CSDG (Certificate for Specialists in Demand Guarantees)

CSDG (Certificate for Specialists in Demand Guarantees) is a Level 4 certificate in international trade finance.

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What is CSDG Certification (Certificate for Specialists in Demand Guarantees)?

Certificate for Specialists in Demand Guarantees (CSDG) is a title in international trade finance. You have to pass a written examination that takes three hours in order to be qualified as a CSDG.

By having a CSDG certificate you can prove your knowledge and application of the skills required for competent practice in demand guarantees and standby letters of credit in international trade finance.

CSDG certificate is endorsed by ICC so it is recognized in a global scale.

On this page you will find more information about CSDG certificate.

Scope of the CSDG Certificate:

CSDG will cover all of the key areas and aspects that demand guarantee specialists are expected to understand and practice.

CSDG will develop students’ knowledge and expertise in the use of guarantees, industry rules, legislation and the challenges relating to demand guarantees and standby credits.

  • Demand guarantees – including tender, performance and advance payment
  • Indemnities, Suretyships and standby letters of credit and how they compare
  • Scope of industry rules including URDG 758 and ISP98
  • Parties involved in demand guarantees and their roles and obligations
  • Risk issues, including types, control and mitigations
  • Impact of external factors including governing law and force majeure

Eligibility of the Examination:

There are no entry requirements for the CSDG examination. Anyone can enter CSDG examination.

However please keep in mind that it is not easy to pass the CSDG exam. You should prepare well for it.

Examination takes place in English language only.

Time constraint is one of the biggest problems on the examination, especially for the non-native English speakers. As a result, English reading pro-efficiency is a must.

You have to read and understand the questions very fast.

The London Institute of Banking & Finance recommends to the exam participants have a minimum of three years of demand guarantee and standby documentary credit experience for their benefit.

Examination Format:

Assessment for CSDG consists of a 3 hour multiple-choice examination, designed to test knowledge and its application to practical situations.

The content of the CSDG examination is based on the results of a job analysis study that identified key responsibilities of a demand guarantee and standby documentary credit practitioner and areas of knowledge and skills required for competent practice.

To earn the professional designation you are required to pass a three-hour examination that is designed to test your knowledge and its application to practical situations.

The examination is based on an English study text.

CSDG is assessed through a 3-hour paper-based objective exam split into two sections:

  • Section A – 50 multiple-choice questions
  • Section B – 10 standalone multiple-choice questions, one case study with 6 linked multiple-choice questions and 6 simulation exercises

Organizer:

CSDG examination held by The London Institute of Banking & Finance. You can reach their website from this link.

Costs:

CSDG examination which held by The London Institute of Banking & Finance cost you around 580GBP. (650EUR)

*for exact and up-to-date cost please refer to above official website.

How to Prepare?

You have to study by yourself to CSDG examination. Once registered a textbook was planning to send out to every candidate by post.

The textbook planning to send out was “Guide to ICC Uniform Rules for Demand Guarantees (URDG 758)” written by Dr. Georges Affaki, Sir Roy Goode.

According to the information provided by the official website textbook dispatched is not valid any more.

Instead the candidates reach online materials from MY LIBF website.

The candidates will be provided with the following learning resources:

  • online access via MyLIBF – www.myLIBF.com to learning materials and to
    KnowledgeBank (virtual library);
  • unit syllabus;
  • study text;
  • specimen paper; and,
  • student-led forum.

Preparation for the examination usually takes six months with comprehensive learning materials provided.

How to Apply?

CSDG examination held by The London Institute of Banking & Finance. You should apply for a CSDG exam from official CSDG website by clicking here.

Examination:

CSDG Exam: Principles and Practices of Demand Guarantees

Learning Objectives:

The lecture focusing on the importance of rules, practices and guidelines for demand guarantees and standby letters of credit. After studying this lecture;

  • You should understand types, definitions, rules and processes of demand guarantees.
  • You will be able understand terminology related to draft, issue and claim on demand guarantees and standby letters of credit.
  • You will be able to identify the roles, obligations and relationship between parties to demand guarantee transactions.
  • You should be able to identify the risks involved in demand guarantee transactions and be able to manage those risks.
  • You should be able to identify the external factors that can affect demand guarantees and standby credits.

