ChapterTwenty-SixU.S.CommercialBankManagementLearningobjectivesAfter studying this Chapter you should be able to: 1. Tell for what reason we study bank management 2. Explain the basic principles of bank management 3. Describe the major aspects of U.S. bank managementNotesI.New Words1.tofinancevt.为提供资金providingmoneyfordoingsth.,此处finance可被fund所取代表示同样意思2.torunvt.管理，经营，如torunabank（也可用tomanage表示同样的意思）3.todiversifyvt.使多样化tomakedifferentorvariousinformorquality有时也可用tovary取代todiversify4.toreplenishvt.补充，添加toputnewsuppliesinto;tofillupagain5.shortfalln.缺少，不足anamountlackingtoreachtheamountneeded,expected,orhopedfor,e.g.Wehopedtomake1000butafterourbadlucktherewillbeaofatleast200.6.defalcationn.盗用公款，侵吞公款embezzlementofpropertyormoneybelongingtoanotherparty（动词为defalcate）NotesII. Useful and Idiomatic Expressions 1.torunoutofsth.用完tobenolongerinsupply,e.g.Wehavepaper.2.bymeansof用；依靠byusing,e.g.Shecouldnotspeak,butmadeherwishesknownsigns.3.now(that)既然asaresultofthefactthatorsince,e.g.Now(that)IveheardthemusicIunderstandwhyyoulikeit.4.tomakeadequateprovisionforliability为负债提供足够的资金5.todefaultononesdebtorloan债务违约，拖欠债务或贷款Notes6.toseekout寻找=tofindsth.orsb.bylookinghard,e.g.Tomakeprofit,abankmustseekoutloanbusiness.7.tomakeinterestandprincipalpaymentsontime及时偿付本息8.tosettargetgoalsfor.为制定所瞄准的目标9.tobeconcernedwith.对表示关切10. toinflictlosson/upon使遭受损失toforcesth.unwantedorunpleasantonsb.,e.g.Dontinflictthislossonus.11. toturnonesattentionto.将某人的注意力投向NotesIII. Key Terms1.rateofdefault债务拖欠比率，违约率2.reserves准备金banksholdingofdepositsinaccountswiththeFed,pluscurrencythatisphysicallyheldbybanks(vaultcash)3.negotiablecertificatesofdeposit可转让的大额存款单（或存单）（有时可简化为negotiableCDs.CDsoriginatedintheUSAinthe1960s,NowintheU.S.negotiableCDsarelargedenominationcertificatesofdeposit($100000ormore)issuedbyacommercialbank,whichareinterest-bearingtimedeposits.Theyareoftenheldbyinstitutionalinvestors,insurancecompanies,andfinancialinstitutions.4.equitycapital股份资本networththedifferencebetweenafirmsassetsanditsliabilities.5.balancesheet资产负债表alistoftheassetsandliabilitiesofabank(orfirm)thatbalancestotalassetsequaltotalliabilitiespluscapital.Notes6.liquidity流动性therelativeeaseandspeedwithwhichanassetcanbeconvertedintocash7.checkabledeposits能开支票或汇票的活期存款账户depositaccountsthatmaybedrawnagainstbywritingchecksordrafts.Thetermincludes,inadditiontodemanddepositaccounts,NOWaccountwhichmeansnegotiableorderofwithdrawalaccount可转让支付命令账户8.financialinstruments金融工具easilytradeablepackagesofcapital,eachhavingtheirownuniquecharacteristicsandstructure.Intodaysfinancialmarketplace,financialinstrumentscanbeclassifiedgenerallyasequitybased,debtbasedandforeignexchangeinstruments.9.off-balancesheetitems表外项目thoseitemswhichdonotappearonthebalancesheetofabankoracompany10. risk-adjustedrisks经风险调整的资产Notes11. loanlossreserves贷款损失储备金12. subordinateddebt后偿债务thedebtthatispaidoffonlyafterdepositorsandothercreditorshavebeenpaid类似的表达方法还有subordinatedloan后偿贷款13. stringenttotalcapitalrequirement严格的总资本需求量14. leveragerisk举债风险alsocalledcapitalrisk15. internationalrisk国际风险whichcanincludefluctuationsincurrencyexchangeratesandcountryriskbeyondordinarycreditrisk16. creditrisk信用风险(alsocalleddefaultorassetqualityrisk=thepossibilityofnotreceivingcashflowsfromassetswhenpromised17. humanresourcesmanagement人力资源管理Main TextRationale of Studying Bank ManagementThis is because of the fact that banks play a critical role in channeling funds from savers to borrowers with productive, investment opportunities. This is also because banks are important in ensuring the smooth and effective working of a countrys financial system and economy. Main TextGeneral Principles of Bank Management1. To make sure that the bank has enough ready cash to pay its depositors2. To pursue an acceptably low level of risks by acquiring assets that have a low rate of default and by diversifying asset holdings 3. To make a correct decision about the amount of capital the bank should maintain and then make every effort to acquire it4. To make it possible for banks to acquire funds at low costMain TextMajor Aspects of Bank Management1. Liquidity Management 2. Asset Management3. Liability Management4. Capital (Adequacy) Management 5. Risk Management 6. Human Resources Management (HRM)1. Whats the significance of studying bank management?2. What are the basic principles of bank management?3. What will bank managers do when their bank is running out of reserves?4. Can you tell briefly the three goals set by bank managers for managing its assets?5. In what ways banks endeavor to accomplish their asset-management goals?QuestionsforChapter266. Whats the new trend in banks liability management?7. Why is capital management necessary?8. What advice can you give to a banks risk-management people?9. Can you name those possible risk a bank may have?10.What does a banks HRM system do?QuestionsforChapter26ThisistheendofChapter26Thankyouforyourattention