What you will learn
- The theories and macroeconomic structures governing banking and financial intermediation, what are the embedded risks, how are those risks managed as well as the regulatory framework and Basel guidelines that ensure stability of banking systems worldwide.
- The structures and functioning of the various financial markets: money markets, debt market, equity stock markets, foreign exchange markets, private equity markets, mortgages markets, etc.
- The theories underlying those markets such as time value of money, bond valuation, etc., the financial instruments traded in those markets and the associated trading and settlement mechanisms; structured financial products & their role in the 2008 crisis.
- How to identify, assess and manage the various risks in those markets.
- How tools such as Value at Risk and Stress Testing are used to proactively assess risk, and derivative instruments such as futures, options, swaps are used either to hedge against or to speculate and profit from those risks.
- Critically review of the Basel guidelines: have they helped stabilize financial systems worldwide? Would they be able avert the recurrence of a global financial crisis, as witnessed in 2008?
The financial ecosystem comprising banks, financial markets, central banks and regulators has deepened in size, sophistication and complexity across countries over the last few decades. However, they have also been the subject of abuse and manipulation thanks to the rapid proliferation of complex financial products and a plethora of risk transfer instruments such as CDOs, CDS, etc. That, in turn, resulted in a ‘risk contagion’, which spiraled out of control and eventually resulted in the global financial crisis of 2008, a calamitous event that has forever significantly altered the banking and financial markets landscape worldwide.
What are the lessons learnt from the 2008 financial crisis? What is the likelihood that the world might witness a similar crisis in the future? This Professional Certificate Program, a compendium of five courses plus a ‘certification course’, will help answer those questions through an elucidation of the theories, concepts and practices that make up the complex and dynamic world of banking and financial markets and the plethora of risks embedded in that domain. How are those risks identified using tools such as ‘value at risk’ (VaR), ‘stress testing’, etc.? How are those risks minimized using hedging instruments such as futures, options, swaps, etc.? Can the stability of financial systems be ensured using ‘liquidity measures’ such as ‘cash reserves’ and ‘solvency measures’ such as ‘capital adequacy’?
This Program will also critically examine why those measures could not predict and contain the financial crisis of 2008 and to what extent can more recent global regulatory initiatives such as Basel-III (and Basel-IV?) guidelines ensure the future stability of banks and financial markets worldwide. Can those measures at all ‘ring-fence’ financial systems worldwide from a recurrence of the global financial meltdown, as witnessed in 2008!
This Professional Certificate Program is offered by IIM-Bangalore, one of the leading business schools in Asia, and taught by Prof. P C Narayan who has nearly four decades of experience and is well regarded in this field of study. It uses an array of spreadsheets and other interactive tools to help learners fully grasp and master the concepts, without getting too deeply entangled in the mathematical complexities of risk management.
This program is particularly well suited for risk management professionals who wish to up-skill themselves as well as those preparing for certification exams such as FRM, PRMIA, etc. who wish to understand risk management in Banking and Financial Markets in great detail.
Courses in this program
IIMBx's Risk Management in Banking and Financial Markets Professional Certificate
- Not currently availableLearn about banking and financial intermediation as well as credit, operational, off-balance sheet, liquidity & solvency risks and Basel guidelines.
- Not currently availableLearn about money markets (short-term financial markets) and debt markets, the associated risks and how they are managed/mitigated.
- Not currently availableLearn the fascinating equity stock markets, the embedded risks and how are these risks are identified, managed and hedged using derivative instruments.
- Not currently availableLearn about the fascinating world of Foreign Exchange Markets, the theories and practices, the embedded risks and the associated derivatives.
- Not currently availableLearn about structured financial products (ABS, CDS, CDO) as well as Value-at-Risk (VaR), stress testing and related risk management techniques.
- Not currently availableComplete this certification exam to earn your ‘Professional Certificate’ program in Risk Management in Banking and Financial Markets from IIMBx.
- The average annual salary for a Risk Manager is approximately $104,386 as of May 02, 2018, with a range usually between $83,500 and -$134,000 (Source: Glassdoor.com); this could vary depending on a variety of factors.
- Career prospects for persons with professional certification in Risk Management include: Risk Analyst/Manager, Credit Risk Analyst/Manager, Operations Risk Analyst/Manager, Market Risk Analyst/Manger, Foreign Exchange Risk Analyst/Manager, Treasurer, etc.
Meet your instructor
Experts from IIMBx committed to teaching online learning
The Professional Certificate Program in the area of Risk Management in Banking and Financial Markets offered by IIM Bangalore in the MOOC format is extremely comprehensive and provides the participants an in-depth perspective in a very lucid manner. The leader of the Program, Prof P C Narayan has been able to leverage his deep experience as a practitioner with academic rigour in the course. One would unequivocally recommend the course as it helps equip students with the necessary knowledge, skills to get a macro and micro level perspective on managing facets across a broad spectrum of Banking and Financial Markets.
At Aptivaa, we are leading practitioners of risk management, with our practices in consulting, analytics and solutions built on the talented risk management professionals with knowledge in banking and capital markets. The Professional Certificate Program- ‘Risk Management in Banking and Financial Markets’ by Prof. PC Narayan of IIM Bangalore covers the foundations of banking and risk management knowledge to the students. I strongly recommend the course to those who are serious about pursuing their career in this field.