Corporate Financial Management CFO Responsibility

Question: Discuss about the Corporate Financial Management for CFO Responsibility. Answer: Introduction The proper monitoring and governing of the financial resources is highly critical for organisations to optimise the profitability and thus ensuring the long-term growth and development. In this context, the role and responsibility of Chief Financial Officer (CFO) becomes very important for maximising financial efficiency and achieving financial stability. CFO position in an organisation is accountable for managing administrative, financial and risk management operations (CTI Reviews, 2016). In this report, the role and responsibilities of CFO of GrainCorp, a public listed company in Australia involved in receiving and storing of grain and related commodities (GrainCorp, 2015). The next section of the report evaluates the efficiency of market-hypothesis theory in selection of portfolio with a pin by pension fund manager. Three general areas of responsibility for a chief financial officer (CFO) of GrainCorp Limited listed on ASX Alistair Bell is the Chief Financial Officer (CFO) of GrainCorp and holds the responsibility of managing international finance, treasury and investor relations. The company is mainly involved in manufacturing of food ingredients and agribusiness on an international level (GrainCorp, 2015). The three general areas of responsibilities of CFO of the company can be described as follows: Controller Duties Controllership duties of Chief Financial Officer (CFO) of the company involve providing accurate and timely historical information to all the stakeholders of the company. The information presented to the stakeholders including shareholders, analysts, creditors and employees must be true and reliable for decision-making (Eeden, 2014). The CFO of the company also monitors and controls the capital structuring by taking decisions regarding the raising of funds for carrying out its regular operational activities. The CFO determines the best proportion of equity and debt in the capital structure by taking into consideration the risk and liquidity position of the company. CFO also holds the responsibility of controlling the cash flow position by maintaining an appropriate balance of cash payments and cash receivables (Sutcliff, and Donnellan, 2006). The cash flow statements of the company is also prepared under the leadership of CFO who determines the accounting policies and procedures to b e followed at the time of preparation of all the financial statements including balance sheet, cash flow and income statement. In addition to this, CFO is also accountable for developing and implementing tax management strategies for reducing the operational cost of the company (Fabozzi et al., 2008). CFO also establishes the lines of communication with the investment bankers, financial analysts. Shareholders and all the senior management people for conveying all the relevant financial information to them that supports them in taking decisions. CFO incorporates the use of tools such as balanced scorecard, dashboards and financial statements ration analysis for communicating the companys financial performance to the stakeholders. The budgets of the company are also prepared under the supervision of CFO who develops and implements all the budgeting policies and procedures. Budget preparation enables the CFO to identify the major areas of improvement required in the financial performan ce by comparing the results obtained with the estimated outcomes (Bragg, 2010). The companys financial performance indicates that its processing business contributes to a major part if its earnings while its grain business is still facing some challenges in achieving profitability. Thus, CFO of the company is recommended to implement new strategies for controlling and monitoring the grain business for enhancing the revenue generation from this segment (GrainCorp, 2015). Strategic Planning GrainCorp is presently emphasising on developing and adopting many strategic initiatives for enhancing its organic growth. As such, the company in storage and logistics is planning to reduce the operational cost by rationalising the network. In this context, the company is planning to invest about $60 million of capital for developing operational sites that aims to revitalise the network and improve customer services. This strategic planning by the senior management needs support and supervision of CFO who holds all the important information regarding the availability of financial sources to support the project implementation. Moreover, the company senior managers also taking key initiatives to market the companys products on new areas of Western Australia, South Australia, North America and Europe. This is being planned in order to target new customers and increase the companys sales in the future context (GrainCorp, 2015). However, this strategic initiative of the company is also b eing guided and controlled by the CFO by providing the funds required for marketing the companys products in new business areas. The sustainable performance of the company around the years is possible with the effective capital management achieved by the CFO of the company. The company is investing significantly in developing and implementing new projects for supporting its future growth expansion plans that are supported by a well disciplined