Enterprise Risk Management
Course description
The course is aimed at providing an overview of the main types of financial risk and models for
their description, assessment and management.
The task to control risk exists in any sector of the economy. A significant category of risks are
financial risks which have outcome in monetary form. Knowledge of the main types of financial
risks, techniques and methods of their assessment and controlling is needed by different finance
specialists.
The course consists of the following topics.
Part 1. Finance theory
Part 2. Financial instruments
Part 3. Markets
Part 4. Mathematical foundations of risk measurement
Part 5. Market risk
Part 6. Credit risk
Part 7. Operational risk
Part 8. Other risks (Liquidity, Legal, Regulator, Reputation)
Part 9. Integrated Risk Management
Course objectives
As a result of studying the course students
should know basic definition and concepts of financial risks and procedures of control of
financial risks.
be able to identify types of financial risks, to make quantitative assessment and collect the
necessary statistical data.
Assessment
The assessments’ process include both final exam (40%) and some points of current
control (60%) based on such tools as essays, case analysis, tests, group work, comments on an
article's theoretical perspective and so on.
Prerequisites
Managerial Research Techniques
Corporate Finance I
Financial Market, Institutions and Instruments
Main reading
1. “The Professional Risk Managers’ Handbook. A Comprehensive Guide to Current
Theory and Best Practices”. The Professional Risk Managers’ International Association,
2004.
2. “Financial Risk Manager Handbook”. Kaplan, Inc., d.b.a. Kaplan Schweser, 2015.
3. Loffler G., Posch P. Credit risk modeling using Excel and VBA. John Wiley & Song Ltd.
England, 2007.