Commercial Banking

This is an advanced-level course in a Master's degree programme and requires knowledge from the following courses: Corporate Finance, Financial Statement Analysis and Valuation

The course emphasizes the challenges of commercial bank management with a practical application of the decision-making process and its effects on bank performance. It underlines the interconnectedness of various bank products and allows students to learn complex banking issues by putting them in charge of their own simulated bank. The simulations are aimed to improve students' problem-solving and decision-making skills as well as develop interpersonal skills.

By the end of the course students will achieve the following intended learning outcomes:

• Students will be able to outline the operations of the front and back offices of a bank in a competitive environment;
• Students will be able to measure and manage risks of bank operations by actively balancing bank’s assets and liabilities, allocating sources of bank funding, assessing credit risk by implementing loan policies, and managing money services and other banking products;
• Students will be able to analyze bank-specific performance measures, such as e.g. solvency and liquidity, as well as basic financial statements of a financial institution;
• Students will be able to explain general regulation principles of financial institutions according to Basel III international standards;
• Students will be able to cope with the regulatory policy of the Central Bank and recognize the function of the Central Bank as the lender of last resort.

1. Rose, P.S. & Hudgins, S.C. (2008). Bank management & financial services. 7th edition.
2. Koch, T.W. & MacDonald, S.S. (2014). Bank management. 8th edition

Right to participate:
Master’s Degree students in Finance and Economics
The course size is limited to max. 50 students, places are served on a first-come-first-serve basis. Once the class is full, students can be placed on a waiting list by emailing the contact person in case of potential registration cancellations.