Financial Services & Trading Institutions

This course introduces and analyzes the techniques and tools of financial risk management in the context of market, credit and operational risks for financial services firms and trading institutions including sell-side investment banks and buy side firms such as asset managers and hedge funds. Students learn the fundamental financial tools and techniques necessary to be an effective risk manager. The course covers the absolute and relative valuation of financial instruments using accounting and financial information, the time value of money, risk and return characteristics of financial products, risk management terms and techniques, and operational risk management, key risk measurement metrics (P&L attribution, Value at Risk (VaR), and the operational risk issues and their impact on financial and trading institutions.