It is a truism that every group or organization of people with a common interest will create their own verbal “shorthand” with regard to ideas, concepts, and practices considered typical in that common interest. Here’s an example: What is the difference between a TMS and a TWS? What is ERP (and not the famous sheriff Wyatt!) and how is it deployed? Probably one of the most notable in recent history is the “Uniting and Strengthening America by Providing Appropriate Tools Required to Intercept and Obstruct Terrorism Act.”
It is no different in Treasury than any where else. There are many acronyms used, and in use, in all aspects of Treasury. Many of them are in the BOK. As you work your way through the text, make note of the acronyms you come across, and their definitions. They are used in the exam questions and will probably cause you to answer incorrectly if you can’t recognize the acronym and what it means or what it is about.
Another stumbling point for many is about legislation. There has been some significant legislation over the last 75 years that has direct bearing on Treasury and why things are done the way they are. You should try to know the title, or reference name, of the legislation, the year it was enacted, and a very brief (one or two sentences at most) definition of the importance of the legislation. As an example, Reg D defines a transaction account and Reg CC is about the availability of funds, both of which are very important in domestic Treasury. If you write these down on a single sheet of paper, one for the acronyms, one for the legislation, they become a very useful study tool and are excellent for reviewing before you take the exam.
(By the way, the ‘notable in recent history’ mentioned above? Most just call it the USA PATRIOT ACT)
- Fred Butterfield, CTP