JAIIB

New Syllabus
As per Latest Update
by IIBF
Free
PDF

JAIIB Exams
TABLE OF CONTENTS

TABLE OF CONTENTS

Indian Economy and Indian Financial System

MODULE A: INDIAN ECONOMIC ARCHITECTURE
An overview of the Indian Economy
Economic Planning in India
Sectors of the Indian Economy
Role of Priority Sector and MSME in the Indian Economy
Infrastructure including Social Infrastructure
Globalization -Impact on India
Economic Reforms
Foreign Trade Policy, Foreign Investments, and Economic Development
International Economic Organisations (World Bank, IMF etc.)
Climate change, Sustainable Development Goals (SDGs)
Issues facing the Indian Economy
MODULE B: ECONOMIC CONCEPTS RELATED TO BANKING
Fundamentals of Economics, Microeconomics Macroeconomics and Types of
Economies
Supply and Demand
Money Supply and Inflation
Theories of Interest
Business Cycles
Monetary Policy and Fiscal Policy
National Income and GDP Concepts
Union Budget
MODULE C: INDIAN FINANCIAL ARCHITECTURE
Indian Financial System — An Overview
Indian Banking Structure
Banking Regulation Act, 1949 and RBI Act, 1934
Development Financial Institutions
Micro Finance Institutions
Non-Banking Financial Companies
Insurance Companies
Indian Financial System - Regulators & their roles
Reforms & Developments in the Banking sector
MODULE D: FINANCIAL PRODUCTS AND SERVICES
Overview of Financial Markets
Money Markets and Capital Markets
Fixed Income Markets - Debt / Bond Markets
Capital Markets and Stock Exchanges
Forex Markets
Interconnection of various markets/Market Dynamics
Merchant Banking Services
Derivatives Market including Credit Default Swaps
Factoring, forfaiting & Trade Receivables Discounting System (TReDS)
Venture capital
Leasing and Hire Purchase
Credit Rating agencies & their functions
Mutual Funds
Insurance Products
Pension Funds (include APY, NPS)
Guidelines on Para Banking & Financial Services provided by Banks
Real Estate Investment Funds / Infrastructure Investment Fund (concept)

Principles and Practices of Banking

MODULE A: GENERAL BANKING OPERATIONS.
Banker-Customer Relationship
AML-KYC Guidelines
Operational Aspects of KYC
Opening Accounts of Various Types of Customers
Operational Aspects of Deposit Accounts
Operational Aspects of Handling Clearing/Collection/Cash
Banker's Special Relationship
Foreign Exchange Remittance Facilities for Individuals,
Operational Aspects of NRI Business
Foreign Currency Accounts for Residents and Other Aspects
Cash Management Services and Its Importance
Payment and Collection of Cheques and Other Negotiable Instrument
Responsibility of Paying Bank
Responsibility of Collecting Bank
Ancillary Services
Financial Inclusion & Financial Literacy
Customer Service Guidelines
Duties & Rights of a Banker and Customer Rights
Grievance Redressal & RBI Integrated Ombudsman Scheme 2021
The Consumer Protection Act, 2019: Preamble, Extent and Deflations
The Right to Information Act, 2005
Module B: Functions of Banks
Principles of Lending, Different Types of Borrowers, and Types of Credit Facilities,
Appraisal and Assesement of Credit Facilities
Operational Aspects of Loan Accounts
Types of Collaterals and Their Characteristics
Different Modes of Charging Securities,
Documentation
Non Performing Assets! Stressed Assets
Important Laws Relating to Recovery Of Dues
Contracts of Indemnity
Contracts of Guarantee & Bank Guarantee
Letters of Credit,
Deferred Payment Guarantee
Laws Relating to Bill Finance
Personal Finance
Priority Sector Advances
Agricultural Finance
Finance to MFIs/Co-Lending Arrangements With NBFCs
Micro, Small and Medium Enterprises in India
Government Sponsored Schemes
Self-Help Groups
MODULE C: BANKING TECHNOLOGY
Essentials of Bank Computerisation
Operational Aspects of CBS Environment
Alternate Delivery Channels Digital Banking
Data Communication Network and EFT Systems
Digital Payment Systems ~ NPCI
Impact of Technology Adoption and Trends in Banking Technology
Security Considerations and Mitigation Measures in Banks
Operational Aspects of Cyber Crimes/Fraud Risk Management in Cyber Tech
Technology Trends in Banking, e-RUPI, Fintech - RegTech, SupTech, Hashtag Banking
etc.
MODULE D: ETHICS IN BANKS AND FINANCIAL INSTITUTIONS
Ethics, Business Ethics & Banking: An Integrated Perspective
Ethics at the Individual Level
Ethical Dimensions: Employees
Work Ethics and the Workplace
Banking Ethics: Changing Dynamics

Accounting and Financial Management for Bankers

MODULE A: ACCOUNTING PRINCIPLES AND PROCESSES
Definition, Scope and Accounting Standards including Ind AS
Basic Accountancy Procedures
Maintenance of Cash/Subsidiary Books and Ledger
Bank Reconciliation Statement
Trial Balance, Rectification of Errors and Adjusting & Closing Entries
Depreciation & its Accounting
Capital and Revenue Expenditure
Bills of Exchange
Operational Aspects of Accounting Entries
Back Office Functions/Handling Unreconciled Entries in Banks
Bank Audit & Inspection
MODULE B: FINANCIAL STATEMENTS AND CORE BANKING SYSTEMS
Balance Sheet Equation
Preparation of Final Accounts
Company Accounts — I
Company Accounts - IT
Cash Flow & Funds Flow
Final Accounts of Banking Companies
Core Banking Systems & Accounting in Computerised Environment
MODULE C: FINANCIAL MANAGEMENT
An Overview of Financial Management
Ratio Analysis
Financial Mathematics - Calculation of Interest & Annuities
Financial Mathematics - Calculation of YTM
Financial Mathematics - Forex Arithmetic
Capital Structure and Cost of Capital
Capital Investment Decisions/Term Loans
Equipment Leasing/Lease Financing
Working Capital Management
Derivatives
MODULE D: TAXATION AND FUNDAMENTALS OF COSTING
Taxation: Income Tax/TDS/Deferred Tax
Goods & Services Tax
An Overview of Cost & Management Accounting
Costing Methods
Standard Costing
Marginal Costing
Budgets and Budgetary Control

Retail Banking and Wealth Management

MODULE A: RETAIL BANKING
Retail Banking: Introduction.
Retail Banking: Role within the Bank Operations
Applicability of Retail Banking Concepts; Distinction between Retail and
Corporate/Wholesale Banking
Branch Profitability
MODULE B: RETAIL PRODUCTS AND RECOVERY
Customer Requirements
Product Development Process
Credit Scoring
Important Retail Liability Products
Important Retail Asset Products
Credit and Debit Cards
Remittance Products
Digitisation of Retail Banking Products
Role of Al and Technology in Retail Banking
Recovery of Retail Loans
Management Information Systems
Securitization
MODULE C: SUPPORT SERVICES - MARKETING OF BANKING SERVICES/PRODUCTS
Marketing: An Introduction
Delivery Channels in Retail Banking
Delivery Models
Customer Relationship Management in Retail Banking
Service Standards for Retail Banking
Marketing Information Systems- A Longitudinal Analysis
MODULE D: WEALTH MANAGEMENT
Importance of Wealth Management
Investment Management
Tax Planning
Other Financial Services Provided by Banks
ADDITIONAL READING MATERIAL ON HOME LOANS
Lender's Appraisal Procedure
Housing Finance and Tax Planning
Mortgage Advice
Valuation of Real Property
Paper I - Indian Economy and Indian Financial System

MODULE A: INDIAN ECONOMIC ARCHITECTURE

An overview of the Indian Economy

Evolution of Indian Economy, Basic Characteristics of Indian Economy, Indian Economy in
Pre-British period, Economy till 2008 & after 2008, Structural changes in Indian Economy

Economic Planning in India

Definition of Economic Planning, History of Economic Planning, Objectives of Economic
Planning, Types of Planning, Achievements of Planning, Financial resources for 5-year plans

Sectors of the Indian Economy

Role & Importance of Primary, Secondary, Tertiary Sector, Quaternary & Quinary Sectors,
Different Revolutions in Primary sector, Difference between the sectors, GDP contribution of
different sectors, Agriculture, Industry, Services, Employment growth rate in Secondary sector,
Sunrise Sector of Indian Economy, Organised and Unorganised sectors

Role of Priority Sector and MSME in the Indian Economy

Definition & Role of Priority Sector, List of Priority Sectors identified in India, Priority Sector
Lending Norms, Definition of MSME, Role & Significance of MSME in economic development,
Contribution of MSME in GDP, Recent Initiatives in MSME sector viz., Atmanirbhar Bharat
package, Make in India, Start-up India, Stand-up India ete.

