Commercial Bank Risk Management and Financial Performance Case StudyInternational Research Journal of Applied Finance (2014)
This case connects the myriad of risk factors to which commercial banks are exposed. These include interest rate risk, market risk, credit risk, off-balance sheer risk, foreign exchange risk, and liquidity risk. In addition, the case incorporates other critical elements important to commercial banks, such as capital adequacy and asset securitization. The case also includes a thorough bank financial performance analysis and the opportunity for students to present the analysis findings.
The case is ideal for an upper-level finance course with an emphasis on financial institution risk management and financial performance. It is unique in that it sources data from the Federal Financial Institutions Examination Council (FFIEC) web site through a series of reports called the Uniform Bank Performance Report (UBPR). The UBPR is a report set created for bank supervisory, examination, and management purposes. It presents data and ratios for each bank in a concise and consistent format. This allows the course instructor to assign multiple banks confident that the data is available and consistently presented. The case can be used to supplement course curriculum or as a stand-alone assignment. It can be offered as an individual or as a team-based assignment.
Publication DateSummer June, 2014
Citation InformationPatricia R Robertson. "Commercial Bank Risk Management and Financial Performance Case Study" International Research Journal of Applied Finance Vol. 3 (2014)
Available at: http://works.bepress.com/patricia_robertson/2/