AFC3170 - Management of financial intermediaries

Leader: Professor Francis In

Offered

Clayton First semester 2007 (Day)

Synopsis

Major issues involved in the financial management of banks and other deposit-taking financial institutions. Topics include the role and activities of depository financial institutions, performance measurement and evaluation; asset/liability management for liquidity risk, credit risk, interest rate risk, depositor protection and capital adequacy; regulation of depository institutions; and international banking.

Objectives

The learning objectives of this unit are to:

• distinguish the various sources of commercial and retail debt financing, and analyse how the current Australian banking system provides access to such funds;
• identify, in the financial statements of financial institutions, the indicators of financial institutions'' performance;
• describe the regulatory constraints under which Australian authorised deposit-taking institutions operate;
• describe appropriate procedures for appraising the credit risks inherent in bank loans, and for measuring and managing other key risks in banking such as interest rate risk;
• apply critical thinking, problem solving and presentation skills to individual and/or group activities dealing with the management of financial intermediaries.

Assessment

Written (2000 words): 20%
Examination (3 hours): 80%

Contact hours

Two 1-hour lectures and one 1-hour tutorial per week

Prerequisites

AFC2140 or AFC2170 or AFC2100 or AFC1100 plus any three second-year units