approach adopted by the CFO in capital management. Thus, it can be stated that all the strategic decision-making process of the company are supported and guided under the leadership skills of the Chief Financial Officer (CFO) of the company (Lapovsky and McKeown-Moak, 2010). Risk management GrainCorp is involved in food ingredients and agribusiness and as such involves huge business risk in its operational functions that are dependent on the availability of raw materials from the natural resources. As such, the nature of business of the company itself involves huge financial risk that need to be controlled effectively by the CFO of the company. The successful completion of new projects is dependent on the availability of ingredients that can be maintained in continuation with the deployment of new technologies. The new technologies implemented will enable to source high quality raw materials to boast the productivity and profitability of the company. However, with increasing use of innovative technologies the financial risks also increases as it can lead to the occurrence of financial constraints in the company. This financial risk need to be controlled and mitigated by the Chief Financial Officer (CFO) by providing support and advice from the Chief Executive officer (C EO) (GrainCorp, 2015). The successful completion of new projects planned by the company such as widening the market segment and significant changes in storage and logistic unit requires investment in huge financial resources. The failure of these new projects can cause heavy losses for the company that need to be mitigated in advance by taking proactive steps. Thus, CFO in assistance with CEO must develop and implement proper risk management strategy in the company that identifies in advance all the financial risks associated with its business operations. This is necessary for avoiding the occurrence of any type of contingency in the business and thus ensure smooth running of companys operational functions (Fuhr and McDonagh, 2012). Impact of CFO responsibility on objective of GrainCorp Limited The ultimate objective of the company is to become an international leader in food ingredients and agribusiness by creating value for all its stakeholders (GrainCorp, 2015). The supervision position of Chief Financial Officer (CFO) is highly important for the company in attaining these ultimate objectives (Nolop, 2012). The roles and responsibility of CFO discussed above involving controller duties, strategic planning and risk management will facilitate the company to achieve its ultimate objective of becoming an international leader in its business area. The controller duties such as maintaining cash flow, budgets, record-keeping ad financial planning is essential for aligning its operational activities with the financial resources. This will ensure that all the day-to-day operational activities are carried out smoothly without any financial constraints. The strategic planning is also carried out under the assistance of CFO to ensure the proper availability of funds for supporting t he new strategies planned to be implemented. The development of risk management strategy is also essential for the CFO so that the company is able to achieve its ultimate objectives without the occurrence of any emergency conditions (Sutcliff and Donnellan, 2006). If the efficient-market hypothesis is true, the pension fund manager might as well select a portfolio with a pin. Explain why this is not the case Efficient market hypothesis (EMH) theory that it is relatively impossible to beat the market consistently as market prices are only affected by the new information and changes in discount rates. The EMH theory in financial economic context states that share prices fully reflect all the available information that directly implies that stocks are always traded at their fair value making it relatively impossible for investors to either purchase undervalued stocks or sell stocks at inflated prices. However, if this is true then pension fund manager can easily select a portfolio with a pin that is generally achieved in real practice. The pension fund manager role is very important in creating and managing a portfolio for the clients. Portfolio is created by pension fund manager by proving advice to the investors for investing in various types of financial securities such as stocks or bonds. It is the responsibility of pension fund manager to evaluate a particular financial security proper ly before its selection in the portfolio so that it is able to provide maximum return to the clients. If the efficient-market hypothesis is true, then there would be no way for the investors to obtain superior rates of return by beating the market risk. However, market risk can be minimised by the pension fund manager by properly diversifying the portfolio (Williams, 2011). Diversification of the portfolio can be achieved by the pension fund manager by selection of particular stock or bond that have lower rate of co-relation between them. This means if one financial security is giving lower rate of return than it could be balanced by the return obtained from other financials security that is performing well. The pension fund manager has certain targets and goals to be achieved by providing higher rate of return on the portfolio created for the clients (Micocci et al., 2010). Throwing darts at the stick page might