Our Courses

Seminar on How Banks and Financial Institutions should Manage Market Risks

  • Commencement

    24th March 2023

  • Duration

    Two Days

  • Medium


Course Fee

Full payment : Rs.15000/-

  • Conventional Sources of Market Risks
    • Equity
    • Currency
    • Interest Rates
    • Commodity
    • Real Estate
    • Asset Bubbles


  • Impact of Market Risk on Banks and Financial Institutions
    • Sourcing of liquidity risk
    • Asset bubble bursts (value of own investments and loan collaterals)
    • Credit risk/Loan default due to asset value losses
    • Losses on speculative trade/asset positions
    • Insolvency due to large losses
    • Credibility risk (due to rogue trading)


  • Market Risk Assessment Models
    • Interest gap analysis
    • Yield curve and interest margin on banking book
    • Value at Risk (VaR)
    • Asset positions/concentrations
    • Income/profit composition (banking book and trading book)


  • Market Risk Management Systems
    • Regulations: Maximum limits on positions (equity and forex), haircuts on collaterals (for provisioning), Volker Rule (restrictions on proprietary trading for US banks), loan-to-value ratios (limiting exposure to asset value), capital charge (risk-weighting and minimum capital - Basel III) and prohibition of insider dealings and market manipulations
    • Financial accounting: Financial Instruments - Measurement and Recognition (IFRS 9)
    • Portfolio diversification strategies
    • Front Office, Middle Office and Back Office arrangement for securities trading
    • Limits on bank positions and dealer positions
    • Internal controls (preventing fraud and breaches)
    • Hedging through Derivatives (swaps, futures, options)
    • Governance: Integrated risk management committee and MIS

Payments for IBSL Class Fees

Bank of Ceylon
Branch: City Office
People's Bank
Branch: Liberty Plaza Branch
309 1004 5 2536729
Commercial Bank of Ceylon PLC
Branch: Kollupitiya Branch
Hatton National Bank PLC
Branch: Kollupitiya Branch
Sampath Bank PLC
Branch: Head Office
National Savings Bank
Branch: Head Office
10912 01 01192

+94 11 2425777