Aims

This module enables students to gain a systematic understanding of both the domestic and international financial systems, and the role of retail and investment banks within these systems. The module involves discussion of banking from a theoretical perspective but also deals with the historical evolution of banks, including the most recent developments such as on-line retail banking and the significance of regulatory changes.

Outline Of Syllabus

“Topics covered in this module are the following:

The functioning of Financial Markets and the Role of Asymmetric Information,
Commercial and investment Banks’ Balance Sheet, Investment Banking and
Securitization, Banking Risks, Bank Regulation and Supervision, Banking
Risk Management, The Credit Rationing Model and Banking (Sub-Prime)
Crisis.”

Teaching Rationale And Relationship

• Lectures provide the basic structure of the methods and theories that are introduced and an overview of the current issues.
• Seminars provide an opportunity to enhance understanding of the theoretical and applied aspects of the module.

Assessment Rationale And Relationship

1.5 hour unseen written examination will asses student’s understanding and knowledge of the functioning of banking industries across developed and developing economies.