Infrastructure including Social Infrastructure

Infrastructure & Economic Development, Energy, Power, Transport system viz., Rail, Road, Civil
Aviation, Concept of Social Sector & Social Infrastructure, Health, Education, Family welfare,
Development of Health Infrastructure

Globalization -Impact on India

Globalization and its Advocacy, Globalisation and its Impact on India, Fair Globalisation & the
Need for Policy framework, Globalisation in reverse gear — The Threatened Re-emergence of
Protectionism
Economic Reforms
A brief overview, Transformation, Economic Transformation — Real Sector, Economic
Transformation Financial Sector, Economic Transformation — Integration with the Global
Economy, Economic Reforms
in India

Foreign Trade Policy, Foreign Investments, and Economic Development

FIP - Structural Changes during the 1990s, FTP policy — 2015-2020, Challenges to be
addressed in upcoming FTP, FDIs, Flls and Recent trends, Economic development vs economic
growth, Importance of economic development as a dimension ete.

International Economic Organisations (World Bank, IMF etc.)

IMF and World Bank, World Trade Organization (WTO) — India and WTO, Regional Economic
Co-operations, Recent International Economic Issues

Climate change, Sustainable Development Goals (SDGs)

Core elements of Sustainable Development, Global Issues and initiatives, India’s progress in
SDGs including Climate change, CSR Activities

Issues facing the Indian Economy

Poverty Alleviation, Jobless growth, Rising Inequalities, Migration and excessive pressure on
resources, Possible remedies, Pandemic situations

MODULE B: ECONOMIC CONCEPTS RELATED TO BANKING

Fundamentals of Economics, Microeconomics Macroeconomics and Types of

Economies
Economics ~ An Introduction, Microeconomics and Macroeconomics, Types of Economies,
Market, Command, and Mixed Economies
Supply and Demand
The Demand Schedule, Forces behind the Demand Curve, shifts in Demand, The Supply
Schedule, Forces behind the Supply Curve, shifts in Supply, Equilibrium of Supply and Demand,
Effect of a Shift in Supply or Demand, Interpreting Changes in Price and Quantity

Money Supply and Inflation

What is Money, Money Supply, Inflation, Causes of Inflation, Measures of Inflation

Theories of Interest
Classical Theory of Rate of Interest, Keynes’ Liquidity Preference Theory of Rate of Interest,
Money Demand Curve, Determination of Rate of Interest: Equilibrium in the Money Market,
Effect of an Increase in the Money Supply, shifts in Money Demand or Liquidity Preference
Curve, Hicks-Hansen Synthesis: IS-LM Curve Model

Business Cycles
Characteristics of a Business Cycle, Phases of a Business Cycle

Monetary Policy and Fiscal Policy

Tools of Monetary Policy, how did Monetary Policy in India Respond to the Global Financial
Crisis?
Fiscal Policy, FRBM Act

National Income and GDP Concepts

Computation, Utility

Union Budget
Receipts, Expenditure, Plan Expenditure, Deficit Concepts

MODULE C: INDIAN FINANCIAL ARCHITECTURE

Indian Financial System — An Overview

What is a Financial System? Phase I: Pre-1951 organisation, Phase II: 1951 to Mid-eighties
organisation, Phase III: Post Nineties Organisation, Narasimham Committee (1991) on the
banking system in India, Reform of the Banking sector (1992-2008), Present Status of Banking
System

Indian Banking Structure

Functions, Development of Banking in India, Scheduled Commercial Banks- Types and
functions, Local Area Banks, Regional Rural Banks, Cooperative Banks: Types, Payment Banks
and Small Finance Banks, NBFCs, Key RBI Guidelines

Banking Regulation Act, 1949 and RBI Act, 1934

Background of Enactment, PART-I Reserve Bank of India Act, 1934: Chapter I to Chapter V,
Schedules to the RBI Act, 1934, PART-II Banking Regulations Act, 1949, Background and
Structure of the Banking Regulation Act: Section 1 to Section 56

Development Financial Institutions

Evolution of Development Financial Institutions in India, Gaps in the Post-Independence
Financial System, Objectives of Development Financial Institutions, Classification of DFIs, Role
of DFIs in the Indian Economy, Changing Role of DFIs and Emergence of Universal Banks,
Industrial Finance Corporation of India (FCI), Industrial Credit and Investment Corporation of
India (ICICI),Industrial Development Bank of India (IDB), Small Industries Development Bank of
India (SIDBI), Export-Import Bank of India (EXIM Bank), National Bank for Agriculture and Rural
Development (NABARD), National Housing Bank (NHB), National Bank for Financing
Infrastructure and Development (NaBFID).

Micro Finance Institutions

Evolution of Microfinance in India, Grameen Bank Model, Delivery of Microfinance, SHG-Bank
Linkage programme, Joint Liability Groups (JLGs), Regulatory Framework for Microfinance
Institutions, Inclusion of Bank Finance to Microfinance Institutions in Priority Sector Lending,
Regulatory Framework for Micro Finance Loans RBI Directions 2022, RBI’s Fair Practices Code
for NBFC-MFIs,

Non-Banking Financial Companies

What is a Non-Financial Banking Company (NBFC)?, Evolution of NBFCs in India, Role of
NBFC in Promoting Inclusive Growth of India, Regulators of NBFCs, Classification of NBFCs,
Regulatory Oversight by RBI on NBFCs, Types of NBFCs, Concept of Owned Funds and Net
Owned Funds (NOF) for NBFCs, Bank Finance to NBFCs, Fair Practice Code for NBFCs,
Applicability of Ombudsman Scheme to NBFCs, Scale Based Regulation (SBR): A Revised
Regulatory Framework for NBFCs.
Insurance Companies
History and Development of Insurance. Privatisation and Foreign Direct Investment (FDI) in
Insurance Sector. Insurance Business Globally and in India. Insurance Penetration and Density.
Number of Insurance Companies Operating in India. Legislations Governing Operation of
Insurance Companies. Insurance Intermediaries. Reinsurance. Insurance
Repository’s-Insurance Account.

Indian Financial System - Regulators & their roles

Role of Financial Sector Regulators in an Economy, Reserve Bank of India (RBI), Securities and
Exchange Board of India (SEBD, Insurance Regulatory and Development Authority of India
(IRDA), Pension Fund Regulatory and Development Authority (PFRDA).

Reforms & Developments in the Banking sector

Bad Banks, Infrastructure financing, Formation/role of NaBFID-National Bank for Financing,
Infrastructure & Development, Basic concepts on EASE.

MODULE D: FINANCIAL PRODUCTS AND SERVICES

Overview of Financial Markets

What is a Financial Market?, Evolution of the Financial Market, Segments of Financial Markets,
Functions of Financial Markets, Price Discovery.