create a diversified portfolio but there is no method of controlling t he expected return and risk of the portfolio. The reduction in the systematic risk is only possible with the selection of stocks and bonds that have lower beta. Lower beta, lower is the co-relation between the financial securities in a portfolio so that underperformance of one security does not have affect on the performance of the other. The efficient-market hypothesis also assumes that the investors realise all the information available of a financials security in a similar manner. This is also not generally true as investors incorporate the use of different methods for analysing and valuing the financial securities. For example, if one investor has analysed a financial security on the basis of growth potential and other on the basis of undervalued market opportunities, then the fair market value of that particular security will differ for the two investors. Thus, in context of the overall discussion the statement If the efficient-market hypothesis is true, the pension fund manage r might as well select a portfolio with a pin is regarded as false. This implies that pension fund manager need to create portfolio by proper evaluation of each financial security so that the portfolio is well-diversified and ensure yielding maximum return. Pension fund manager should advice to the clients for safe investments that is lection of stocks or bonds that have lower beta (Williams, 2011). Conclusion Thus, it can be stated from the overall discussion held in the report that CFO role is very important in an organisation for achieving its strategic aims and objectives. The financial performance of GrainCorp reveals that CFO carried out his roles and responsibility appropriately that is resulting in increased profitability for the company. The CFO, in future context, is recommended to develop new strategies for enhancing the companys revenue generation in grain business in assistance with the CEO. The next part of the report inferred that pension fund manager can beat the market risks through diversification of the portfolio in contrasts to the findings of efficient-market hypothesis. References Bragg, S.M. 2010. The New CFO Financial Leadership Manual.John Wiley Sons. CTI Reviews. 2016. Essentials of Corporate Finance: Business, Finance. Cram101 Textbook Reviews. Eeden, D.V. 2014. The Role of the Chief Human Resources Officer: Perspectives, Challenges, Realities and Experiences. Knowres Publishing. Fabozzi, F. J. et al. 2008. The Complete CFO Handbook: From Accounting to Accountability. John Wiley Sons. Fuhr, E.A. and McDonagh, C.W. 2012.The Risk Manager.FTI Journal. GrainCorp. 2015. Annual Report. Lapovsky, L. and McKeown-Moak, M.P. 2010. Roles and Responsibilities of the Chief Financial Officer: New Directions for Higher Education, Number 107. John Wiley Sons. Micocci, M. et al. 2010.Pension Fund Risk Management: Financial and Actuarial Modeling. CRC Press. Nolop, B. 2012.The Essential CFO: A Corporate Finance Playbook. John Wiley Sons. Sutcliff, M. R. and Donnellan, M. 2006. CFO Insights: Delivering High Performance. John Wiley Sons. Williams, R. T. 2011. An Introduction to Trading in the Financial Markets: Trading, Markets, Instruments, and Processes. Academic Press.

Topics For Explanatory Essay

Topics For Explanatory EssayThere are many types of topics for explanatory essays. In this article, I will discuss some topics for each of the four categories. In each topic, there are a number of different techniques that you can use.Current Study: This is the first type of topic for an essay. Many students would find it difficult to write this type of essay because they are often not well-versed in current topics. In this category, you need to carefully prepare your essay by reviewing all the current literature on the topic of your topic. It is important to not use any papers or other books as a source of information. You must do all the research yourself.Example Essay: One example essay would be a sample of current topics for an analytical essay. For example, you may want to use an example essay about the legal system. To make this easier, you could use a legal board or a sample case.Descriptive Essay: The second type of topic for an essay would be a descriptive essay. You need to describe the reader in the body of your essay. For example, you may want to talk about 'the reader's eye view' of the world. The descriptive term means that you use specific words and phrases to describe the reader.Examples: The third type of topic for an essay would be a sample essays. If you have a lot of samples, you can edit these into an example essay. They can be a good way to practice what you want to say in your own essays. You can read them aloud and see if they sound natural to you.Writing a Short Essay: Finally, you would need to write a short essay that fits the category you are writing in. You might write a short article about the latest research that shows the effect of global warming. Or, you might try a short term report about a local event. Whatever you want to write, your goal is to use interesting language and to provide a link to the reader.These three categories are just to get you started. As you start writing an essay, you will realize that there are many dif ferent topics for explanatory essays. Just remember that each essay needs a different style and a different structure.

