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Role Of Financial Manages

Role of Financial Managers
Jesus G. Covarrubias
University of Phoenix
October 15, 2005

Table of Contents
Page
Introduction 3
Financial Manager Duties 3
Maximizing Shareholder Value 4
Financial Responsibility 4
Financial Markets 5
Investor Trust 5
Conclusion 6
References 8


Introduction
This paper focuses on identifying the major duties of Financial Managers and their role in maximizing shareholder value within today's financial markets. A comparison between a Financial Manager's viewpoint and that of stockholders with related to maximizing share value will be discussed.
Financial Manager Duties
Almost every business, government agency, and organization has one or more financial managers who handle the preparation of financial reports, investment activities, and routinely implement cash management strategies. Financial managers also spend time developing strategies and implementing long-term goals for their organizations often intended to maximize shareholder value.
The basic duties of financial managers vary with their specific titles, which include controller, treasurer or finance officer, credit manager, cash manager, and risk and insurance manager. Controllers direct the preparation of financial reports that summarize and forecast the organization's financial position, such as income statements, balance sheets, and analyses of future earnings or expenses. Controllers also are in charge of preparing special reports required by regulatory authorities. Often, controllers oversee the accounting, audit, and budget departments.
Treasurers and finance officers direct the organization's financial goals, objectives, and budgets. They oversee the investment of funds and manage associated risks, supervise cash management activities, execute capital-raising strategies to support a firm's expansion, and deal with mergers and acquisitions. Credit managers oversee the firm's...