Money Markets and Capital Markets

Call Money, Notice Money and Term Money, Treasury Bills, Certificates of Deposit, Commercial
Paper, Repo, Tri-Party Repo, Bill Rediscounting Scheme (BRDS), Long-Term Répo Operations
(LTRO).

Fixed Income Markets - Debt / Bond Markets

Government Securities, Bond Valuation and Theorems, Auction of Government Securities,
Primary Dealers, Fixed Income Money Market and Derivatives Association of India (FIMMDA),
RBI Retail Direct Scheme (RDS), Corporate Bond Market, Inter-Corporate Deposits.
Capital Markets and Stock Exchanges
Primary Market, Secondary Market Stock Exchanges in India, Financial Products/Instruments
Dealt with in the Secondary Market, Regulatory Requirements Specified by SEBI for Corporate
Debt Securities, Commonly Used Terms in the Capital Market, Types of Capital Issues in the
Primary Market, Eligibility Norms for Making Capital Issues, Intermediaries in an Issue in the
Primary Market, Applications Supported by Blocked Amount (ASBA) Qualified Institutional
Placement (QIP).

Forex Markets
Profile of Foreign Exchange (Forex) Market, Evolution of the Forex Market in India,
Characteristics of the Forex Market, Market Participants, LIBOR and Alternate Reference Rates
(ARRs), Foreign Exchange Dealers Association of India (FEDAI), Foreign Exchange
Management Act (FEMA), 1999, FX-Retail Platform, US Dollar Index (USDX), American
Depository Receipt (ADR) and Global Depository Receipt (GDR).

Interconnection of various markets/Market Dynamics

Process of Interconnectedness of Financial Markets, Reasons for interconnectedness,
Importance of The interconnectedness of Financial Markets, Heterogeneity of Financial
Markets, Achievement of Market Integration in India, Different Levels of Market Integration,
Asian Clearing Union, Benefits and Costs of Interconnectedness of Markets,
Interconnectedness of the Money Market, Interconnectedness of the Credit Market,
Interconnectedness of the Capital Market, the Interconnectedness of the Forex Market,
Integrated Treasury Operations, Contagion Effect.

Merchant Banking Services

Definition of Merchant Banking, Historical Background, Development of Merchant Banking in
India, Merchant Banking Vs Commercial Banking, Licensing Requirements, SEBI Regulations
on Merchant Banking, Activities of Merchant Banks, Key Policy Requirements as per SEBI
Regulations, Key Codes of Conduct as per SEBI Regulations.

Derivatives Market including Credit Default Swaps

What is a Derivative. History of Derivatives, Size of the Derivatives Market, Underlying Assets,
Exchange Traded and Over-the-Counter Markets, Participants in the Derivatives Market,
Functions of Derivatives, Types of Derivatives, Forward Contracts, Futures, Options, Swaps,
Credit Default Swaps (CDS), RBI guidelines on Credit Default Swaps, Documentation for
Derivatives — ISDA Agreement.
Factoring, forfaiting & Trade Receivables Discounting System (TReDS)
What is Factoring, History of Factoring, Types of factoring, Domestic Factoring, International
Factoring, Bills Discounting vs Factoring, Fees Involved in Factoring, Advantages of Factoring,
What is Forfaiting, Mechanism of a Forfaiting Transaction, Fees Involved in Forfaiting,
Advantages of Forfaiting, Differences between Factoring and Forfaiting, What is TReDS?
Participants under TReDS, Process Flow under TReDS, Eligibility Criteria to Set Up and
Operate TReDS.

Venture capital
Concept of Venture Capital, Evolution of Venture Capital in India, Characteristics of Venture
Capital Finance, Stages of Venture Capital Financing, Process of Venture Capital Financing,
Regulatory Aspects of Venture Capital Funds, Modes of Venture Capital Financing, Advantages
and Disadvantages of Venture Capital Financing, Exit Routes for Venture Capital Finance.

Leasing and Hire Purchase

Lease Finance, Evolution of Leasing in India, Types of Leasing, Advantages and Disadvantages
of Lease Finance, Market Share of Various Leased Asset Classes, Impact of Leasing on
Financial Ratios, Legal Aspects of Leasing, Regulatory Aspects of Leasing Activities, Hire
Purchase, Evolution of Hire Purchase in India, Legal Aspects of Hire Purchase, Parties to a Hire
Purchase Contract, Leasing and Hire Purchase Compared,

Credit Rating agencies & their functions

What is Credit Rating? Credit Rating Agencies (CRAs) :History of Credit Rating; Characteristics
of Credit Rating ; Importance of Credit Rating, Benefits of Credit Rating, Factors Considered
while Rating Companies/Instruments, Process of Credit Rating, Credit Rating Symbols, Ratings
Outlook, Regulations for CRAs in India, Fees for Credit Rating, What is Credit Scoring?, Credit
Information Companies (CICs) in India, Membership to CICs, Regulatory Guidelines Governing
CICs, Credit Scores, Difference Between Credit Ratings and Credit Scores.

Mutual Funds
Mutual Funds and their Functions, Management of Mutual Funds, Evolution of Mutual Funds,
Classification of Mutual Funds, Role of Mutual Funds, Supervision of Mutual Funds, New Fund
Offer, Risks Associated with Mutual Funds, Risk Depiction — Riskometer, Net Asset Value
(NAV), Expenses Ratio, Load/No-Load Funds, Strategies for Investment in Mutual Funds, Role
of Mutual Funds in the Capital Market, Alternative Investment Funds.
Insurance Products
What is Insurance? Fundamental Principles Governing Insurance Products, Classification of
Insurance, Types of Insurance Business, Group Insurance Schemes, Micro Insurance,
Insurance Based Social Security Schemes, Bancassurance, Insurance Ombudsman Scheme,
and Government Business Products (Social Security Schemes like PMJJBY, PMSBY).

Pension Funds (include APY, NPS)

Pension System and its Aspects, Pension Products, Different Types of Pension Schemes,
Employees Provident Funds Scheme, Public Provident Fund (PPF) Scheme, Insurance Annuity
Schemes, National Pension Scheme (NPS), Atal Pension Yojana (APY).

Guidelines on Para Banking & Financial Services provided by Banks

Types of Para Banking and Financial Services provided by Banks, Organisation of Para Banking
and Financial Services Activities by a Bank, Para-Banking and Financial Services Undertaken
by a Bank, Disclosure of Commissions/Remunerations earned from Para Banking and Financial
Services Activities.

Real Estate Investment Funds / Infrastructure Investment Fund (concept)

What are Real Estate Investment Trusts (REITs), History of REITs, Organisation of REITs, Types
of RI , Difference Between REITs and Real Estate Mutual Funds, Advantages and
Disadvantages of Investing in REITs, Comparison of Various Modes of Investment in Real
Estate, Taxation Guidelines for Investors of REITs, Regulatory Guidelines for REITs. What are
Infrastructure Investment Trusts (InvITs), The organization of InvITs, Rationale of Setting up
InvITs, Activity of InvITs in India, Types of InvITs, Advantages and Disadvantages of InvITs,
InvIT’s Revenue Model, Taxation on Investments in InvITs.
Paper II - Principles and Practices of Banking

MODULE A: GENERAL BANKING OPERATIONS.

