Introduction to Banking

Banking is an important part of the financial system, as it provides a way for people and organizations to save and borrow money, and it helps facilitate economic activity by providing a way for businesses to access the capital they need to grow and invest. This course will provide an introduction to banking, an in-depth exposure to how the financial markets work, how they are changing and why.

Topics covered:

• Origins and functions of banking, their services and activities
• Various types of banking and investment banks
• Risk management in banking
• Consumer lending, mortgages and securitization
• Time value of money, bonds and interest rates
• Derivatives and structured products
• Central banks: monetary and fiscal policy
• Systemic risks in banking and regulation and supervision
• Technological change and financial innovation in banking
• Banking crises i: great depression, sovereign debt crises Banking crises ii: credit crunch Banking crises iii: Libor manipulation and rogue traders