MBF 810: Economics

This course unit covers the broad areas of Microeconomics: consumer behavior, decision making under uncertainty, strategy and game theory and economics of Information; Macroeconomics: consumption, saving and investment, economic growth, money, interest and exchange rates, term structure of interest rates and international capital mobility; Financial Economics:  portfolio choice, cost of capital, capital structure, financial intermediation and financial innovation 

MBF 811: Finance

The scope of the finance unit covers: Financial Management: goals of the firm, financial management objectives, financial management environment, scope of financial management, investment decisions; portfolio theory,  risk and return tradeoff, CAPM and APT, financing decisions, sources of finance, working capital management, asset management, capital budgeting/capital investment appraisal, and valuation;  Corporate Finance: corporate value, firms' financing decisions, capital structure and cost of capital theories, mergers, acquisitions and leveraged buyouts, options, warrants, and convertibles, venture capital and initial public offerings and pensions, firm valuation, spin-offs, and divestitures, modern techniques for pricing options, swaps, and related financial instruments, the use of such instruments in managing financial risk, and the measurement and management of their risk. concepts. 

MBF 812: Quantitative Methods

The quantitative methods covers the mathematical concepts of algebra, calculus, and dynamic optimization; Operations research: Linear programming, Goal programming and Queuing theory. Probability and statistics: random variables, conditional probability, probability of distribution and stochastic processes; Statistics:   Normal, chi-square, F-distributions and Markovian processes; Econometrics: tools (simulations, bootstrapping, Gauss, MLE), Time series, univariate models, multivariate models, modeling variance, forecasting and panel data 

MBF 813: Financial Law

This course unit outlines and discusses the importance of financial law for the creation and development of strong financial markets; the institutional framework that is necessary for the provision of credit and the operation of financial markets; the basic legal components of the financial system; key legal problems that relate to the provision of finance and the ways in which financial institutions address such problems; legal principles and rules applicable to bank deposits and the relationship between the banker and the customer; the basic legal principles underpinning commercial and international banking transactions; the legal risks involved in the process of agreeing and documenting the most basic financial agreement, the basic legal components of the payment systems of key jurisdictions of the world and the nature, scope, economic function of security in the provision of finance 

MBF 814: Management Information System

This course unit covers general but relevant   information systems, systems development life cycle, procurement of ICT capability, internet and E-commerce systems, business strategy and information systems and ICT operations management   

MBF 815: Research Methods

This unit covers introduction to research methods: Methodology of social sciences research, epistemological approach;  Descriptive statistics; Inferential statistics (parametric and non-parametric) : Hypotheses design and testing (pre-testing and post-testing, t-test, F-test, Chi-square, Chow test). Measurements,  Data Collection techniques and methods of analysis: Sources of data (data sources types local and international including the central bank, Kenya national bureau of statistics, Nairobi stock exchange, International Financial Statistics, African Development Bank, World bank among others); Correlation and simple linear regression analysis;  Time series Analysis:  problems of time series data, variable means and variances, data requirements and handling of time series data; time series characteristics, unit rrot testing, cointegration tests, granger causality, exogeneity tests, estimation of error correction model, variance models, vector autogressive models, system of equations and generalized method of moments. Cross-section data analysis: Choice of estimation and estimation techniques; limited dependent variable models, simple probit, tobit and logit models; Heckman sample selection model; estimating simple cross-section models; Case study methods; and presentation and interpretation of results. Panel data analysis: panel data structures, benefits and limitations of panel data, Data requirements; one way error component regression model, the fixed effect and random effects model; two-way error components, the fixed and random effects model; hypothesis testing, poolability, individual cross-section and time effects, heteroscedasticity, serial correlation and stationarity test and Presentation and interpretation of results 

MBF 816: Corporate Governance

The scope of this course unit include fundamentals of corporate Governance, board and Strategy, board disclosure/reporting, issues on information technology, appreciating financial reports, ethics and integrity and corporate social responsibility.  

MBF 817: Banking Theory and Practice

This course unit covers the concept of money and money stock, financial instruments, modern banking systems, key features of international money flows, developments in the money sector, monetary policy, commercial and investment banking, bank risks and bank regulation. 

MBF 820: Banking Operations

This unit covers banking theory & practice, evolution and emerging trends in banking and financial markets, the role of Central Bank and other regulatory agencies, front office operations, bank payments media, audit and internal control systems, financial management, compliance and reporting, operational planning, Management Information Systems (ICT & Business Processes), products and services: deposits, credits, asset & liability management, trade finance; and Asset Finance.  

