FINANCIAL RISK MANAGEMENT

COURSE OUTLINE

Responsible: Christos Floros

1. GENERAL

SCHOOL School of Management and Economics
ACADEMIC UNIT Department of Accounting and Finance
LEVEL OF STUDIES Undergraduate
COURSE CODE 8000.1.050.0 SEMESTER Winter/Spring
COURSE TITLE Financial Risk Management
INDEPENDENT TEACHING ACTIVITIES
if credits are awarded for separate components of the course
WEEKLY
TEACHING HOURS
CREDITS
3 6
Total 3 6
COURSE TYPE
general background, special background, specialised general knowledge, skills development
PREREQUISITE COURSES n/a
LANGUAGE OF INSTRUCTION and EXAMINATIONS English
OFFERED TO ERASMUS STUDENTS Yes (in English) — Both Winter and Spring Semesters
COURSE WEBSITE (URL) https://eclass.hmu.gr/courses/ACCFIN126/

2. LEARNING OUTCOMES

Learning outcomes

After successful completion of the course, students are expected to be able to:

• describe, combine or recognize the importance of financial risks and their modern assessment techniques,

so that the knowledge they will have acquired is demonstrated by a critical understanding of modern forms of financial risks.

• distinguish, explain or calculate and classify the concepts of potential loss (Value-at-Risk) and various risk assessment techniques, so that they can solve complex real-world problems by demonstrating the skills they have acquired from the course.

• analyze, synthesize and ultimately formulate evaluative judgments, for the applied portfolio evaluation practices and stock market investments, so that they can contribute to decision-making by documenting the ability they acquired from the course to analyze new situations.

Overall, after completing the course, students will have acquired sufficient knowledge and skills, so as to successfully apply modern techniques of financial risk management. They will therefore be able to understand the importance of financial risks and VaR methods, so as to operate responsibly and autonomously as financial analysts in International Stock Exchanges and Organizations (banks).

General Competences

The course aims to enable the graduate to acquire the following general

abilities:

Search, analysis and synthesis of data and information, using the necessary technologies,

Adaptation to new situations,

Decision-making,

Teamwork,

Working in an international environment,

Promoting free, creative and inductive thinking

3. SYLLABUS

Concept and Categories of Risk. Market Risk. Credit Risk. Interest Rate Risk. Currency Risk. Operational Risk. Liquidity Risk. Equity and Portfolio Risk. The Basel Committee. Calculating Value at Risk (VaR). Risk Management. Risk Assessment Techniques. Calculating Risk in Financial Derivatives. Equities and Portfolios (with Examples). Risk Management: Lessons from the Crisis and Prospects.

SECTIONS:

• Introduction to Financial Risks

• Measurement of Market Risk and Volatility

• Introduction to the VaR Method

• Calculating VaR with Analytical Methods

• Calculating VaR with Simulation Methods

• Banking Risks I

• Banking Risks II

• Credit Risk

• Stress Testing

• Special Risk Management Topics

4. TEACHING and LEARNING METHODS - EVALUATION

DELIVERY
Face-to-face, Distance learning, etc.
Face to face (In person)
USE OF INFORMATION AND COMMUNICATIONS TECHNOLOGY
Use of ICT in teaching, laboratory education, communication with students

Use of Whiteboard and ICT in Teaching (PowerPoint in Lectures).

E-class platform & e-mail in communication with students. Office hours required.

Availability of lecture slides as well as other course material on the E-Class platform.

TEACHING METHODS
The manner and methods of teaching are described in detail.
Activity Semester workload
125
Course total 125
STUDENT PERFORMANCE EVALUATION
Description of the evaluation procedure

Exam/Cwks

5. ATTACHED BIBLIOGRAPHY

Hull, J. Risk Management and Financial Institutions. Wiley