Course Catalogue

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This course introduces conventional and burgeoning theories in banking and discusses practical topics in bank risk management. The course equips the students with knowledge to analyse the roles of financial institutions in the economy and skills to apply the theories into practice as well as to evaluate policy implications. 

Synchronous learning activities:

Lecture/workshop (2 hours x 10 weeks)

Tutorials (1 hour x 4 weeks)

Asynchronous learning activities including online quizzes and complementary recordings.

Normally a grade D3 or above in Finance 2 or equivalent.

None.

None.

Individual assignment

Reassessments are normally available for all courses, except those which contribute to the Honours classification. Where, exceptionally, reassessment on Honours courses is required to satisfy professional/accreditation requirements, only the overall course grade achieved at the first attempt will contribute to the Honours classification. For non-Honours courses, students are offered reassessment in all or any of the components of assessment if the satisfactory (threshold) grade for the overall course is not achieved at the first attempt. This is normally grade D3 for undergraduate students and grade C3 for postgraduate students. Exceptionally it may not be possible to offer reassessment of some coursework items, in which case the mark achieved at the first attempt will be counted towards the final course grade. Any such exceptions for this course are described below. 

The aims of this course are to:

■ Equip students with the analytical skills to critically assess banking from both a policymaker's perspective and a banker's perspective.

■ Critically appraise the key features of the banking industry and its roles in the economy, in terms of financial intermediation, credit supply, monetary policy transmission.

■ Evaluate different categories of risk of banks, including bank run, credit risk, liquidity risk and Interest rate risk, theoretically and empirically.

■ Comprehend the implications of recent policies and regulations implemented by central banks, regulators, and governments.

By the end of this course students will be able to:

1. Develop a critical understanding of key economic/banking concepts, contemporary theories to solve problems in banking.

2. Critically appraise the principal features of banking industry, and the implications on different stakeholders and the economy to formulate recommendations and strategies in response to challenges.

3. Apply empirical analytical and numeracy skills to critically evaluate different categories of risk faced with individual banks and the banking industry based on banks' financial statements.

4. Critically examine banking industry and regulatory oversights according to facts, academic literature and statistics summarising the recent empirical developments across the domestic and international banking systems.

5. Independently evaluate arguments, academic articles, and evidence in the field of banking and related disciplines.

Students must submit at least 75% by weight of the components (including examinations) of the course's summative assessment.