Bank Simulations

  • Management of Financial Institutions (BankSim)

The program consists of a combination of two parts: a conceptual and a practical part.
The conceptual part includes discussions, case studies and exercises on several theoretical and practical aspects of financial and general management in a universal bank. During these conceptual sessions our trainers share their real banking experience with participants. The practical part includes the use of the BankSim banking simulation program. The computer-based bank management simulation program depicts a typical full-service universal bank. A number of banks compete against each other, creating a realistic banking environment. Participants experience the consequences of taking major management decisions within a given timeframe, called a “period”. Each period is the equivalent of three months (quarter of a year). The banks conduct various banking activities in order to grow their loans, deposits, investment portfolios and other businesses in the marketplace.

Objectives

  • To provide an understanding of the overall strategy of a bank
  • To gain insight into key decisions in banking
  • To understand the interdependence between business areas and the effect of decisions on financial performance

 

Content

  • Mix between concepts and practice with practical implementation of concepts in BankSim Simulation
  • Concepts are given as traditional lectures – For BankSim practical sessions, participants are divided in small management teams.

 

  • The following specific banking activities are included in the simulation
  • Liquidity Risk Management
  • Credit Risk Management
  • Distribution Channel management
  • Private banking activities
  • Investment banking activities
  • Savings- and Certificates of Deposits
  • Capital Account Management following Basel I or Basel II regulation
  • Off-Balance Sheet items
  • The following quarterly results (output) are produced by the simulation program:
  • Tutor Report;
  • Bank’s own Financial Statements, comprising of:

* Balance Sheet;
* Income Statement;
* Notes to the Financial Statements (including a Financial Analysis);
* Industry Report;
* Market Reports

 

  • The following banking activities can be enabled/disabled :
  • Mortgages (Fixed rate & Variable rate);
  • Securitisation;
  • Branches (open/close) versus Fixed Network;
  • Issue of shares versus fixed amount of Share Capital;
  • Investment Portfolio (T-Bonds);
  • Naked Swaps;
  • Credit Derivatives;
  • Investment Banking;
  • Repos and Reverse Repos.

 

Target Group

  • Main target group : bank managers at decision level
  • Other target group : high potential staff in management area

Start typing and press Enter to search