1

Global Financial Crisis: 2007-09

• Major errors in risk management

• Major errors in regulation & supervision

• Need for better risk managers, regulators

• Where the new diploma program comes in

– Latest ideas and techniques

• Liquidity risk, counterparty risk, model risk

• Systemic risk, macroprudential policy

• Various behavioural assumptions

2

The Solution to the Crisis

• 4-month (14-week), 4-course fall program

• Requires an MA in Economics – With a specialization

in financial economics

– Or equivalent background, with economics

• Public sector and private sector relevance– And therefore highly relevant for CMHC

3

Why a Graduate Diploma?

• Integration of material

– from a wide variety of economic and related fields

• Allows one to understand various approaches

– and their strengths & weaknesses

– and challenges faced by risk managers, regulators

4

Four Courses in Four Months

• Risk Management (F. Milne)

• Theory of Financial Institutions (F. Milne)

• Financial Regulation (D. Longworth)

5

Four Courses (Continued)

• Advanced Seminar in Risk Management and Financial Regulation (Milne and Longworth)

– 12 outside speakers

– Current and former regulators

• Ted Price, former Deputy Superintendent, OSFI

• Mark Zelmer, former Deputy Superintendent, OSFI

• Karen Badgerow and Tom Vice, SVPs, CDIC

– Current and former senior risk officers

6

Evaluation

• Risk Management: – mid-term, final

• Theory of Financial Institutions: – mid-term, final

• Financial Regulation: – assignments, presentation, paper

• Advanced Seminar: – participation, preparatory presentations,

– summaries of presentations

7

Admission Requirements

• Minimum standard of admission will be a B+ (77%-79% or 3.3 GPA) in a MA in Economics– or equivalent qualification

• Graduate level courses in microeconomics, macroeconomics, econometrics and basic finance– As well as basic knowledge of derivatives pricing

through course work or reading program

– Relevant work experience will be taken into consideration, but is not a substitute for above

8

9

Life in Kingston

For those living in Ottawa, Toronto

• Courses from 10 am Monday to 3 pm Thurs.

• So could stay in Kingston for only 3 nights

• Could commute by car or train (2 hours)

• Bed and Breakfasts and apartment hotels

10

Applications and Info

• On-line through Queen’s by 15 January 2015

• Additional info:– Web site for prospective students:

http://www.riskpolicy.ca

– Web site for fall ‘14 http://risk.econ.queensu.ca• Reading lists for the three main courses

Alison Burnett, at burnetta@econ.queensu.ca

Longworth, at longworth@econ.queensu.ca

Milne at milnef@econ.queensu.ca

11