CTP Study Guide 2026
Everything you need to pass the CTP exam in one place: the exam format, every topic to study, real practice questions with explanations, flashcards, and full-length practice tests. Free, no sign-up needed.
📋 CTP Exam Format at a Glance
📚 CTP Topics to Study (57)
✍️ Sample CTP Questions & Answers
1. What does a 'make-whole call' provision protect in a bond?
A make-whole call requires issuers to pay bondholders the present value of remaining cash flows discounted at a low spread to Treasuries, making early calls very expensive.
2. Which of the following describes the primary function of Value at Risk (VaR) in a corporate treasury context?
Value at Risk (VaR) is a statistical technique used to measure and quantify the level of financial risk within a portfolio over a specific time frame and at a given confidence level (e.g., 95% or 99%). It estimates the potential loss due to 'normal' market movements, not the absolute maximum loss or losses from extreme tail-risk events. For example, a one-day 95% VaR of $1 million means there is a 95% chance the portfolio will not lose more than $1 million in one day.
3. Which of the following is an example of a preventive control in treasury operations?
Requiring dual authorization before releasing payments prevents unauthorized transactions from occurring.
4. The primary purpose of a daily cash position report is to:
A daily cash position report aggregates bank balances, expected receipts, and disbursements so treasury can take timely action to invest surplus or cover shortfalls.
5. Stress testing differs from VaR analysis because stress testing:
Stress testing evaluates portfolio impact under specific extreme scenarios (e.g., 2008 financial crisis) and does not rely on historical return distributions as VaR does.
6. A corporate treasurer wants to protect against rising rates on anticipated debt issuance six months from now. The most direct hedge is to:
Selling Treasury bond futures profits when rates rise (bond prices fall), offsetting the higher borrowing cost the company will face at issuance.