FIN 414 A1 Syllabus - Page 1 of 3 University of Alberta, School of Business Department of Finance and Statistical Analysis
Syllabus - FIN 414-A1 – Operation of Financial Institutions – Fall 2013 Professor Information
Name: Andras Marosi Email: [email protected]
Phone: (780) 492 5365 Office: 2-32F Business Building
Course Place and Time BUS 4 13
T TH 11:00AM – 12:20AM Office Hours
T W 2:00-3:30PM, or by appointment Course Description
This course is intended to provide students with a basic understanding of the role of financial institutions in the financial system. We first look at the essence and role of financial institutions.
Next, we will cover risk management of financial institutions. The last part of the class explores the evolution of the financial services industry, and the 2008 financial crisis.
Prerequisites FIN 301: Introduction to Finance
Course Materials The required readings include:
1) Lecture notes
2) Saunders, Cornett and McGraw, Financial Institutions Management – A Risk Management Approach, 4th Canadian Edition, McGraw-Hill Ryerson (SCM)
3) Additional reading material referenced in the lecture notes and posted on the U-learn system The course will utilize the School of Business U-learn system. Course information will be available to registered students when they log on at: https://ulearn.ualberta.ca/. Lecture notes, which outline each lecture, will be made available before each class via U-learn system. Please remember that the lecture notes provide a summary outline and that additional material will be presented, explained and discussed during the lectures. The textbook and the assigned readings will also provide complementary and supplementary coverage of the topics presented during the lectures.
For completeness, you need to attend the class, read the textbook and the material that will be posted on the U-learn system. It is your responsibility to check the website on an ongoing basis for additional material.
I strongly recommend that you read in advance and bring a copy of the lecture notes to each class.
FIN 414 A1 Syllabus - Page 2 of 3 Attendance
Attendance is not mandatory, but strongly encouraged. If you miss a class, then you are responsible for getting whatever information you need from a classmate. This applies to questions regarding both upcoming exams and assignments.
Grading: This schedule is subject to change
What Weight When Where
Assignment 1 8% September 24,
6:00pm cut-off time Via U-learn system
Assignment 2 8% October 10, 6:00pm
cut-off time Via U-learn system
Assignment 3 8% November 7, 6:00pm
cut-off time Via U-learn system
Midterm Exam 33% October 17 Lecture Class
Final Exam 43% University Schedule TBA
Final grades will be based on the weighted average of assignments and exams. The University provides a suggested grade distribution for 400 level courses, and this course’s grade distribution will be similar, and will be based on an absolute and relative understanding of the material.
Assignments and Exams
Assignments will be available one week before the due date. Assignments must be submitted on time. Assignments that are late will receive a zero and the weight will be transferred to the final exam.
The midterm exam will be held in the regularly scheduled lecture times on the respective date. The final exam will be held as scheduled by the University, at a location TBA.
Exam Attendance: If you miss the midterm for a legitimate reason then your final exam grade will also be your midterm grade. Missed finals with legitimate reasons will have to be written at a later date. Requests for missed finals must be made in writing prior to the school scheduled final exam date. Please contact the Undergraduate Office (2nd floor, Business Building) for additional information regarding missed examinations.
Material Tested: The midterm will include whatever material we have covered up until the day of the exam. The final exam is cumulative; anything and everything covered throughout the course can be examined. Exam questions can cover anything in either the lectures, or the assigned articles that may be posted on U-learn. Material in the textbook that are not covered in one of these other sources will not be on the exam.
Exam Sheets and Other Materials: You are required to bring picture ID to all examinations. For each exam you may bring a calculator and a one 8.5”x11” inch sheet of paper with whatever notes and information you may wish to bring to the exam in your own hand writing (you can write on both sides, but no photocopies are allowed). No other reference materials or devices are allowed.
FIN 414 A1 Syllabus - Page 3 of 3
Re-Grading: You may request one full re-grading for each exam. Re-grading requests must be made in writing, and you must explain why the manner in which your exam was graded does not correspond to the information in the answer key, which will be made available after the exam. A full re-grading means that the entire exam is re-graded. Therefore it is possible for the re-graded score to be lower than the original score. Re-grading requests must be made within one week after the exam has been returned.
Email Policy
Outside of class time or office hours, the most efficient method of contacting me is through e-mail.
Please include FIN414 in your message tile/subject line. I will endeavor to respond to any questions within two working days. Also, please note that any e-mails (and the associated responses) may be posted on the U-learn system or otherwise distributed. Student names will be removed from such postings.
Academic Integrity
From the General Faculties Council: “The University of Alberta is committed to the highest standards of academic integrity and honesty. Students are expected to be familiar with these standards regarding academic honesty and to uphold the policies of the University in this respect. Students are particularly urged to familiarize themselves with the provisions of the Code of Student Behavior and avoid any behavior which could potentially result in suspicions of cheating, plagiarism, misrepresentation of facts and/or participation in an offence. Academic dishonesty is a serious offence and can result in suspension or expulsion from the University.”
The Code of Student Behavior can be found here:
http://www.governance.ualberta.ca/CodesofConductandResidenceCommunityStandards/CodeofStu dentBehaviour.aspx
Topics Covered in the Course (subject to change)
• Introduction to Financial Institutions
• Banking and Bank Lending
• Interest Rate Risk
• Market Risk
• Credit Risk
• Securitization
• Derivatives and the Subprime Mortgage Crisis
• Liquidity Risk
