• Length:
    5 Weeks
  • Effort:
    3–4 hours per week
  • Price:

    FREE
    Add a Verified Certificate for $99 USD

  • Institution
  • Subject:
  • Level:
    Advanced
  • Language:
    English
  • Video Transcripts:
    English, हिन्दी

Associated Programs:

Prerequisites

Participants should have gained, either through formal education or through work-experience or by attending the first four courses’ in this Professional Certificate program:
  • A good understanding of the concepts and theories underlying banking and financial markets such as Time Value of Money, Pricing of Bonds and Equity Stocks, Theory and Structure of Interest Rates, etc.
  • Structure and functioning of Short-Term and Long-Term Financial Markets.
  • Tools and techniques to manage the various types of risk (such as credit risk, interest rate risk, foreign exchange risk, liquidity risk, etc.) embedded in any financial system.
  • A good understanding of probability and statistics, covering measurement of central tendencies (mean, median, mode, standard deviation), statistical distributions, correlation and regression, etc. will significantly help in the learning.

About this course

Skip About this course

In this advanced course, part of the Professional Certificate program ‘Risk Management in Banking and Financial Markets’, we will look at structured financial products such as Asset Backed Securities (ABS), Residential Mortgage Backed Securities (RMBS), Credit Default Swaps (CDS), Collateralized Debt Obligations (CDO) and their role in transferring/diversifying the risks to several entities in the financial markets.

We will also examine the unintended consequences and outcome of those risk transfer instruments that accentuated the systemic risk and eventually lead to the 2008 global financial meltdown.

In addition, we will look at special topics in risk management such as Value at Risk (VaR) and stress testing, as well as recent trends in regulation including the Basel-III guidelines on capital adequacy that have been implemented in several countries to manage risk in a proactive and consistent manner.

More importantly, we will examine how far have those regulatory measures and guidelines been able to achieve the well-intentioned goal of safeguarding the stability of financial systems across countries and whether they would, in the future, be able to anticipate and avert cascading adverse outcomes as witnessed in the 2008 global financial crisis.  

This course is part of IIMBx's Professional Certificate program ‘Risk Management in Banking and Financial Markets’. 

What you'll learn

Skip What you'll learn
In this course you will learn:
  • The basic attributes and structure of Asset Securitization
  • Various types of asset-backed securities such as Residential Mortgage Backed Securities (RMBS), Credit Card Securitization, etc.
  • Credit Default Swaps (CDS) and Collateralized Debt Obligations (CDO) and their role in managing (sometimes, augmenting) risks in any financial system
  • How to measure, analyze and proactively manage the degree of risk embedded in the financial assets portfolio of any entity, using various tools and techniques such as ‘Value at Risk’ (VaR), ‘Stress Testing’ and similar guidelines issued by the Bank of International Settlement (BIS) and other regulatory bodies
  • How well could the Basel-III guidelines on capital adequacy: (a) achieve the well-intentioned goal of safeguarding the stability of financial systems across countries and (b) anticipate / avert cascading adverse outcomes as witnessed in the global financial crisis of 2008

Meet your instructors

PC Narayan
Faculty
IIM Bangalore

Pursue a Verified Certificate to highlight the knowledge and skills you gain $99.00

View a PDF of a sample edX certificate
  • Official and Verified

    Receive an instructor-signed certificate with the institution's logo to verify your achievement and increase your job prospects

  • Easily Shareable

    Add the certificate to your CV or resume, or post it directly on LinkedIn

  • Proven Motivator

    Give yourself an additional incentive to complete the course

  • Support our Mission

    EdX, a non-profit, relies on verified certificates to help fund free education for everyone globally