BANKING AND INSURANCE MANAGEMENT (TURKISH) | |||||
Associate | TR-NQF-HE: Level 5 | QF-EHEA: Short Cycle | EQF-LLL: Level 5 |
Course Code | Course Name | Semester | Theoretical | Practical | Credit | ECTS |
ISM5227 | Risk Management | Spring Fall |
3 | 0 | 3 | 8 |
This catalog is for information purposes. Course status is determined by the relevant department at the beginning of semester. |
Language of instruction: | Turkish |
Type of course: | Non-Departmental Elective |
Course Level: | Associate (Short Cycle) |
Mode of Delivery: | Face to face |
Course Coordinator : | Dr. Öğr. Üyesi ETHEM ÇANAKOĞLU |
Recommended Optional Program Components: | N.A. |
Course Objectives: | This course introduces students to the main strategies, methods and techniques used to manage the risks faced by the organizations during their on going business. Students will learn financial risk assessment and measurement techniques, how to organize and structure the financial risk management, how to manage the main financial risks: market, credit operational, liquidity, interest rate, foreign exchange risk, etc. Also students will learn how to measure and to manage the risks at the corporate level. |
The students who have succeeded in this course; • analyse, model and manage financial risks faced by a variety of institutions. • calculate different risk metrics such as value at risk. • quantify market risk, credit risk, and operational risk. • learn mathematics of interest rates. • learn basics of different financial instruments used for risk management. |
Tools for Measuring Risk, Interest Rate Risk, Value at Risk, Volatility, Correlations and Copulas, VaR Methods |
Week | Subject | Related Preparation |
1) | Introduction | |
2) | Tools for Measuring Risk | |
3) | Trading in Financial Markets | |
4) | Financial Risk in Banks | |
5) | Insurance | |
6) | Case - The Credit Crisis of 2007 | |
7) | Financial Derivatives | |
8) | How Traders Manage Their Risks | |
9) | Midterm | |
10) | Interest Rate Risk | |
11) | Value at Risk | |
12) | Volatility | |
13) | Correlations and Copulas | |
14) | Operational Risk | |
15) | Final exam preparation | |
16) | Final exam |
Course Notes / Textbooks: | John C. Hull, “Risk Management and Financial Institutions”, Wiley Finance. |
References: | Philippe Jorion, “Value at Risk, 3rd Ed.: The New Benchmark for Managing Financial Risk”, McGraw Hill |
Semester Requirements | Number of Activities | Level of Contribution |
Project | 2 | % 30 |
Midterms | 1 | % 30 |
Final | 1 | % 40 |
Total | % 100 | |
PERCENTAGE OF SEMESTER WORK | % 30 | |
PERCENTAGE OF FINAL WORK | % 70 | |
Total | % 100 |
Activities | Number of Activities | Workload |
Course Hours | 13 | 39 |
Study Hours Out of Class | 14 | 74 |
Project | 13 | 85 |
Midterms | 1 | 3 |
Final | 1 | 3 |
Total Workload | 204 |
No Effect | 1 Lowest | 2 Low | 3 Average | 4 High | 5 Highest |
Program Outcomes | Level of Contribution | |
1) | To have the ability to understand the basic concepts of Banking and Insurance and to be able to use them effectively in business. | |
2) | To have the ability to work individually or in a team when needed on matters related to his/her profession and to follow and apply the developments in his/her sector. | |
3) | To be equipped with the necessary knowledge to carry out the legal responsibilities and to follow the related regulations in their sector. | |
4) | To understand the importance of banking and insurance from the point of the state’s economy and enterprises and to express this importance properly. | |
5) | To be able to use the computer as well as the profession requires and to be able to do work, accumulate knowledge and to use this knowledge relevantly and effectively. | |
6) | To make them gain the ability to find practical solutions for the problems of daily commercial activities and to take correct decisions. | |
7) | To be able to take responsibilities in banking and insurance sector and more generally in the finance sector and to be qualified to start his/her own business after the legal requirements have been met. | |
8) | To have the competency to carry out the accountancy related to banking and insurance. | |
9) | To have the competency to build effective customer relations and to have effective communication and persuasion skills. | |
10) | To be able to determine the accumulated knowledge druring the education in line with the cause and effect relations and to be able to have the necessary professional qualifications to know where, when and how to use his/her knowledge. |