This course builds on basic financial theory and the principles in economics. It addresses crucial issues in managing financial institutions and commercial banks in particular, in a rapidly changing international environment. Upon successful completion of the course, students should be able to understand the unique role of financial institutions and financial markets in the economy; understand the analytical tools and methods to measure and manage the risks faced by commercial banks; use the methods and tools learned in this course to analyze important financial issues including financial crisis and the regulations.
Introduction to Finance
Money and Banking
Students are expected to have some background in basic economic theory (macroeconomics and microeconomics), algebra, differential calculus, statistics, and a disposition to keep themselves informed of current developments in the area of banking and finance.
Note: Please make sure you have adequate background in analytics, linear algebra, statistics, economics and finance. This is a course in finance, with focus on the risk management and quantitative analysis. This course is NOT suitable for students without any training in economics, statistics, analytics or linear algebra.
Saunders and Cornett, Financial Institutions Management: A Risk Management Approach, 8th edition/International Edition, McGraw Hill, 2014 (FIM)
Peter S. Rose and Sylvia C. Hudgins, Bank Management and Financial Services, 9th Edition, International Edition, McGraw-Hill, 2013 (BMFS)
John C. Hull, Risk Management and Financial Institutions, Second Edition, Pearson, 2010