):

The consultancy is proposed to take place between April and July 2024, with the commencement and completion dates to be agreed upon between GTI and the consultant.

Consultant B – Capacity/Building Training on Policies, Rules, and Regulations on Derivative Trading

Position Summary (B):

Establishing robust policies and rules in the dynamic commodity trading landscape is paramount to ensure transparency, mitigate risks, and foster a thriving marketplace. This has necessitated a consultant who will design a capacity-building framework concerning developing and implementing policies and rules for derivative trading in commodities. This initiative is a collaborative effort between the Ghana Trade and Investment (GTI) Activity and the Ghana Commodity Exchange (GCX), aiming to enhance the effectiveness and resilience of the agricultural sector. This initiative is part of GTI’s work plan subtasks D1.2.

Objective:

The primary objective of this capacity-building initiative is to empower key stakeholders involved in derivative trading in commodities. This includes regulatory bodies, market participants, and exchange operators, ensuring a comprehensive understanding of this specialized market's policies and rules.  The capacity-building framework must consist of but not limited to:

• Policy development workshops
• Regulatory Compliance training
• Market participant education
• Technology integration sessions
• Case studies and simulations
• Monitoring and evaluation mechanism

Key Responsibilities and Tasks (B):

• Conduct a needs assessment to identify gaps and specific areas of knowledge and skill development required among stakeholders in the derivative trading ecosystem.
• Design a comprehensive training content that covers policy development, regulatory compliance, risk management, and technological aspects relevant to derivative trading in commodities.
• Lead workshops and training sessions to impart knowledge and facilitate stakeholder discussions.
• Provide expert insights into the mechanics, operations, and policy development of derivative financial products for commodities.
• Offer guidance on regulatory frameworks and compliance requirements. Assist regulatory bodies in understanding the nuances of derivative trading and its implications on market integrity.
• Assist stakeholders in understanding and integrating technology platforms relevant to derivative trading.
• Develop relevant case studies and simulations that replicate real-world scenarios.
• Establish a framework for continuous learning, including webinars, online courses, and knowledge-sharing platforms.
• Facilitate the transfer of knowledge and skills to empower stakeholders to navigate the complexities of commodity derivative trading independently.
• Offer post-training support, such as Q&A sessions and follow-up consultations, to address participants' lingering questions or challenges.

Deliverables (B):

• Inception report
• Develop training materials (e.g., training manual, PowerPoint presentation, Facilitator’s Guide, etc.)
• Deliver training.
• Post training report
• Pre and Post training assessment report

Period of Performance (B):

The consultancy is proposed to take place between July 2024 and September 2024, with the commencement and completion dates to be agreed upon between GTI and the consultant.

Location and Reporting

The location for this work is Ghana, with some travels to Kumasi/Sunyani, Tamale, and Accra for training.  The consultant will report to and collaborate closely with GTI’s Transaction & Investment Director.

Required Skills or Experience

• Advanced academic and professional qualifications in derivatives
• More than 15years experience in derivatives
• In-depth understanding of derivatives products
• Thorough knowledge of relevant regulations
• Understanding accounting standards that will benefit aspects like derivatives valuation and accounting treatment.
• Regulatory compliance knowledge

• Effective training delivery: Ability to develop and deliver clear, engaging, and informative training programs on derivatives rules and regulations.
• Tailored communication: Adaptive communication style to cater to different audiences, from experienced traders to new employees.
• Strong presentation skills: Excellent presentation skills essential for effectively conveying complex rules and regulations to trainees.
• Written communication skills: Ability to develop clear and concise training materials, including manuals, presentations, and online modules.