FINM8014 Applied Financial Intermediation and Debt Markets

Offered By	Rsch Sch of Finance, Actuarial Studies & App Stats
Academic Career	Graduate Coursework
Course Subject	Financial Management
Offered in	First Semester, 2012 and First Semester, 2013
Unit Value	6 units
Course Description	This course covers the theory and practice of financial intermediation, broadly construed to include banks, savings institutions and investment/merchant banks. Topics will include the role of banking firms in a developed capital market, their impact on corporate financial decisions for non-banking firms, and the regulation of banks. The course includes a coomprehensive analysis of the role of financial intermediaries in the development of fixed income markets and provides an analysis of fixed income securities. Additional topics include models and techniques used for managing credit risk, interest rate risk and liquidity risk. These are applied to maturity matching, duration and immunization, loan sales, securitization, collateralized debt obligations (CDOs), and collateralized mortage obligations (CMOs).
Learning Outcomes	Upon successful completion of the requirements for this course, students should have the knowledge and skills to: Understand the role of banks in an economy and the global trends in banking Understand how banks’ lending policies can influence corporate decision making Identify and measure banking risks Understand credit risk and credit risk management Understand debt markets and their role in liquidity management Understand interest rate risk and management Understand banking regulation globally Understand bank loan sales and securitization Understand the causes and consequences of bank failure and the global financial crises Work in teams and present results. On completion of this course students should understand and be able to apply the processes and applications outlined in the course description.
Indicative Assessment	Assessment in the course is based on a major project, mid-semester examination and final examination
Workload	At least three contact hours per week (2 lectures and 1 tutorial) plus private study time.
Course Classification(s)	AdvancedAdvanced courses are designed for students having reached 'first degree' level of assumed knowledge, which provide a deep understanding of contemporary issues; or 'second degree' and higher levels of knowledge; or for transition to research training programs. and SpecialistSpecialist courses are designed for students having reached 'first degree' level of assumed knowledge, which provide for the acquisition of specialist skills; or 'second degree' and higher level of knowledge; or for transition to research training programs; or knowledge associated with professional accreditation.
Areas of Interest	Finance
Requisite Statement	Pre-requisites: FINM7007 Applied Corporate Finance, FINM7008 Applied Investments, FINM7041 Applied Derivatives and FINM7044 Applied Valuation
Incompatibility	FINM7004 Applied Financial Intermediation and Debt Markets
Programs	Master of Business, Master of Commerce, and Master of Finance
Other Information	See Course Website
Academic Contact	Research School of Finance, Actuarial Studies and Applied Statistics

The information published on the Study at ANU 2012 website applies to the 2012 academic year only. All information provided on this website replaces the information contained in the Study at ANU 2011 website.