Insegnamento a.a. 2015-2016

Classes: 31 (I sem.) - 32 (I sem.)

Instructors:
Class 31: BRUNELLA BRUNO, Class 32: BRUNELLA BRUNO

The course addresses managerial issues in modern banking and insurance. We describe main bank business models and how they evolved, with a major focus on commercial banking. In this respect we illustrate commercial banks’ services and policies in funding, lending, and investment activities. We then address managerial issues by focusing on the measurement and management of credit, interest rate, and liquidity risk. In addition, bank performance are measured and assessed and issues in regulation, including capital and liquidity management (Basel II and III), are addressed. As far as insurance companies are concerned, we cover four main areas: the insurance process; risk and capital management; financial statement analysis and performance measures; prudential regulation (Solvency II).

Banking:

• Liabilities management and funding strategies: deposits, certificates of deposits, bonds and notes.
• Loan characteristics and credit policy: screening, monitoring, and loan portfolio management.
• Cash management and liquidity planning.
• The role of securitization in credit, liquidity, and funding management. 
• Capital and risk management. Banking regulation.
• Financial statement analysis and performance measurement.
  

 Insurance:

• a final individual general exam.
  
• Two individual partial exams.
  

• Management of Financial Institutions (chapters from Hudgins-Rose, "Bank Management & Financial Services", IX Edition), available at Egea bookshop;
  
• Readings and teaching notes, available on e-learning platform.

Students attending this course should be familiar with the concepts learnt in the following courses: Financial markets and institutions, Financial mathematics, and Statistics.