CSDG Syllabus

Learning OutcomeAssessment Criteria
Learning Outcome:
Understand the features, life-cycle, rules and parties to demand guarantees and standby letters of credit and how they are applied within international trade finance contexts.
Assessment Criteria:
*Distinguish between the different types of demand guarantees, standby letters of credit and suretyships and the requirements, role of the parties involved and the life-cycle of each.
*Identify the problems, risks, rules and external factors associated with demand guarantees and standby letters of credit and explain the effect these factors have
Learning Outcome:
Be able to manage demand guarantees and standby letters of credit.
Assessment Criteria:
*Apply appropriate rules and trade terms that govern demand guarantees and standby letters of credit to the management of demand guarantees and standby letters of credit.
*Check accuracy of demand guarantee and standby letter of credit documents.

CSDG Certificate Content Outline

Learning OutcomeAssessment Criteria
Learning Outcome:
Understand the features, life-cycle, rules and parties to demand guarantees and standby letters of credit and how they are applied within international trade finance contexts.
Assessment Criteria:
•Demand guarantee definitions
• What is a demand guarantee?
• What is a standby letter of credit?
•Key features of guarantees, suretyships, and standby letters of credit, including:
• What they are
• Documents required
• Comparison with demand guarantees and with each other
•Rules, standards and guidelines that govern demand guarantees and standby letters of credit:
• Scope and application of the rules
• URDG 758
• ISP98 where these rules differ from URDG 758
•Capacity of different types of guarantee and standby letter of credit and when they are used:
• Scope of a guarantee or standby letter of credit
• Advantages to all parties
• Scenarios where one type of guarantee or standby is preferred over another
•Relationship between parties to the demand guarantee (including advantages to each party)
• Instructing party
• Applicant
• Guarantor
• Beneficiary
•Process, life cycle and challenges of a demand guarantee or standby letter of credit
• Draft
• Issue
• Amendments
• Presentation
• Examination
• Payment
• Termination and reduction Including:
• Rejection (including non-complying demand, waiver, notice)
• Transmission and translation
•The ways in which the rules for demand guarantees or standby letters of credit can be affected by external factors and the implications of these effects, including:
• Indemnity for foreign laws and usages
• Governing / national law
• Jurisdiction
• Force majeure
• URDG and other ICC rules
• Courts
•The risks involved in demand guarantees and standby letters of credit:
• Risks and consequences
• Fraud
• Money laundering
Learning Outcome:
Be able to manage demand guarantees and standby letters of credit.
Assessment Criteria:
• Practitioner element, putting theory in to practice.

Exam Centers:

CSDG examinations will take place in the following locations, subject to demand. The London Institute of Banking & Finance reserve the right to withdraw centres.

The London Institute of Banking & Finance may be able to offer other exam venues, subject to demand.

  • Australia (Sydney)
  • Bahrain (Manama)
  • Bangladesh (Dhaka)
  • Belgium (Brussels)
  • Canada (Montreal, Toronto)
  • China (Anhui, Beijing, Chengdu, Changsha, Jinan, Dalian, Guangzhou, Shanghai)
  • Cyprus (Nicosia)
  • Egypt (Cairo)
  • Germany (Frankfurt)
  • Hong Kong
  • India (Bangalore, Chennai, New Delhi, Mumbai)
  • Indonesia (Jakarta)
  • Jordan (Amman)
  • Kenya (Nairobi)
  • Lebanon (Beirut)
  • Malaysia (Kuala Lumpur)
  • Malta (Valletta)
  • Mauritius (Reduit)
  • New Zealand (Auckland)
  • Nigeria (Lagos)
  • Qatar (Doha)
  • Romania (Bucharest)
  • Russia (Moscow)
  • Saudi Arabia (Jeddah, Riyadh)
  • Singapore
  • South Africa (Johannesburg)
  • South Korea (Seoul)
  • Spain (Madrid)
  • Sri Lanka (Colombo)
  • Sweden (Stockholm)
  • Switzerland (Basel)
  • Taiwan, Taipei
  • Thailand (Bangkok)
  • Turkey (Ankara, Istanbul)
  • United Arab Emirates (Dubai, Sharjah)
  • United Kingdom (Birmingham, London, Manchester)
  • United States of America (New York)
  • Vietnam (Ho Chi Minh City)
  • Zambia (Lusaka)
  • Zimbabwe (Harare)

The list of current venues is reviewed regularly and venues may be changed without notice.

Please contact Customer and Student Services on +44 (0)12 2781 8609 or email [email protected] if you would like us to consider setting up a venue that is not on this list.

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