Banking Risk Management – Become A Risk Manager In Bank

Master risk management in banks with comprehensive insights into credit, liquidity, and market risk strategies!

What you’ll learn
Understanding Different Types of Risk: Learn about credit risk, liquidity risk, interest rate risk, foreign exchange risk, price risk, and operational risk
Risk Management Process: Gain insights into the step-by-step risk management process, from risk identification to monitoring and control.
Role of Senior Management and Board: Understand the responsibilities of senior management and the board in overseeing and mitigating risk.
Credit Risk Management: Learn how to manage credit risk through effective policies, strategies, credit limits, and internal risk rating systems.
Liquidity Risk Management: Explore strategies, policies, and tools for measuring and controlling liquidity risk in banks.
Interest Rate Risk: Understand the complexities of managing interest rate risk, including repricing risk, yield curve risk, and basis risk.
Risk Monitoring and MIS Systems: Learn how to utilize Management Information Systems (MIS) for tracking and reporting on various types of risk.
Internal Controls: Study the importance of internal controls in monitoring risk and ensuring regulatory compliance.
Credit Risk Modeling: Delve into credit risk modeling, including key concepts like LGD (Loss Given Default), EAD (Exposure at Default), and unexpected loss
Operational Risk and Legal Risk: Learn how to identify, measure, and control operational and legal risks, including fraud prevention and managing failure

Requirements
Basic Understanding of Banking Operations: Familiarity with the fundamental workings of banks and financial institutions is recommended.
Knowledge of Financial Terms: A good grasp of common financial and banking terminologies, such as assets, liabilities, and credit, will be helpful.
No Prior Experience in Risk Management Required: The course is designed for beginners as well as professionals, so no prior experience in risk management is necessary.
Analytical Skills: Basic analytical skills will help in understanding risk management processes and applying the concepts in real-life scenarios.
Interest in Banking and Finance: A strong interest in learning about banking operations, risk management, and financial regulations is important.
Access to a Computer and Internet: Since the course is online, students should have access to a computer and a reliable internet connection.
Eagerness to Learn: Enthusiasm for learning new concepts, strategies, and the regulatory frameworks of risk management is key to success.
Intermediate English Proficiency: Since the course is conducted in English, students should be able to read, write, and comprehend intermediate-level English.
Willingness to Engage in Practical Exercises: Students should be prepared to participate in practical case studies and simulations related to risk management.
Financial or Business Background (Optional): A background in finance, economics, or business may enhance your learning experience, though it is not mandatory.

Description
Introduction:In today’s rapidly evolving financial landscape, effective risk management is critical for the stability and profitability of banks. This course provides an in-depth understanding of the various types of risks that banks face, including credit, liquidity, interest rate, and foreign exchange risks. Students will explore how risk management frameworks, strategies, and tools are employed to mitigate these risks. Through detailed lectures and practical examples, participants will learn how to assess and manage risk in alignment with regulatory requirements and industry best practices.Section 1: Risk Management in BanksThis section serves as the foundation of risk management, introducing students to the core concepts and processes involved. The journey begins with understanding what risk is, followed by a detailed exploration of the risk management process, including step-by-step procedures that banks undertake to manage their risks. Students will examine the critical role of the board and senior management in overseeing risk, and how robust internal controls and Management Information Systems (MIS) are essential for effective monitoring. Various types of risks—credit, liquidity, interest rate, and foreign exchange—are analyzed in depth. For each risk type, students will learn about its unique challenges and the corresponding oversight responsibilities, policies, procedures, and measurement techniques employed by financial institutions.Section 2: Credit Risk in Banks and Its ManagementThis section focuses on credit risk—the risk of a borrower defaulting on a loan or financial obligation. It starts with an introduction to credit risk, explaining its causes, consequences, and the need for proper loan appraisal. The section highlights the importance of a bank’s credit strategy, policies, and limits, while delving into tools and instruments used for credit risk management. It covers essential topics such as internal risk rating systems, managing problem credits, and the role of MIS and internal controls in monitoring credit risks. Additionally, the section explores credit risk management in investment banking and off-balance-sheet exposures, providing practical steps for risk evaluation and mitigation.Section 3: Credit Risk Modeling and its Application in BanksIn this section, students dive into the world of credit risk modeling, which is crucial for predicting and managing credit risk in modern banking. The section begins by defining credit risk and exploring key concepts like capital structure modeling and risk measures. Students will learn about loss-given-default (LGD) and exposure-at-default (EAD) estimations, which are vital for assessing a bank’s exposure to credit losses. Real-world challenges in credit risk modeling, along with illustrative examples of unexpected losses, are discussed to help students apply theoretical concepts to practical scenarios.Section 4: Different Types of Risks in BanksThe final section broadens the scope to include the various types of risks that banks encounter, such as liquidity risk, market risk, and operational risk. Students will explore the management strategies and controls required for each risk type, including liquidity risk management, market risk audits, and legal risk assessments. Special emphasis is placed on internal controls, compliance, and fraud prevention. Through real-world examples, students will gain insights into managing system failures, legal disputes, and operational inefficiencies in banks. The section also touches on credit risk in investment banking, highlighting off-balance-sheet exposures and the steps necessary for robust risk management.Conclusion:This comprehensive course equips students with a detailed understanding of risk management practices in banks and financial institutions. By the end of the course, participants will have gained valuable insights into the various risk types, management processes, and regulatory frameworks necessary to maintain financial stability and ensure operational resilience in banks.

