Course Title: Facilitate customer awareness of the Australian financial system and markets

Part B: Course Detail

Teaching Period: Term1 2009

Course Code: ACCT5238C

Course Title: Facilitate customer awareness of the Australian financial system and markets

School: 650T TAFE Business

Campus: City Campus

Program: C4210 - Certificate IV in Financial Services

Course Contact : Clem Simonetto

Course Contact Phone: +61 3 9925 5426

Course Contact Email:clem.simonetto@rmit.edu.au


Name and Contact Details of All Other Relevant Staff

Craig Kingsley
Course Co-ordinator
Tel: 9925
Email: craig.kingslet@rmit.edu.au
Level 14 Building 108

Nominal Hours: 40

Regardless of the mode of delivery, represent a guide to the relative teaching time and student effort required to successfully achieve a particular competency/module. This may include not only scheduled classes or workplace visits but also the amount of effort required to undertake, evaluate and complete all assessment requirements, including any non-classroom activities.

Pre-requisites and Co-requisites

NONE

Course Description

This unit covers the skills and knowledge to develop client awareness of how the monetary and financial systems and markets operate in Australia, with the aim of enhancing basic consumer financial literacy. It also enables learners to develop knowledge of the nature and role of financial institutions and markets within the Australian financial system.


National Codes, Titles, Elements and Performance Criteria

National Element Code & Title:

FNSFLIT502B Facilitate customer awareness of the Australian financial system and markets

Element:

FNSFLIT502B/01 Explain to clients, the function and role of the Reserve Bank of Australia (RBA)

Performance Criteria:

· The role of the RBA as Australia's central bank is explained to the client
· Differences between the RBA and other banking institutions is communicated to the client
· The importance and effect of the RBA's monetary policy on the Australian economy is communicated to the client in plain language
· The effect of RBA actions on the consumer's personal finances is explained to the client in plain language
· The role of the bank in maintaining financial stability and regulating the Australian Payments System is explained to the client

Element:

FNSFLIT502B/02 Outline the role of money and Australia’s monetary base

Performance Criteria:

· Society's motivations for holding money are identified and discussed with the client
· The various functions of money are discussed with the client
· The impact of changes in the supply of money is explained to the client in plain language

Element:

FNSFLIT502B/03 Outline the main features of the Australian financial markets

Performance Criteria:

· The purpose of financial markets is explained to the client
· The major markets within the Australian financial markets are identified and communicated to the client
· The role of banks and financial institutions as financial intermediaries is discussed with client
· The role and function of the short term money market and types of products it deals in, are outlined in basic language for the client

Element:

FNSFLIT502B/04 Provide information to the client about regulation of the financial system

Performance Criteria:

· The role of independent regulation in the financial system is explained to the client
· The main regulators of the financial system are identified and their roles discussed with the client
· Examples of the protection afforded individuals by the regulators are provided to the client

Learning Outcomes


Refer to performance elements and performance criteria.


Details of Learning Activities

In this course students will undertake a range of learning activities, which will include:
An initial introduction to topics and techniques via teacher directed learning, tutorial-based discussion groups, role-plays to explore individual reactions to particular situations, a group project (case-study) and tutorial exercises in order to develop competency including underpinning skills and knowledge.


Teaching Schedule

Week beginning Topics
Week 1 – 9 Feb Introduction
money, the money supply
Week 2 – 16 Feb money and the level of economic activity
the quantity theory of exchange, the credit creation process
Week 3 – 23 Feb The AFS
overview of the AFS,structure of the AFS, functions of the AFS
Week 4 – 2 Mar an overview of deregulation of the AFS, recent major changes relating to the AFS
Week 5 – 9 Mar Monetary Policy and Prudential Supervision
the role and function of the RBA, the conduct of monetary policy
Week 6 – 16 Mar Monetary Policy and Prudential Supervision
the role and function of the RBA, the conduct of monetary policy
Week 7 – 23 Mar the role and Function of APRA, prudential controls used by APRA; revision
Week 8 – 30 Mar Class Test
Week 9 – 6 April Financial Markets
Equity markets, Corporate debt markets, Government debt markets
                                                 Easter Break - 9th to 15th April inclusive
Week 9 – 13 April Financial Markets
Equity markets, Corporate debt markets, Government debt markets
Week 10 – 20 April Encompassing: Short – medium term markets, Long – term markets, Primary and secondary markets, Direct and indirect markets
Week 11 – 27 April Financial Instruments ( within corporate and government debt markets)
commercial bills, debentures and unsecured notes, fully drawn advances, intercompany loans, bank overdrafts, term loans, government securities
Week 12 – 4 May Financial Instruments continued
Week 13 – 11 May Assignment due
Week 14 – 18 May Securitisation
Week 15 – 25 May revision
Week 16 – 1 June Final Class Test (50%)
Week 17 – 8 June Feedback on assessment
Please note that the above schedule is a guide only. Changes may be made as required. Students are expected to inform themselves of the changes, even if they have been absent.


Learning Resources

Prescribed Texts

• Prescribed text
There is no prescribed text. However you are strongly advised to back up the topics covered on a weekly basis, with relevant supplementary reading from references such as those listed below:


References

Relevant websites/URLs RMIT University, Tier 1 Compliance Program notes (available for download from Learning Hub)

Fraser, I et al (2005) Economics for Business, McGraw Hill

Hunt, B. and Terry, C. (2008) Financial institutions & markets, 5th ed, Thomson, Melbourne

McGrath, M. and Viney, C., (2007) Financial Institutions, Instruments and Markets In Australia, McGraw Hill

Layton, Robinson and Tucker, Economics for today, Thomson, Melbourne


Other Resources

• Online resources
Students will be provided with online resources in the learning hub that includes course overheads and self-directed exercises, online feedback exercises and relevant url’s.


Overview of Assessment

Assessment may incorporate a variety of methods including written tests, a group assignment and final test.
The tests are closed book and consist of multiple choice, practical exercises and short answer questions. The group assignment requires students to research the role and function of a financial institution or a major contemporary issue relating to the financial system and of concern to consumers.

You will receive ongoing feedback on your progress in the course. Feedback on assessment will be given in a timely manner. You will be informed about how to improve your performance in the competency/course and what you need to do to be deemed competent or to gain a pass in the assessment.


Assessment Tasks

The assessment will consist of:

• A test worth 30% of the assessment for the course to be held after topic 2, in week 9.

• A group assignment worth 30% of the assessment. The assignment will require students to research the role and function of a financial institution or a major contemporary issue relating to the financial system and of concern to consumers. It will be due in Week 14.

• A closed book test worth 40% of the assessment of the course. It will be held at the end of the course. It will assess the performance elements in addition to the underpinning skills and knowledge of the course.

Students are assessed against all the performance elements of the course and must demonstrate an understanding of all elements to be deemed competent.  To receive a pass for this course a student must also achieve 50% overall.


Assessment Matrix

  Class test Group assignment Final Test
Explain to clients, the function and role of the Reserve Bank of Australia (RBA)         Y                  Y          Y
Outline the role of money and Australia’s monetary base         Y                  Y          Y
Outline the main features of the Australian financial markets         Y                  Y          Y 
Provide information to the client about regulation of the financial system                    Y          Y

Other Information

Students should be aware that the use of mobile phones during tests is not permitted, even for conducting calculations.

Course Overview: Access Course Overview