Module Code: H9FR2
Long Title Financial Regulations
Title Financial Regulations
Module Level: LEVEL 9
EQF Level: 7
EHEA Level: Second Cycle
Credits: 10
Module Coordinator: Rohit Verma
Module Author: Andrea Del Campo Dugova
Departments: School of Computing
Specifications of the qualifications and experience required of staff

Lecturer    PhD/Master’s degree in a computing or cognate discipline. May have industry experience also.
Tutor    PhD/Master’s degree in a computing or cognate discipline. May have industry experience also.
Learning Outcomes
On successful completion of this module the learner will be able to:
# Learning Outcome Description
LO1 Understand the knowledge that provides a basis or opportunity to be original in the development and / or application of ideas, often in a research context.
LO2 Investigate and evaluate key concepts relating to financial and regulatory plumbing essential to support this economic activity.
LO3 Contextualise and utilise current approaches, applications and technologies in order to develop empirical research
LO4 Critically review the economic and financial evolution to financial regulation and FinTech
Dependencies
Module Recommendations

This is prior learning (or a practical skill) that is required before enrolment on this module. While the prior learning is expressed as named NCI module(s) it also allows for learning (in another module or modules) which is equivalent to the learning specified in the named module(s).
No recommendations listed
Co-requisite Modules
No Co-requisite modules listed
Entry requirements

Programme entry requirements must be satisfied.
 

Module Content & Assessment

Indicative Content
Introduction to the Financial System Financial and Financial Regulation
Components and structure of the financial system The primary purpose of the financial system The Strategies of Financial Regulation
Financial Institutions and Trading in Financial Markets
Introduction to Risk vs Return, CAPM, Portfolio Theory, Commercial Banking, Capital requirements, Investment Banking, securities Trading, Insurance Companies and Pension Plans, The Rationale for Stock Exchange The Markets, Long and Short Positions in Assets, Derivative Markets, Clearing Houses, Margin, Non-traditional Derivatives
The Credit Crisis of 2007
The Roles of Information Intermediaries, Credit rating agencies, Security Analysts, The US Housing Market, Structured Finance Weaknesses
Quantitative Techniques I for Financial Regulation
Compounding Frequencies for Interest Rates, Zero rates, Forward Rates and Zero-Coupon Yield Curves Valuing Forward and Futures Contracts and Swaps and Credit Default Swaps
Quantitative Techniques II for Financial Regulation (with prescribed Measurement tools)
Valuing European and American Options GARCH processes for measuring volatility Gaussian Copula and Value at Risk Credit Risk Measurement and Bank Balance Sheets
Economic and Regulatory Capital Requirements (International and EU Financial Regulation)
ICAAP (Internal Capital Adequacy Assessment Process) Basel I, Basel II, and Solvency II, Basel 2.5, Basel III, and Dodd–Frank, CRD IV and CRR. The Role of EBA and Central Banks.
Insured Depository Institutions (Banks)
Economic Function of Commercial Banks. Why does a bank’s capital structure matter for financial stability? The Role of EBA and Central Banks.
Securitization, “Shadow Banking” and Market-based Credit Intermediation
Securitization, Asset Management and Investment Funds: investment funds, investment banks, and structured financial products. The regulation of Securities within the EU.
Measuring Financial Institutions Risk
Setting out the internal risk limits of Financial Institutions using Greeks Interest Rate Risk: Swap rates, Duration, Asset Liability Management, Caps, Floors and Swaptions.
MiFID and MiFID II. The regulation of Derivative Instruments (EMIR) and Dodd Frank
Centralised Counterparties. Investor protection and market transparency and more explicit regulations around investment and derivative products.
FinTech
How are FinTech companies or platforms disrupting traditional financial services and institutions? How should FinTech be regulated? FCA, Regulatory Sandbox, https://www.fca.org.uk/firms/regulatory-sandbox
Enforcement and Fining
A political economy account of bank fines since the GFC.
Assessment Breakdown%
Coursework60.00%
End of Module Assessment40.00%

