Course Detail
Course Description
| Course | Code | Semester | T+P (Hour) | Credit | ECTS |
|---|---|---|---|---|---|
| CREDIT and RISK MANAGEMENT in BANKS | - | Spring Semester | 3+0 | 3 | 4 |
| Course Program |
| Prerequisites Courses | |
| Recommended Elective Courses |
| Language of Course | Turkish |
| Course Level | First Cycle (Bachelor's Degree) |
| Course Type | Required |
| Course Coordinator | Prof.Dr. Hasan DİNÇER |
| Name of Lecturer(s) | Lect.Dr. Mehmet Çağatay BABACAN |
| Assistant(s) | |
| Aim | To teach the types of risks in the banking system and to cope with these risks, to give information about the management process of the credits which are the main activity of the banks. |
| Course Content | This course contains; Definition of Risk and Risks in Financial Markets,Development of risk management,Banking Risk Types,Market Risk,Liquidity Risk,Credit Risk,Operational Risk,Credit Management in Banks,Credit Management in Banks,Credit Evaluation Process, Financial Analysis and Credit Calculations,Problem credit and follow-up,Cash credit Commercial credit,Cash credit: Individual credit,Non-cash credit. |
| Dersin Öğrenme Kazanımları | Teaching Methods | Assessment Methods |
| 1.Will be able to evaluate the concept of risk. | 16, 9 | A |
| 2.Will be able to evaluate types of financial risk. | 16, 9 | A |
| 2.1.Explains the types of risks that banks are exposed | 16, 9 | A |
| 2.2.Explains systemic and systematic risks. | 16, 9 | A |
| 3.1.Explains that there is a line between opportunity and danger in risk management. | 16, 9 | A |
| 5.2.Explains the definition of the credit risk and its reasons. | 16, 9 | A |
| 6.1.Explains the emergence of basic criteria. | 16, 9 | A |
| 6.2.Explains Basel I-II-III process | 16, 9 | A |
| 8- Will be able to evaluate cash and non-cash loans and management of problem loans. | 16, 9 | A |
| 1.1. Understands the importance of risk in banks. | 16, 9 | A |
| 1.2. Explains risk perspective in financial markets. | 16, 9 | A |
| 3. will be able to evaluate the positive and negative aspects of risk in banking. | 16, 9 | A |
| 3.2. Explains that financial markets can not fulfill its purpose without receiving a risk. | 16, 9 | A |
| 4. will be able to evaluate definition and reasons of Market Risk and Liquidity risk. | 16, 9 | A |
| 4.1. Explains the scope and causes of the market risk | 16, 9 | A |
| 4.2. Explains the definition and causes of liquidity risk. | 16, 9 | A |
| 5. will be able to evaluate the definition and causes of Operational Riskin and Credit Risks. | 16, 9 | A |
| 5.1. Explains the scope and causes of operational risk. | 16, 9 | A |
| 6. Will be able to evaluate Basel applications. | 16, 9 | A |
| 7. Will be able to evaluate the techniques that banks use in credit management. | 16, 9 | A |
| 7.1. Explains the course of credit evaluation. | 16, 9 | A |
| 7.2. Explains 5C rule. | 16, 9 | A |
| 8.1. Explains commercial credits. | 16, 9 | A |
| 8.2. Explains individual credits. | 16, 9 | A |
| Teaching Methods: | 16: Question - Answer Technique, 9: Lecture Method |
| Assessment Methods: | A: Traditional Written Exam |
Course Outline
| Order | Subjects | Preliminary Work |
|---|---|---|
| 1 | Definition of Risk and Risks in Financial Markets | |
| 2 | Development of risk management | |
| 3 | Banking Risk Types | |
| 4 | Market Risk | |
| 5 | Liquidity Risk | |
| 6 | Credit Risk | |
| 7 | Operational Risk | |
| 8 | Credit Management in Banks | |
| 9 | Credit Management in Banks | |
| 10 | Credit Evaluation Process, Financial Analysis and Credit Calculations | |
| 11 | Problem credit and follow-up | |
| 12 | Cash credit Commercial credit | |
| 13 | Cash credit: Individual credit | |
| 14 | Non-cash credit |
| Resources |
| Levent Sezal, Bankalarda İç Denetim ve Risk Yönetimi, Nobel Bilimsel Eserler, 2023. Ahmet Yarız, Bankalarda Risk Yönetimi, Nobel Yayıncılık, 2019. Risk management in banking, 3rd ed,. Joel Bessis 2012 John Hull, Risk Management and Financial Institutions, 3rd edition, 2012 |
