Course coordinator
Dr Lily Nguyen
Course overview
- Study period
- Semester 2, 2024 (22/07/2024 - 18/11/2024)
- Study level
- Postgraduate Coursework
- Location
- St Lucia
- Attendance mode
- In Person
- Units
- 2
- Administrative campus
- St Lucia
- Coordinating unit
- Business School
Provides primarily an overview of the operation of financial institutions including risk management and profitability, as well as an overview of financial markets.
This course introduces the business of financial institutions and the risks faced by financial institutions as well as the methods and markets through which these risks are managed. It covers topics related to the uniqueness of financial institutions, the principles of asset and liability management, liquidity risk and interest risk analysis, off-balance sheet operation, credit risk analysis, securitization and its impact on the Global Financial Crisis, and capital adequacy and prudential regulations.
Course requirements
Assumed background
Before attempting this course, you are advised that it is important to complete the appropriate prerequisite course(s) listed on the front of this course profile. No responsibility will be accepted by UQ Business School, the Faculty of Business, Economics and Law or The University of Queensland for poor student performance occurring in courses where the appropriate prerequisite(s) has/have not been completed, for any reason whatsoever.
Prerequisites
You'll need to complete the following courses before enrolling in this one:
FINM7065 or 7401 or 7805
Restrictions
Quota: Minimum 15 student enrolments
Course contact
Course staff
Lecturer
Dr Lily Nguyen
Timetable
The timetable for this course is available on the UQ Public Timetable.
Additional timetable information
Please note: Teaching staff do not have access to the timetabling system to help with class allocation. Therefore, should you need help with your timetable and/or allocation of classes, please ensure you email business.mytimetable@uq.edu.au from your UQ student email account with the following details:
- Full Name
- Student ID
- Course Code
Aims and outcomes
The primary purpose of this course is to provide students with an in-depth understanding of the roles of financial institutions in financial markets, the operation of and the risks faced by financial institutions. Understanding the basic principles, problems, performance and risk management are central aims of the course.
Learning outcomes
After successfully completing this course you should be able to:
LO1.
Investigate the uniqueness and the types of financial institutions.
LO2.
Analyze the operation and risk management of financial institutions.
LO3.
Evaluate off-balance sheet activities of financial institutions.
LO4.
Understand securitization and evaluate issues related to the 2007-2008 global financial crisis.
LO5.
Evaluate financial institution regulations.
Assessment
Assessment summary
| Category | Assessment task | Weight | Due date |
|---|---|---|---|
| Examination |
In-Semester Exam
|
25% |
Week 7
During Lecture |
| Paper/ Report/ Annotation | Case Study Assignment | 20% Individual |
4/10/2024 4:00 pm |
| Examination |
Final Exam
|
55% |
End of Semester Exam Period 2/11/2024 - 16/11/2024 |
Assessment details
In-Semester Exam
- Identity Verified
- In-person
- Mode
- Written
- Category
- Examination
- Weight
- 25%
- Due date
Week 7
During Lecture
- Other conditions
- Time limited.
- Learning outcomes
- L01, L02, L05
Task description
The In-Semester Exam will be based on the materials covered from Week 1 to Week 5.
This is a closed-book, in-class, paper-based, invigilated exam that consists of 25 multiple choice questions (mix of theory and calculations).
AI Statement:
AI use policy: This assessment task is to be completed in-person. The use of generative Artificial Intelligence (AI) tools will not be permitted. Any attempted use of Generative AI may constitute student misconduct under the Student Code of Conduct.
Exam details
| Planning time | no planning time minutes |
|---|---|
| Duration | 90 minutes |
| Calculator options | (In person) Casio FX82 series or UQ approved , labelled calculator only |
| Open/closed book | Closed Book examination - no written materials permitted |
| Exam platform | Paper based |
| Invigilation | Invigilated in person |
Submission guidelines
Deferral or extension
You may be able to defer this exam.
Case Study Assignment
- Mode
- Written
- Category
- Paper/ Report/ Annotation
- Weight
- 20% Individual
- Due date
4/10/2024 4:00 pm
- Learning outcomes
- L02, L03, L04
Task description
As a starting point, carefully read “The Sudden Implosion of Silicon Valley Bank” (see URL on Blackboard under “Assessment” and please make sure you also read other publications from academic journals that will strengthen your assignment).
Please use this case as a background to carefully develop your answers to the four questions mentioned in the document titled "Assignment Instruction".
The length of your submission should be 8 pages of text excluding list of references, and figures and tables that may be placed after the list of references. Use 1.5 line spacing, 12 font size ‘Times New Roman’, ‘Normal’ margins, justified paragraphs and page numbering in the bottom right-hand side.
AI Statement:
This task has been designed to be challenging, authentic and complex. Whilst students may use AI technologies, successful completion of assessment in this course will require students to critically engage in specific contexts and tasks for which artificial intelligence will provide only limited support and guidance.
A failure to reference generative AI use may constitute student misconduct under the Student Code of Conduct.
To pass this assessment, students will be required to demonstrate detailed comprehension of their written submission independent of AI tools.
Submission guidelines
A student needs to upload the write-up in a single "pdf" file using "Case Study Submission Link" on Blackboard
Deferral or extension
You may be able to apply for an extension.
Late submission
A penalty of 10% of the maximum possible mark will be deducted per 24 hours from time submission is due for up to 7 days. After 7 days, you will receive a mark of 0.
