Risk Management for Banks and Financial Institutions 
Last date for registration: 14 Feb, 2020
End Date : 28 Feb, 2020
Early Bird Discount Date : 03 Feb, 2020
Residential Early Bird Fee(excluding GST) : Rs. 1,05,750
Non-Residential Fee(excluding GST) : Rs. 1,00,000
Non-residential Early Bird Fee(excluding GST) : Rs. 90,000
The banks and other Financial services companies are seriously entangled with crumbling asset quality, erosion in bank profitability and depleting status of bank capital. Stock prices of many banks are substantially lower to Book values indicating shareholders are shouldering substantial amount of risk of banks’ portfolio and operations. The imperative to address this crisis is strengthening of risk management systems of banks.
For each institution, the actual solution to this problem is entailing different philosophies towards risk policies, methodologies, processes and technologies. Visualizing the risk, combating the adverse effects on profitability through proactive planning and ensuring the implementation of the risk management process has currently assumes pivotal significance.
The new risk based regulatory framework of Basel is emphasising on strengthening of regulatory mechanisms such as tighter definition of regulatory capital, higher risk-weighted requirements, a new minimum leverage ratio and a capital conservation buffer. The market risk framework has been largely overhauled, with improvements that include increased granularity and the introduction of the “expected shortfall” concept in the Standardised Approach, comprehensive risk capture and a more granular model approval process in the Internal Models Approach. Basel framework includes the Liquidity Coverage Ratio (LCR) and the Net Stable Funding Ratio (NSFR), standards aimed at ensuring banks’ resilience to liquidity stress.
The new architecture of ‘Risk Management’ has two important tenets: risk quantification and establishing control systems. The Basel Accords (Basel-II and III) demands utmost importance for risk management systems in Banks and Financial Institutions and directs these institutions to adopt risk capital allocation based on quantification of risk.
In this context, this programme is intended to cover all generic risks, i.e. Liquidity Risk, Credit Risk, Market Risk, Operational Risk and other specific risks of ICAAP. The complex function of risk management demands application of sophisticated models for measuring and managing risks, and this programme aims at improving the competence of managers in selection and application of modern techniques of risk management.
- To provide a comprehensive understanding on Basel-II, Basel-III and ICAAP, and its implications for risk management functions of Banks and Financial Institutions
- To make the participants confident about conceptualising, quantifying, and managing Liquidity risk and enabling them to effectively use Asset-Liability Management (ALM) process and techniques
- To enable the participants about the new/ revised framework of Interest Rate Risk in Banking Book (IRBB) and quantification of various forms of Interest Risk
- To understand the alternate approaches of quantifying Market risk with VaR (Value at Risk) and other techniques
- To provide sound understanding on credit risk models and Internal Rating models, quantification of credit risk and dynamic provisioning approaches
- To provide an understanding on model validation techniques
- To create awareness on alternate methodologies of quantifying operational risk
- Performance analysis of Banks: Risk Management Perspective.
- Liquidity Risk Management: Static and Dynamic Analysis, Maturity Gap Analysis, Liquidity coverage Ratios (LCRs)
- New framework of Interest Rate Risk (IRR) Management: Sources, Quantification techniques and Management of IRR.
- Value at Risk: Concept, Methodologies, and Applications.
- Credit Risk Models: Internal rating models, Multivariate techniques / Z-Score model, structured credit risk models, and other advanced credit risk models.
- Securitization and Credit derivatives.
- Operational Risk Management: A brief analysis of models.
Learning Outcomes
- Understanding Basel-II and Basel-III framework and implications for Banks
- Understanding Liquidity Risk Management (both static and dynamic)
- Understanding Interest Rate Risk Management and other forms of Interest Rate Risk Management in Banking Book
- Understanding on market risk and Value at Risk approaches.
- Understanding Credit Risk Models.
This programme will be interactive, and the learning methods will consist of Lectures, Numerical Exercises, Case Studies and Discussions with practical examples as well as Group project work.
- Managers working in the domain functions of Credit, Investments, Corporate banking, Treasury and Risk Management, specifically handling Credit Risk, Market Risk, and Operational Risk in commercial banks/ newly established Small Finance Banks and Non-Banking Finance Companies and Financial Institutions.
- This program is equally beneficial to senior executives of Information Technology (IT) and consulting companies dealing with risk management solutions to Banking and Financial Services (BFS) verticals. Executives working in Analytics companies may gain by exploring the new areas for application of analytics in banking and financial services sector.
Professor Jayadev’s area of interests are banking, financial markets and risk management. He has been actively associated in tracking the developments of risk management especially in banking context. Prior to joining IIMB, he was Associate Professor of Finance at the Indian Institute of Management, Lucknow for more than five years, and was a member of the Faculty of Investment Banking at the Academic Staff College of a large Public Sector Bank in India. He has published papers in professional and research Journals in the areas of banking and risk management and has presented papers at national and international seminars and conferences. His research projects include Basel II and Credit Risk (2004), Bank Mergers (2006), Credit Delivery System (2005), Risk Management impact on Bank Performance (2006), Risk Capital Products for SMEs (2013), Educational Loans (2015), Debt and Defaults’ and Corporate Governance (2016). Currently he is working on CDFI funded research project on developing a credit risk model for educational loans
Jayadev has been Visiting Faculty to University of Rome, ESCP-EAP European School of Management, Paris and AIT Bangkok. He has also been a member of consulting teams and has undertaken projects in the areas of finance and banking for the Consulate General of Japan, the Reserve Bank of India, and other public and private sector undertakings.
Jayadev is currently on the board of Union bank of India and served on the board of BGSE Financials Ltd as Public representative director and Non-executive Chairman.
Jayadev is Program Director and faculty to the exclusive programs on Risk Management for Banks and Financial Institutions, this program was attended by several executives of private, public and foreign banks of national and international. Professor Jayadev offered customised Risk Management Programs for Accenture, WIPRO Technologies, Kotak Mahindra Bank, Syndicate Bank, Canara bank and State Bank of India and Sri Lankan Banks.
Programme Fee and Payment
INR 1,17,500/- Residential and INR 1,00,000/- Non -Residential (+ Applicable GST) per person for participants from India and its equivalent in US Dollars for participants from other countries.
Early Bird Discount
Nominations received with payments on or before 3-Feb-20 will be entitled to an early bird Discount of 10%.
- Early Bird Fee (Residential) INR 1,05,750/-(+ Applicable GST)
- Early Bird Fee (Non-Residential) INR 90,000/-(+ Applicable GST)
All enrolments are subject to review and approval by the programme director. Joining Instructions will be sent to the selected candidates 10 days prior the start of the programme. Kindly do not make your travel plans unless you receive the letter from IIMB.
A certificate of participation will be awarded to the participants by IIMB.
- The programme fee should be received by the Executive Education Office before the programme commencement date.
- In case of cancellations, the fee will be refunded only if a request is received at least 15 days prior to the start of the programme.
- If a nomination is not accepted, the fee will be refunded to the person/ organisation concerned.
.png)