Banker-Customer Relationship
Requirements to be Called a Bank, Banker-Customer Relationship, Bank as a Trustee,
Bailee-Bailo Relationship, Agent-Princpal Relationship, Lessor and Lessee, Indemnified
Indemnified, Different Depos, Products or Services, Services to Customers and Investors,

AML-KYC Guidelines
Money Laundering & Financing of Terorism Risks, AML. Framework in India, Know Your
Customer Policy, ‘Organisational Se-up for AML, Obligations under PMLA, Risk Management,
Obligations under Intemational Agreements, FATF Identified Jurisdictions, Correspondent
Banks, Reporting Under FATCA/ CRS, Reporting ‘Obligations, Implications of Non-compliance
of PMLA Obligations, Secrecy Obligations

Operational Aspects of KYC

Know Your Customers (KYC) Noms, Wire Transfers, Other Operations - Regulations, Central
KYC Records Registry (CKYCR), Monitoring of Transactions

Opening Accounts of Various Types of Customers

Personal Accounts, Accounts of Other Customers, Norms for Opening Curent Accounts,
Obtaining Photographs ‘of Account Holders, Legal Entity Identifier

Operational Aspects of Deposit Accounts

Salient Feature of Deposit Accounts, Interest on Deposit Accounts, Prohibitions & Exemption,
Inoperative ‘Accounts & Unclaimed Deposits, Operational Instructions in Joint Accounts,
Nomination Facility, Other ‘Operational Guidelines, Attachment Orders, Procedure for
Submission of Reeords to Statutory Authorities
Operational Aspects of Handling Clearing/Collection/Cash
Cheque Truncation System (CTS), RBI Guidelines on Collection of Istrumens, Cah and its
Custody, Security ‘Arrangements at Branches and ATMs

Banker's Special Relationship

Mandate ~ Definition, Power of Attomey (POA) ~ Definition, Bank's Lica, Right of Setoff, Right of
Appropriation

Foreign Exchange Remittance Facilities for Individuals,

Evolution of FEMA, Definitions, Bringing in and Taking ou Foreign Exchange, Invard
Remittances, Outward Remittances, Indo - Nepal Remittance Scheme

Operational Aspects of NRI Business

Permitted Accounts in India for NRIs and P1Os, Accounts in India of Foreign Nationals Visiting
Indi, Special ‘Non-Resident Rupee Account ~ SNRR Account, Remittance of Asets Held by
NRIs! P1Os, Acquisition and “Transfer of immovable Property in India by a Non-Resident Indian
(NRI), Creation of Charge on Immovable Property in India, Repatriation of Income and Sale
Proceeds of Assets Held Abrood by NRs, Investments by NRI/PIOs

Foreign Currency Accounts for Residents and Other Aspects

Types of Accounts Permited, Foreign Currency Denominated Accounts in India, Permitted
Foreign Curency Accounts Outside India, Remittance of Assets by Foreign Nationals not Being
PIOs, Modes of Acquiring Property Outside India by a Resident, Foreign Contribution
(Regulation) Act 2010

Cash Management Services and Its Importance

Developments in CMS, Importance of Cash Management System, Types of Cash Management
Services, ‘Challenges and Issues

Payment and Collection of Cheques and Other Negotiable Instrument

Negotiable Instruments Act, Payment ofa Cheque, Payment in duc couse ~Seeton 10, Liability
ofthe Paying Bank ~ Section 31, Collection of Cheques ~ Duties ofa Collecting Bank,
Endorsement of Cheques, Crossing ‘of Cheques, Forged Instruments, Bouncing (Dishonour) of
Cheques, Cheque Truncation System
Responsibility of Paying Bank
Negotiable Instruments Act and Paying Banks, Liability of Paying Banker when Customer's
Signature on the ‘Cheque is Forged, Payment to bein Due Course for Bank to Seok Protection,
Payment in Good Faith without Negligence ofan Instrument on which Alteration i not Apparent,
Payment by Bank Under Mistake Whether Recoverabe, Cheque Truncation

Responsibility of Collecting Bank

Statutory Protection to Collecting Bank, Duties of the Collecting Bank

Ancillary Services
Remittances: Introduction, Demand Drafts (DD) and Banker's Cheques (BC), Mail Transfer
(MT), Telegraphic Transfer (TT), National Electronic Funds Transfer System (NEFT), Real Time
Gross Settlement System. (RTGS), Flectronic Benefit Transfer (EBT) Scheme, Mobile Banking
in India, Fletronie’Digital Payments, Safe Deposit Lockers, Portfolio Management Services,
Merchant Banking, Government Business, Levying of Service Charges

Financial Inclusion & Financial Literacy

Financial Inclusion by Extension of Banking Services, Use of Mobiles/Tablets in Financial
Inclusion Drive, Financial Literacy, Rural Self Employment Training Institutes (RSETD,

Customer Service Guidelines

‘Customer Service in Banks, Policy for General Management of the Branches, ATM Operations,
Security Issues and Risk Mitigation Measures, Service at the Counters, Information tothe
Customers, Special Arrangements Branches, Other Provisions

Duties & Rights of a Banker and Customer Rights

Daty of Screcy & Confidentiality, Duty of Reasonable Care, Gamishee or Attachment Order,
Bank's Rights, ‘Customer Awareness, Banking Codes and Standards Board of India, obligations
on the Customer

Grievance Redressal & RBI Integrated Ombudsman Scheme 2021

Model Policy on Grievance Redressa, Internal Machinery to Handle Customer Complaints/
Grievances, The RBI- Integrated Ombudsman Scheme
The Consumer Protection Act, 2019: Preamble, Extent and Deflations
Purpose of The Act, Preamble and Extent, Act not Overriding on Any Other Lav, Salient New
Aspects ‘of CPA 2019, Definitions, Various Fora, Consumer Protection Councils, Central
Consumer Protection Authority, Consumer Disputes Redressal Commissions, Jurisdictions of
Commissions, Complaints to District Commissions, Complaints to State Commissions! National
Commission, Appeals Against Orders of District ie Commission, Other Aspects, Mediation
Process, Product Liability, Unfair Contracts, Data Protect The CPA 2019 and Banking Services

The Right to Information Act, 2005

Applicability, Definitions, Right to Information, Obligations of Public Authorities, Designation of
Public Information Officers, Procedure for Obiaining Information, Disposal of Request, Appeal,
Orders in Appeal, Central Information Commission, State Informati Commission, Penalties, Act
vo Have Overtidng Fleet

Module B: Functions of Banks

Principles of Lending, Different Types of Borrowers, and Types of Credit Facilities,

Principles of Lending, Types of Borrowers, Types of Credit Facilities, Fund Based Working
Capital Faicilities,Term Demand Loans, Non-fund Based Facilities, Other Credit Facilities

Appraisal and Assesement of Credit Facilities

Credit Appraisal, Credit Appraisal techniques, Methods of Assessment of Loans, Assessment of
Working Capital, Assessment of Term Loan

Operational Aspects of Loan Accounts

Interest Rates on Loans, Credit Management, Credit Monitoring, Common Operational
Term/Aspectsin Loan Functions, Operational Process of Handling Loans, Accounting Aspects of
Loan Products, Basic Operating Instructions on Loan Products, Operating Manual for Loans and
Advances, Sample Operating Instructions, ‘Operational Aspects of a Few Common Loan
Products, Guidelines on Recovery Agents Engaged by Banks Fair Practices Code for Lenders

Types of Collaterals and Their Characteristics

Effectiveness of Securities, What are ‘Secured Loans’ and ‘Unsecured Loans'?, Types of
Securities, Land and Buildings, Goods, Documents of Title to Goods, Advances against Life
Insurance Policies, Advance Against Shares, Advance Against Debentures, Loan azainst Book
Debis, Loan against Term Deposits, Loan against Gold Omaments, Supply Bills, Vehicle
Finance
Different Modes of Charging Securities,
Meaning and Essentials of a Contact, Contract of Agency, Contact of Bailment, Types of
Charges, Registration of Charges

Documentation
Different Types of Documents, Documentation Procedure

Non Performing Assets! Stressed Assets

Definition, Income Recognition, Computation of Gross Advances, Gross NPA, Net Advances,
and Net NPA, Asset Classification, Provisioning Norms, Writing OAT of NPAS, NPA
Management ~ Requirement of Effective ‘Mechanism and Granular Data, Framework for
Resolution of Stressed Assets, Prudential Norms Applicable to Restructuring , Other Aspects

