FIN4001 - Financial Institution Management

學分: 3
時間: 45小時
先修單元: FIN3001 Financial Institutions and Markets or FIN2001 Financial Management or with the Instructor’s permission and upon endorsement of the relevant Head and Programme Director
This module provides a broad financial appraisal of financial institutions (FI), and the associated decision making processes of the financial services sector in Hong Kong. A range of topics is addressed including: the Hong Kong financial environment; understanding financial statements; evaluating returns, risks and performance; the yield curve and gap management; the management of liabilities, liquidity, the securities portfolio and capital; and hedging and pricing with interest rate derivatives and so on.
Upon completion of this module, students should be able to:

  1. discuss strategic management in the financial services industry and outline the structure of the Hong Kong financial sector and discuss the regulatory environment in which FIs operate;

  2. analyse an FI's financial statement, apply the key risk and return measures to the examination and evaluation of financial statements and have an understanding of the trade-off between risk and return;

  3. describe the term structure of interest rates and interest rate sensitivity of assets and liabilities, and calculate the duration gap;

  4. demonstrate an understanding of the management of liabilities and explain liquidity risk and demonstrate an understanding of liquidity management;

  5. demonstrate an understanding of how FIs manage capital and discuss the types of securities that FIs invest in and explain how the security portfolio is managed;

  6. discuss means by which FIs manage portfolio risk and credit risk; and

  7. illustrate the difference between forwards, futures, options (in particular interest rate options) and interest rate swaps, and explain how and why they are used by FIs and banks.