Assessments

Full Time

Coursework
Assessment Type: Formative Assessment % of total: Non-Marked
Assessment Date: n/a Outcome addressed:  
Non-Marked: Yes
Assessment Description:
Formative assessment will be provided on the in-class individual or group activities. Feedback will be provided in written or oral format, or on-line through Moodle. In addition, in class discussions will be undertaken as part of the practical approach to learning.
Assessment Type: Continuous Assessment % of total: 60
Assessment Date: n/a Outcome addressed:  
Non-Marked: No
Assessment Description:
Student should write a series of short essays and develop a number of financial models standard in the Regulatory Landscape
End of Module Assessment
Assessment Type: Terminal Exam % of total: 40
Assessment Date: End-of-Semester Outcome addressed:  
Non-Marked: No
Assessment Description:
End of term invigilated exam
No Workplace Assessment
Reassessment Requirement
Repeat examination
Reassessment of this module will consist of a repeat examination. It is possible that there will also be a requirement to be reassessed in a coursework element.
Reassessment Description
The repeat strategy for this module is by repeat terminal examination that covers all learning outcomes.

NCIRL reserves the right to alter the nature and timings of assessment

 

Module Workload

Module Target Workload Hours 0 Hours
Workload: Full Time
Workload Type Workload Description Hours Frequency Average Weekly Learner Workload
Lecture Classroom and demonstrations 24 Per Semester 2.00
Tutorial Mentoring and small-group tutoring 24 Per Semester 2.00
Independent Learning Independent learning 202 Per Semester 16.83
Total Weekly Contact Hours 4.00
Workload: Blended
Workload Type Workload Description Hours Frequency Average Weekly Learner Workload
Lecture Classroom and demonstrations 12 Per Semester 1.00
Tutorial Mentoring and small-group tutoring 12 Per Semester 1.00
Directed Learning Directed e-learning 24 Per Semester 2.00
Independent Learning Independent learning 202 Per Semester 16.83
Total Weekly Contact Hours 4.00
Workload: Part Time
Workload Type Workload Description Hours Frequency Average Weekly Learner Workload
Lecture Classroom and demonstrations 24 Per Semester 2.00
Tutorial Mentoring and small-group tutoring 24 Per Semester 2.00
Independent Learning Independent learning 202 Per Semester 16.83
Total Weekly Contact Hours 4.00
 

Module Resources

Recommended Book Resources
  • Armour, Awrey, Davies et al:. (2016), Principles of Financial Regulation, Oxford University Press.
  • John C. Hull. (2023), Risk Management and Financial Institutions (Wiley Finance),, 6TH ED. Wiley.
  • Abad, Jorge. Shedding Light on Dark Markets, ESRB Occasional Paper Series, No. 11,, Frankfurt a. M, [ISBN: 978-92-95081-62-8].
Supplementary Book Resources
  • Moloney, N. (2023), EU securities and financial markets regulation (Oxford European Union Law Library), 4TH ED. OUP Oxford.
Recommended Article/Paper Resources
  • Zazzara. (2019), “The new OTC derivatives landscape: (more) transparency, liquidity, and electronic trading” Journal of banking Regulation.
  • Tarullo, Daniel K.. (2019), "Financial Regulation: Still Unsettled a Decade after the Crisis." Journal of Economic Perspectives, 33 (1): 61-80..
  • Iain Sheridan. (2017), MiFID II in the context of Financial Technology and Regulatory Technology, Capital Markets Law Journal, Vol. 12, No. 4.
  • Yeoh, Peter. (2019), "MiFID II key concerns." Journal of Financial Regulation and Compliance.
  • Yuka Hayashi, Judge Denies. Federal Agency’s Authority to Issue FinTech Bank Charters, Wall Street. Journal.
  • Global Financial Stability Report April IMF 2008.
  • Global Financial Stability Report October IMF 2009.
  • Corporate Governance Requirements for Credit Institutions (Code)Guidance on Supervisory Interaction with Financial Institutions on Risk Culture.
Other Resources
Discussion Note: