AFF5280 Institutional asset and liability management - Semester 1, 2012
Topics include managing interest rate risk; foreign exchange risk; liquidity risk and the cash flow cycle; credit risk; capital risk; debt and investment risk and managing the risk of derivative products.
Mode of DeliveryCaulfield (Day)
This is a six credit point unit with three hours class contact per week over 12 teaching weeks. Students should plan to spend on average nine hours in self-directed study, in addition to the three hours of class contact, each week.
Co-requisitesStudents must be enrolled in course 0504, 2619, 3189, 3818, 3850 or 4412 to undertake this unit.
Chief ExaminerMohammad Hoque
Dr Mohammad Ziaul Hoque
Learning ObjectivesThe learning goals associated with this unit are to:
Monash prepares its graduates to be:
There is a hurdle requirement in this unit.
The learning outcomes in this unit require students to demonstrate in the individual summative assessment task a comprehensive understanding of the topics covered in the unit. This is demonstrated by the requirement that the student must attain a mark of at least 50% in the final summative assessment task (ie. the final examination).
A student's final mark is normally the sum of the marks obtained in all of the individual assessment items in the unit. Where a student fails the unit solely because of failure to satisfy the hurdle requirement, a mark of 48 will be returned for the unit.
Where an assessment task is given a fail grade by an examiner, that piece of work will be marked again by a second examiner who will independently evaluate the work, and consult with the first marker. No student will be awarded a fail grade for an assessment task or unit without a second examiner confirming the result.
Note: Exceptions to this are individual pieces of assessment contributing 10% or less of the final mark, unless the total of such pieces exceeds 30% of the final mark.
Return of final marks
Faculty policy states that 'the final mark that a student receives for a unit will be determined by the Board of Examiners on the recommendation of the Chief Examiner taking into account all aspects of assessment'.
The final mark for this unit will be released by the Board of Examiners on the date nominated in the Faculty Calendar. Student results will be accessible through the my.monash portal.
Feedback on student performance in examinations and other end-of-semester assessment is required, in accordance with the University procedures on Unit Assessment. For more information, please see the following URL: http://www.buseco.monash.edu.au/aaf/student/exam-view/index.html.
Assessment Criteria Grading Descriptors available at:
The learning and teaching approach for this unit requires attendance and participation at all classes for 12 weeks. The format of the class contact hours will include lectures, tutorials, team projects, and team presentations.
Our feedback to You
Types of feedback you can expect to receive in this unit are:
Your feedback to Us
Monash is committed to excellence in education and regularly seeks feedback from students, employers and staff. One of the key formal ways students have to provide feedback is through SETU, Student Evaluation of Teacher and Unit. The University's student evaluation policy requires that every unit is evaluated each year. Students are strongly encouraged to complete the surveys. The feedback is anonymous and provides the Faculty with evidence of aspects that students are satisfied and areas for improvement.
For more information on Monash's educational strategy, and on student evaluations, see:
Previous Student Evaluations of this unit
Student feedback has highlighted that “ the unit is intellectually stimulating “. However, some students were not happy with teaching resources. In response, more teaching resources are provided during the current semester.
If you wish to view how previous students rated this unit, please go to
Bessis, J. (2002). Risk management in banking (2nd ed.). John Wiley & Sons Ltd.
Saunders, A., & Cornett, M. M. (2006). Financial institutions management: A risk management approach. McGraw-Hill.
Hogan et al. ( 2004). Management of financial institutions. Wiley.
Sathye, M., Bartle, J., Vincent, M., & Boffey, R. (2003). Credit analysis & lending management. Wiley.
This is a group assignment and no more than three students can form a group. Group formation must be completed within 1 week and any student failing to form the group within 1st week shall do individual assignemnt
Online submissionIf Electronic Submission has been approved for your unit, please submit your work via the VLE site for this unit, which you can access via links in the my.monash portal.
Monash has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University's academic standards, and to provide advice on how they might uphold them. You can find Monash's Education Policies at: http://policy.monash.edu.au/policy-bank/academic/education/index.html
Key educational policies include:
The University provides many different kinds of support services for you. Contact your tutor if you need advice and see the range of services available at www.monash.edu.au/students
The Monash University Library provides a range of services and resources that enable you to save time and be more effective in your learning and research. Go to http://www.lib.monash.edu.au or the library tab in my.monash portal for more information.
Students who have a disability or medical condition are welcome to contact the Disability Liaison Unit to discuss academic support services. Disability Liaison Officers (DLOs) visit all Victorian campuses on a regular basis
All unit and lecture materials, plus other information of importance to students, are available through the MUSO (Monash University Studies Online) site. You can access MUSO via the My.Monash Portal: http://my.monash.edu.au
You can contact MUSO Support by:
Further information can be obtained from the following site http://www.monash.edu.au/muso/support/index.html
Prescribed text(s) and readings
Bessis, J. (2002). Risk management in banking (2nd ed.). New York, NY: Wiley.
Saunders, A., & Cornett, M.M. (2006). Financial institutions management: A risk management approach. Boston, MA: McGraw-Hill.
Recommended text(s) and readings
For further recommended reading see the AFF 5280 Reading List on Blackboard or via the Library at URL: (accessible from the Library webpage) or black board