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Foundation Certificate Syllabus

The Foundation Certificate syllabus covers seven modules, one for each domain of the Professional Competence Framework. This page provides indicative topic coverage for each module. The syllabus is in development and subject to revision.

In development Updated June 2026

Syllabus — indicative and subject to change

This syllabus is indicative. Final content will be confirmed following faculty engagement and peer review. The programme is not yet delivering.

Last updated: June 2026

Module 1: Commodity Markets and Instruments

Learning objective: Understand the structure, participants and pricing mechanisms of international physical commodity markets.

  • Structure of commodity markets: spot, forward, and derivatives markets and their interaction
  • Principal commodity sectors: energy (crude, products, gas, LNG), metals, agricultural, softs
  • Key pricing benchmarks: Platts, Argus, LME, CME, CBOT and sector-specific indices
  • Market participants: producers, traders, refiners, consumers, brokers, banks
  • Physical commodity contract structures: term contracts, spot trades, offtake agreements
  • Market mechanisms: FOB, CIF, EXW — price formation in physical markets

Module 2: Trade Finance and Payment Mechanisms

Learning objective: Understand the principal trade finance instruments used in commodity trade and their application, risks and limitations.

  • Documentary Letters of Credit: structure, UCP 600, types (sight, usance, transferable, back-to-back)
  • Standby Letters of Credit and Performance Bonds
  • Documentary Collections: D/P and D/A collections, URC 522
  • Open account trading and credit risk management
  • Payment guarantees and advance payment structures
  • Pre-export and pre-shipment finance
  • Commodity-structured finance: repos, stock financing, warehouse receipts
  • Common trade finance fraud: LC fraud, ghost shipments, circular transactions

Module 3: Logistics and Supply Chain

Learning objective: Understand the physical movement of commodities, the role of logistics providers, and the risk and insurance dimensions of physical delivery.

  • Incoterms 2020: full coverage including FOB, CIF, CFR, DAP, DDP
  • Shipping: vessel types, charterparty structures, bill of lading as document of title
  • Port and terminal operations, storage, warehousing
  • Quality inspection: independent inspectors, SGS/Cotecna/Bureau Veritas, sampling protocols
  • Cargo insurance: marine, war risk, cargo clauses
  • Title transfer and risk transfer: when risk passes, chain of custody documentation
  • Logistics red flags: common documentation and logistics fraud patterns

Module 4: Legal and Contractual Frameworks

Learning objective: Understand the legal frameworks governing commodity trade and the principal contractual and dispute resolution mechanisms.

  • Commodity trade contract structures: standard forms and bespoke contracts
  • Applicable law: choice of law in international contracts, New York and English law
  • Dispute resolution: international arbitration (ICC, LCIA, GAFTA, FOSFA), commercial courts
  • Contract terms: warranties, representations, force majeure, material adverse change
  • Rights of retention, pledges, and security interests in physical commodities
  • Agency and mandate law: authority to act, apparent authority, undisclosed principals

Module 5: Risk Identification and Management

Learning objective: Identify, describe and apply basic risk management approaches to the principal risk types in commodity trade.

  • Risk taxonomy: counterparty, credit, market, documentation, operational, legal, reputational
  • Counterparty risk assessment: the elements of a risk assessment and their limitations
  • Fraud typologies in commodity trade: common schemes, warning signs, red flags
  • Credit risk: trade credit assessment, credit insurance, payment security
  • Operational risk: logistics failure, cargo loss, force majeure events
  • Risk registers, risk appetite and escalation procedures
  • Case studies in commodity trade risk failure

Module 6: Regulatory and Sanctions Compliance

Learning objective: Understand the principal sanctions regimes, AML/KYC obligations, and trade regulations that apply to commodity traders.

  • Principal sanctions authorities: OFAC (US), EU Council, UK OFSI, UN
  • Sanctions programmes relevant to commodity trade: sectoral, geographic, entity-specific
  • Sanctions screening: names, vessels, jurisdictions, goods — practical approaches
  • AML/KYC in commodity trade: beneficial ownership, source of funds, politically exposed persons
  • Export controls and dual-use goods
  • Facilitation liability: aiding and abetting, conspiracy, regulatory risk
  • Internal compliance frameworks: escalation, reporting, recordkeeping

Module 7: Professional Conduct and Ethics

Learning objective: Understand and commit to the CRT Code of Professional Conduct, and apply its principles to realistic professional situations.

  • The CRT Code of Conduct: principles, specific obligations, application
  • Conflicts of interest: identification, disclosure, management
  • Client and counterparty interests: fiduciary and non-fiduciary relationships
  • Market integrity: prohibited practices, market manipulation, front-running
  • Whistleblowing: obligations, protections, routes for disclosure
  • Professional development: CPD obligations and good practice
  • Case studies in professional conduct failures in commodity markets