EASTERN INTERNATIONAL UNIVERSITY

BECAMEX BUSINESS SCHOOL

COURSE SYLLABUS

COURSE INFORMATION

Course name : Banking and Financial Intermediation (Ngân hàng và các

trung gian tài chính)
Course code : FIN-B 439
Pre- & co-requisites : Co-requisite(s): None
: Pre-requisite(s): BUS 328
Program : Bachelor of Business Administration
Major : Business Administration
Credits : 4(4,0)
Hours : 40 hours (40 hours of lecture)
Equipments needed (if any) : PC
School : Becamex Business School

COURSE DESCRIPTION

This is a dynamic subject which aims to provide insights into and understanding of theories and
practices relating to financial intermediation and the risk management techniques currently being used
in major banks throughout the world. Most of the current developments of banking and financial
institutions will be discussed in this subject.

COURSE OBJECTIVES

After completing this course, students should be able to:

● Understand of the theories of financial intermediation, concepts and practices relating to the risk

management process and techniques applied within major financial intermediaries

● Understand of recent developments in financial risk management and regulation, including credit

risk models, securitisation, derivative instruments and capital adequacy

COURSE LEARNING OUTCOMES

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 1. Knowledge PLO
covered
CLO1 Discuss and evaluate key theories relating to the role of banks as financial PLO2
intermediaries
CLO2 Discuss and evaluate the risks which banks face and explain how these PLO4
risks are managed, with particular focus on techniques of asset and liability
management, and credit risk measurement and management
2. Skills
CLO3 Demonstrate the research skills and the effective use of MS Office in PLO6
finance.
CLO4 Demonstrate interpersonal skills such as motivating, leadership and PLO10
project management in various activities during the course
3. Attitudes
CLO5 Perform active and voluntary participation in learning activities during the PLO11
course to approach new knowledge.

4. Autonomy
CLO6 Develop a strong sense of personal and professional development, PLO11
responsibility, lifelong learning, and self and time management.

COURSE MATERIALS
Primary teaching materials
[1]. Frederic S. Mishkin (2016). The economics of money, banking and financial markets (11th
edition.). Pearson.
References
[2]. Don M. Chance and Robert Brooks. (2016). An introduction to derivatives and risk management
(10th edition). Cengage Learning.
[3]. Hopkin, Paul (2018). Fundamentals of risk management: understanding, evaluating and
implementing effective risk management (5th edition). Kogan Page.

COURSE CONTENT
Hours
WEEK 1 04
Chapter 1. Money, Banking and Financial Markets

● Distinguish bond and stock markets.

● Explain the structure of financial system.

● Describe the money and business cycle.

Chapter 2. An overview of financial system

● Explain the function and structure of financial markets

● Identify money market rates

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 ● Identify capital market interest rates

● Understand the role of financial intermediaries relative to securities markets

● Understand the regulation of the financial system

WEEK 2 04
Chapter 4. The meaning of interest rates

● Apply methods to calculate interest rates

● Distinguish between interest rates and returns

● Distinguish between real and nominal interest rates

Chapter 5. The behavior of interest rates

● Identify the determinants of asset demand

● Analyze changes in equilibrium interest rates

Chapter 6. Risk and Term structure of interest rates

● Identify default risk

● Explain the effect of global financial crisis and the Baa-Trasury spread

WEEK 3 04
Chapter 8. An economic analysis of financial structure

● Identify transaction costs

● Analyze the Lemons Problem

● Analyze Enron implosion

● Describe the influence of Moral Hazzard

WEEK 4 04
Chapter 9. Banking and the management of financial institutions

● Understand the bank balance sheet

● Understand the general principles of bank management

● Implement strategies for managing bank capital

● Identify credit risk

● Identify interest rate risk

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WEEK 5 04
Chapter 10. Economic analysis of financial regulation

● Understand rationale for financial regulation

● Describe types of financial regulation

● Understand Basel Accord Heading

● Understand Mark-to-Market Accounting

Midterm examination
WEEK 6 04
Chapter 11. Banking industry: Structure and competition

● Describe the development of banking system

● Understand “Shadow banking system”

