Bank Valuation and Value-Based Management: Deposit and Loan Pricing, Performance Evaluation, and Risk Management - Hardcover

Dermine, Jean

Hardcover

ISBN 10: 0071624996 ISBN 13: 9780071624992

Publisher: McGraw-Hill Professional, 2009

Synopsis

Bank Valuation & Value-Based Management provides bankers, bank regulators, auditors, and risk managers with foundational concepts and practical tools for effectively managing a bank.

An expert in asset and liability management, European financial markets, and banking theory, Jean Dermine provides rigorous foundations to discuss asset and liability management at a global level, with an integrated focus on an institution’s banking book. He covers bank valuation, fund transfer pricing, deposit and loan pricing, risk management, and performance measurement, and addresses two high-profile issues for banks worldwide: portfolio credit risk and liquidity risk.

This thorough and innovative guide presents insightful coverage on the hazards of measuring portfolio credit risk, the impact of liquidity risk on fund transfer pricing, and the practice of performance measurement in the banking industry. Numerous real-world examples from the U.S. subprime crisis help illustrate the nature and dynamics of these issues.

Inside, you will find a framework for discussing such managerial issues as:

• Bank valuation
• Fund transfer pricing
• Deposit pricing
• Capital management
• Loan pricing and provisioning
• Securitization
• Measurement of interest rate risk
• Performance measurement

At the same time that it helps readers develop an intuitive sense for asset-liability management, this practical book follows through with rigorous mathematical formulas and examples from the international banking community. In addition,exercises are incorporated throughout the text to facilitate discussions of how theoretical concepts can be applied to real-world problems. This authoritative guide to bank management also features an exclusive companion Web site, www.mhprofessional.com/bankvaluation, which includes additional chapters and exercise solutions that serve as key supplements to the core text.

Creating value in banking depends on a rocksolid understanding of what drives value and the right valuation model to help make the tough decisions that will enhance shareholder value. Bank Valuation & Value-Based Management is your one-stop reference for each of these critical issues.

About this title

About the Author

Jean Dermine is professor of banking andfinance at INSEAD , one of the world’s leadingbusiness schools. The author of numerous articleson asset and liability management, Europeanbanking, and the theory of banking, he has beena visiting professor at New York University, theWharton School, and the Stockholm School ofEconomics, among other universities. His workhas been quoted frequently in the press, includingThe Economist, the Financial Times, The New YorkTimes, and The Wall Street Journal. Dermine livesin Fontainebleau, France.

Edition details

• Publisher: McGraw-Hill Professional
• Publication date: 2009
• ISBN 10: 0071624996
• ISBN 13: 9780071624992
• Binding: Hardcover
• Language: English
• Number of pages: 432