Financial Markets and Institutions, 4/e offers a unique analysis of the risks faced by investors and savers interacting through financial institutions and financial markets, as well as strategies that can be adopted for controlling and managing risks. Special emphasis is put on new areas of operations in financial markets and institutions such as asset securitization, off-balance-sheet activities, and globalization of financial services.
Financial Institutions Management 2E takes an innovative approach to managing risk and return in modern financial institutions. The authors provide an authoritative overview of the Australian financial industry, as well as a unique mix of practical global and Australian insights. The text provides students with a perfect blend of practical and theoretical content. Students are equipped with the tools they need for a successful career in the financial services industry. New industry developments such as BASEL II capital adequacy regulations are also included. Alternative and emerging banking practices such as microcredit, Islamic banking and community banks are also covered.
This text focuses on the risks faced by managers of financial institutions and the methods and markets through which these risks are managed. The context is the Canadian financial services industry. The text begins with thumbnail sketches of the industry, its member companies, their structures and the regulatory environment. It looks not only at banks but also at insurance companies, trust companies, credit unions, investment banks and finance companies, providing a holistic view of the challenges of liquidity risk, interest rate risk, market risk, credit and other risks in the global environment.This highly regarded text continues to take the same innovative approach as the first edition, focusing on managing return and risk. The book's central theme is that the risks faced by financial institution managers, and the methods and markets through which these risks are managed, are essentially the same, whether the institution is a commercial bank, an investment bank, a credit union, an insurance company or a finance company. A second theme that emerges in this edition is that the risks booked by the financial institution use risk capital and generate an expected return that should justify that use. The authors explain the latest techniques of risk measurement against the backdrop of the convergence of worldwide securities, investment, credit and insurance industries.
