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Financial Risk Management

Before taking any course, everyone should ask him/herself what my opportunity cost of taking this course is. Since time is an invaluable asset, you should be very careful about your decision making. Then, you may ask yourself what risk management is and whether risk management will be helpful in your future career. Well, I will give you an example of why risk management matters. Due to recent climate changes, more and more meteorologists warn of the possibility of natural disasters which the human race has never experienced before. I don’t have to remind you of the importance of risk management.
What about “financial risk management”? Just like we experience more bizarre environmental events recently, a global financial crisis will be stronger than before and will affect more people and the economy. The most recent
financial crisis of “subprime mortgage crisis” is a perfect example of how the lack of financial risk management (FRM hereafter) affects the global economy. Effects of bank failures are so great to citizens that most governments are not willing to let banks go bankrupt. That creates a moral hazard problem and it may have caused the subprime mortgage crisis. With that in mind, I will provide FRM contents as follows.

Exam info and full course description

Exam info and full course description can be found in the course catalogue.

Admission Requirements

Course specific:

A Bachelor's degree in Economics and Business Administration or a related degree.

Courses in Basic Math and Statistics.

Some proficiency with statistical software packages (e.g., R, Stata, SPSS, Matlab) is not required but recommended.

Also, exposure to courses in Corporate Finance and Investments is not required but recommended.


Exchange Students: nomination from your home university

Freemovers: documentation for English Language proficiency

You can read more about the admission here.


Jin San Kim 


Jin San Kim is a Professor of Finance at the School of Business Administration at Kyungpook National University in South Korea. He has a Ph.D. from University of Alabama and his research areas of interest are Corporate Finance, International Finance, Financial Accounting, and Business Regulation.