● Understand bank consolidation

● Understand the thrift industry

WEEK 7 04
Chapter 12. Financial crises in advanced economies

● Identify financial crisis

● Describe dynamics of financial crises

● Analyze the dynamics in history events

● Discuss Feb case study

● Interpret future regulations and policy areas at the international level

WEEK 8 04
Chapter 13. Financial Crises in Emerging Economies

● Describe dynamics of financial crises in emerging market economies

● Analyze dynamics in real events

● Understand preventing emerging market financial crises

WEEK 9 04
Chapter 14. Central banks: a global perspective

● Understand origins and structure of Federal Reserve System

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 ● Explain central bank behavior

● Understand central banks around the world

WEEK 10: 04

● Group project presentation

● Final Exam
TOTAL 40
Note: The total hours for self-study are 80 hours (8 hours/week)
ASSESSMENT
Type of Method/
Content CLO Weight
assessment Tool
Class Participation 5,6
Formative (1) 20
assessment (2) Group project Presentation & written 3,4 30
report
Summative (4) Midterm exam Multiple choice 1,2 20
assessment questions, Written
questions
(5) Final exam Multiple choice 1,2 30
questions, Written
questions
Total: 100%
SCHEDULE OF CLASS LESSONS
Week 1
Hours: 04 Lecture/...Lab
Implement CLO1, 2
Assessment (1)
Teaching contents:
Financial markets, financial institutions and banking, money and money policy, international
finance
Learning activities:
⮚ Read
1. Chapter 1, 2 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 48-91)
⮚ Discuss
1. Are U.S Capital Markets Losing their edge?
⮚ Practice
1. Problems 2,3,5,8 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 92-93)

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Week 2
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 3
Assessment (1)
Teaching contents:
Interest rate and its behavior, default risks
Learning activities:
⮚ Read
1. Chapter 4,5,6 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 110-180)
⮚ Discuss
1. Does a higher rate of growth of the money supply lower interest rates?
⮚ Practice
1. Problems 2,3,4,5,9,10 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 159-160)
Week 3
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 4
Assessment (1)
Teaching contents:
Financial structure around the world
Learning activities:
⮚ Read
1. Chapter 8 – Frederic S. Mishkin (2016). The economics of money, banking and
financial markets (11th edition.). Pearson. (page 208-227)
2. Chapter 2 – Don M. Chance and Robert Brooks. (2016). An introduction to
derivatives and risk management (10th edition). Cengage Learning (page 26-
62)
⮚ Discuss
1. Are U.S Capital Markets Losing their edge?
⮚ Practice
1. Problems 2,3,5 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 231)
Week 4
Hours: 04 Lecture/...Lab
Implement CLO1, 2
Assessment (1)
Teaching contents:
Bank balance sheet, bank management, credit risk, interest rate risk
Learning activities:

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⮚ Read
1. Chapter 9 – Frederic S. Mishkin (2016). The economics of money, banking and
financial markets (11th edition.). Pearson. (page 232-255)
2. Chapter 3 - Hopkin, Paul (2018). Fundamentals of risk management:
understanding, evaluating and implementing effective risk management (5th
edition). Kogan Page (page 34-41)
⮚ Discuss
1. How a capital crunch caused a credit crunch during the global financial crisis?
⮚ Practice
1. Problems 2,3,6 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 259)
Week 5
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 3
Assessment (1)
Teaching contents:
Financial regulations
Learning activities:
⮚ Read
1. Chapter 10 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 261-273)
⮚ Discuss
1. Where is the Basel Accord Heading after the Global Crisis?
⮚ Practice
1. Problems 4,5,6,7 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 278)
Week 6
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 5
Assessment (1)
Teaching contents:
Banking system development, shadow banking system, bank consolidation
Learning activities:
⮚ Read
1. Chapter 11 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 280-308)
⮚ Discuss
1. Compare banking structure of U.S and abroad

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⮚ Practice
1. Problems 2,5,8 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 311)
Week 7
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 3
Assessment (1)
Teaching contents:
Financial crisis, the great depression
Learning activities:
⮚ Read
1. Chapter 12 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 313-334)
⮚ Discuss
1. Was the Fed to blame for the housing price bubble?
⮚ Practice
1. Problems 1,2,4 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 336)
Week 8
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 4
Assessment (1)
Teaching contents:
Financial crises in emerging economies and the ways to prevent them
Learning activities:
⮚ Read
1. Chapter 13 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 338 -357)
⮚ Discuss
1. How to prevent the financial crises in emerging economies?
⮚ Practice
1. Questions 1,2,3,4 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 358)
Week 9
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 3
Assessment (1)
Teaching contents:
Central banks and its behaviors

