Corporate Banking for small and medium-sized firms (E)

First cycle

The students will receive an overview about the services and products banks are offering for corporate customers. They should know, how corporates can finance via bank debt, which documents are necessary to be provided and how a rating process is conducted. They should be also in the position to know, which other products banks are offering, so that corporations can do their business. The participants will: · Gain understanding about the functions of a bank and some important regulations · Receive knowledge about the risk management process of a bank, how it is affecting corporate customers and which information is necessary to appraise credit decisions · Receive knowledge about how interest rates are quoted, which components are charged by banks and how rating is affecting the credit spread of a firm · Receive an overview about financing instruments banks are offering to corporate customers · Experience how short- and long-term financing are used within a company for the financing of operational and strategic business · Receive an overview about trade financing instruments and their applications in business practice · Learn how companies can protect against risks in exports/imports and which products could be used for this aspect · Receive an overview about savings and portfolio management and which products banks are offering for this opportunities · Receive an overview about different payment systems and cash management instruments for practical application · Receive an overview about risk management instruments to protect against unfavourable developments in interest rates and exchange rates and how banks can assist in this case

Basic knowledge in business administration

· Basics of banking (bank balance sheet and income statement, the purpose of banking, risk management and regulations) · Rating & credit risk process (creditworthiness, rating categories, probability of default, rating system, information management, segregation of duties within banking appraisal process, Basel II and III) · Corporate finance (short- and long-term financing: overdraft, revolving facilities, long-term debt, leasing, factoring, debt covenants, margin grids) · Trade finance (trade credit, D/P, pre-payment, check, insurance) · Portfolio management & savings (money market, commercial papers, interest bearing account, funds etc.) · Cash Management & payment services (SEPA, electronic and online banking, cash pooling) · Securities (fixed assets, trade receivables, mobile assets, leasing, real estate, value of securities)

Berk, J. & Demarzo, P. (2014). Corporate Finance, Pearson. Booth, L, Cleary, S. & Drake, P. (). Corporate finance: Financial management in a global environment, John Wiley & Sons. Casu, B., Girardone, C. & Molyneux, P. (2006). Introduction to banking, Pearson. Hillier, D., Ross, S., Westerfield, R. & Jaffe, J. (2010). Corporate Finance, McGraw Hill. Lumby, S. & Jones, C. (2011). Corporate finance: Theory and practice, Cengage.

Final written exam

Englisch

3

0

2.0

Presentation, group works, discussion

1

Prof. (FH) Dr. Mario Situm

1

IP_BUS113

Integrierte Lehrveranstaltung

Pflichtfach

not applicable