Course Contribution to Program Qualifications
| Course Contribution to Program Qualifications | |||||||
| No | Program Qualification | Contribution Level | |||||
| 1 | 2 | 3 | 4 | 5 | |||
| 1 | Defines the basic concepts of banking and insurance. | X | |||||
| 2 | Describes the mathematical and statistical methods of banking and insurance | X | |||||
| 3 | Uses the computer programs needed in banking and insurance | ||||||
| 4 | Uses the professional foreign language proficiency required in banking and insurance | X | |||||
| 5 | Prepares the project and manage the teamworks | X | |||||
| 6 | Uses the theoretical and practical knowledge of the banking and insurance. | X | |||||
| 7 | Constantly evaluates itself by following the developments in science and technology with the importance of lifelong learning | X | |||||
| 8 | Uses verbal and written communication skills using the latest technologies and at least one foreign language | X | |||||
| 9 | Accepts ethical values and social rights and applies them | X | |||||
| 10 | Analyzes and discusses using the data of banking and insurance | ||||||
| 11 | Uses the information on the other disciplines that can provide support for theoretical studies in banking and insurance (economics, law, business, etc.) | X | |||||
| 12 | Offers micro and macro suggestions on the problems in the banking and insurance sector | X | |||||
Assessment Methods
| Contribution Level | Absolute Evaluation | |
| Rate of Midterm Exam to Success | 40 | |
| Rate of Final Exam to Success | 60 | |
| Total | 100 | |
| ECTS / Workload Table | ||||||
| Activities | Number of | Duration(Hour) | Total Workload(Hour) | |||
| Course Hours | 14 | 3 | 42 | |||
| Guided Problem Solving | 14 | 2 | 28 | |||
| Resolution of Homework Problems and Submission as a Report | 7 | 1 | 7 | |||
| Term Project | 0 | 0 | 0 | |||
| Presentation of Project / Seminar | 0 | 0 | 0 | |||
| Quiz | 0 | 0 | 0 | |||
| Midterm Exam | 1 | 10 | 10 | |||
| General Exam | 1 | 32 | 32 | |||
| Performance Task, Maintenance Plan | 0 | 0 | 0 | |||
| Total Workload(Hour) | 119 | |||||
| Dersin AKTS Kredisi = Toplam İş Yükü (Saat)/30*=(119/30) | 4 | |||||
| ECTS of the course: 30 hours of work is counted as 1 ECTS credit. | ||||||
Detail Informations of the Course
Course Description
| Course | Code | Semester | T+P (Hour) | Credit | ECTS |
|---|---|---|---|---|---|
| CREDIT and RISK MANAGEMENT in BANKS | - | Spring Semester | 3+0 | 3 | 4 |
| Course Program |
| Prerequisites Courses | |
| Recommended Elective Courses |
| Language of Course | Turkish |
| Course Level | First Cycle (Bachelor's Degree) |
| Course Type | Required |
| Course Coordinator | Prof.Dr. Hasan DİNÇER |
| Name of Lecturer(s) | Lect.Dr. Mehmet Çağatay BABACAN |
| Assistant(s) | |
| Aim | To teach the types of risks in the banking system and to cope with these risks, to give information about the management process of the credits which are the main activity of the banks. |
| Course Content | This course contains; Definition of Risk and Risks in Financial Markets,Development of risk management,Banking Risk Types,Market Risk,Liquidity Risk,Credit Risk,Operational Risk,Credit Management in Banks,Credit Management in Banks,Credit Evaluation Process, Financial Analysis and Credit Calculations,Problem credit and follow-up,Cash credit Commercial credit,Cash credit: Individual credit,Non-cash credit. |
| Dersin Öğrenme Kazanımları | Teaching Methods | Assessment Methods |
| 1.Will be able to evaluate the concept of risk. | 16, 9 | A |
| 2.Will be able to evaluate types of financial risk. | 16, 9 | A |
| 2.1.Explains the types of risks that banks are exposed | 16, 9 | A |
| 2.2.Explains systemic and systematic risks. | 16, 9 | A |
| 3.1.Explains that there is a line between opportunity and danger in risk management. | 16, 9 | A |
| 5.2.Explains the definition of the credit risk and its reasons. | 16, 9 | A |