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Learning activities:
⮚ Read
1. Chapter 14 – Frederic S. Mishkin (2016). The economics of money, banking
and financial markets (11th edition.). Pearson. (page 360-382)
⮚ Discuss
1. Should the Fed be independent?
⮚ Practice
1. Problems 2,3,4,6 – Frederic S. Mishkin (2016). The economics of money,
banking and financial markets (11th edition.). Pearson. (page 384)
Week 10
Hours: 04 Lecture/...Lab
Implement CLO1, 2, 3, 4, 5, 6
Assessment (1)
Teaching contents:
Group project presentation
Learning activities:

● Group project presentation

● Final examination

COURSE POLICIES
- Students are not allowed to use mobile phone in class.
- Students who are absent for more than 4 classes without permission will get a fail grade.
- Students are not allowed to submit exercises late.

INFORMATION OF THE LECTURER(S)

Lecturer 1
Full name: Vu Thi Hong Nhung
Academic title: Lecturer
School/Department: Becamex Business School
Email: [email protected]
Research interests: capital market, investment, stock market volatility
Binh Duong, ……………………………..
Dean of BBS Head of Department Instructor

Dr. Kang Seung Won Dr. Huynh Cong Minh Dr. Vu Thi Hong Nhung

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 Appendix
Appendix I. ASSESSMENT RUBRIC

1. CLASS PARTICIPATION RUBRIC No. 1

This rubric is used for assessment number 1
Exemplary Satisfactory Developing Unsatisfactory
CRITERIA
(10 points) (7.5 points) (5 points) (2.5 points)
Attendance (70 Attend more than Attend 6-8 Attend 3-5 lectures Attend less than 3
points) 8 lectures lectures lectures
Discussion in Always be active Often be active in Sometimes be Not active in the
class (30 points) in the discussion the discussion active in the discussion
discussion

2. GROUP PROJECT RUBRIC No. 2

This rubric is used for assessment number 2
Assignment (80%)
CRITERIA 85% - 100 % 70% - 85 % 50% - 70% 0% - 50% Points
The student has
thoroughly completed all The student has attempted Student attempted less Student fails to complete
Completeness
items required and to complete all items than ½ of the required assignment and hand it
(30%)
demonstrates effort required. items. in.
beyond required items.
Task Student has understood Student has understood Student has not fully Student has
completion the objective of the task the objective of the task understood the objective misunderstood the
(70%) and completed the and mostly completed the of the task and there were objective of the task and
assignment as instructed. assignment as instructed. numerous issues. failed to follow
There were minimal There were minor issues. instructions. Task was

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 not successfully
issues.
completed.
Teamwork skill (20%)
CRITERIA Unsatisfactory Developing Satisfactory Exemplary Maximu
m points
(1 points) (2 points) (3 points) (4 points)
Complete Always rely on others to Rarely do the assigned Usually do the assigned Always do the assigned 4
assigned do the work. work – often needs work – rarely need work without being
work reminding. reminding. reminded.
Contribution Rarely provide useful Sometimes provide Usually provide useful Routinely provide useful 4
ideas. May refuse to useful ideas. Do what is ideas. A strong group ideas. A leader who
participate. required. member who tries hard. contributes a lot of effort.
Problem- Do not solve or help Do not suggest solutions, Refines solutions Actively looks for and 4
solving others solve problems. but is willing to try out suggested by others. suggests solutions to
solutions suggested by problems.
others.
Attitude Often have negative Sometimes have Often have positive Always have positive 4
attitude about the tasks negative, sometimes have attitude about the tasks attitude about the tasks
and other members. positive attitude about and other members. and other members.
the tasks and other
members.
Work with Rarely listen to, share Sometimes listen to, Usually listen to, share Almost always listen to, 4
others with, and support other share with, and support with, and support other share with, and support
members. other members. members. other members.
Total 20
3. MIDTERM AND FINAL EXAMS No. 3 and No. 4
Please refer to the assessment rubric in each quarter for answers.

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