Overview

This module explores the risk management function in modern financial institutions. A fundamental approach adopted is that financial institutions risk management is a central element of practical bank financial management. In this context risk management is seen practically as linking risk-taking (an essential economic role of banking firms) and financial management (managing these risks and the respective risk and return tradeoffs in the most efficient way). The nature, strategic context, management and control of bank risks are examined. The course also addresses the impact of bank regulation on bank risk management and the role of good risk management governance.

Assessment Strategy

Threshold C- to C+ (50-59%): Satisfactory performance. No major omissions or inaccuracies in the deployment of information/skills. Some grasp of theoretical/conceptual/practical elements. Integration of theory/practice/information present intermittently in pursuit of the assessed work's objectives. Knowledge of key areas/principles only. Weaknesses in understanding of some areas. Limited evidence of background study. Answer inadequately focused on task and with some irrelevant material and poor structure. Arguments presented but lack coherence. Minor factual/computational errors. Lacking original interpretation.

Good B- to B+ (60-69%): Good performance. Most of the relevant information accurately deployed. Good grasp of theoretical/conceptual/practical elements. Good integration of theory/practice/information in pursuit of the assessed work's objectives. Evidence of the use of creative and reflective skills. Understands most but not all concepts/issues. Evidence of background study. Focused answer with good structure. Arguments presented coherently. Mostly free of factual errors. Some limited original interpretation. Well known links between topics are described. Problems addressed by existing methods/approaches. Good presentation with accurate communication

Excellent standard: 70+ An outstanding performance, exceptionally able. The relevant information is accurately deployed. Excellent grasp of theoretical/conceptual/practice elements. Good integration of theory/practice/information in pursuit of the assessed work's objectives. Strong evidence of the use of creative and reflective skills.

Learning Outcomes

• Appropriately apply and critically evaluate the veracity of different strategies and tools used within risk management.

• Critically assess the importance of financial institutions risk management in a contemporary context

• Critically evaluate and appropriately apply alternative strategies and tools involved in banking and/or finance.

• Critically evaluate the subject specific roles, features and relationships within and between firms.

• Demonstrate the ability to make informed judgements and decisions in the context of banking and financial markets;

• Question, critically assess and apply apposite banking and finance theory