MBF 821: Risk Management in Banks

The course covers Financial Statement Analysis; Bank and Business lending policies & Procedures; Sources of value creation in Banking; Profit Centre Management; Risk-Adjusted Performance Management; Pricing Credit Risk and Loan Provisioning; Structuring and Managing the Risk Management function in a Bank; Measuring Market Risk: The VaR Approach; Measuring and Hedging Credit Risk; Managing Operational Risk; Capital Allocation and Performance measurement; Model Risk and Risk Management in Non-Bank Financial Institutions 

MBF 822: International Banking

This course unit covers International Financial Institutions and Banking Activities; Hedge Funds and Financial Stability; International Regulation: From original Basel Accord to the New Standardized Approach, Current practices in global finance, Taxation and Structure of International Banking and Liquidity and Liquidity Risk Management 

MBF 823: Strategic Bank Management

The course unit covers Developments Shaping Global Banking and Finance; Reconfiguration of Global Financial Services; Global Debt and Equity Markets; Strategic Planning; Institutional Asset Management; Strategic Marketing; Strategic Analysis and Business Leadership; Human capital Development; Overall performance evaluation 

MBF 824: Real Estate Finance

The course unit starts off with an introduction  to basic concepts in real estate management then proceeds to cover Legal Issues and Government Regulation; Proforma Setup; Multi-period Leverage and Analysis; Property Analysis and Valuation Methods; Construction and Permanent Financing; Types of Loans and Creative Financing Techniques; Analyzing Risk; Real Estate Taxation and Finance Decisions and Capital Markets and Real Estate 

MBF 830:  Public Finance and Policy

This course unit covers the fundamentals of Public Policy Analysis which of include Welfare Economics, Public Choice, Cost-Benefit Analysis and Policy Reform,  tax policy analysis, expenditure evaluation fiscal politics, budgeting, development finance and intergenerational issues & social security 

MBF 831:  Financial Systems and Theory

The course unit  covers financial development models, institutional dimensions of financial development, financial liberalization, inflation & growth, financial development policies. 

MBF 832:  Macro Economic Policy and Management

The key areas covered in this unit include money, financial markets & aggregate demand, fiscal policy & aggregate demand, design of macroeconomic policy, Regional/International Interdependence & Policy Coordination  

MBF 833:  Regulation and Competition Policy

The scope of this course unit include objectives of competition policy, industrial structure & economic performance, anti-competitive strategies, innovation, financial regulation 

MBF 840:  Financial Markets

The areas of coverage in this unit include uncertainty, including expected utility theory, risk aversion, stochastic dominance, and two-period consumption-portfolio problems; equilibrium pricing theories, including implications of no arbitrage and stochastic discount factor, risk sharing, aggregation, and consumption-based pricing in complete markets; mean-variance efficiency and the Capital Asset Pricing Model, and the Arbitrage Pricing Theory; and relation among various pricing theories, models of pricing and portfolio choice in a multi-period setting. 

MBF 841:  Financial Intermediation

This course unit covers analysis of problems faced by commercial bank managers; the role of financial intermediation and its relation to the macro-economy information technology, and government regulation; examination of the problems of pricing and evaluating the risk of bank financial services such as loans, loan commitments, and derivatives; and consideration of bank portfolio risk management.  

MBF 842:  International Finance

The area of coverage include the characteristics of the international financial market and various aspects of corporate financial management; International parity conditions, exchange rate risk management, country risk, cross-border investment analysis, multinational firm budgeting, hedging in foreign currency markets, accessing international financial markets for financing, competitive strategy in a global marketplace. 

MBF 843:  Seminars in Finance

The students are expected to write seminar papers in the areas including but not limited to portfolio theory, CAPM, OPM, and arbitrage pricing theory theoretically and empirically; uses both mathematical statistics and modern econometric models to empirically analyze investment decisions and portfolio management; Theories, paradigms, and models of non-financial corporations; theoretical foundations and empirical evidence regarding corporate resource allocation, capital structure decisions, and dividend policies; and contingent claim analysis, signaling theory, and agency theory 

MBF 850:  Microfinance Models and Practice

The course unit covers the Grameen Model, Savings and Credit Cooperative Societies; Market Model; the Self-help Group Model; and Mainstream Banking and Microfinance.  

MBF 851: Microfinance Operations  and Management

This course unit covers Portfolio Management / Micro-credit methodologies and operations; Delinquency Management; Risk Management; Product Development; Marketing; Financial Management and Management of Information Systems 

MBF 852: Microfinance Institutional Development

The scope of this unit include Strategic Planning; Transformation of NGOs to Microfinance Institutions; Leadership and Governance 

MBF 853: Microfinance Regulation  Framework

The general area of coverage of this unit includes CGAP Guiding Principles on regulation and supervision of microfinance institutions. Overview of regulatory and supervisory models for microfinance institutions and Transformation of Microfinance in Kenya – Experiences, options and future. 

MBF 899:  Research Project

Each student shall be required to undertake a research project in the third semester of the programme. The student shall first present a research proposal to an academic board who shall listen to it and give a go ahead to proceed to the field for research. Master’s degree shall only be awarded after successful completion and presentation of the Research Project report.