Authorised by Academic Registrar, April 1996
6 points + Two 1-hour lectures and one 1-hour tutorial per week + First semester + Clayton + Prerequisite: AAF2140 or AAF2170.
Objectives On completion of this subject students should be able to analyse the trading operations and risk management policies and procedures of banks and other deposit-taking financial institutions; apply financial and mathematical analysis to the performance of financial intermediaries; appreciate the major issues involved in the international aspects of the management of financial intermediaries.
Synopsis A detailed analysis of the major issues involved in the financial management of banks and other deposit-taking financial institutions. These issues are illustrated using Australian examples. Topics covered include the role and activities of depository financial institutions, performance measurement and evaluation; asset/liability management for liquidity risk, credit risk, interest rate risk and capital adequacy; regulation of depository institutions and international banking.
Assessment Written (2000 words): 20% + Examination (3 hours): 80%