Important Laws Relating to Recovery Of Dues

Introduction to Recovery of Debts and Bankruptey Act, 1993 (DRB), Introduction To SARFAESI
Act, Introduction To The Insolvency and Bankruptcy Code, 513, Introduction To The Legal
Services Authorities ‘Act, 513, Introduction To The Law of Limitation

Contracts of Indemnity
Contract of Indemnity Defined , Distinctive Features of Indemnity Contract and Guarantee,
Rights of an Indemnity Holder, Implied Indemnity, Enforeeability of Contract of Indemnity, Scope
and Application of Indemnity Contracts to Banks

Contracts of Guarantee & Bank Guarantee

Parties to the Contract, Basic Principles of Contract to be Complied, Consideration, The Liability
ofthe Surety, Continuing Guarantee, Revocation of a Continuing Guarantee, Death of Surety,
Variance in Terms of the Contract, Discharge of Principal Deblor, Forbearance to Sue, Surety
can Claim His Dues from the Principal ‘Debtor, Security, Implied Promise by the Principal Debtor
to Indemnify the Surety, Misrepresentation Made by the Creditor, Co-sureties for the Same
Debt, Release of One Co-surety does not Discharge Other, Bank Guarantees, Various Types of
Bank Guarantees, Banker's Duty to Honour Guarantee, Issuance of Bank Guarantee ~
Precautions to be Taken, Payment Under Bank Guarantee ~ Precautions to be Taken
Letters of Credit,
Letters of Credit - General Consideration, Parties to a Letter of Credit, Types of Letters of Credit,
Documents, Under a Letter of Credit, Uniform Customs and Practices for Documentary Credits
~ UCPDC 600, Payment ‘Under Letter of Credit ~ Banks Obligation Primary

Deferred Payment Guarantee

Purpose of Deferred Payment Guarantee, Method of Payment

Laws Relating to Bill Finance

Class of Bills and Laws Governing Bills, Classification of Bills, Various Types of Bill Finance, Bill
Finance and Legal Position of a Banker

Personal Finance
Credit Card, Home Loans, Personal Loans, Consumer Loans

Priority Sector Advances

Applicability, Targets/Sub-Targets for Priority Sector, Categories of Priority Sector,
Non-Achievement of Priority Sector Targets, Common guidelines for Priority Sector Loans,
Other Modes of Lending to Priority Sectors, Other Aspects Related to Priority Sector Lending

Agricultural Finance
Short-Term Loans, Medium/Long-Term Loans, Crop Loan, Revised Scheme for Issue of Kisan
Credit Card (KCC), Selected Activities Under Agricultural Financing, Minimum Support Prices
Scheme, Prime Minister Fasal Bima Yojana (PMFBY)

Finance to MFIs/Co-Lending Arrangements With NBFCs

Background, Bank Borrowings - Source Of Finance for NBFCS, Bank Finance to NBFCS, Bank
Loans to NBFCS for On-Lending, Bank Loans to NBFCS-MFs, NBFC-MFI ~ Channelising Agent
for Special Government Schemes, Co-Lending by Banks and NBFCS to Priority Sector,
Framework for Seale Based Regulation (SBR) for Non-Banking Financial Companies

Micro, Small and Medium Enterprises in India

Aim of MSMEs, Micro, Small and Medium Enterprises Development (MSMED) Act, 667, Policy
Package for MSMEs ~ Crediv/Finance, Measures for Promotion, Development and
Enhancement of Competitiveness of Micro, Small and Medium Enterprises, Delayed Payments,
Trade Receivables Discounting System (TReDS), Performance and Credit Rating Scheme,
Credit Guarantee Fund Scheme for Micro and Small Enterprises, ‘Cluster Based Approach in
Financing MSMEs, Common Guidelines / Instructions for Lending to MSME Sector

Government Sponsored Schemes

Deendayal Antyodaya Yojana ~ National Rural Livelihoods Mission (DAY-NRLM), Deendayal
Antyodaya ‘Yojana ~ National Urban Livelihoods Mission (DAY-NULM), Pradhan Mantri Jan
Dhan Yojana (PMID), ‘MUDRA Loans, Khadi Village Industries Commission (KVIC)

Self-Help Groups
SHG ~ Definition, Need for SHGs, Forming SHGs, SHGs Under DAY-NRLM/ DAY-NULM
Schemes, SHG-Bank Linkage Programme

MODULE C: BANKING TECHNOLOGY

Essentials of Bank Computerisation

Bank Computerisation, Networking Technologies in Banks, Uninterrupted Power System (UPS),
Core Banking, Data Warehousing and Data Mining

Operational Aspects of CBS Environment

Functions Performed by CBS, Flow of Transactions in CBS, The Accounting of Transactions in
CBS, End ‘of Day (EOD) And Begin of Day (BOD) Operations, End of Day (EOD) Operations,
Password Control, Parameter/Master File, Logical Access Control, Operational Aspects of
Security Control in CBS, Role and Responsibilities of the Bank Under CBS

Alternate Delivery Channels Digital Banking

Alternate Delivery Channels, Automated Teller Machines (ATMs), Flectromagnetic Cards,
Electronic Banking, ‘Customer Protection-Limiting Liability of Customers in Unauthorised
Electronic Banking Transactions, Harmonization of Tum Around Time (TAT) and Customer
Compensation for Failed Transactions Using ‘Authorised Payment Systems

Data Communication Network and EFT Systems

Data Communications Networks, Network Scenario in India: Major Networks, Emerging Trends
in ‘Communications Networks for Banking, Evolution of EFT Systems, Structured Message
Transfer System Using SWIFT, Automated Clearing Systems, Two-Level Funds Transfer
System, Emergence of Electronic Payment Systems in India

Digital Payment Systems ~ NPCI

Electronic Clearing Systems in India, National Payment Corporation of India (NPCI), Digital
Initiatives by the Government of India

Impact of Technology Adoption and Trends in Banking Technology

Trends in Technology Developments, Role and Uses of Technology Upgradation, Global Trends
in Banking Systems, Impact of Information Technology on Banks, Some emerging technology
trends in Banking‘

Security Considerations and Mitigation Measures in Banks

Risk Concem Areas, Different Types of Threats, Control Mechanism, Computer Audit,
Information System Audit (IS Audit), Information System Security (IS Security), Modus Operandi
of Online Frauds and Cyber Security Awareness, IT Resources Evaluation Requirements,
Disaster Recovery Management Objective, Legal Framework for Electronic Transactions
Information Technology Act, G. Gopalakrishana Committee Report, (Cyber Security Framework
in Banks, Integrated Ombudsman Scheme, 2021 by RBI

Operational Aspects of Cyber Crimes/Fraud Risk Management in Cyber Tech

Fraud vs Crime, Phases of an Effective Incident Response Plan

Technology Trends in Banking, e-RUPI, Fintech - RegTech, SupTech, Hashtag Banking

etc.
e-RUPI, Fintech Reg Tech/Sup Tech, Social Media Banking, Hashtag Banking, Account
Aggregators, Open Banking

MODULE D: ETHICS IN BANKS AND FINANCIAL INSTITUTIONS

Ethics, Business Ethics & Banking: An Integrated Perspective

Values and Ethies, Ethics and Business Values, Business Ethics ~ Definition, Principles and
Practice, An Ethical Crisis: Is Business Ethics an Oxymoron®, Ethical Foundation of Banking:
Finance Depends on Trust, Ethical Foundation of Being a Professional, Banking Ethics in Global
Context: Enron and Its Lesson, Global Financial Crisis, Ethics in Indian Context: Satyam and Its
Lessons, An Indian Bank Case Study

