BWB3026-MBF3 - Risk Management

Degree programme, semester ECTS Module type Teaching types (Professor/s) Study and working Module-level additive Type of module
language additive

BSc Business Administration, 2018-2019, 6 FS, VZ, Bern 3 WP Gl (Gimeno Raúl Diego) English Specialised
BSc Business Administration, 2018-2019, 8 FS, BB, Bern 3 WP Gl (Gimeno Raúl Diego) English Specialised

Legend for type of module WP: Elective module

Legend for teaching types Gl: Group lesson

Module responsibility Prof. Dr. Raul Gimeno

Short description of the Introduction into Risk Management, covering its most important methods/concepts as applied in practice (standards of "best practice") with a focus on financial risks (market risks, credit
module risk, operational risk, ALM). Holistic treatment of practical issues along the risk management process: risk identification, risk quantification, risk reporting, risk management, from strategic
aspects (strategic risk management, ERM) all the way down to tactical and technical dimensions (risk quantification on a stand-alone basis, portfolio risk).

Requirements FMA2, MBF1

Valid: 01.02.19 - Print date: 14.12.18

BWB3026-MBF3 - Risk Management

Competencies upon Subject: Students

completion - know the aims and basics of risk management
- can calculate the market risk
- can calculate the credit risk
- are familiar with the most important methods and concepts for quantifying, controlling and managing risk

Method: Students
- are able to analyse a wide range of type of risk
- are able to apply the methods to real-world problems
- are familiar with the advantages and disadvantages of the corresponding methods and concepts, and therefore know their limitations

Social: Students
- apply their personal and individual resources in teams
- analyze and discuss problems, in teams, by considering, evaluating, substantiating and refuting a variety of different arguments
- critically and appreciatively evaluate working results of peers
- argue in a constructive and factual way
- analyze the source of potential conflicts, perceive conflicts and solve them in a constructive way

Self: Students
- learn and work independently, recognize gaps in their knowledge and fill these gaps independently
- critically reflect work and thought processes and develop possible courses of action
- reflect and challenge personal and external judgments and develop these with regard to the assignment and in debate with the client
- draw conclusions from their experiences for their further studies and professional life and document these in their individual portfolio
- evidence stamina when confronted with problems during their studies and in their professions

Content - Introduction to Risk Management (risk, risk management process, risk categories)
- Strategic Risk Management: economic capital, CAR, capital allocation
- Credit Risk: credit risk framework, EL, UL, CreditVaR, CreditMetrics, CreditRisk+, CreditPortfolioView
- Market Risk: market risk framework, market risks on a stand-alone basis, portfolio risk measures
- Operational Risk: operational risk framework, quantification of operational risks
- Liquidity Risk
- Sovereign Risk
- Capital adequacy (Basel III, Solvency Risk)

Teaching and Learning - Optimal learning mix for the students with multiple choice questions
method - Guided self-study with exercises and solutions
- Contact lessons

Valid: 01.02.19 - Print date: 14.12.18

BWB3026-MBF3 - Risk Management

Literature Indispensable literature:

- Financial Institutions Management: a risk management approach, Anthony Saunders and Marcia Millon Cornett, 8th edition, softcover, McGraw-Hill, ISBN 10: 1428812091 /
1-4288-1209-1

Workload 90 hours

Contact lessons 14x2 lessons

Attendance requirement -

Proof of competence written examination 100%, 90 minutes, end of semester (CW 26 or 27)

Aids for written examination - Calculator (TI-Nspire CX CAS)

- printed dictionary (mother tongue - examination language)
- formulary sheet (will be given on the examination day)

(For details to the aids allowed during written exams see "information on study and examination regulations" on Moodle.)

Continuative, in depth -
modules

Comment -

Valid: 01.02.19 - Print date: 14.12.18