Essentials of Banking

This course provides an overview of the fundamental principles underlying the money and banking system in the United States.

09-Jun-2008 -- 10-Jun-2008New YorkUSD$2375
NY Institute of Finance - Midtown9:00am - 4:30pm Instructional Method:
Group-Live
Instructor(s): [ Henry Pullman; ] Mon Tue Level: Basic
CPE Credits: 14

03-Nov-2008 -- 04-Nov-2008New YorkUSD$2375
NY Institute of Finance - Downtown9:00am - 4:30pm Instructional Method:
Group-Live
Instructor(s): [ Henry Pullman; ] Mon Tue Level: Basic
CPE Credits: 14

Commercial bankers, financial analysts and others who want a basic understanding of money and banking.
No advance preparation required.
Students will be able to:
  • Understand how securities markets are regulated
  • Gain insight into how banks manage credit risk and funding
  • Gain an appreciation for the impact banks have on the economy
  • Become familiar with major policy issues
  • Appreciate the key performance indicators for banks
"Background of the instructor and real-life experiences he brought to the seminar"
DAY ONE

Brief Overview of the Capital Markets

  • The Traditional Role of Banks

Money - What is it? How does it work?

  • Function and Properties
  • Definitions and Measures
  • Creation and Velocity

The Federal Reserve - Power, Presence, Policy

  • How the Fed controls the money supply
  • Reserve requirement
  • Discount rate
  • OMC
  • Regulatory importance

Macro Economic Issues

  • Monetary vs. Fiscal Policy
  • The Keynesians and the Monetarists
  • Mr. Keynes and Mr. Friedman

Political Issues: Growth and Inflation

  • Chairman Bernanke on Risk and Uncertainty

Banks as Financial Intermediaries

  • Loans and Deposits
  • Size and Diversity
  • Retail vs. Money Center

DAY TWO

The Yield Curve - Why is it important?

  • Its Shape
  • Theories

Interest Rates

  • Asset - Liability Management
  • Cost of Funds
  • Pricing a loan

How a Large Commercial Money Center Bank Makes Money: Let’s Go to the Balance Sheet

  • Loans
  • Branches
  • Securities Processing
  • Trust and Estates

The Treasury Function - Managing the Gap & Minimizing the Cost of Capital (Borrowing Cheap and Lending Dear)

  • Money Market Instruments
  • Fed Funds
  • Repos
  • CDs
  • Commercial Paper
  • Bankers Acceptances

Capital Adequacy

  • Reserve requirements
  • Off balance sheet risk
  • Managing Risk: How Are Loans Like Bonds?
  • Credit Risk
  • Interest Rate Risk

How Investment Banks Make Money - Back to the Balance Sheet

  • Traditional Separation between Investment and Commercial Banks
  • Mergers and Acquisitions
  • Initial Public Offerings (IPO's)
  • Financial Advisory
  • Asset Management

Clients who register for this course will receive a complimentary 6 month subscription to the Financial Times and FT.com. The Financial Times is the world's most respected financial newspaper providing a broad assessment on finance, business and the industrial sector. Subscriptions will start within 6-8 weeks of the application process, and are limited to one per client. For questions about your subscriptions call 800-628-8088 or email uscirculation@ft.com. US and Canada enrollees only.

Lunch included for all students taking day classes.