Like previous editions, COMMERCIAL BANK MANAGEMENT, Third Edition, is designed to help those students who are thinking about a career in banking and professionals in the banking field by providing them with a view of the subject from the perspective of both a bank customer and bank manager. Rose gives students insight into modern issues such as interstate banking, risk management, global banking, technological advancements, and government deregulation_issues bankers must confront every day. The text demonstrates the critical role banks play in determining standard of living, availability of jobs, and overall function of business. It contains a balance of theoretical and analytical material, which provides students with the tools they need to understand modern banking. For those already employed in banking, the book will improve management skills and keep them up to date on the most current trends in banking. It is used in undergraduate and MBA level courses in commercial banking, as well as in financial institutions courses, when the emphasis is on commercial banking.
This book, presented from my perspective, emphasizes stable profitability and risk control, teaching readers how to choose healthy banks and avoid high risk institutions. It offers practical tools, responsible asset management strategies, operational optimization, and adaptation to regulatory changes. However, it also advocates for the adoption of newer technologies. The book later discusses future trends and the impact of fintech on bank operations. Many banks are now encouraging the adoption of blockchain and other projects. The book mentions the 2008 financial crisis, specifically Lehman Brothers, the fourth-largest investment bank in the US, which suddenly went bankrupt on September 15, 2008, becoming the "trigger" for the crisis, leading to a global stock market crash, credit freezes, and economic recession. Lehman Brothers held a large amount of toxic assets related to subprime mortgages but refused to sell at a discount or seek assistance. Governments were unwilling to intervene as they had with Bear Stearns, triggering market panic and a chain reaction. These events were unavoidable.
The explanations are easy to understand, but some of them may not be as relatable in the context of Bangladesh or other Asian countries. However, it is a helpful resource for practicing bank financial statements, interest sensitive assets, liabilities analysis; duration analysis issues. Overall, it provides valuable insights for international understanding. ✍️✨