| 6.1.Explains the emergence of basic criteria. | 16, 9 | A |
| 6.2.Explains Basel I-II-III process | 16, 9 | A |
| 8- Will be able to evaluate cash and non-cash loans and management of problem loans. | 16, 9 | A |
| 1.1. Understands the importance of risk in banks. | 16, 9 | A |
| 1.2. Explains risk perspective in financial markets. | 16, 9 | A |
| 3. will be able to evaluate the positive and negative aspects of risk in banking. | 16, 9 | A |
| 3.2. Explains that financial markets can not fulfill its purpose without receiving a risk. | 16, 9 | A |
| 4. will be able to evaluate definition and reasons of Market Risk and Liquidity risk. | 16, 9 | A |
| 4.1. Explains the scope and causes of the market risk | 16, 9 | A |
| 4.2. Explains the definition and causes of liquidity risk. | 16, 9 | A |
| 5. will be able to evaluate the definition and causes of Operational Riskin and Credit Risks. | 16, 9 | A |
| 5.1. Explains the scope and causes of operational risk. | 16, 9 | A |
| 6. Will be able to evaluate Basel applications. | 16, 9 | A |
| 7. Will be able to evaluate the techniques that banks use in credit management. | 16, 9 | A |
| 7.1. Explains the course of credit evaluation. | 16, 9 | A |
| 7.2. Explains 5C rule. | 16, 9 | A |
| 8.1. Explains commercial credits. | 16, 9 | A |
| 8.2. Explains individual credits. | 16, 9 | A |
| Teaching Methods: | 16: Question - Answer Technique, 9: Lecture Method |
| Assessment Methods: | A: Traditional Written Exam |
Course Outline
| Order | Subjects | Preliminary Work |
|---|---|---|
| 1 | Definition of Risk and Risks in Financial Markets | |
| 2 | Development of risk management | |
| 3 | Banking Risk Types | |
| 4 | Market Risk | |
| 5 | Liquidity Risk | |
| 6 | Credit Risk | |
| 7 | Operational Risk | |
| 8 | Credit Management in Banks | |
| 9 | Credit Management in Banks | |
| 10 | Credit Evaluation Process, Financial Analysis and Credit Calculations | |
| 11 | Problem credit and follow-up | |
| 12 | Cash credit Commercial credit | |
| 13 | Cash credit: Individual credit | |
| 14 | Non-cash credit |
| Resources |
| Levent Sezal, Bankalarda İç Denetim ve Risk Yönetimi, Nobel Bilimsel Eserler, 2023. Ahmet Yarız, Bankalarda Risk Yönetimi, Nobel Yayıncılık, 2019. Risk management in banking, 3rd ed,. Joel Bessis 2012 John Hull, Risk Management and Financial Institutions, 3rd edition, 2012 |
Course Contribution to Program Qualifications
| Course Contribution to Program Qualifications | |||||||
| No | Program Qualification | Contribution Level | |||||
| 1 | 2 | 3 | 4 | 5 | |||
| 1 | Defines the basic concepts of banking and insurance. | X | |||||
| 2 | Describes the mathematical and statistical methods of banking and insurance | X | |||||
| 3 | Uses the computer programs needed in banking and insurance | ||||||
| 4 | Uses the professional foreign language proficiency required in banking and insurance | X | |||||
| 5 | Prepares the project and manage the teamworks | X | |||||
| 6 | Uses the theoretical and practical knowledge of the banking and insurance. | X | |||||
| 7 | Constantly evaluates itself by following the developments in science and technology with the importance of lifelong learning | X | |||||
| 8 | Uses verbal and written communication skills using the latest technologies and at least one foreign language | X | |||||
| 9 | Accepts ethical values and social rights and applies them | X | |||||
| 10 | Analyzes and discusses using the data of banking and insurance | ||||||
| 11 | Uses the information on the other disciplines that can provide support for theoretical studies in banking and insurance (economics, law, business, etc.) | X | |||||
| 12 | Offers micro and macro suggestions on the problems in the banking and insurance sector | X | |||||
Assessment Methods
| Contribution Level | Absolute Evaluation | |
| Rate of Midterm Exam to Success | 40 | |
| Rate of Final Exam to Success | 60 | |
| Total | 100 | |