Final Exam
- Identity Verified
- In-person
- Mode
- Written
- Category
- Examination
- Weight
- 55%
- Due date
End of Semester Exam Period
2/11/2024 - 16/11/2024
- Other conditions
- Time limited.
- Learning outcomes
- L01, L02, L03, L04, L05
Task description
The final assessment will be based on materials from Week 1 to Week 12. This exam will be a closed-book, in-person, paper-based, invigilated exam.
The exam includes short answers and problem-solving questions.
AI Statement:
AI use policy: This assessment task is to be completed in-person. The use of generative Artificial Intelligence (AI) tools will not be permitted. Any attempted use of Generative AI may constitute student misconduct under the Student Code of Conduct.
Exam details
| Planning time | 10 minutes |
|---|---|
| Duration | 120 minutes |
| Calculator options | (In person) Casio FX82 series or UQ approved , labelled calculator only |
| Open/closed book | Closed Book examination - no written materials permitted |
| Exam platform | Paper based |
| Invigilation | Invigilated in person |
Submission guidelines
Deferral or extension
You may be able to defer this exam.
Course grading
Full criteria for each grade is available in the Assessment Procedure.
| Grade | Cut off Percent | Description |
|---|---|---|
| 1 (Low Fail) | 0 - 29 |
Absence of evidence of achievement of course learning outcomes. |
| 2 (Fail) | 30 - 46 |
Minimal evidence of achievement of course learning outcomes. |
| 3 (Marginal Fail) | 47 - 49 |
Demonstrated evidence of developing achievement of course learning outcomes |
| 4 (Pass) | 50 - 64 |
Demonstrated evidence of functional achievement of course learning outcomes. |
| 5 (Credit) | 65 - 74 |
Demonstrated evidence of proficient achievement of course learning outcomes. |
| 6 (Distinction) | 75 - 84 |
Demonstrated evidence of advanced achievement of course learning outcomes. |
| 7 (High Distinction) | 85 - 100 |
Demonstrated evidence of exceptional achievement of course learning outcomes. |
Additional course grading information
Grades will be allocated according to University-wide standards of criterion-based assessment.
Supplementary assessment
Supplementary assessment is available for this course.
Learning resources
You'll need the following resources to successfully complete the course. We've indicated below if you need a personal copy of the reading materials or your own item.
Library resources
Find the required and recommended resources for this course on the UQ Library website.
Learning activities
The learning activities for this course are outlined below. Learn more about the learning outcomes that apply to this course.
Filter activity type by
Please select
| Learning period | Activity type | Topic |
|---|---|---|
Week 1 |
Lecture |
Financial Institutions: Functions and Types Learning outcomes: L01, L05 |
Week 2 |
Lecture |
Risks of Financial Institutions Learning outcomes: L02, L05 |
Tutorial |
Tutorial: Financial Institutions: Functions and Types Tutorial questions must be downloaded from Blackboard. Students must attempt the questions before attending the tutorial session. Learning outcomes: L01, L05 |
|
Week 3 |
Lecture |
Liquidity Risk Management Learning outcomes: L02, L05 |
Tutorial |
Tutorial: Risks of Financial Institutions Learning outcomes: L02, L05 |
|
Week 4 |
Lecture |
Asset-Liability Management I Learning outcomes: L02 |
Tutorial |
Tutorial: Liquidity Risk Management Royal Queensland Show Public Holiday - Wednesday 14 Aug 2024 - Check Blackboard for announcements about affected classes. Learning outcomes: L02, L05 |
|
Week 5 |
Lecture |
Asset-Liability Management II Learning outcomes: L02 |
Tutorial |
Tutorial: Asset-Liability Management I Learning outcomes: L02 |
|
Week 6 |
Lecture |
Credit Risk Analysis Learning outcomes: L02 |
Tutorial |
Tutorial: Asset-Liability Management II Learning outcomes: L02 |
|
Week 7 |
Lecture |
Mid-Semester Exam |
No student involvement (Breaks, information) |
No tutorials |
|
Week 8 |
Lecture |
Loan Portfolio and Concentration Risk Learning outcomes: L02 |
Tutorial |
Tutorial: Credit risk analysis Learning outcomes: L02 |
|
Week 9 |
Lecture |
Securitization Learning outcomes: L02 |
Tutorial |
Loan Portfolio and Concentration Risk Learning outcomes: L02 |
|
Mid Sem break |
No student involvement (Breaks, information) |
In-Semester Break |
Week 10 |
Lecture |
Off-Balance Sheet Activities Learning outcomes: L02, L04, L05 |
Tutorial |
Securitization Learning outcomes: L02 |
|
Week 11 |
Lecture |
Capital Adequacy Requirement Learning outcomes: L03 |
Tutorial |
Tutorial: Off-Balance Sheet Activities Learning outcomes: L02, L04, L05 |
|
Week 12 |
Lecture |
Special Topic Learning outcomes: L05 |
Tutorial |
Tutorial: Capital Adequacy Requirement Learning outcomes: L03 |
|
Week 13 |
Lecture |
Revision Lecture Learning outcomes: L01, L02, L03, L04, L05 |
Tutorial |
Tutorial: Special Topic Learning outcomes: L05 |
Policies and procedures
University policies and procedures apply to all aspects of student life. As a UQ student, you must comply with University-wide and program-specific requirements, including the:
- Student Code of Conduct Policy
- Student Integrity and Misconduct Policy and Procedure
- Assessment Procedure
- Examinations Procedure
- Reasonable Adjustments - Students Policy and Procedure
Learn more about UQ policies on my.UQ and the Policy and Procedure Library.