Instructions for Assignments (Management of Banking, Term V.

PGDM
2015-17)
General Instructions:
There are 5 group assignments for the course that will carry a total 65%
weightage for the course evaluation. The assignment objectives, instructions,
marks, and deadlines are given in the following pages for each assignment.
Each group has to put in a maximum of 350 contact hours to do proper justice to
the assignments. For groups of 7 members, this works out to 50 contact hours
per student. Since most of the assignments deal with aspects that are of
relevance in the context of todays banking business environment, the
assignments submitted by each group shall be shared (by me) with all students
enrolled in the course. It may be useful from a job-market interview standpoint
as well to go through the assignments done by other groups in addition to your
own work on the assignments.
For some assignments, I have given the deadlines whereas for others, I will
communicate the deadlines on completion of the relevant sessions.

Instructions for Assignments (Management of Banking, Term V. PGDM

2015-17)
Assignment 1: A Friendly Conversation (Total 8 Marks Part 1 3 Marks;
Part 2 - 5 Marks)
Assignment Objective: The primary objective of this assignment is to improve
your understanding of the various macro-issues surrounding the business of
banking and your ability to display a logical approach to the analysis of the
industry.
Part 1: For this part, each group has to summarize the different points of view put
forth by the protagonists in the article on the following eight hotly debated issues
in banking (discussed during the course)

Are banks special or not? - Devanjan

Banks and external macro-environment- Devanjan

Regulation as the provider of incentives/disincentives- Mohanish

Deposit Insurance and Capital Maintenance requirements - Mohanish

Liquidity Maintenance & Management- Raghav

Risk Management & Financial Innovation- Souvik

Off- Balance Sheet Activities of Banks & Securitization- Rohit

Excessive Risk Taking and Bank Failures- Nisarga

The assignment should be submitted in MS-Word or PDF format and must not
exceed 4 pages.
Assignment Deadline: Already submitted by all groups
Part 2: For this part, each group has to take the side of any one of the different
views put forth by the protagonists for each of the eight issues and provide
justifications for why they subscribe to such point of view. The justification must
be based on and related to the concepts covered during the discussions in the
first module of the course.
The assignment should be submitted in MS-Word or PDF format and must not
exceed 8 pages.
Assignment Deadline: Midnight of 17th October 2016

Instructions for Assignments (Management of Banking, Term V. PGDM

2015-17)
Assignment 2: Application of the Functional Framework (Total 10 Marks)
Assignment Objective: The primary objective of this assignment is to improve
your ability to apply a systematic framework (the functional framework in this
case) to understand the role of a category of financial intermediaries (e.g.
insurance companies, commercial banks, payment banks, Housing finance
companies etc.)
The functional framework that we have covered during the course is an
interesting and unique framework that allows one to identify the role of a
particular financial market, financial instrument, or a category of financial
institutions in an economy. As per the functional framework, the functions to be
performed by the financial system in an economy remain stable over time, but
the products, markets, and financial institutions that perform the functions
evolve over time. The main driver of such evolution is the carrying out of the
functions in the most efficient (i.e. lowest transaction cost) manner.
Each group has to select a financial product or a category of financial
intermediaries and apply the functional framework. The selected financial
product/financial intermediaries category has to be evaluated in terms of its role
in the six functions. It is not necessary for the product/financial intermediaries to
be involved in all of the six functions and some may be involved in only a few of
the six functions. For the functions in which the financial product/intermediaries
have a role, you are required to
A) Describe the mechanisms by which the function(s) is/are performed by
the product/intermediaries- Rohit
B) Identify the segment of the economy for which the functions are
provided (e.g. Microfinance Institutions primarily cater to the
unbanked/under-banked segment of the population) - - Mohanish
C) Identify the competitors/alternatives for performing the same functionDevanjan
D) Rank the competitors/alternatives using non-quantitative arguments Souvik
E) Draw up your inferences on the future role of the selected financial
product/financial intermediary category. - Nisarga
The assignment should be submitted in MS-Word or PDF format and must not
exceed 10 pages.
Assignment Deadline: Midnight of 20st October 2016