In this event, the five clusters of the Faculty of Business Administration present themselves:
- Accounting & Taxation - Finance & Insurance - Information Systems & Digital Business - Management & Strategy - Marketing & Innovation Management
For each field of competence, the structure of the degree programme (i.e. the specialisations offered in semesters 4-6 in this cluster) will be presented. Additionally, the competences acquired within the respective areas of specialisation and the potential professional fields are outlined, further supplemented by lectures from guest speakers in the field.
The course is part of the orientation module. The examination takes place at the end of the 2nd semester as part of the course Schlüsselqualifikationen.
The students should gain a basic understanding of the areas of investment decisions of companies, financing decisions of companies and capital markets. They should get to know the most important questions, methods and theories in the field of corporate finance and capital markets, classify them and be able to apply them. The lecture is intended to give an overview and encourage interest in this subject area. The course is aimed at students in the basic study period.
Berk, J. B. and DeMarzo, P. M., 2020. fundamentals of finance: analysis, decision and implementation. 5th ed. Munich: Pearson.
One-hour written exam
Advanced seminar: Information and Insurance
B.Sc. Business Administration; B.Sc. Business Mathematics
Required, important information about the application process and deadlines for Business Administration (BWL) students can be found on the faculty page.
ECTS & SWS
6 ECTS, 4 SWS
The seminar focuses on problems that arise from asymmetric information between insurance companies and insurees, such as moral hazard, adverse selection and insurance fraud. Further topics include risk perception, insurance demand as well as topics related to the digitization in the insurance industry. The participation in the seminar includes the presentation of a written home assignment and taking part in discussions during joint sessions, where all topics will be discussed with active involvement of the participants. Scientific research and writing strategies will be conveyed to help participants learn to solve a scientific problem by reading up on relevant literature.
Each student will be required to write a seminar paper, present this seminar paper in class, and discuss a paper written by another student. All three aspects, together with the participation, will be considered when grades are determined. Further details concerning the paper, the presentation and the discussion will be given during the kick-off meeting.
This course provides an introduction of the economic foundations of the insurance industry. Managerial questions along the value chain of insurance providers will be analysed. Current developments will be explained and economic interdependence will be discussed. Among the topics considered are institutional foundations, insurance regulation, insurance distribution as well as current issues like the digital transformation of the insurance sector and the handling of cyber risks.
The acceptance of employees, customers, investors and society is a prerequisite for sustainable corporate success. Only managers who communicate excellently can achieve this. In the course "Communicative Leadership", management, corporate and communication strategies are explained and analysed. In particular, the development of stakeholder-oriented strategies is the content of this course. The focus is on applying the concepts learned to practical situations.
Galli Zugaro, E.; Galli Zugaro, C. (2017): The listening leader. How to drive performance by using communicative leadership.
There are 20 copies of this book available for you to borrow in the library of the Institute of Risk Management and Insurance (Schackstr. 4, 80539 Munich, 3rd floor).
hybrid (asynchronous digital elements with face-to-face sessions), weekly lecture & tutorial
Risk and Insurance provides an overview of insurance markets and clarifies the special features of the insurance business. To this end, the insurability of risks (including catastrophic risks such as terrorism) as well as the underwriting structure of individual risks, in particular through insurance forms, is discussed or explained.
Karten, Walter, Nell, Martin, Richter, Andreas and Schiller, Jörg (2018): Risiko und Versicherungstechnik - Eine ökonomische Einführung, Springer Gabler.
This course provides an introduction to various AI tools and how they can be used in the insurance related questions. The course will cover various AI tools such as Auto-GPT, ChatGPT, DALL-E 2, Llama 2, and how they can be applied to solve insurance problems.
Furthermore, the course will cover various topics in insurance including value at risk, Monte-Carlo simulation, underwriting and financial analysis of insurance companies. The course will provide a practical understanding of these concepts.
Throughout the course, students will participate in hands-on exercises and projects to apply their knowledge and gain practical experience using AI tools in insurance scenarios. Overall, this course offers a comprehensive introduction to the utilization of AI tools in insurance problems. Depending on the coding skills of the students, students will build a ChatGPT plugin and/or a custom chatbot based on ChatGPT. Moreover, students will have the opportunity to delve deeper into selected topics of risk and insurance, by applying and extending concepts covered in the related course, "Risk and Insurance."