Ethics at the Individual Level

Values, Norms, Beliefs and Their Role, Core Values: The Value of a Value, Morality and
Personal Values, Value Conflicts: How Should I Live?, Personal Ethics and Business Ethics:
Individual Integrity and Responsibility, ‘The Golden Rule, Understanding Right and Wrong:
Doing the Right Thing, Ethical Reasoning and Real-World Application, Ethical Dilemmas:
Resolving Ethical Dilemmas, A Framework of Ethical Decision-Making

Ethical Dimensions: Employees

Abuse of Official Position: Insider Trading, Proprietary Data, Bribes, ec., Obligations to Third
Parties, Job Discrimination, Sexual Harassment, Managing Conflict of Interests, Fair Accounting
Practices: Related Party Transactions, HRM Ethics, Principles of Representation and Work
Environment, Employees as Ethics ‘Ambassadors & Managers as Ethical Leaders

Work Ethics and the Workplace

What Is Work Ethics? Something Bigger Than the Self, Ethical Behaviour at The Workplace:
Benefits, Recognising Ethical Workplaces, Unethical Behaviours: Causes and Remedies,
Conducting Personal Business During Office Time, Taking Credit for Others’ Work, Ethical
Lapses and Organizational Culture, Ethies of a Banker, Whistleblowing in Banks,
Whistleblowing Law in India

Banking Ethics: Changing Dynamics

Ethics and Technology, Data Security and Privacy, Intellectual Property Rights, Patents and
Proprietary Rights, Ethics of Information Security
Paper III - Accounting and Financial Management for Bankers

MODULE A: ACCOUNTING PRINCIPLES AND PROCESSES

Definition, Scope and Accounting Standards including Ind AS

‘Nature and Purpose of Accounting, Historical Perspectives, New Accounting system / Value
system accounting Origins of Accounting Principles, Accounting Standards in India and its
Definition and Scope, Generally Accepted Accounting Principles of USA (US GAAP), Overview
of IFRSs, Difference between GAAP and IFRS, Transfer Pricing

Basic Accountancy Procedures

Concepts of Accountancy, Going Concern Entity, Double Entry System, Principle of
Conservatism, Revenue Recognition and Realisation, Accrual and Cash Basis

Maintenance of Cash/Subsidiary Books and Ledger

Record Keeping Basics, Account Categories, Debit and Credit Concepts, Accounting and
Columnar Accounting Mechanics, Journalising

Bank Reconciliation Statement

Recording Transactions in Cash Book, Transactions Contained in the Pass Book/Bank
Statement, Is Passbook a Mirror Image of Cash Book? Causes for Passbook and Cashbook
being different, Understanding Reconciliation, Preparing Reconciliation Statement, Need for
Bank Reconciliation, How to prepare a Bank Reconciliation Statement when extracts of Cash
Book and Pass Book are given? Adjusting the Cash Book balance, Advantages of Bank
Reconciliation Statement

Trial Balance, Rectification of Errors and Adjusting & Closing Entries

Meaning of a Trial Balance, Features and Purpose of a Trial Balance, Types of Trial Balance
and Preparation ofa Trial Balance, Disagreement of a Trial Balance, Classification of Errors,
Location of Errors, Rectification of Errors, Suspense Account and Rectification, Rectification of
Errors when Books are Closed, Adjusting and Closing Entries

Depreciation & its Accounting

Meaning of Depreciation, Causes of Depreciation, Need for Depreciation, Factors of
Depreciation, Accounting Entries, Methods of Depreciation, Straight Line Method, Diminishing
Balance or Written Down Value (WDV) Method, Advantages and Disadvantages of Straight Line
Method, Advantages and Disadvantages of Written Down Value Method, Units of Production
Method, Sum of the Years’ Digits Method, Replacement of a Fixed Asset and Creation of
Sinking Fund, Amortisation of intangible assets.

Capital and Revenue Expenditure

Expenditure, Distinction between Capital and Revenue Expenditure, Receipts

Bills of Exchange
Types of Instruments of Credit, Term and Due Date of a Bill, Certain Important Terms,
Accounting Entries to be Passed, Accommodation Bill, Bill Books

Operational Aspects of Accounting Entries

Peculiar Features of Accounting System in Banks, Accounting Systems of Different Banks,
Illustration

Back Office Functions/Handling Unreconciled Entries in Banks

Functions Performed by the Back Office, Reconciliation Function in Banks, Reconciliation of
Inter Branch/ Office Entries

Bank Audit & Inspection

Bank Audit, Emergence of Risk-based Internal Audit, Types of Bank Audits Viz. Concurrent
Audit, Internal Audit, Statutory Audit, Role of Audit and Inspection

MODULE B: FINANCIAL STATEMENTS AND CORE BANKING SYSTEMS

Balance Sheet Equation

Balance Sheet Equation, Computation of Balance Sheet Equation

Preparation of Final Accounts

Preparation of Trial Balance, Adjustment Entries, Preparation of Financial Statements from Trial
Balance

Company Accounts — I
Definition and Types of Companies, Distinction between Partnership and Limited Liability
Company, Classes of Share Capital, Issue of Shares, General Illustrations, Non-voting Shares
Company Accounts - IT
Form of Balance Sheet, Impact of Ind AS on Financial Statements

Cash Flow & Funds Flow

Cash Flow, Funds Flow Statement, Cash Flow Statement, Fund Flow and Cash Flow Analysis

Final Accounts of Banking Companies

Definition and Functions of a Bank, Requirements of Banking Companies as to Accounts and
Audit, Significant Features of Accounting Systems of Banks, Principal Books of Account,
Preparation and Presentation of Financial Statements of Banks, Accounting Treatment of
Specific Items, Preparation of Profit and Loss Account, Comments on Profit and Loss Account
Items, Important Items of Balance Sheet. Disclosure Requirements of Banks to be Added as
Notes to Accounts, Disclosures Prescribed by RBI Under Basel-III, Banks Listed on a
Stock Exchange, Implementation of Indian Accounting Standards (Ind AS)

Core Banking Systems & Accounting in Computerised Environment

Meaning of Computerised Accounting, Features of Computerised Accounting, Terms Used in
Computerised Accounting, Difference between Computerised and Manual Accounting,
Advantages and Disadvantages of Computerised Accounting, Functions Performed by
Computerised Accounting Softwares Available in the Market, Computerisation — Scope and
Experiences in Banking, The Core Banking Components, Information Security, Internet and
World Wide Web — Influences on Banking.

MODULE C: FINANCIAL MANAGEMENT

An Overview of Financial Management

Forms of Business Organisation, Financial Decision making in a Firm, Objectives of Financial
Management, The Fundamental Principles of Finance, Building Blocks of Modern Finance,
Risk-Return Trade off, Agency Problem in Financial Management, Business Ethics & Social
Responsibility, Organisation of the Finance Function, Relationship of Finance to Economics and
Accounting, Emerging Role of the Financial Manager in India.

