Chapter 1: Introduction to Financial Institution

1. What is Financial Institution? 3

2. What are the Different types of Financial Institutions? 3
3. What are the functions of financial institutions? 5
4. Explain the different types of services provided by a bank or Financial Institution
6
5. Why Financial Intermediary is necessary? Or, Importance of Financial Intermediary
6
6. What are the processes for measuring and evaluating the performance of a 6
financial institution?
Chapter 2: Bank as Financial Institution
1. What is commercial bank and what are the functions of a commercial bank? 7
2. What are the sources of funds of a commercial bank and what are the 8
regulations imposed on them?
3. Name the financial statements prepared by a bank 9
4. Describe the functions of Credit Administration Department of a bank. 10
5. What are the principal money market and capital market instruments available 10
to the banks in Bangladesh?
6. Discuss the important aspects that should be considered by a banker while 11
financing an industrial project
7. What do you mean by Loan Securitization? Explain its impact on banks. 11
Importance of Loan Securitization.
8. Why banks and other financial institutions sell loan. 12
9. What are the sources of revenue and areas of expenses for a bank & insurance 12
company?
10. Explain spread & burden with example. 13
11. Explain re-pricing model with example. 13
12. Define loan sale and explain different types of loan sales. Discuss the principles of 14
sound lending.
13. Define Securitization. Benifits of Securitization. Impediments to asset Securitization in 14
Bangladesh.
14. How does Bangladesh Bank regulate the money supply through “Bank rate policy” 15
and “Open Market Operation”
Chapter 3: Non-Bank Financial Institute
1. What do you meant by non-banking financial institutions and what are its 16
different types?
2. What is financial intermediary and what are the advantages enjoyed by market 17
participants from this?
3. Define depository institutions and describe its different types 18
4. What is an insurance company and what are its various types? 18
5. What is an investment company? What are its different types? 19
6. What do you mean by mutual fund? Discuss the different aspects of mutual 19
funds
7. Explain the concept of mobile financial services. Discuss the various services 20
offered by it.

Chapter 4: Asset liability management

1. What do meant by Asset Liability Management (ALM) of a financial institution? 22
2. Explain liability structure financial institutions. 23
3. What are the rationale of liquidity and liability management? 23
4. Explain the different types of liabilities dealt with the financial institutions with 24
example.
5. What do you mean by liquidity management and what are its different 24
strategies?
6. Why are financial institutions concerned with liquidity? Or, Importance of 25
liquidity of commercial bank
Chapter 5: Source of fund
1. What are the sources & uses of funds of depository financial institution? 26
2. What are the sources & uses of funds of a non-bank? 26
Chapter 6: Risk Management
1. Explain different types of risks faced by a financial institution. 27
2. Define credit risk. What are the three steps in credit risk management process 28
Or, Discuss the risk management process for a Bank/ Financial Institution.
3. Explain interest rate risk with example. 28
4. Define CAMELS rating and write down the composite ratings of this. 29
5. What do you mean by reputation risk? What type of losses may be induced in a 29
bank due to reputation risk?
Chapter 7: BASEL
1. Discuss the purpose of Market Discipline in relation with accounting 31
disclosures under revised Regulatory Capital Framework for banks in line with
Basel-II.
2. What are the components of Tier-I & Tier-II capital according to Basel Accord? 31
3. Define different capital requirement 32
4. Point out the major guidelines regarding management of capital according to 32
Basel-II
5. What is minimum capital and liquidity requirement for a non-bank financial 33
institution
6. What are the differences between market value and book value of capital? 34
Short Notes
i. (1) Asset / Liability Management (2) Liquidity Management 1
ii. (3) Camel Rating (4) Sensitivity Analysis 2
iii. (5) Syndicated Loan (6) Loan Securitization 3
iv. (7) Loan Sale (8) Principles of sound lending 4
v. (9) Securitization (10) National payment switch Bangladesh 5
vi. (11) Stages of money laundering (15) Super Now(Negotiable Order of withdrawal) 6
Account (16) Loan documentation
vii. (17) Provision (18) Development inanace institution 7
viii. (19) Microcredit Regulatory Authority (20) CSR 8
ix. (21) Breakeven point (22) Pari passu charge 9