The objective of the unit is to expose students to the management of financial risks in banks. The unit examines how financial markets impact on the management of commercial banks and the risks they are exposed to, together with the techniques and approaches used in the measurement and management of these risks. Topics covered include the theory and practice of banking from a financial management perspective, interest rate and foreign exchange market risks, credit risk, liquidity risk, financial management, interest rate and credit derivatives, investment and loan management strategies and portfolio modelling, liability and deposit management, performance analysis, and industry developments.
a two-hour lecture and a one-hour tutorial each week during the semester.
mid-semester test (25%); individual assignment (30%); final exam (45%)
BANK2011 or ECOS2004 or FINC2011Prohibitions