The death of John Proctor Essay Example

The death of John Proctor Paper Mary is brought before the judges and so are the other girls. The judge puts in Marys mind that satan has got hold of her or all the girls are positively lying. Abigail is also questioned by the judge and lies, the judge cannot understand why Abigail would want Proctors wife dead. Mary is put through tests by the judges even being asked to faint on command which she finds impossible to do, she is goaded by Parriss who knows his reputation is totally at stake. Abigail knowing that she could be found out as being a deceitful liar storms up to the judge and questions him as to whether he believes them. Abigail then starts to shake and pretend that Mary is afflicting her. John Proctor by this time has seen enough and admits to making love to Abigail and calls her a whore. The judge asks Abigail if Proctor is telling the truth but Abigail denies without saying anything. Good Wife Proctor is called for by the judge to touch the bottom of this swamp but Goody Proctor has to admit that she threw Abigail out for harlotry. Both John and Abigail had to turn their backs away from Goody Proctor and we have to remember that John had told the court that his wife never lies. We will write a custom essay sample on The death of John Proctor specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on The death of John Proctor specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on The death of John Proctor specifically for you FOR ONLY $16.38 $13.9/page Hire Writer The judge asks Goody Proctor about the dismissal of Abigail Williams and she tells the judge she dissatisfied me and my husband. Goody being a good Christian didnt wish to tell the court that her husband had been adulterous and when asked by the judge if her husband was an adulterer she replied no. This was the first lie Goody Proctor had told in the whole of her life. Goody Proctor then learns the terrible truth that John has told the court about his liaison with Abigail and she looks on in dismay not believing that she has done this to her husband. Hale actually believes Proctor is telling the truth, I feel that Hale realizes at this point that Goody Proctor was lying for the first time because when Hale went to Proctors house and asked John Proctor to repeat his Commandments he missed out adultery and now realizes that he must have blocked the adultery with Abigail out of his mind. Now Abigail knows that she has got away with her lies and deceit and at t this point Abigail starts screaming to divert the courts attention saying Mary has the Devil in her The girls repeat everything Mary is saying, pretending she is making them do this. At this point Mary sees that if she doesnt save herself nobody else can and she turns and says the Devil came to her and told her to give her name to stop his wife from hanging. Mary has now condemned John Proctor. Hale tries to intervene but is cut down by the judge. John Proctor says the judge is pulling heaven down and raising up a whore he then screams God is Dead. Abigail seeing that Hale could be a problem for her goes to the judge telling him that Hales wife is a witch but the judge tells her you are mistaken child, understand me this is a warning shot to Abigail that she is going too far. John Proctor is sent to jail and his visitor is Abigail Williams who wants to have him set free and go away with her on a ship. She realizes that all her plans have been thwarted and she never dreamed John would end up in jail. Abigail says that the jailer on her word will set him free and they can board a ship for Barbados together. John Proctor replies to her offer with the words it is not on a ship we will meet again Abi but in hell. The perpetrator of all the things that happen in Salem leaves, Abigail Williams with stolen money disappears. Reverend Parriss now sees that something must be done to save the lives of John, Rebecca Nurse and Martha Corey. The judge says that if Proctor confesses to being a witch then there will be an end to the deaths. Hale goes to Goody Proctor to inform her that her husband is marked to die and that John must just tell a lie to stop the hanging and begs Goody to get John to lie. Goody knows her husband will not lie to save his soul and promises nothing but asks to speak with her husband alone. They talk of their baby not yet born and their boys. John knows he is about to die but says he is thinking to confess just to be done with the problem. Goody says she will accept whatever he does. John says it is hard to give a lie to dogs and that it is only spite that makes him stay silent. Goody replies whatever you will do its a good man does it she says she has her own sins to deal with. Goody admits to keeping a cold house and asks for his forgiveness. John shouts to the courts I want my life The next problem begins when the judges want a signed confession that is to be pasted on the door of the church. He is asked if he saw Rebecca Nurse and others with the devil, John cannot lie and so he says that he saw no-one with the Devil. Hale pleads with the judge to let Proctor just sign his own confession which Proctor does but then reality strikes him and he argues that he cannot bring his boys up to be good men if this lie is pasted to the church door. He pleads that he has given this court his soul could they not leave him with his name. Proctor tears up the piece of paper with his signature on in and condemns himself to death. Hale pleads with Goody to change Johns mind and Goody replies he has his goodness now God forbid I take it from him. Three innocent people are sent to be hanged and now we see the village people look on in total silence. This play showed peoples greed, ignorance, arrogance, hatred and all centred around one girls unrequited love for a married man. It showed the good people dying whilst the tormentors stood by and gloated. It showed us how the might of the many blows away reality. Mass hysteria of young girls convinced grown men, mature judges that Salem was the Devils playground.

