Risk Management for Financial Institutions

Semester 4: Human behaviour and event risk driven risk management



Behavioural Economics
• Decisions under Uncertainty: theory and practice
• The impact of cognitive biases on risk perception and risk taking
• The impact of cognitive biases on risk measurement
• Behavioral aspects, modelling financial markets and alternative risk measures

Instability financial markets and event risk approach
• History of financial markets and crises
• Instability theory and scenario approach
• Processes event risk scenarios en stress test approach
• Decission processes under high uncertainty

The information will be supported by case studies on the following topics:
Applying behavioral finance en event risk approach in the context of risk measurement, Risk control and Risk management for financial institutions.