Risk management and financial institutions / John C. Hull.

Format:

Book

Author/Creator:

Hull, John, 1946-

Series:

Wiley finance series.

Wiley finance

Language:

English

Subjects (All):

Risk management.

Financial institutions--Management.

Financial institutions.

Physical Description:

1 online resource (669 p.)

Edition:

3rd ed.

Other Title:

Risk management and financial institutions + website

Place of Publication:

Hoboken, N.J. : John Wiley, c2012.

Language Note:

English

System Details:

text file

Summary:

The essential guide to managing financial institution risk, fully revised and updated The dangers inherent in the financial system make understanding risk management essential for anyone working in, or planning to work in, the financial sector. A practical resource for financial professionals and students alike, Risk Management and Financial Institutions, Third Edition explains all aspects of financial risk as well as the way financial institutions are regulated, to help readers better understand financial markets and potential dangers. Fully revised and updated, this new

Contents:

Risk Management and Financial Institutions; Contents; Business Snapshots; Preface; CHAPTER 1 Introduction; 1.1 Risk vs. Return for Investors; 1.2 The Efficient Frontier; 1.3 The Capital Asset Pricing Model; 1.4 Arbitrage Pricing Theory; 1.5 Risk vs. Return for Companies; 1.6 Risk Management by Financial Institutions; 1.7 Credit Ratings; Summary; Further Reading; Practice Questions and Problems; Further Questions; CHAPTER 2 Banks; 2.1 Commercial Banking; 2.2 The Capital Requirements of a Small Commercial Bank; 2.3 Deposit Insurance; 2.4 Investment Banking; 2.5 Securities Trading

2.6 Potential Conflicts of Interest in Banking2.7 Today's Large Banks; 2.8 The Risks Facing Banks; Summary; Further Reading; Practice Questions and Problems; Further Questions; CHAPTER 3 Insurance Companies and Pension Plans; 3.1 Life Insurance; 3.2 Annuity Contracts; 3.3 Mortality Tables; 3.4 Longevity and Mortality Risk; 3.5 Property-Casualty Insurance; 3.6 Health Insurance; 3.7 Moral Hazard and Adverse Selection; 3.8 Reinsurance; 3.9 Capital Requirements; 3.10 The Risks Facing Insurance Companies; 3.11 Regulation; 3.12 Pension Plans; Summary; Further Reading

Practice Questions and ProblemsFurther Questions; CHAPTER 4 Mutual Funds and Hedge Funds; 4.1 Mutual Funds; 4.2 Hedge Funds; 4.3 Hedge Fund Strategies; 4.4 Hedge Fund Performance; Summary; Further Reading; Practice Questions and Problems; Further Questions; CHAPTER 5 Trading in Financial Markets; 5.1 The Markets; 5.2 Long and Short Positions in Assets; 5.3 Derivatives Markets; 5.4 Plain Vanilla Derivatives; 5.5 Clearing Houses; 5.6 Margin; 5.7 Non-Traditional Derivatives; 5.8 Exotic Options and Structured Products; 5.9 Risk Management Challenges; Summary; Further Reading

Practice Questions and ProblemsFurther Questions; CHAPTER 6 The Credit Crisis of 2007; 6.1 The U.S. Housing Market; 6.2 Securitization; 6.3 The Crisis; 6.4 What Went Wrong?; 6.5 Lessons from the Crisis; Summary; Further Reading; Practice Questions and Problems; Further Questions; CHAPTER 7 How Traders Manage Their Risks; 7.1 Delta; 7.2 Gamma; 7.3 Vega; 7.4 Theta; 7.5 Rho; 7.6 Calculating Greek Letters; 7.7 Taylor Series Expansions; 7.8 The Realities of Hedging; 7.9 Hedging Exotic Options; 7.10 Scenario Analysis; Summary; Further Reading; Practice Questions and Problems; Further Questions

CHAPTER 8 Interest Rate Risk8.1 The Management of Net Interest Income; 8.2 LIBOR and Swap Rates; 8.3 Duration; 8.4 Convexity; 8.5 Generalization; 8.6 Nonparallel Yield Curve Shifts; 8.7 Interest Rate Deltas in Practice; 8.8 Principal Components Analysis; 8.9 Gamma and Vega; Summary; Further Reading; Practice Questions and Problems; Further Questions; CHAPTER 9 Value at Risk; 9.1 Definition of VaR; 9.2 Examples of the Calculation of VaR; 9.3 VaR vs. Expected Shortfall; 9.4 VaR and Capital; 9.5 Coherent Risk Measures; 9.6 Choice of Parameters for VaR

9.7 Marginal VaR, Incremental VaR, and Component VaR

Notes:

Description based upon print version of record.

Includes bibliographical references and index.

ISBN:

9781283927765

1283927764

9781118286388

1118286383

OCLC:

774147933