What to Do If You Make a Mistake While Voting

What to Do If You Make a Mistake While Voting With all the different types of voting machines now in use and requirements in effect across the United States, voters often make mistakes while voting. What happens if you change your mind while voting, or you accidentally vote for the wrong candidate? No matter what type of voting machine you are using, carefully check your ballot to make sure you have voted as you intended to vote. As soon as you discover you have made a mistake, or if you have a problem with the voting machine, immediately ask a poll worker for help. Get a Poll Worker to Help You If you polling place uses paper ballots, punch card ballots or  optical scan ballots, the poll worker will be able to take your old ballot and give you a new one. An election judge will either destroy your old ballot on the spot or place it in a special ballot box designated for damaged or incorrectly marked ballots. These ballots will not be counted and will be destroyed after the election has been declared official. You Can Correct Some Voting Errors Yourself If your polling place uses a paperless computerized or lever-pull voting booth, you can correct your ballot yourself. In a lever operated voting booth, simply put the one lever back where it was and pull the lever you really want. Until you pull the big lever that opens the voting booth curtain, you can continue to use the voting levers to correct your ballot. On computerized, touch screen voting systems, the computer program should provide you with options for checking and correcting your ballot. You can continue to correct you ballot until you touch button on the screen saying that you have finished voting. Remember, if you have any problems or questions while voting, ask a poll worker for help. What Are the Most Common Voting Mistakes? Voting for more than one person for a single office. If you do this, your vote for that office will not be counted.Not voting for the candidate you think you are voting for. This happens most often when the voting machine uses a booklet showing the voter two pages of names and offices at the same time. The names often lineup in confusing ways. Read carefully and follow the arrows printed on the pages of the booklet.Not following instructions. For example, circling a candidates name, rather than filling in the little circle next to their name. Mistakes like this can result in your vote not being counted.Not voting for some offices. Going through the ballot too quickly can cause you to accidentally skip some candidates or issues you really wanted to vote for. Go slowly, and be sure to check your ballot. You are not, however, required to vote in all races or on all issues. What About Absentee and Mail-In  Voting Mistakes? While all states now allow some form of mail-in voting, 22 states currently allow certain elections to be conducted entirely by mail. In three of those states- Oregon, Washington, and Colorado- all elections are conducted entirely by mail.   About 1 in 5 Americans now vote absentee, or by mail, in national elections. However, the U.S. Election Assistance Commission (EAC) reported that more than 250,000 absentee ballots were rejected and not counted in the 2012 midterm congressional election. Worse yet, says the EAC, the voters might never know their votes were not counted or why. And unlike mistakes made at the polling place, mistakes in mail-in voting can rarely if ever be corrected once the ballot has been mailed. According to the EAC, the main reason mail-in ballots are rejected is that they were not returned on time. Other common, but easy to avoid mail-in voting mistakes include: Forgetting to sign the ballot envelope, as required.Not putting the ballot in the envelope before mailing it back.Using the wrong envelope.The voter had already voted in personThe signatures on the ballot and the envelope do not match. While all states provide some means of correcting mistakes on mail-in ballots- usually before they are mailed- the procedures for doing so vary from state-to-state and sometimes, from county-to-county.   Does Voting by Mail Increase Voter Turnout? Advocated of mail-in voting argue that it increases overall voter turnout and helps voters become better informed. While the argument of higher turnout seems logical, research conducted by EAC reveals this is not always the case. Mail-in voting does not increase turnout in presidential and gubernatorial general elections. In fact, turnout in mail-in only ballot precincts can be as much as 2.6 to 2.9 percentage points lower compared to turnout at walk-in polling places.Voters who cast mail-in ballots are more likely to skip lower-profile or â€Å"downticket† races.On the other hand, voting by mail tends to increase voter turnout in local special elections by an average of 7.6 percentage points. According to the EAC, mail-in voting also results in lower election costs, reduced incidents of voter fraud, and fewer barriers to voting for disabled persons.

