ULMS Electronic Module Catalogue
The information contained in this module specification was correct at the time of publication but may be subject to change, either during the session because of unforeseen circumstances, or following review of the module at the end of the session. Queries about the module should be directed to the member of staff with responsibility for the module.
Title Banking and Financial Institutions
Code ACFI812
Coordinator Dr L Wang
Finance and Accounting
Liying.Wang@liverpool.ac.uk
Year CATS Level Semester CATS Value
Session 2024-25 Level 7 FHEQ First Semester 15

Pre-requisites before taking this module (other modules and/or general educational/academic requirements):
 

Modules for which this module is a pre-requisite:
 

Programme(s) (including Year of Study) to which this module is available on a required basis:
 

Programme(s) (including Year of Study) to which this module is available on an optional basis:
 

Teaching Schedule
  Lectures Seminars Tutorials Lab Practicals Fieldwork Placement Other TOTAL
Study Hours 20

 5

         25
Timetable (if known)              
Private Study 125
TOTAL HOURS 150

Assessment
EXAM Duration Timing
(Semester)		 % of
final
mark		 Resit/resubmission
opportunity		 Penalty for late
submission		 Notes
Examination. There is a resit opportunity. Standard UoL penalty applies for late submission. This is an anonymous assessment.  150    100       
CONTINUOUS Duration Timing
(Semester)		 % of
final
mark		 Resit/resubmission
opportunity		 Penalty for late
submission		 Notes
Set of 10 thesis-type questions. There is a resit opportunity. Standard UoL penalty applies for late submission. This is an anonymous assessment.  0    0       

Aims

This module aims to provide an introduction to banking and financial institutions. The role played by commercial banks in the economy along with their interactions with Central Banks will be discussed.

A key aim is to outline how financial companies differ from non-financial companies and how these differences shaped the regulation on financial institutions. This module will also cover the risk to which banks and financial institutions are exposed.

Learning Outcomes

(LO1) Students will be able to discuss and analyse the characterising features of financial institutions.

(LO2) Students will be able to explain the role of the Central bank and its interactions with commercial banks.

(LO3) Students will be able to compare and contrast alternative instruments traded by financial institutions on the money market.

(LO4) Students will be able to describe and discuss the principal risks to which financial institutions are exposed.

(S1) Teamwork
The assignment will be completed in groups of three students and each student will be given a specific role. Students will need to co-operate to complete the assignment.

(S2) Problem solving
As an assignment, students will be asked to solve a problem with a difficult solution.

(S3) Numeracy
Numerical exercises and examples will be presented during the lectures. The assignment will also require numerical skills in order to be completed successfully.

(S4) Lifelong learning
By using practical examples and by asking students to solve a practical policy issue, this course aims to enable students to develop lifelong learning skills.

Teaching and Learning Strategies

2 hour lecture x 10 weeks
1 hour seminar x 5 weeks
125 hours self-directed learning

Students will make use self-directed learning hours to work with their assigned partners to complete the assignment successfully. The module leader will be available for students if they have questions about the assignment, require guidance or to ask for additional readings. Group activities will include discussion forum and peer review on online tasks assigned by the module leader.

Syllabus
 

Financial intermediaries:
Depository institutions: banks and bank management;
financial industry structure.

The regulation of financial institutions:
Regulating the financial system.

Central banks and financial stability:
Central banks in the world today;
The structure of central banks: the Federal Reserve and the European central bank.

Central bank and the money supply process:
The central bank balance sheet and the money supply process;
Monetary Policy: stabilising the domestic economy.

Interest rate risk:
How to measure interest rate risk;
How to manage interest rate risk.

Credit risk:
How to measure credit risk;
How to manage credit risk.

Liquidity risk:
How to measure liquidity risk;
Regulatory approach in Basel III.

Market risk and operational risk:
How to measure market risk;
How to measure operational risk.

Capital adequacy:
Basel I;
Basel II;
Basel III.< /p>


Recommended Texts
Reading lists are managed at readinglists.liverpool.ac.uk. Click here to access the reading lists for this module.