BFW2401 - Commercial banking and finance - 2017

This unit examines the major risks and issues faced by financial institutions within the context of the global environment. Topics include an introduction to the banking environment, bank performance, management of bank risks including credit, capital, liquidity and interest rate risk, loan pricing, liability management, investment management and capital adequacy.

The learning goals associated with this unit are to:

1. examine the main risks and related prudential requirements faced by banks and to assess factors to consider in managing these risks
2. appraise suitable qualitative and quantitative data or characteristics to assess bank performance
3. understand asset and liability management of a financial institution
4. contrast various security portfolio strategies available to the bank, and explain optimal strategies when interest rates change
5. understand non-market related and derivative contracts used by financial institutions
6. be able to sequence the Basel prudential framework as instigated within the Australian context, but emanating from the Basel Committee at the global level
7. be able to clearly and effectively communicate solutions, applying the knowledge in above areas, in a distinctly logical manner in relation to activities dealing with the commercial banking and finance and demonstrate in an individual summative assessment task the acquisition of a comprehensive understanding of the topics covered by BFW2401.

First semester -

Within semester assessment: 30% + Examination: 70%

Second semester -

Within semester assessment: 40% + Examination: 60%

Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. The unit requires on average three/four hours of scheduled activities per week. Scheduled activities may include a combination of teacher directed learning, peer directed learning and online engagement.

See also Unit timetable information

Dr Mohammed Shaiban

Students must have passed AFG1300, BFG1300, BFW1300 or AFW1300 before undertaking this unit.

AFC3170, BFC3170, AFF2401, BFF2401, AFW2401