Banking and Financial Services

Module description


Banks and financial services enable end-providers (lenders and savers) and end-users (borrowers and spenders) of financial claims to transact without the need for them to do so directly. This module sets out to examine the process of financial intermediation and the financial services through which intermediation takes place. Theoretical and applied concepts are used to provide an understanding of the functioning of banks and financial services and of their size and economic significance. There are no pre- or co-requisites but prior knowledge in introductory finance would be an advantage.

Additional Information:


Students are presented with up-to-date examples from various international markets, so they acquire knowledge on banking and financial services that can be applied across a number of countries.

External Engagement

We have number of guest speakers in this module. Last year this included the South West Agent of Bank of England, the Head and Deputy Head of Corporate Banking at HSBC Bank Plc.


Students develop several transferable skills in this module, such as team-working, numeracy, research and discursive and problem-solving skills.


All of the resources for this module are available through the ELE (Exeter Learning Environment).

Full module specification

Module title:Banking and Financial Services
Module code:BEAM033
Module level:M
Academic year:2016/7
Module lecturers:
  • Dr Angela Christidis - Convenor
Module credit:15
ECTS value:






Duration of module: Duration (weeks) - term 2:


Module aims

The aim of the module is to introduce you to the principles and mechanisms of commercial banking, general insurance, life insurance, pension funds and mutual funds. You will also understand the models of money supply, interest rates and flow of funds as the primary conduit through which monetary policy actions by the central bank take place. International examples will be covered, including up-to-date financial news in relevant financial publications. You will also critically appraise bank-based financial crises, with a particular focus on the recent financial crisis.

ILO: Module-specific skills

  • 1. Discriminate, and critically appraise commercial banks and investment institutions within the international financial system
  • 2. Critically appraise the operation of commercial banks, general insurance, life insurance, pension funds, and mutual funds, their advantages and disadvantages, and prospects
  • 3. Apply agency theory, adverse selection, and moral hazard to banking and financial services in ethical dimensions of decision making process
  • 4. Understand and critically appraise bank-based financial crises in developed countries and emerging markets
  • 5. Appraise models explaining the determinants of credit, money supply and interest rates

ILO: Discipline-specific skills

  • 6. Develop strong theoretical arguments based on analytical and statistical reasoning
  • 7. Rigorously analyse problems in finance
  • 8. Critically appraise theory and practice in finance
  • 9. Familiarity and comfort with the application of quantitative and qualitative information to finance problems

ILO: Personal and key skills

  • 10. Apply the tools of finance and investment
  • 11. Make appropriate use of learning resources

Learning activities and teaching methods (given in hours of study time)

Scheduled Learning and Teaching ActivitiesGuided independent studyPlacement / study abroad

Details of learning activities and teaching methods

CategoryHours of study timeDescription
Scheduled Learning & Teaching activities22 hours (2 per week)Lectures
Scheduled Learning & Teaching activities10 hours (1 per week)Tutorials
Scheduled Learning & Teaching activities2 hoursRevision
Guided independent study116 hoursReading and research, web-based activities

Formative assessment

Form of assessmentSize of the assessment (eg length / duration)ILOs assessedFeedback method
Q&A sessions using Turning Point to show awareness of the concepts and issuesParticipation in lectures and tutorials1-11Feedback and comments in the classroom
Engagement with online discussion forum in relation to relevant areasOnline discussion contributions 1-11Online discussion feedback from peers and lecturer

Summative assessment (% of credit)

CourseworkWritten examsPractical exams

Details of summative assessment

Form of assessment% of creditSize of the assessment (eg length / duration)ILOs assessedFeedback method
Written Examination composed of 30% Multiple Choice Questions and 70% Essay Type Questions 1002 hours1-11Exam Grade

Details of re-assessment (where required by referral or deferral)

Original form of assessmentForm of re-assessmentILOs re-assessedTimescale for re-assessment
2-hour Written Examination composed of 30% Multiple Choice Questions and 70% Essay Type Questions 2-hour Written Examination composed of (30%) Multiple Choice Questions and (70%) Essay Type Questions 1-11August/September assessment period

Syllabus plan

• Financial structure, financial intermediation, banking and finance myths
• General insurance
• Life insurance
• Pension funds
• Mutual funds
• Theory of non-bank financial intermediation
• Money and credit
• Interest rates and the flow of funds
• Commercial banks
• Global financial crisis

Indicative learning resources - Basic reading

The set text will be a customised edition of selected chapters from Mishkin and Eakins’ (2012) Financial Markets and Institutions, Mishkin’s (2012) The Economics of Money, Banking and Financial Markets and Howells and Bain’s (2008) The Economics of Money, Banking and Finance. The text will be called ‘Banking and Financial Services’ and be available in the University bookshop.

Recommended texts:
Madura, J. (2012), Financial Institutions and Markets: International Edition, 10th Edition, South-Western Cengage.
Saunders, A. and Cornett, M. M. (2012), Financial Markets and Institutions, 5th Edition, McGraw-Hill International.
Valdez, S. and Molyneux, P. (2012), An Introduction to Global Financial Markets, 7th Edition, Palgrave Macmillan.

Module has an active ELE page?


Indicative learning resources - Web based and electronic resources

All lecture and tutorial materials are posted on the intranet.

Indicative learning resources - Other resources

Supplementary reading materials are indicated in the references of each lecture.

Origin date


Last revision date