Master of Science in Accounting and Auditing
Master	TR-NQF-HE: Level 7	QF-EHEA: Second Cycle	EQF-LLL: Level 7

General course introduction information

Course Code:

MMBA581

Course Name:

Banking Risk Management

Course Semester:

Fall

Course Credits:

Theoretical	Practical	Credit	ECTS
3	0	3	7.5

Language of instruction:

Course Requisites:

Does the Course Require Work Experience?:

Type of course:

Department Elective

Course Level:

Master

TR-NQF-HE:7. Master`s Degree

QF-EHEA:Second Cycle

EQF-LLL:7. Master`s Degree

Mode of Delivery:

Face to face

Course Coordinator :

Assoc. Prof. HÜSEYİN MERT

Course Lecturer(s):

Course Assistants:

Course Objective and Content

Course Objectives:	It is aimed to teach students theoretical and practical information on risk management and risk management in banks.
Course Content:	Risk, types of risk, risk management through financial institutions, structure and regulation of financial institutions, trading in financial markets, hedge and investment funds, credit crisis and economic capital are the main topics of the course.

Learning Outcomes

The students who have succeeded in this course;

Learning Outcomes

1 - Knowledge
Theoretical - Conceptual
2 - Skills
Cognitive - Practical
3 - Competences
Communication and Social Competence
Learning Competence
1) Have knowledge about the concept and types of risk, the development of risk management and the risk management process.
Field Specific Competence
1) Recognize legal regulations and concepts about Market Risk Measurement, Market Risk Derivatives, Operational Risk Management, Classification of Operational Risks, Operational Risk Measurement, Credit Risk Management, Credit Risk Management Tools.
Competence to Work Independently and Take Responsibility

Lesson Plan

Week	Subject	Related Preparation
1)	Banks (Commercial banking, Capital adequacy of small-scale banks, Deposit insurance, investment banking, today's large-scale banks, risks faced by banks, etc.)	Course
2)	Insurance companies and pension plans (Life insurance, insurance contract, health insurance, reinsurance, etc.)	Course
3)	Securities investment funds and hedge funds (hedge fund strategies, hedge fund performance etc.)	Course
4)	Trading in financial markets (markets, short and long positions, derivative markets, clearing institutions etc.)	Course
5)	2007 credit crisis (American housing market, securitization)	Course
6)	Interest rate risk (Management of net interest income, LIBOR and SWAP rates etc.)	Course
7)	Value at risk (Definition of value at risk, examples of its calculation, Value at risk and capital etc.)	Course
8)	Midterm	Course
9)	Volatility / Fluctuation rate (Volatility definition, implied volatility, daily volatility monitoring)	Course
10)	Basel I, Basel II and Solvency II (pre-1988 bank regulations, 1988 BIS consensus, Basel II, Basel II based credit risk capital and operational risk capital etc.)	Course
11)	Basel 2.5, Basel III and Dodd Frank law	Course
12)	Market risk - VaR (Value at risk): Historical simulation model (Methodology, numerical issues, extreme value theory and application etc.)	Course
13)	Credit risk: Estimation of the probability of default (Credit rates, historical default rates, post-default collection rate, credit default swap etc.)	Course
14)	Operational risk and liquidity risk (What is operational risk, classification of operational risk, proactive approaches, What is liquidity risk ?, funding liquidity risk, market liquidity risk, etc.)	Course
15)	Final	Course

Sources

Course Notes / Textbooks:	Ders
References:	Course

Course-Program Learning Outcome Relationship

Learning Outcomes	1	2
Program Outcomes
1) Recognition of national legislation and international financial reporting standards in accounting
2) Preparation and interpretation of financial statements in accordance with the standards
3) Management of financial data
4) The Master's Program in Accounting and Auditing aims to provide the participants with the knowledge and skills needed to adapt to the change process in the field and to have the equipment that is preferred in the audit sector.
5) Graduates of this program may continue their academic careers and gain the qualification of Accounting Auditing Specialist and become the manager in finance, accounting, auditing and reporting departments of the leading companies in the business world.
6) To be able to evaluate accounting and auditing principles and applications with the help of analytical tools.
7) To be able to use the computer and the required package program.
8) To gain an interdisciplinary perspective.
9) To be conscious about business ethics and social responsibility.
10) To understand the basic principles of accounting and auditing and to apply the necessary principles to business life.

Course - Learning Outcome Relationship

No Effect	1 Lowest	2 Low	3 Average	4 High	5 Highest

	Program Outcomes	Level of Contribution
1)	Recognition of national legislation and international financial reporting standards in accounting	5
2)	Preparation and interpretation of financial statements in accordance with the standards
3)	Management of financial data
4)	The Master's Program in Accounting and Auditing aims to provide the participants with the knowledge and skills needed to adapt to the change process in the field and to have the equipment that is preferred in the audit sector.
5)	Graduates of this program may continue their academic careers and gain the qualification of Accounting Auditing Specialist and become the manager in finance, accounting, auditing and reporting departments of the leading companies in the business world.
6)	To be able to evaluate accounting and auditing principles and applications with the help of analytical tools.	4
7)	To be able to use the computer and the required package program.
8)	To gain an interdisciplinary perspective.
9)	To be conscious about business ethics and social responsibility.	5
10)	To understand the basic principles of accounting and auditing and to apply the necessary principles to business life.

Learning Activity and Teaching Methods

Field Study
Expression
Lesson
Thesis Preparation

Assessment & Grading Methods and Criteria

Written Exam (Open-ended questions, multiple choice, true-false, matching, fill in the blanks, sequencing)
Oral Examination
Homework
Presentation
Reporting
Tez Sunma

Assessment & Grading

Semester Requirements	Number of Activities	Level of Contribution
Midterms	1	% 40
Final	1	% 60
total		% 100
PERCENTAGE OF SEMESTER WORK		% 40
PERCENTAGE OF FINAL WORK		% 60
total		% 100

Workload and ECTS Credit Grading

Activities	Number of Activities	Workload
Course Hours	16	48
Midterms	1	12
Jury	16	128
Final	1	15
Total Workload		203