Ratio Analysis
Meaning of Accounting Ratios, Classification of Ratios, Uses of Accounting Ratios, Limitations
of Accounting Ratios, Calculation and Interpretation of Various Ratios, Different Users and Their
Use of Ratios
Financial Mathematics - Calculation of Interest & Annuities
What is Simple Interest? What is Compound Interest? Fixed and Floating Interest Rates,
Front-end and Back-end Interest Rates, Calculation of Interest Using Products/Balances, What
are Annuities? Calculating the Future Value of an Ordinary Annuity, Calculating the Present
Value of an Ordinary Annuity, Calculating the Future Value of an Annuity Due, Calculating the
Present Value of an Annuity Due, Repayment of a Debt

Financial Mathematics - Calculation of YTM

Meaning of Debt, Introduction to Bonds, Terms Associated with Bonds, Types of Bonds,
Optionality in Bonds, Valuation of Bonds, Bond Value with Semi-annual Interest, Current Yield
on Bond, Yield-to-Maturity of Bond, Theorems for Bond Value, Illustrations, Duration of Bond,
Properties of Duration, Bond Price Volatility, Problems and Solutions

Financial Mathematics - Forex Arithmetic

Fundamentals of Foreign Exchange, Indian Forex Market, Direct and Indirect Quote, Some
Basic Exchange Rate Arithmetic, Forward Exchange Rates

Capital Structure and Cost of Capital

Meaning of Capital Structuring, Leverage/Gearing, Factors Influencing Decision on Capital
Structuring, Theories/Approaches on Capital Structuring, Net Income Approach, Net Operating
Income Approach, Traditional Position, Assumptions in the Approaches on Capital Structuring,
Taxation & Capital Structure, Cost of Debt, Preference, Equity, Determining the Proportions,
Weighted Average Cost of Capital (WACC), Factors Affecting the WACC, Weighted Marginal
Cost of Capital, Determining the Optimal Capital Budget, Divisional and Project Cost of Capital,
Floatation Cost and the Cost of Capital, Misconceptions surrounding the Cost of Capital

Capital Investment Decisions/Term Loans

Discounted and Non-Discounted Cash Flow Methods for Investment Appraisal, Basic concepts
of term loans, Deffered payment Guarantees, Project financing, Difference between term loan
appraisal and project appraisal

Equipment Leasing/Lease Financing

Meaning ofa Lease, Features of a Lease, Types of Leases, Rationale for Leasing, Contents of a
Lease Agreement, Legal Aspects of Leasing, Finance Leases, Operating Leases, Accounting of
Lease Transaction in the books of Lessor and Lessee, Leasing as a Financing Decision
Working Capital Management
Working Capital Cycle, Cash and Marketable Securities, Accruals, Trade Credit, Working
Capital Advance by Commercial Banks, Cash Budget Method of Lending, Regulation of Bank
Finance, Public Deposits, Inter- Corporate Deposits, Short-term loans from, Financial
Institutions, Rights Debentures for Working Capital, Commercial Paper, Factoring & Forfaiting

Derivatives
Characteristics & Functions of Derivatives, Users of derivatives, Salient points, Futures, Forward
Rate Agreement (FRA), Swaps, Options

MODULE D: TAXATION AND FUNDAMENTALS OF COSTING

Taxation: Income Tax/TDS/Deferred Tax

Overview of Income Tax Act, Basic Overview of Deductions in Respect of Certain Incomes &
Deduction 80QQB, 80RRB, 80TTA & 80U, TDS/TCS, Returns, Refund & Recovery

Goods & Services Tax

Meaning of Direct & Indirect Tax, Introduction to GST

An Overview of Cost & Management Accounting

Cost Accounting: Evolution, Meaning, Objectives and Scope, Concepts of Costs, Classifications
and Elements of Cost, Cost Centre and Cost Unit, Methods and Techniques of Costing, Cost
Accounting Standards, Management Accounting: Evolution, Meaning, Objectives and Scope.
Tools and Techniques of Management Accounting, Relationship of Cost Accounting, Financial
Accounting, Management Accounting and Financial Management

Costing Methods
Unit and Output Costing, Job Costing: Job Cost Cards, Collecting Direct Costs, Allocation of
Overheads and its Applications, Batch Costing: Features and Applications, Contract Costing:
Features, Distinction between Job and Contract Costing, Progress Payments, Retention Money,
Escalation Clause, Contract Accounts, Accounting for Material, Accounting for Plant Used in a
Contract, Contract Profit and Accounting Entries, Process Costing: Features, Applications and
Types of Process Costing, Process Loss, Abnormal Gains and Losses, Equivalent Units,
Inter-Process Profit, Joint Products, By-Products and Accounting, Service Costing:
Features and Applications, Unit Costing and Multiple Costing, Application, Identification of Cost
Unit and Cost Determination and Control

Standard Costing
Definition, Significance and Applications, Various Types of Standards, Installation of Standard
Costing System—for Material, Labour, and Overhead, Variance Analysis for Materials, Labour
and Overheads and Accounting Treatment of Variances, Benchmarking for Setting of
Standards, Variance Reporting to Management

Marginal Costing
Meaning, Advantages, Limitations and Applications, Breakeven Analysis, Cost-Volume Profit
Analysis, P/V Ratio and its Significance, Margin of Safety, Absorption Costing: System of Profit
Reporting and Stock Valuation, Difference between Marginal Costing and Absorption Costing,
Income Measurement under Marginal Costing and Absorption Costing

Budgets and Budgetary Control

Budget Concept, Manual, Fixed and Flexible Budgets, Preparation and Monitoring of Various
Types of Budgets, Budgetary Control System: Advantages, Limitations and Installation, Zero
Base Budgeting, Programme and Performance Budgeting
Paper IV - Retail Banking and Wealth Management

MODULE A: RETAIL BANKING

Retail Banking: Introduction.

Characteristics of Retail Banking: Advantages of Retail Banking: Constraints in Retail Banking:
‘Evolution of Retail Banking; Prerequisite for Suecess of Retail Banking; Challenges for Retail
Banking; Future of Retail Banking

Retail Banking: Role within the Bank Operations

Business Models

Applicability of Retail Banking Concepts; Distinction between Retail and

Corporate/Wholesale Banking
Applicability of Retail Banking Concepts; Distinction between Retail and Corporate/Wholesale
Banking

Branch Profitability
Banking System: An Introduction; Banking in Indias What is Profitability: What is Profit; Gross
Profit, Operating Profit and Net Profit; Profit and Profitability in the context of Banking;
Traditional Measures ‘of Profitability; The ROA (Return on Asset; Retum on Equity (ROE) for
Banks; Branch Operating Efficiency; Strategies for Improving Efficiencies of Banking
Operations; Factors Affecting Profitability ‘of Banks in India; Profitability Analysis of Bank
Branches; Steps to Improve Branch Profitability; Essential Factors to Make Continuous
Improvement in Profitability

MODULE B: RETAIL PRODUCTS AND RECOVERY

Customer Requirements
Maslow’s Theory and Customer Requirements; Customer Requirements about Service Quali
Quality
Product Development Process
Product Development Process; Product Life Cycle; Product Lines of a Banker; Deposit
Products or Liability Products; Credit Products or Asset Products; Other Products and Services;
Other Fee Based Servives ~ Distribution of third party products; New Product Development;
Stages in New Product Development; Constraints in New Product Development; Product
Management; Product Policy

Credit Scoring
What is a Credit Score?; Evolution of Credit Scoring: What's a Good Credit Score?; Credit
Scoring ‘Model; Managing the Credit Score; Positive Side of Credit Score; Warning Signs in
Credit Score; Credit Information Companies in India Issues in Credit Scoring: Mistakes in Credit
Scoring: Troubleshooting Credit Score

Important Retail Liability Products

Demand Deposits: An Introduction; Curent Deposit: An Introduction; Main features of Current
Deposit Account; Advantage of Current Deposit Account; Documents required for opening
various types of ‘Current Accounts; Opening of Curent Account; Operational Instructions in
Current Account; Transfer of Accounts; Inoperative Accounts: Closure of Current Account;
Savings Bank Account: An Introduction: ‘Advantages and Importance of Savings Bank Deposits
to Customers; Who Can Open a Savings Bank Account; Deregulation of interest in Savings
Deposit Account; Maintenance of Balance in Savings ‘Bank Account and Interest Payment;
Restrictions on Transactions in SB Account; Services offered in Savings Bank Accounts; Time
Deposit ~ An Introduction; Periodicity of Time Deposit; Operational instructions; Interest on
Fixed Deposit; Term Deposit accounts of minors; Premature Payment of FD: Operational Issues
of FD: Advances Against Bank's own Time Deposit Receipts; Renewal of FD: Recent Rule of
RBI on overdue FD; Form 15 G15 11; Deposit of TDS to Income Tax Department by Banks; 2 in
| Account; Recurring Deposit (RD)