The psychology of coaching today's athlete Research Paper

The psychology of coaching today's athlete - Research Paper Example These associates can affect training because the athlete is not getting the right diet, rest or having personal problems. This affects the person’s attitude during practices and the competitions. A coach should be the one to decrease the stress that the athlete feels at least at practices and games. A coach has to has to have knowledge, attitude, and know about behavior techniques to lead a team and they must be able to disguise personal emotions and frustration that could affect the performance of the athlete and the team. If there is a lack of confidence in their coach’s ability and knowledge the athlete should â€Å"further seek other personal training knowledge.† (Bompa, 303) They should improve self-control or if the athlete wants they can look for another coach that they feel will be more comfortable with and has more knowledge. This is so the athlete can have confidence in their practices and competitions. (Bompa, 303) In learning to be a Basketball coach you must learn the basis of training so all your participants can excel in their sport and individual performances. A coach educates his athletes in a physiological, psychological, and sociological manner with all these variables. There is a system to this training which is progressive and individually graded. â€Å"A coach leads, organizes, plans and educates the athlete.† (Bompa 4) This is also how a coach is like a teacher. Coaching is a time that an athlete achieves their individual abilities and psychological traits in a social environment that is conducive to learning and bringing on peak performances. Coaching is a profession that requires a Bachelor’s degree either in Education specializing in Health, Physical Education and Recreation for a coach in any sport is a teacher, but while they are in college they may have to have a second major, for example Elementary Education or even Secondary Education, so that they can teach children at various levels and get a p osition coaching a team. Coaching at the Early Childhood and/or Elementary level is mainly teaching the very basics of the sport and in this case Basketball. You as the coach would teach the skills like dribbling the ball, passing the ball, making free throws, etc. You would want to stress safety and teamwork at the very start at all the different levels of sports education. In learning about Basketball coaches need to learn how to teach the necessary skills, but before this step the first step would have to be a way to create an interest in the sport of Basketball. It is up to the coach to make the sport interesting, so the child will continue playing scholastically and as a extracurricular activity. The coach will have to instill the ideas of physical fitness, movement, learn to work with others, and to learn the necessary safety skills and also the attitudes to which wholesome recreation Is needed. â€Å"Even on a young child sports and physical education should instill personal values and to be creative.† â€Å"Physical activity is a very important for a growing child for they have to be taught to move correctly in order to stay healthy.† (Dauer, 13) Even when coaching young children coaches should check their physical development charts for body physique, skeletal and muscular

People in middleast don't want to workout to get in shape so they look Essay

People in middleast don't want to workout to get in shape so they look for easy ways - Essay Example ks on weight loss, and more gymnasiums have opened more than ever before, but the number of people losing weight around the world is not adding up to an appropriate number who should be fit due to the technology. For this paper, I will go by the thesis statement that people in the Middle East, Saudi Arabia do use alternative methods of losing weight rather than working out. Residents of the Middle East do not want to work out to get in shape, so they look for easy ways. According to the World Health Organization, obesity in the Middle East is a notable health issue. WHO results showed that approximately 1.6 billion people were overweight, and 400 million residents were obese. According to probability statistics, by the year 2015, 700 million individuals will be obese, and 2.3 billion people will be overweight; this number includes both adolescent and adults (World Health Organization 60). The spread of the Western lifestyle usually defined as the consumption of attractive energy dense meals with undesirable composition, elevated consumption of animal fats and sugars and decreased or non- consumption of dietary fiber, along with a lack of sufficient physical activity- is one of the principal origins of obesity and overweight