Risk Management Concentration

Overview

Expert knowledge is crucial throughout the persistent global financial crisis to manage the wide range of financial risks. In-depth exposure to the different risk types and complex risk management processes prepares students for a career in any risk-related area including strategy and national/ international regulators, such as the European Central Bank.

The Master of Finance was the first programme in Germany accredited by GARP and this specific concentration is supported by the Frankfurt Institute for Risk Management and Regulation (FIRM) which supports our students with a number of generous scholarships.

Modules

Risk Governance & Organisation

The module covers the fundamentals of risk processes and governance, the concept of capital coverage, integrated performance as well as the risk categories.

We will discuss organisational and process requirements for each risk category using case studies on risk governance and risk management failures. Focus is also put on the supervisory process of the ECB.

Derivatives Analysis

Students will focus on understanding the use of derivative products, gaining a theoretical understanding of forwards and options, learn to analyse and calculate hedges and how to implement these with Excel.

Risk Modelling

This module covers state-of-the-art techniques of risk modelling. You will look at general risk measures (coherent, convex) and associated techniques of capital allocation. Models such as GARCH are taught, together with advanced dependence modelling techniques (copulas).

Portfolio Management

This module discusses in detail the theoretical and computational tools used in the portfolio analysis and in risk management. Theoretical lectures are supported by group home assignments in which you will apply the theory to a number of real portfolio analysis problems. For the second half of the course, deeper emphasis is put on risk management issues.

Dedicated Elective

Our students must choose 2 elective modules related to Risk Management.

Why Risk Management at FS?

"In contrast to a more compliance driven risk management, Frankfurt School focuses on the quantitative methods in asset management and valuation." Get more insights into the Risk Management concentration by one of our 2017 Alumni here.