Major catastrophic losses cause severe distortions in insurance markets and the increasing size of economic losses imposes severe challenges on both insurers and governments in disaster-prone areas. Many individuals remain uninsured as they underestimate the threat of catastrophic events due to their low frequency or rely on governmental disaster relief.
The seminar targets to familiarize the participants with the most recent developments in the area of catastrophe risk management. This includes the preparation and presentation of a home assignment as well as taking part in discussions during joint sessions, where all topics will be discussed with active involvement of the participants. Scientific research and writing strategies will be conveyed, so that students are empowered to acquaint themselves with a scientific problem and read up on relevant literature. Furthermore, as a basis for further scientific work, students should become familiar with the independent composition of a scientific piece of work.
NOTE: There are two options for this course. Catastrophe Risk Management will require a presentation and provides 3 ECTS. Advanced Catastrophe Risk Management will require a research paper and presentation and provides 6 ECTS.
The Masters level class "Advanced Risk Management" is offered in cooperation with the Institute for Capital Markets and Corporate Finance, the Institute for Finance and Banking, and the Institute for Financial Innovation and Technology.
The first part will be offered by the Institute for Risk Management and Insurance and seeks to deepen the understanding of why risk management is beneficial. Starting with categorizing different sources of risk for financial and non-financial firms, important aspects of expected utility theory and its connection to financial models are analysed. Based on the theory of optimal risk sharing and related concepts, the relevance of risk management will be examined. Tutorials will provide a deeper understanding of some theoretical concepts presented in the lecture. Additionally, exercises and case studies will improve the participants' skills for analysing and solving risk management problems.
The second, third, and fourth part of the course will be offered by the Institute for Capital Markets and Corporate Finance, the Institute for Finance and Banking, and the Institute for Financial Innovation and Technology. Topically, it will deal with specific types of risk faced by financial institutions, focusing on market risk and credit risk. Students will learn about concepts and techniques to model and manage these risks. This includes topics such as modelling volatilities and dependence, value-at-risk estimation and hedging using financial derivatives. Portfolio models of credit risk will also be discussed. In hands-on exercises, students will learn how to apply these concepts using MS-Excel.
Behavioral economics emerged out of a number of empirical and experimental puzzles which are difficult toexplain with the standard economic paradigm. It studies models of human decision making and the interactionamong such decision makers in games and markets. Why do people demand insurance and, at thesame time, buy lottery tickets? Why do default decisions matter even if transaction costs are low? Why dopeople borrow on credit cards and, at the same time, hold substantial illiquid wealth? Why do people engagein charitable giving? Behavioral economics is the attempt to shed light on these and other observationsby enriching standard theory with psychological realism, i.e., creating models about behavior thatbring more accurate predictions. As behavioral economists typically aspire to construct more "realistic"models, many of the models are inspired by psychological and experimental studies.
Demographic changes alongside a constant improvement in life expectancy means that in the future, statutory old-age provision will no longer be sufficient for many people to secure their standard of living. Private old-age provision will therefore continue to gain in importance. This is one of the reasons why a large number of innovative old-age provision products have been developed in recent years. In the lecture, Prof. Dr. Ruß and Dr. Kling will give an insight into the current demographic development and its effects on statutory and private old-age provision. In particular, they will go into detail about the product innovations of recent years and explain what changes have occurred and what changes will occur as a result of the demographic and regulatory framework conditions. In addition, they explain why common comparisons of pension products are often misleading and lead to false incentives in product development and sales. Finally, the lecturers present a current, scientifically based comparison methodology that is already being used by large sales organisations.
The course aims to 1) give an overview of the main investment methods used by insurers, 2) introduce some key techniques of asset liability management and 3) relate them to the practical application of ALM in insurance companies.
In the first part, the course will focus on providing an introduction to the main valuation and estimation methods for fixed income and non-fixed income investments, based on qualitative and legal aspects of insurance companies' investment decisions.
The second part bridges the gap between relevant underwriting cash flows and the use of appropriate investment strategies with a view to current practice in the insurance industry.
The third part is devoted to elementary aspects of economic theory on financial derivatives relevant to insurers.