problems in the Middle East (Roya 439). In as much as there are great numbers of individuals in the US who are obese, it is not bizarre to see people working out to get in shape. In the US, most people take exercise seriously and they exercise extensively and religiously as opposed to people in the Middle East especially Saudi Arabia (Al-Hazzaa 663-670). The difference in culture could be the reason as to why people in the US work out as opposed to those in Saudi Arabia. People do not necessarily work out in a gymnasium, but they run around their neighborhoods in the morning or afternoon. This routine makes the obesity situation in the US better than that of the Saudi Arabia. It is almost impossible to see people in the Middle East working

Equity and trusts problem question answers

Equity and trusts problem question answers Equity and trusts problem question (1500 words) This scenario relates to the purported creation of a trust. We are told that Michael has said to his daughter that â€Å"I promise to transfer to you within the year certain property†. The first issue to determine is whether this is sufficient to create a trust. One of the principal requirements for the successful establishment of a trust is certainty, and in this instance, certainty of intention is relevant. Knight v Knight (1840) established that the â€Å"three certainties† must be present; certainty of intention, of subject matter, and of object. Also of relevance here is the equitable maxim that â€Å"equity look to intent, not form†. This means that it is not necessary for the declaration explicitly to include reference to the word â€Å"trust†. The fact that Michael does not refer to a â€Å"trust† does not, therefore, defeat the attempt to establish a trust. By way of example, in Paul v Constance (1977) the words â€Å"the money is as much yours as mine† in reference to deposits in a bank account were sufficient to create a trust. There is no requirement that the declaration be in writing either, unless the trust property is land. The second â€Å"certainty† that is required is certainty of subject matter. What is the trust property? In this instance, Michael has sought to create a trust over â€Å"certain property†. This will fail for evidential uncertainty; there is no clear specification of what the trust property is. Lord Hailsham indicated in his judgment in IRC v McMullen (1981) that the courts are generally reluctant to invalidate a trust for uncertainty of subject matter and will, where possible, apply a reasonable construction to the wording of the trust in order to make them valid. In this instance, however, there is no reasonable construction that could make this vague declaration sufficiently certain. Michael goes on, however, to specify this property as being his Cartier watch, his shares in ABC plc, the legacy he expected to receive from his uncle’s will, and Tranquil View, a freehold house. This, then, will meet the evidential certainty criteria. The next issue to consider is who the trustee is over each of the trust properties. Michael’s watch is a chattel. A trust only becomes fully constituted once the property is in the hands of the person properly bound to be the trustee. In this instance, the bank is holding his watch. The bank, then, becomes the trustee as soon as the declaration is made. In Milroy v Lord (1862), Turner LJ set out his famous three modes of making a gift; an outright transfer of the legal title to the property, a transfer of legal title of the property to a trustee to hold on trust, and a self-declaration of trust. As we have seen, Michael has transferred, by his declaration, the legal title to the watch to the bank. There is no delivery requirement as it is already in the bank’s possession. In relation to Michael’s shares in the public company, the Re Rose (1952) case is relevant. Another equitable maxim is that equity will not assist a volunteer, meaning that in order successfully to create the trust, Michael must have done everything possible to transfer the legal title to the trust property. In Re Rose, the Court of Appeal upheld a trust where the donor had done everything he was obliged to do to make the trust valid. In relation to the shares, Michael will have to execute a stock transfer form in order to create the trust. This principle was extended by Pennington v Waine (2002), although this still required the execution of a stock transfer form. Michael has also sought to create a trust over future property, his expected legacy from his uncle. This is a mere â€Å"expectancy† rather than a trust. Equity will only enforce this as a trust if some consideration was given for it, which does not appear to have been the case in this instance. It is a gratuitous assignment and is not therefore legally enforceable. Tailby