Financial Risk Management
Unit code: HES6723
|Credit points||12.5 Credit Points|
|Contact hours||Equivalent to 36 hrs contact time or 150 hrs total study time|
A unit of study in the:
Aims and objectives
- Developing an understanding of financial risk in theoretical and practical terms
- Building an ability to identify and manage financial risks
- Developing capacities to apply financial risk management techniques in commercial situations
Generic skills outcomes
On successful completion of this unit the student should have the:
- Ability to detail the basics of financial risk management and the environments in which these basics exist.
- Ability to explain the elements of finance, tax, and accounting which are necessary to deal with financial risks.
- Understanding of the methods used to analyse the risks associated with investments.
- Ability to detail the processes used to measure the financial risks and make decisions involving financial risks
- Understanding of the methods used to control financial risks.
- Ability to apply the standard methods of evaluating projects where financial risk occurring including particular financial modelling
- Introduction to Finance
- Introduction to Accounting
- Introduction to Taxation
- The investment decision and the notion of investment risks
- Risk management and making decisions under uncertainty
- Forecasting for investment decisions & Risk Defined within the ‘Financing’ decision
- Applying the Investment Decision under Certainty
- Advanced application of risk analysis models (Part 1, Part 2)
- Case studies in financial risk management
- Dayananda D, Irons R, Harrison S, Herbohn J, and Rowland P. 2002, Capital Budgeting: Financial
Appraisal of Investment Projects, Cambridge University Press, Cambridge U.K.
Additional readings include:
- Brealey R, Myers S, Partington G Robinson, D, 2000, Principles of Corporate Finance, Irwin
- Clemen RT, 1996, Making Hard Decisions, Duxbury Press, Belmont, California.
- Hogarth R, 1987, Judgement and Choice 2nd edn, John Wiley and Sons, Tiptre, Essex
- Jennings D, Wattam S, 1994, Decision Making : An integrated approach, Pitman Publishing.
- Moyer R, McGuigan J, Kretlow W, 2001, Contemporary Financial Management, 8th edn, South-
Western College Publishing, Cincinnati.
- Peck LC, 1970, Basic Mathematics for Management and Economics, Scott, Foresman and Co,
- Plous S, 1993, The Psychology of Judgement and decision Making, McGraw-Hill, New York
Shapiro A, 1996, Multinational Financial Management, 5th edn, Prentice-Hall, Englewood Cliffs.
- Stark K, Irons R, Collins K, 2005, Financial Modelling Cookbook: Recipes for Capital Budgeting,
Trueblue Press, Perth.
- Stermole FJ, 1982, Economic evaluation and investment decision methods, Investment Evaluation
Corporation, Golden Colorado.
- Waring AE, Glendon AI, 1998, Managing Risk: Critical issues for survival and success in the 21st
Century, International Thomson Business Press, London.
- Yates JF ed., 1992, Risk-Taking Behaviour, John Wiley and Sons, Chichester US