Universität Wien

040054 KU Banking and Financial Intermediation 1 (MA) (2024W)

4.00 ECTS (2.00 SWS), SPL 4 - Wirtschaftswissenschaften
Continuous assessment of course work

What is expected of you in class?
Students should arrive on time for class and remain until the end of the class.
During class, it is not acceptable to use cell phones or send text messages, leave temporarily to get coffee or make a call, do other work, or use laptop/tablet computers for any reason other than to take notes.
Although it should go without saying, students in this course are required to adhere
to the University of Vienna’s Code of Conduct. Any violation of this code, such as
cheating in any form, will be treated with severity.

Attendance is compulsory. This also applies to the guest lecture. Missing more than one class without a medical certificate results in not receiving credit for the class.

Lecture notes and recordings *(recordings are available https://drive.google.com/drive/folders/1fXkqErl_vn2UK9X8K_SKsk3dgNvuButX )
Moodle

Registration/Deregistration

Note: The time of your registration within the registration period has no effect on the allocation of places (no first come, first served).

Details

max. 50 participants
Language: English

Lecturers

Classes (iCal) - next class is marked with N

MIDTERM EXAM: November 11, 04.45 pm - 06.15 pm, HS 8, HS12, OMP1
FINAL TERM EXAM: December 05, 01.15 pm - 02.45 pm, HS 1, OMP1

  • Thursday 17.10. 11:30 - 13:00 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 17.10. 13:15 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 24.10. 11:30 - 13:00 Hörsaal 8 Oskar-Morgenstern-Platz 1 1.Stock
  • Thursday 24.10. 13:15 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 31.10. 11:30 - 13:00 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 31.10. 13:15 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 07.11. 11:30 - 13:00 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 07.11. 13:15 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Monday 11.11. 16:45 - 18:15 Hörsaal 12 Oskar-Morgenstern-Platz 1 2.Stock
    Hörsaal 8 Oskar-Morgenstern-Platz 1 1.Stock
  • Thursday 14.11. 11:30 - 13:00 Hörsaal 8 Oskar-Morgenstern-Platz 1 1.Stock
  • Thursday 14.11. 13:15 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 21.11. 11:30 - 14:45 Hörsaal 10 Oskar-Morgenstern-Platz 1 2.Stock
  • Thursday 05.12. 13:15 - 14:45 Hörsaal 1 Oskar-Morgenstern-Platz 1 Erdgeschoß

Information

Aims, contents and method of the course

The Financial Intermediation I course is an introductory course that forms the first part of a two-course sequence covering topics in Financial Intermediation. The aim of the course is to provide a broad conceptual framework for analysing issues in Financial Intermediation and link theories to empirical hypotheses and tests by using data.
The course commences with a brief theoretical foundation of the role of financial intermedi-aries in the economy and discuss the frictions that give rise to their existence. It explains the role of banks as delegated monitors and liquidity providers. It then elaborates on the costs and benefits of close bank-borrower relationship and certain features of loan contracting. Finally, it discusses the interaction between fintech companies and banks and explains the reasons for bank regulation.

Attendance is compulsory and the lecture forms part of the exam material.

Upon completing this course, students should be able to:
• Understand the main functions of financial intermediaries.
• Discuss the importance of these functions for the allocation of resources in the
economy.
• Assess the importance and the limits of bank regulation and supervision.

The course Financial Intermediation I consists of 6 sessions of lectures, covering both theory and empirics. In order to help you with the learning, I will circulate a video before the class with the corresponding material of the lecture and use the lecture to discuss the most of im-portant concepts.

What do I expect from you in class?
Students should arrive on time for class and remain until the end of the class.
During class, it is not acceptable to use cell phones or send text messages, leave temporarily to get coffee or make a call, do other work, or use laptop/tablet computers for any reason other than to take notes.
Although it should go without saying, students in this course are required to adhere to the University of Vienna’s Code of Conduct. Any violation of this code, such as cheating in any form, will be treated with severity.

Attendance is compulsory. This also applies to the guest lecture. Missing more than one class without a medical certificate results in not receiving credit for the class.

Course Content
Session 1: Introduction: Why are financial intermediaries useful? Liquidity creation by banks
Session 2: The role of banks in resolving informational frictions (delegated monitoring)
Session 3: Relationship banking: Theory
Midterm Exam
Session 4: Relationship banking: Empirics
Session 5: Fintech and traditional banks
Session 6: Part 1: Bank Regulation
Session 6: Part 2: Bank Supervision : Guest lecture by Dr. Philipp Kasier-Hiebinger (FMA)
Final Exam

Assessment and permitted materials

The evaluation will be based on the following items:
50% Midterm Exam
50% Final Exam
The exams will be closed-book exams. No AI or any other auxiliary are allowed.

Minimum requirements and assessment criteria

Attendance is COMPULSORY.

Examination topics

All lecture materials and paper presentations.

Reading list

A learning area will be available in the Intranet (Moodle). There, you will find instructions for the sessions, communications, bibliography, etc. Please look at it a couple of times a week. Slides of the sessions will also be posted here, always BEFORE the class.
The main reading material for the course is contained in:
Lecture notes and recordings *(recordings are available https://drive.google.com/drive/folders/1fXkqErl_vn2UK9X8K_SKsk3dgNvuButX )
• Freixas, X. and Rochet, J.-C. (2008), Microeconomics of Banking, MIT Press.
• Gorton, G. and Winton, A. (2003), “Financial intermediation”, Handbook of the Economics of Finance, Vol. 1, 431–552.
• Greenbaum, S., Thakor A., and Boot, A. (2016), Contemporary Financial Inter-mediation, Elsevier Press.
• Research papers covered in the lectures.

Association in the course directory

Last modified: Th 03.10.2024 16:45