Overview
Section 1: Risk Management in Banks

Lecture 1 Course Structure

Lecture 2 What is Risk

Lecture 3 Risk Management Process- Step 1 and 2

Lecture 4 Risk Management Process- Step 3 and 4

Lecture 5 Active Board & Senior management Oversight

Lecture 6 Risk Monitoring and MIS

Lecture 7 Internal Controls

Lecture 8 Risk management Function

Lecture 9 Types of Risks

Lecture 10 What is Credit Risk

Lecture 11 Board and Senior Management Duties for Credit Risk

Lecture 12 Credit Strategy

Lecture 13 Credit Policies

Lecture 14 Credit Limits

Lecture 15 Credit Origination

Lecture 16 Internal Risk Rating Systems

Lecture 17 Managing Problem Credits

Lecture 18 MIS in Credit Risk

Lecture 19 Credit Risk- Internal Controls

Lecture 20 What is liquidity Risk

Lecture 21 Liquidity Risk Management responsibilities of Board and Managers

Lecture 22 Asset Liability Committee

Lecture 23 Liquidity Risk Strategies

Lecture 24 Liquidity Risk Policies

Lecture 25 Liquidity Risk Procedures and Limits

Lecture 26 Liquidity Risk Monitoring and Measurement

Lecture 27 Liquidity Risk- MIS and Internal Audits

Lecture 28 What is Interest Rate Risk

Lecture 29 Repricing Risk

Lecture 30 Yield Curve Risk

Lecture 31 Basis Risk

Lecture 32 Optionality Risk

Lecture 33 Board and management Oversight in Interest Rate Risk

Lecture 34 Interest Rate Policies Procedures and Limits

Lecture 35 Measuring Interest Rate Risk

Lecture 36 MIS and Internal Control for Interest rate Risk

Lecture 37 What is Foreign Exchange Rate Risk

Lecture 38 Foreign Exchange Rate Risk Measurement

Lecture 39 Foreign Exchange Risk Monitoring

Lecture 40 Foreign Exchange Risk- Internal Controls

Lecture 41 What is Price Risk

Lecture 42 Measuring and Managing Price Risk

Lecture 43 What is Operational Risk

Lecture 44 Operational Risk- Responsibilities of the Board

Lecture 45 Operational Risk- Policies, Procedures, Limits

Lecture 46 Operational Risk Identification Tools

Lecture 47 Operational Risk- Monitoring and Control

Lecture 48 Operational Risk- Internal Controls

Lecture 49 What is Compliance Risk

Lecture 50 Compliance Risk- Policies and Monitoring

Lecture 51 Conclusion

Section 2: Credit Risk in Banks and Its Management

Lecture 52 Introduction to Risk and Credit Risk

Lecture 53 Credit risks in banks

Lecture 54 Credit risks as per the RBI

Lecture 55 Causes of Credit Risk part 1

Lecture 56 Causes of Credit Risk part 2

Lecture 57 Need of correct appraisal of the loan

Lecture 58 Consequences of Credit Risk

Lecture 59 Risk Management

Lecture 60 Measurement of risk

Lecture 61 Credit risk evaluation

Lecture 62 Computation of Credit risk

Lecture 63 Risk management in general

Lecture 64 Management of Credit Risks

Lecture 65 Instruments of credit risk management Part 1

Lecture 66 Instruments of credit risk management Part 2

Lecture 67 Other instruments of CRM

Lecture 68 Credit risk in Investment banking and Off-Balance sheet exposure

Lecture 69 Effective steps for risk evaluation.

Section 3: Credit Risk Modeling and its Application in Banks

Lecture 70 Introduction to Credit Risk Modelling

Lecture 71 Defining Credit risk

Lecture 72 Capital Structure Credit Risk Modelling

Lecture 73 Credit Risk Measure

Lecture 74 LGD Estimation Credit Risk

Lecture 75 EAD Estimatioat Credit Risk

Lecture 76 Unexpected Loss Example

Lecture 77 Challenges Credit Risk

Section 4: Managing Risks in Banks

Lecture 78 Risk and Its Type

Lecture 79 Credit Risk

Lecture 80 Liqiidity Risk

Lecture 81 Example of Liqiidity Risk

Lecture 82 Marketable Security and Assets

Lecture 83 Definition of Risk Management

Lecture 84 Definition of Risk Management Continues

Lecture 85 Aspects of Risk Management

Lecture 86 Steps of Aspects of Risk Management

Lecture 87 Liquidity Risk Management

Lecture 88 Liquidity Risk Management Continues

Lecture 89 Slite Variation in Voice

Lecture 90 Market Risk Management

Lecture 91 Element of Market Risk Management

Lecture 92 Market Control and Audit

Lecture 93 Legal Risk and its Example

Lecture 94 Legal Risk and its Example Continues

Lecture 95 Types of Legal Risk

Lecture 96 System Failure in Operation Risk

Lecture 97 Fraud Basics in Operation Risk

Lecture 98 Credit Risk and its Example

Banking Professionals: Individuals already working in banks or financial institutions who want to deepen their understanding of risk management.,Risk Management Enthusiasts: Anyone interested in pursuing a career in risk management, particularly within the banking sector.,Finance Students: University students studying finance, economics, or banking who want to complement their academic knowledge with practical insights into risk management.,Business Analysts: Professionals working in financial analysis, who need to understand risk assessment and mitigation strategies.,Regulatory and Compliance Officers: Individuals responsible for ensuring that banks and financial institutions adhere to regulatory standards regarding risk management.,Consultants and Advisors: Financial consultants or advisors who want to offer better insights and services to their clients in the area of risk management.,New Graduates: Graduates seeking to enter the banking and finance industry with a specialization in risk management.,Auditors: Internal and external auditors who want to improve their understanding of financial risk management processes in banks.,Entrepreneurs in Financial Services: Startup founders and entrepreneurs who operate in the financial services industry and need to manage risks effectively.,Anyone Curious About Banking Risks: Individuals interested in gaining knowledge about how banks assess, monitor, and mitigate various risks.