OPERATIONAL RISK MANAGEMENT

FIN5ORM

2017

Credit points: 15

Subject outline

Operational risk is one of the major risks that affect financialinstitutions and firms. Operational risk management is continually developing in response to increasing regulatory pressures and advances impacting the financial services industry. You will examine a range of strategies, techniques and models to manage, mitigate and quantify the exposure of financial institutions to operational risk. This subject is one of three subjects which you will consider how to measure and manage a financial services firm to market, credit and operationalrisk. Taken together these three subjects form the Financial Risk Management specialisation of the Master of Financial Analysis (FRM) degree which is aligned with the curriculum of the GARP FRM designation.

SchoolLa Trobe Business School

Credit points15

Subject Co-ordinatorDoureige Jurdi

Available to Study Abroad StudentsYes

Subject year levelYear Level 5 - Masters

Exchange StudentsYes

Subject particulars

Subject rules

PrerequisitesN/A

Co-requisites FIN5EME

Incompatible subjectsN/A

Equivalent subjectsN/A

Special conditionsN/A

Graduate capabilities & intended learning outcomes

01. Demonstrate a high level of personal autonomy, creativity and initiative in applying theoretical concepts to analysing a firm or portfolio's exposure to operational risk factors and critically reflect on the effectiveness of the theoretical concepts to explain this exposure.

Activities:
Lectures and tutorials
Related graduate capabilities and elements:

02. Demonstrate a high level of personal autonomy, creativity and initiative in defining strategies, which apply the knowledge and skills, to managing a firm or portfolio's exposure to operational risk.

Activities:
Lectures and tutorials
Related graduate capabilities and elements:

03. Demonstrate a knowledge and understanding of the theoretical concepts associated with the measurement and management of operational risk that includes an understanding of recent developments in the risk management discipline and profession.

Activities:
Lectures and tutorials
Related graduate capabilities and elements:

04. Demonstrate individually and in groups the cognitive, technical and creative skills to define, research and measure a firm to operational risk factors.

Activities:
Lectures and tutorials
Related graduate capabilities and elements:

05. Demonstrate the communication skills needed to justify and interpret, recent empirical events, theoretical propositions, methodologies, conclusions and professional advice in relation to measuring and managing a firm or portfolio's exposure to operational risk.

Activities:
Tutorials
Related graduate capabilities and elements:
Literacies and Communication Skills (Writing)

Subject options

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Start date between: and    Key dates

Melbourne, 2017, Semester 2, Day

Overview

Online enrolmentYes

Maximum enrolment sizeN/A

Enrolment information

Subject Instance Co-ordinatorDoureige Jurdi

Class requirements

Tutorial Week: 31 - 43
One 1.0 hours tutorial per week on weekdays during the day from week 31 to week 43 and delivered via face-to-face.

Lecture Week: 31 - 43
One 2.0 hours lecture per week on weekdays during the day from week 31 to week 43 and delivered via face-to-face.

Assessments

Assessment elementComments% ILO*
Mid Semester Exam (1.5 h)25 01, 02, 03, 04, 05
one 2.5-hour final examinationHurdle requirement: Students must achieve at least 50% in the final examination as well as a total of 50% in the sum of the marks for all assessment tasks to pass the unit.50 01, 02, 03, 04, 05
Group Semester Project (2000 words per student)25 01, 02, 04, 05