Modulbeschreibung

The students get a high-level overview of managing a bank. On the one hand, they get familiar with the
core aspects of traditional instances of a universal bank such as the credit department, the treasury, and
the risk function. On the other hand, they learn the implications of recent disruptive elements of the
banking industry such as digitisation, new types of trading venues, distributed ledger technology (DLT),
FinTech, open banking, and machine learning

Knowledge of elementary probability theory, interest in financial markets

Topic area I: Business Models in Banking

• Introduction and banking history
• Key mechanisms of banks
• Type of banks
• Banking environment in Switzerland and around the world
• Basics in regulatory, legal, and accounting requirements
• Learning from financial crises

Topic area II: Risk Management

• Introduction to financial risk management (origination, relevance, countermeasures, elements of
  best practise)
• Credit risk management (loss distribution, risk quantification, credit models, rating models,
  multiple yield curves, marketable products and derivatives, Basel accords)
• Market risk management (market overview, financial products, hedging)
• Other risks
• Asset-liability-management (ALM)
• Model risk management (SR 11-7)
• Introduction to machine learning (ML) in finance and its implications on risk management

Topic area III: Digital Banking

• Digitisation in banking
• FinTech
• Neobanks
• BigTechs in banking
• Open finance and open banking

Lectures, exercises, case studies, discussions, excursions

Mandatory:

• The lecture is based on a comprehensive slide deck.
• Guided self-study (mainly exercises) is key for the understanding of the content.

Optional:

• Further literature for in-depth studies will be announced during the lectures.