[Financial Risk Management and International Financial Reporting Standards: Analysing Substitutes in Financial Services for Wealth Management Banks]
by
ACKNOWLEDGEMENT
I would take this opportunity to thank my research supervisor, family and friends for their support and guidance without which this research would not have been possible.
DECLARATION
I, [type your full first names and surname here], declare that the contents of this dissertation/thesis represent my own unaided work, and that the dissertation/thesis has not previously been submitted for academic examination towards any qualification. Furthermore, it represents my own opinions and not necessarily those of the University.
Signed __________________ Date _________________
ABSTRACT
The aim of this dissertation is to apply analytic network process (ANP) and balanced scorecard (BSC) to measure the business performance of wealth management banks (WM), in this dissertation, we have proposed a model in which various dimensions of WM banks have been analyzed. These dimensions have been analyzed through four distinct perspectives i.e. customer, finance, growth & learning and internal business. These four perspectives are the product of BSC. The proposed model made a link between tangible and intangible, financial and non-financial and external factors thus providing a holistic framework for the evaluation of an alternative for WM banks. ANP has the ability to highlight the interdependencies between and among various decision levels; thus forming a decision making tool which is multi-criteria in nature. Thus, a combination of ANP-based approach and BSC- proposed in this paper can provide decision makers with a more balanced, realistic and accurate representation of the challenge of conducting business performance for WM banks.
Table of Contents
ACKNOWLEDGEMENTII
DECLARATIONIII
ABSTRACTIV
CHAPTER I: INTRODUCTION1
Background1
Problem Statement1
Purpose of the Study2
Objectives of the Study3
Outcomes of the Dissertation3
Structure of the Dissertation3
CHAPTER II: LITERATURE REVIEW5
The BSC6
Finance perspective9
Customer perspective9
Internal business process perspective10
Learning and growth perspective10
Financial Risk Management11
International Financial Reporting Standards13
CHAPTER III: METHODOLOGY16
Research Design16
Research Model19
Step 1: Model construction and problem structuring19
Step 2: Pairwise comparison matrices and priority vectors19
Step 3: Supermatrix formation20
Step 4: Selection of the best alternatives23
CHAPTER IV: RESULTS & DISCUSSION24
Results24
(a) Bank A25
(b) Bank B26
(c) Bank C26
(d) Bank D26
Model27
Step 1: Designate the group of experts on the WM banks27
Step 2: Identify the criteria for establishing the evaluation model27
Step 3: Establish the pairwise comparison matrix and determine eigenvectors31
Step 4: Establish pairwise comparison matrices of interdependencies34
REFERENCES39
CHAPTER I: INTRODUCTION
Background
UK's economic and financial markets have experienced dramatic changes in recent years. There are four main banking business sectors in UK, involving the areas of consumer, corporate, wealth management (WM) and investment banking. The WM banking sector is actively promoted for reaping a risk-free premium. Additionally, the organizational structure of the WM service sector has improved as banks have implemented management practices that have helped to increase their competitiveness. In such an intensive environment, evaluating a performance measurement of WM banking has become a priority (Bates et al., 2003, 102; McWhorter, 2003, 45; Cavalluzzo & Ittner, 2004, 85; Robinson & Morley, 2006, 214). During the process of evaluating WM banks, apart from legal issues, policymakers and business groups seldom consider potential factors that could impact banks' competitiveness. For their part, bank managers are realizing that the business performance records of their ...