Com5ej316 — Syllabus

Course Summary The course is designed to provide students with a foundational understanding of the investment banking operations. The aim of this course is to furnish students with fundamental knowledge and comprehension of the investment banking operations, alongside detailed discussions on the various activities associated with it.

• Course Outcomes (CO): CO CO Statement Cognitive Level* Knowledge Category# Evaluation Tools used CO1 Gain a comprehensive understanding of the operational intricacies within the investment banking sector.

U C Written examination Assignment CO2 Acquire hands-on knowledge of trade capture, execution, clearing, and settlement processes, and understand their critical role in transaction lifecycles.

U C Written examination Assignment Project CO3 Develop proficiency in trade reconciliation, identifying and resolving discrepancies to maintain data integrity and regulatory compliance.

An P Written examination Assignment Project Case analysis

• - Remember (R), Understand (U), Apply (Ap), Analyse (An), Evaluate (E), Create (C) # - Factual Knowledge(F) Conceptual Knowledge (C) Procedural Knowledge (P) Metacognitive Knowledge (M) Detailed Syllabus:

Module Unit Content Hours I Introduction to Reference Data Management 10 1 Significance of Reference Data Management, The Depository Trust and Clearing Corporation (DTCC), Society for Worldwide Interbank Financial Telecommunication (SWIFT) 2 Module Unit Content Hours 2 Securities Information, Types of Data - Security Identification Numbers, Pricing Data, Corporate Action Data, Legal Entity Identifiers, Standing Settlement Instructions - Counter Party Identifiers, Other Reference Data 3 3 Data Feeds - Market Data Feeds, Pricing Data Feeds, Reference Data Feeds 2 4 Market Participants - Front Office, Middle Office and Back Office - Trade Life Cycle,

Stages in Trade Life Cycle, Participants in Trade Life Cycle 3 II Corporate Actions 18 1 Corporate Actions - Meaning and Purpose, Types of Corporate Actions - Mandatory,

Voluntary, Mandatory with Choice 3 2 Stock Splits, Reverse Stock Splits, Right Issues, Bonus Issues, Dividends - Cash and Stock 3 3 Mergers and Acquisitions, Spin-offs, Tender Offers 3 4 Impact of Corporate Actions on Security Prices and Portfolios 2 5 Corporate Action Lifecycle - Announcement, Ex-Date, Record Date, Payment Date 3 6 Trade Life Cycle Settlement and Processes, Trade Life Cycle (TLC) 2 7 Exchange Traded Product TLC & OTC Product TLC Simulation 2 III Stock Borrow Lending and Collateral Management 10 1 Securities Lending and Borrowing, Market Participants of SBL, Sorts of Securities Traded in SBL, Triplicate SBL 2 2 Benefits and Disadvantages of Trading in SBL, Stock Lending Difference from Repo, Reasons for SBL, Difference between SBL/SLB and Repo 2 3 Collateral Meaning, Types & Participants of Collateral Management 2 4 Process in Collateral Management, Key Terms in Collateral Management 2 5 Advantages & Disadvantages of Collateral Agreements 2 IV Introduction to Risk Management 10 1 Managing Risks in Investment Banking, Types of Risks 3 2 The Comprehensive Capital Analysis and Review (CCAR), Meaning and Concept 3 3 Stress Testing in Investment Banks, Dodd-Frank Act stress tests (DFAST) 2 4 Overview of Recovery and Resolution Plans 2 V Open-Ended Module This module aims to promote critical examination and analysis of emerging developments in investment banking operations. Through the analysis of real-world cases and recent trends, students will get a more profound understanding of the constantly evolving nature of investment banking industry.

Suggested topics:

• Analyse and discuss impact of corporate actions of companies
• Identify mutual fund schemes and discuss NAV calculations 12 Module Unit Content Hours
• Discuss the role of DTCC and SWIFT in the international financial system and investment banking
• Identify leading hedge funds and how they operate
• Gain insight into the Stock Borrow Lending (SLB) process through a straightforward assignment that can assist in evaluating its complexities like rate of interest or tenure
• Any other relevant assignments/ cases seem fit to be discussed in the subject domain REFERENCES

1. Joshua: Rosenbaum & Joshua Pearl, Investment Banking, Valuation, Leveraged Buyouts and Mergers and Acquisitions, John Wiley & Sons, Inc., Hoboken, New Jersey, 2013.
2. Prathap: Giri S, Investment Banking-Concept, Analysis and Cases, Tata McGraw Hill.

3. K. Thomas Liaw, The Business of Investment Banking: A Comprehensive Overview, Wiley, 2015

1. Marc: Alvarez, Market Data Explained, A Practical Guide to Global Capital Markets Information, Elsevier, 2011
2. Michael: Simmons, Security Operations: A Guide to trade and position management, John & Wiley Sons, 2008
3. Oliver: Hardy, Introduction to Asset Management, Larsen & Keller Education, 2020
4. Frank J: Fabozzi & Francesco A Fabozzi, Fundamentals Of Institutional Asset Management, World Scientific Publishing Company, 2020
5. Ignazio: Basile & Pierpaolo Ferrari, Asset Management and Institutional Investors, Springer, 2016
6. Michel: Fleuriet, Investment Banking Explained: An Insider's Guide to the Industry, McGraw Hill Publishing, 2008