v Official Receiver (1888) is authority for equity enforcing an imperfect transaction where consideration was given. In relation to the freehold house, a trust over real property can only be fully created in writing (unlike trusts over personalty). There will not be a properly constituted trust, then, over the property. Michael has also verbally promised to his mistress that she will have the freehold house. This is a case of donationes mortis cause, or deathbed gifts, which are made inter vivos. What distinguishes this from a deathbed gift, however, is that it is not conditional upon Michael’s death, as he says â€Å"whether I die or not†. Cain v Moon (1869) is authority for the fact that deathbed gifts must be in contemplation of death. He also gives his mistress the keys to the safe which contain the title deeds, and thus he has delivered to her the legal title, in essence. This is sufficient to create the trust although as mentioned this is not a donationes mortis causa. We come to Michael’s will which was validly created, and which takes effect upon his death. The  £200,000 trust to create a sports ground for the employees will be successful as it is sufficiently certain as to the trust objects (i.e. the beneficiaries). This is a trust for a purpose, and pure purpose trusts will be invalid, however. Equity will not recognise a trust to carry out a purpose as the benefits of carrying out a purpose cannot be localised to specific individuals (see Morice v Bishop of Durham (1804)). The trust for the purpose of erecting and maintaining a monument will be invalid following Re Endacott (1960) in which a gift of some  £20,000 was made â€Å"for the purpose of providing some useful memorial to myself†. This was invalid. The trust for the purpose of looking after his pet tortoise will be valid as an exception to the no purpose rule, following Pettingall v Pettingall (1842), in which a trust was valid for the purpose of looking after a horse . The gift for the purpose of educating his children is obviously no longer relevant so the trust property will revert to Michael’s estate. Finally, he leaves a legacy for the purpose of building a new clubhouse. Gifts to unincorporated associations were discussed in Conservative and Unionist Central Office v Burrell (1982), and the lacrosse club meets the criteria for an unincorporated association. Once the association is dissolved, the property which is held by the members of the association is not bona vacantia but there is no resulting trust because the property was held under a bare trust. The members can therefore distribute the property among themselves as they see fit. Precatory words are words of prayer or request in wills. The gift of Michael’s jewellery to Nileema is an example of this, and the case law suggests that these words are sufficient to create a trust, although in Lamb v Eames (1871) the Court of Appeal did not allow similar words to create a trust. The gift of the majority of his model soldiers may fail for conceptual uncertainty of subject matter following Palmer v Simmonds (1854). The cy pres doctrine preserves charitable trusts from failure, and strives to make the trust â€Å"as near as possible†. It is likely that the gift to the museum which has closed will be transferred to the Museum of Childhood which now holds the collection. The fund for charitable or benevolent works is a general charitable intention, following Buckley J’s analysis in Re Lysaght (1966). This is wholly charitable and will be valid under the provisions of the Charities Act 2006. The gift to his trustees is a power rather than a trust and will be valid following Re Douglas (1887). The gift of half his shares in ABC plc will be valid, as it is sufficiently certain to determine the property following Hunter v Moss (1994) provided it can be discerned which shares Michael was referring to. BIBLIOGRAPHY Statutes Charities Act 2006 Cases Cain v Moon [1896] 2 QB 283 Conservative and Unionist Central Office v Burrell [1982] 2 All ER 1 Hunter v Moss [1994] 3 All ER 215 IRC v McMullen [1981] AC 1 Knight v Knight (1840) 3 Beav 148 Lambe v Eames (1871) 6 Ch App 597 Milroy v Lord (1862) 4 De GF J 264 Morice v Bishop of Durham (1805) 10 Ves 522 Palmer v Simmonds (1854) 2 Drew 221 Paul v Constance [1977] 1 All ER 195 Pennington v Waine [2002] EWCA Civ 227 Pettingall v Pettingall (1842) 11 LJ Ch 176 Re Douglas (1887) 35 Ch D 472 Re Endacott [1960] Ch 232 Re Lysaght[1966] Ch 191 Re Rose [1952] Ch 499 Tailby v Official Receiver (1888) 13 App Cas 523 Secondary sources Martin, J.E. (2001) Modern Equity, 16th Edition (London: Sweet Maxwell) Pearce, R. and Stevens, J. (2006) The Law of Trusts and Equitable Obligations, 4th Edition (Oxford: OUP) Penner, J.E. (2004) The Law of Trusts, 4th Edition (London: LexisNexis)