Private Banking (FinVers 3)

  • every winter term (6 LP)
  • lecture: 3 hours/week
  • tutorial: 1 hour/week

  • Thursday, 8:00am-11:00am (lecture)
  • Thursday, 2:00pm-4:00pm (tutorial, every other week)
  • lecture hall K, ESA 1

  • in English
  • exam: Q: in English, A: either in German or in English
  • exam: Thursday, February 3rd, 2011: 8:15am-9:45am
    resit:  Thursday, March xxx, 2011: 8:15am-9:45am
    any further questions? send an email

  • You will have access to the slides, newspaper articles, and academic papers after the first lecture until the first exam.  The password to open the documents will be announced in the first lecture.

    Please note:

    • All documents can be opened with version 7 (or later) of the Acrobat Reader.
    • The password is available after the lectures (and not via email, phone, ...).
    • All documents will be available via STiNE. Please use your personal login.

Objectives

In this module we analyze and discuss different aspects which are essential and useful for advising clients in the scope of Private Banking. This includes especially how prudent advisory schould be conducted. The goal is to provide the necessary theoretical and empirical knowledge within the course of this module. Additionally, basic negotiation skills will be taught. Having taken this module, students should also be capable of understanding and critically questioning the recent academic literature on this topic.

Content

Following a general introduction we will analyze and discuss portfolio theory and its assumptions. To quantify investment success, applicable performance measures are essential. In this context, benefits and problems of benchmarks will be discussed. Furthermore, we will highlight the relevant institutional parameters for Private Banking. Finally, we focus on implementing these learnings in practice by reviewing empirical studies: how can customers be convinced of a prudent asset allocation, although this may contradict their intuition (Behavioral Finance). To complement theory, we will include practitioners' lectures to various aspects of Private Banking.