Important Retail Asset Products

Home Loans; Housing Loan under Prime Minister's Awas Yojana (PMAY); Home Improvement
Loans; Home Decor Loans; Auto'Vehicle Loans; Personal Loans; Educational Loans; Other
Retail Loans Processing of Retail Loans

Credit and Debit Cards

Credit Cards; Charge Cards; Pre-paid Cards; Debit Cards; Co-branded Cards; Contactless
Cards
Remittance Products
Electronic Payment Systems; National Electronic Funds Transfer (NEFT); Real Time Gross
Setlement Electronic Clearing Services (ECS); National Automated Clearing House (NACH)
System: ‘enabled Payment System (AePS); Bharat Bill Payment System (BBPS); Benchmarking
India’s Payment System

Digitisation of Retail Banking Products

Technology in Retail Banking: Technology Processes in Retail Banking: Some Important User
Friendly Features; Customer Analytics; Institute for Development and Research on Banking
Technologies (IDRBN; Indian Financial Network (INFINET); Structured Financial Messaging
System (SFMS); [National Financial Switch (NFS); Indian Banking Community Cloud (IBCC);
Wealth Management Solutions; Digital Lending

Role of Al and Technology in Retail Banking

Dimensions of Banking Technology; Banking Today; Relationship between Banking and

Technology: Evolution of Banking Technology: A New Era in Banking; Evolution of Banking
Technology in India: ‘Challenges towards adoption of Technology by Indian Banks: Technology
in Retail Banking; Benefits of Technology in Retail Banking; Artificial Intelligence (AI), Difference
between Arificial Intelligence (AI) and Automation; Evolution of Artificial Intelligence; Artificial
Intelligence Industry in India: Antica Intelligence in Indian Banking Industry; Indian Banks and
the Technology; Why AI in Banking Industry”; Benefits of Artificial Intelligence Technology in
Banking and Finance; Aificial Intelligence in Retail Banking; Artificial Intelligence in Retail
Banking in Inia; The Challenges Facing India's AI Development; Bencfits of AL in Retail Banking

Recovery of Retail Loans

Repayment in Retail Loans; Default and Re-scheduling in Retail Loans; Monitoring of Loan
Accounts; Classification of lregular Loan Aecounts; Recovery Policy of Banks; Securitization
and Reconstruction ‘of Financial Assets and Enforcement of Security Inerest Act, 2002
(SARFAESI Act), Debt Recovery Tribunal (DRT); Recovery through Lok Adalat; Engaging Direct
Revovery Agents

Management Information Systems

The main elements of MIS; Role of Management Information Systems; Role of MIS in Improving
decision making; Role of MIS in Banking Indust; Designing MIS for a Bank; Issues Related to
Management Information System (MIS); Suggestions for Solution to MIS related Issues
Securitization
Securitization of Assets

MODULE C: SUPPORT SERVICES - MARKETING OF BANKING

SERVICES/PRODUCTS

Marketing: An Introduction
Marketing in Retail Banking; Marketing Mix in Retail Banking

Delivery Channels in Retail Banking

Channel Experience; Physical/Direct Channels ~ Branch; Automated Teller Machines; Point of
Sale Terminal; Mobile Banking: Internet Banking; Customer's Liability on Unauthorized
Electronic Transactions

Delivery Models

Delivery Models; Internal Customers ~ Staff at the Branch Level; Dedicated Marketing
Managers: Direct Selling Agents (DSAs); Tie-up with Institutions/OEMs/Dealers, etc.

Customer Relationship Management in Retail Banking

Customer Relationship Management in Retail Banking; Why CRM?; Implementation Aspects of
CRM in Banks; Implementation Process of CRM in Banks; Implementation Stages in CRM;
Benefits of CRM; Impact of CRM on Customer Satisfaction

Service Standards for Retail Banking

Members of BCSBI; Main Aims and Objects; Code of Banks’ Commitment; Code of Banks
Commitment ‘to Micro and Small Enterprises; Function of BCSBI; Code Compliance Rating;
Customer Grievances Handling Mechanism; General Information

Marketing Information Systems- A Longitudinal Analysis

Functions of MKIS; Components of MKIS; The MKIS Model; Observations; Usage of Computers
in MKIS; Supports for Marketing Management; Supports for Marketing Mix Decisions; Use of
Decision Models; Performance of MKIS; Recommendations; Advantages of MKIS
MODULE D: WEALTH MANAGEMENT

Importance of Wealth Management

Wealth Management - Broad View; Wealth Management Business Structures; Wealth
management process; Wealth Management Products and Services; Altemative asset; Bond;
Insurance; Mutual fund; Real estate Service; Retirement Planning; Strategic Business Strategy;
Will Writing; Private Wealth Management; Personal Financial Planning; Wealth Management
Assessment; Private Banking; Benefits ‘of Wealth management; Importance of Wealth
Management

Investment Management
Element of Investment; Basics of Investment Management; Steps in Investment Management;
Investment Banking; Services being offered by Full-service Investment Banks; Investment Bank
Organizational Structure; Investment Management Vs Investment Banking; Portfolio
Management; Objectives of Portfolio Management; Key Elements of Portfolio Management;
Portfolio Management Vs Investment Banking; Role of Portfolio Manager; Portfolio Management
Service Vs Mutual Funds (MFs); Types of Portfolio Management Services; Steps of the Portfolio
Management Process; Advantages of Portfolio ‘Management Services; Disadvantages of PMS;
Recent developments in the Portfolio Management Services area in India

Tax Planning
Classification of Tax Structure in India; Financial Year; Assessment Year; Previous Year;
Concept of Previous Year & Financial Year vis-a-vis Assessment Year; Residential Status for
Income Tax; A few important terms in Income Tax; Heads of Income for computation of the total
income; Income Tax Slab rate for FY 2021-22 (AY 2022-23); Conditions for opting New Tax
Regime; Example for Old Tax Regime Vs New Tax Regime & which is better; Income Tax Slabs
for non-individual entities; Investment Products for Tax Savings; Estate Planning-Tax Planning
through Wills’ Trusts; Capital Gains Tax

Other Financial Services Provided by Banks

Distribution of Third Party Products in Retail Banking; Mutual Fund Business; Insurance
Business; Some Social Security Insurance Schemes; Cross Selling: Depository Services by
Banks; Portfolio “Management Services; Factoring; Other Agency Business by Banks

ADDITIONAL READING MATERIAL ON HOME LOANS

Lender's Appraisal Procedure
Appraisal Procedures; Application Form; Documents to be Submitted for Availing a Home Loan;
Application Received through Agent; Appraisal of Loan Request; Other Relevant Issues at
Pre-sanction ‘Stage; Documentation; Mortgage; Registration of Documents; Detection of Forged
and Fabricated Title Deeds; Other Securities; Registration of Charges with CERSAI on Sceurity
Internet; Monitoring; Closure of Account; Home Loan Frauds

Housing Finance and Tax Planning

Tax Benefits in Respect of Housing Finance

Mortgage Advice
Development of “Home Information Packs”; Time Value of Money-interest and Annuities; Capital
Gains; Loan Calculator and Loan Amortization Schedule

Valuation of Real Property

Who does Valuation?; Land with Building: Life of Structures; Sinking Fund; Reverse Mortgage
For More
JAIIB/ CAIIB Free PDFs
Register Now

Join
JAIIB/ CAIIB Online Course
Enroll Now

Learn From India’s Top Faculty

Siva Rama Prasad Sir Himanshu Sharma Sir Shubhi Ma’am Rajeev Mishra
EX-GM, SBI PO JAIIB & CAIIB Expert JAIIB & CAIIB Expert JAIIB & CAIIB Expert
Experience: 36+ Year 9+ Years of 4+ Years of 13+ Years of
Experience Experience Experience

[Link]