This course will provide a basic overview of the international banking industry. It will give participants an understanding of how banks function internationally and of the diverse products that they offer to both the retail and commercial sectors.

To ensure maximum participation, those attending will create and run a ‘virtual bank’ - The London and Commercial Banking Company Plc which will become the framework for the day’s learning. Individuals will be allocated management and board roles, and will assume responsibility and will take executive decisions on all aspects including strategy, recruitment, premises, systems, marketing, reporting and investor relations as well as compliance. Deposits will be taken, and loans of different types will be extended, and a balance sheet will be constructed. Capital adequacy will be assessed, profitability calculated on various bases, and the bank’s return on capital will be examined. Participants will discover for themselves how differing strategies impact a bank’s bottom line. Examples and comparisons will be taken from real life to confirm the veracity of our role play.
 

• Banks – the increasing pace of change
• Where they’ve come from and what they are
• The development of world financial markets
• The implications of 24-hour market place
• Banking – a relationship or a commodity business?
• Competition from all sides
• Harnessing risk, and generating reward

• The types of banks, Central, Retail, Investment, Merchant, Private
• Current trends: mergers - big is beautiful, versus the niche players.
• Factors affecting development
• Interest income versus fee income
• Distribution channels

• Money transmission and cash collection
• Funds-based and non funds-based products
• Corporate and Commercial banking
• Trade Finance
• Offshore banking
• Arabic banking
• Banking documentation

• The role of a central bank
• Market intervention and BIS capital adequacy
• Impacts of Basle 2
• Supervision of the banking sector in different jurisdictions

• Takeovers and consolidation
• Trends and economic benefits
• Other regulatory issues
• The threats: economic crime, fraud and reputation risks

Note: it is anticipated that much of the framework for this day will take the form of a continuing case study of a particular bank.