30148 - MANAGEMENT OF FINANCIAL INSTITUTIONS
CLEAM - BESS-CLES - BIEMF
Department of Finance
Course taught in English
CLEAM (6 credits - I sem. - OP | SECS-P/11) - BESS-CLES (6 credits - I sem. - OP | SECS-P/11) - BIEMF (6 credits - I sem. - OP | SECS-P/11)
Course Director:
BRUNELLA BRUNO
BRUNELLA BRUNO
Course Objectives
The course addresses managerial issues in modern banking and insurance. We describe main bank business models and how they evolved, with a major focus on commercial banking. In this respect we illustrate commercial banks’ services and policies in funding, lending, and investment activities. We then address managerial issues by focusing on the measurement and management of credit, interest rate, and liquidity risk. In addition, bank performance are measured and assessed and issues in regulation, including capital and liquidity management (Basel II and III), are addressed. As far as insurance companies are concerned, we cover four main areas: the insurance process; risk and capital management; financial statement analysis and performance measures; prudential regulation (Solvency II).
Course Content Summary
Part I. Banking- Liabilities management and funding strategies: deposits, certificates of deposits, bonds and notes.
- Loan characteristics and credit policy: screening, monitoring, and loan portfolio management.
- Cash management and liquidity planning.
- The role of securitization in credit, liquidity, and funding management.
- Capital and risk management. Banking regulation.
- Financial statement analysis and performance measurement.
- Risks and insurance process.
- The insurance business model: underwriting, pricing and income statement.
- Risk management and policyholder protection.
- The forthcoming insurance prudential regulation: Solvency II.
Detailed Description of Assessment Methods
Students can choose among three different options:
- a final individual general exam;
- two individual partial exams;
- a general exam or two partial exams and a group assignment.
Individual general and partial exams are written. They both involve a set of multiple choice questions and exercises.
Group assignment entails the preparation of a written paper. Greater details on exam methods are communicated at the beginning of the course.
Textbooks
Readings and teaching notes are made available on the e-learning platform. Textbook reference are communicated at the beginning of the course.
Prerequisites
Students attending this course should be familiar with the concepts learnt in the following courses: Financial markets and institutions, Financial mathematics, and Statistics.
Last change 30/06/2014 12:25