BANK MANAGEMENT IN A GLOBAL CONTEXT

SHE Level 2
SCQF Credit Points 20.00
ECTS Credit Points 10.00
Module Code M2N322731
Module Leader Chioma Nwafor
School Glasgow School for Business and Society
Subject Finance and Accounting
Trimester
  • B (January start)

Pre-Requisite Knowledge

None

Summary of Content

The module will define the nature of banking and analyse issues pertaining to the operation of a bank from a global and national contexts. Therefore, it will cover the rational for banks and the need for a central bank before contrasting domestic and international banking and then banking in developed and developing countries. On this foundation the module will then consider the balance sheet of banks and performance analysis before moving on to analyse bank internal operations. This part of the syllabus will cover off balance sheet instruments, the role of bank capital and the management of the asset and liability portfolio. The module ends with a look at product development and the future of banking.

Syllabus

- Banks as financial intermediaries - The role of the central banks - International banking; - Banking in developed and developing countries - The balance sheet of banks and performance analysis - Off banks' balance sheet issues and records - Asset-Liability Management Techniques - Bank financial risk management - Managing bank capital - Managing liabilities and the cost of funds - Asset decisions: consumer lending - Asset decisions: commercial lending - The development of bank products - The future of banking

Learning Outcomes

After completing the course, students will be able to:" understand the what, why and how of banks;" critically assess the role of the central bank;" define and discuss the growth of international banking;" examine the differences in banks in developed and developing countries" understanding of banking in a global context with a critical appreciation of the regional and national differences" show critical understanding of the balance sheets of banks;" assess the performance of banks;" define, discuss and price basic Off-Balance Sheet instruments used in banking;" understand the techniques of asset- liability management" show a critical understanding of the risks in banking and basic risk management;" define bank capital and assess it's the role it plays within banks;" understand and critically assess asset and liability decisions taken by banks;" analytically discuss the changing nature of banking and bank products.

Teaching / Learning Strategy

Two hour lecture per week to convey issues and build student knowledge; weekly one hour seminar in which students will be asked to bring completed work in the form of answered questions, undertaken problems or completed short essays. These will then be discussed and the major issues explored. This will reinforce the lecture programme, student reading and develop communication skills. Students will be actively encouraged to use FT.com, Bloomberg and other financial sources and will be equipped with guidance and tips on how to understand the financial pages of the media. Summative feedback will be used to identify throughout the module areas for improvement and development of the student. Such feedback will be provided within the GSBS guidelines for feedback.

Indicative Reading

Rose P and Hudgins S. (2013) Bank Management & Financial Services, McGraw-Hill International Edition. Saunders A and Cornett M (2011) Financial Institutions Management: A Risk Management Approach, 7 th Edition, McGraw-Hill International Edition. Pilbeam K. (2010) Finance and Financial Markets, 3 rd Edition, Palgrave Macmillan. Casu, B. Giradone, C. and Molyneux, P. (2006) Introduction to Banking. FT Prentice Hall Koch and Macdonald (2000) Bank Management. Dryden Buckle, M and Thompson, J.(2007) The UK Financial System . Manchester University Press. Rouse, N. (1999) Banker's Lending Techniques . Financial World Publishing Heffernan, S. (2005) Modern Banking in Theory and Practice. Wiley Howells P G A & Bain K.(2007) Financial Markets and Institutions . Longman. Dowd, K. (1996) Competition and Finance . Macmillan Newspapers and Magazines: The Financial Times The Wall Street Journal The Daily Telegraph The Times The Banker Financial World Euromoney The Economist Forbes Fortune Business Week Journals: Journal of Banking and Finance International Journal of Bank Marketing The Journal of Financial Services Research The Journal of Financial Intermediation The Service Industries Journal Internet sites: European Central Bank: www.ecb.int <http://www.ecb.int> Bank for International Settlements: www.bis.org <http://www.bis.org> Bank of England: www.bankofengland.co.uk <http://www.bankofengland.co.uk> British Bankers Association: www.bba.org.uk <http://www.bba.org.uk> Chartered Institute of Bankers: www.cib.org.uk <http://www.cib.org.uk> Financial Times: www.ft.com <http://www.ft.com> Economist: www.economist.com <http://www.economist.com> Financial Services Authority: www.fsa.gov.uk <http://www.fsa.gov.uk> Wharton Financial Institutions Center: wrdsenet.wharton.upenn.edu/fic/

Transferrable Skills

After completion of the course students will have developed the following transferable skills: -360 clear communication, in written and oral form, of their understanding of issues -360 the ability to work independently or as part of a group research skills in order to complete coursework Critical and reflective thinking

Module Structure

Activity Total Hours
Tutorials (FT) 10.00
Assessment (FT) 15.00
Independent Learning (FT) 131.00
Lectures (FT) 44.00

Assessment Methods

Component Duration Weighting Threshold Description
Coursework 1 n/a 50.00 35% 2000 words on subject related to contemporary issues in Banking
Exam (Exams Office) 2.00 50.00 35% Unseen written exam