Unit of competency Outline

Date retreived
22/07/2026 2:07 PM AWST

Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.

Price financial transactions

Price financial transactions

Unit of competency
National Code
FNSFMK601A
State Code
D4134
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
24/11/2010
View on TGA
State Implementation and Classification
Approved Date
31/07/2014
Field of Education
080101 - Accounting
Original Release Date
31/07/2014
Nominal Hours
60
Description
This unit describes the performance outcomes, skills and knowledge required to compile and analyse financial information and data to determine the price of financial products and record financial transactions.This unit may apply to job roles subject to licensing, legislative, regulatory or certification requirements so Commonwealth, State or Territory requirements should be confirmed with the relevant body.
Notes
Elements and Performance Criteria
1. Compile financial information and data
  • 1.1. Sources of financial data relating to financial products and financial markets are identified for analysis purposes and collected according to organisational practises
  • 1.2. Financial data is analysed to evaluate current market position and review the data against financial products
2. Analyse and make prices
  • 2.1. Financial products are analysed utilising standard financial market investment concepts, against evaluated financial market data
  • 2.2. Evaluated financial product data is reviewed against the current market position of the financial product
  • 2.3. Financial market product price is reviewed against clientrequirements and credit rating and a financial transaction price formulated using standard organisational practises
  • 2.4. Client is advised of the financial transaction price in accordance with organisational guidelines
3. Record financial transaction
  • 3.1. Client acceptance of financial transaction price is confirmed according to organisation requirements and relevant transaction documentation is completed as necessary
  • 3.2. All transaction details are entered into the organisation dealing systems
RANGE STATEMENT
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Market position may include:
financial 'O' curves
forward exchange rate curves
future curves
yield curves.
Investment concepts may include:
all ordinaries and other market indicators
bull and bear markets
capital growth
cyclical stocks
diversification
dividends and dividend imputation (franked dividends)
growth stocks
market capitalisation
market turnover
portfolio construction strategies
ratios to analyse and select shares (PE ratio)
return on investment
top-down, bottom-up approach to investment analysis
types of order limits, at market
valuation methods for equities
yield.
Relevant data may include:
economic fundamentals:
Consumer Price Index (CPI)
Gross Domestic Product (GDP)
wage index
job vacancies
building approvals
technical analysis and charting.
Financial products may include:
capital markets
cash
commodities:
hard
soft
derivatives:
forward rate agreements
swaps
options
futures
electricity contracts
foreign exchange
government bonds
managed funds
negotiable and transferable instruments
reciprocal purchase agreements
securities:
debt
equity.
Client requirements may include:
client credit rating
degree of risk undertaking
required return
size of transaction
terms of transaction.
Transaction details may include:
considerations
counterparty
face value
maturity date
price
start date
trade date.
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
compile financial information and data and analyse this to make financial prices
record financial transactions.

Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the financial services work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to financial services product information
access to dealing system and data.

Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency
verbal or written questioning on underpinning knowledge and skills
evaluating samples of work
accessing and validating third party reports.

Guidance information for assessment
Replaced By
State Code National Code Title Type
AUR28 FNSFMK601 Price financial transactions Unit of competency