Financial Institutions Management: A Risk Management Approach [Hardcover]

Anthony Saunders (Author), Marcia Millon Cornett (Author)

Book Description

Publication Date: June 7, 2002 | ISBN-10: 0072486198 | ISBN-13: 978-0072486193 | Edition: 4th

Saunders and Cornett’s Financial Institutions Management: A Risk Management Approach 4/e focuses on managing return and risk in modern financial institutions. The central theme is that the risks faced by financial institutions managers and the methods and markets through which these risks are managed are becoming increasingly similar whether an institution is chartered as a commercial bank, a savings bank, an investment bank, or an insurance company. Although the traditional nature of each sector’s product activity is analyzed, a greater emphasis is placed on new areas of activities such as asset securitization, off-balance-sheet banking, and international banking.

Editorial Reviews

About the Author

Anthony Saunders is the John M. Schiff Professor of Finance and the Chair of the Department of Finance at the Stern School of Business at New York University. Professor Saunders received his PhD from the London School of Economics and has taught both undergraduate and graduate level courses at NYU since 1978. Throughout his academic career, his teaching and research have specialized in financial institutions and international banking. He has served as a visiting professor all over the world, including INSEAD, the Stockholm School of Economics, and the University of Melbourne. He is currently on the Executive Committee of the Salomon Center for the Study of Financial Institutions, NYU. His research has been published in all the major money and banking and finance journals and in several books. In addition, he has authored or co-authored several professional books, the most recent of which is Credit Risk Measurement: New Approaches to Value at Risk and Other Paradigms, John Wiley and Sons, New York, 1999

Product Details

• Hardcover: 752 pages
• Publisher: Mcgraw-Hill College; 4th edition (June 7, 2002)
• Language: English
• ISBN-10: 0072486198
• ISBN-13: 978-0072486193
• Product Dimensions: 10 x 8.2 x 1.4 inches
• Shipping Weight: 3.2 pounds
• Average Customer Review: 4.2 out of 5 stars  See all reviews (9 customer reviews)
• Amazon Best Sellers Rank: #2,522,055 in Books (See Top 100 in Books)

More About the Author

Discover books, learn about writers, read author blogs, and more.

Customer Reviews

Most Helpful Customer Reviews

15 of 15 people found the following review helpful:

5.0 out of 5 stars Excellent introduction to risk management, August 21, 2001

By 

Jimmy Izu (Lima, PERU) - See all my reviews

This review is from: Financial Institutions Management: A Modern Perspective (Irwin Series in Finance) (Hardcover)

The book is very good and it starts describing the special nature of financial institutions and the industry. Then, in the second part you have complete chapters relating to every risk management: interest rate risk (maturity, repricing gaps and duration focuses, liquidity (e.g.maturity ladder), market risk (standarized Basel Committee and VaR approaches) credit risk (including Basel Committe standarized approach, defalult risk models like credit scoring), operating costs and technology risk, FX risk, sovereign risk.

In the last part there is a good section which describes how to manage risks , including liabilty and liquidity management,deposit insurance, capital adequacy, geographic diversification, derivatives, the new credit risk management techniques and securitization.

I had the chance to have Profesor Saunders as a risk management teacher and I only say that as his classes, his book is great. It shows you the best introduction to risk management. It discusses about financial institutions (banks, insurance and securities). That book just helped me to see financial institutions under the risk focus. I really recommend this book to understand risk management.

14 of 15 people found the following review helpful:

5.0 out of 5 stars The Best Book on Financial Institutions. Period., April 13, 2001

By 

Sunanda Dutta "kolikata" (Hoboken, NJ) - See all my reviews
(REAL NAME)   

This review is from: Financial Institutions Management (Hardcover)

This is probably the best book in risk management available today. This is due to the combination of breadth and depth of the text. The author gently introduces the student to an important subject and explains with pains how to manage each and every kind of risk. The two chapters on Interest rate risk are absolutely fabulous. There is a sense of continuity because the concepts you learn in one chapter has applications in another. The problems at the end of the chapters are are also challenging and will require an in-depth understanding of the subject. This book is the ultimate.

6 of 6 people found the following review helpful:

3.0 out of 5 stars A good entry-level book on Financial Institution Risk, September 23, 2003

By 

Bert Smits (Mechelen Belgium) - See all my reviews

This review is from: Financial Institutions Management: A Risk Management Approach (Hardcover)

Using only a minimal amount of mathematics,
Professor Saunders describes a very broad
range of risks run by a Financial Institution.

A particularly good description is given
for interest rate risk management of a
standard banking portfolio.