Master of Science in Finance
Specialization: Private Banking & International Wealth Management

Why a MSc in Finance (Private Banking & International Wealth Management)?

Meeting the investments and management needs of high net worth individuals

IUM has a long tradition of developing multicultural views on business dynamics. This specialization in Private Banking & International Wealth Management exposes students to a cross cultural vision of wealth management needs and solutions, preparing them for international careers. This Master's degree, based in one of the most active hubs for private banking & wealth management services, offers unparalleled networking and career opportunities in Monaco.

International and local private banks are fully integrated in the courses conception in order to ensure that the curriculum meets the most current standards and expectations of the financial industry. This program in Finance integrates project-based and practical learning, including guest seminars, financial conferences, supervised visits and hands-on field projects.

Thierry Crovetto, Professor of Wealth Management and Head of Investment Strategy, G&G Private Finance

"The Wealth Management industry is facing a lot of pressure worldwide as a consequence of the global financial crisis. Not only clients’ behavior has changed, but also the regulatory framework has become increasingly challenging. As a result a demand for young professionals, with both a strong technical background and a better understanding of clients’ needs, is rising fast.

The International University of Monaco has been a first mover in offering a Master in Finance with a focus on this peculiar segment of the financial industry. The MSc in Finance (Private Banking and International Wealth Management) provides students with a deep insight into the latest trends of this business. In addition, several conferences and guest seminars are organized in order to help students build their own network and think about their future careers plans.

My course in Wealth Management particularly focuses on the most relevant aspects of the industry. I put a special emphasis on the financial products and strategies I use every day at work. As a professional, I try to give my student a concrete feel of what they are likely to face once employed. I strongly believe this brings an added value to their learning experience. "

  Market News from G&G Private Finance, October 2012

Marco Casella, Managing Partner, International Financial Advisor GC Group Capital, LL C

"I like IUM for its international student base and its practical approach. I enjoy sharing my professional experience with the students, getting their feedback and points of view.

I have been having an open dialogue with students helping them find professional opportunities based on their passions and skills. I particularly enjoy this open dialogue."

Some of the courses offered in the MSc in Finance

Macroeconomics for Financial Forecasting

This graduate‐level course in international macroeconomics aims to help students understand the forces shaping the current global economy, and to develop forecasting and investing skills. Macroeconomic concepts and tools are applied to practical “global macro” investing decisions. Thus, the course explores macroeconomic themes and macro drivers such as business cycles, national output and growth, productivity, globalization, inflation, money supply, national income accounts, consumer spending, interest rates, monetary policy, and foreign exchange rates.

Ethics in Finance

The course is designed to provide a solid theoretical and practical basis for ethical behavior in the global financial services industry. The course commences with conceptual definitions, typology, and the theoretical framework of ethics in finance. It then helps categorize ethical challenges endemic to the state‐of‐the‐art financial marketplace, common decision making constraints, and financial management practices whose ethical perception is often deemed controversial (e.g. bankruptcies, hostile takeovers, offshore tax planning, government bailouts). The course further describes corporate theory evolution and its bearing on ethical behavior (with particular emphasis on phenomena that have come to light during the global financial crisis of 2007‐2009). Finally, course content goes on to outline ethics modules of three globally recognized financial designations (CFA, ACCA, and PRMIA) and is accompanied by a series of explanatory case studies on spectacular corporate failures over recent decades. The course culminates by presenting the instructor’s hands‐on experience of ethical predicaments faced by a present‐day financial sector executive.

Financial Accounting for Investments

This course explores the subtleties and complications that arise in applying financial accounting standards to investments in equity and debt securities. Students will analyze the financial information – in particular, financial statements – in quarterly and annual reports of publicly traded corporations to gain insight in the valuation of securities issued by them. Besides focusing on the key issues of profitability, growth, cash flow generation, liquidity and credit worthiness, students will learn to critically evaluate financial disclosures to identify value drivers, as well as unrealistic or overoptimistic statements.

Statistics and Financial Data Analysis

This course introduces financial data analysis and the basics of statistical inference. The course also introduces the use of ordinary least squares (OLS) simple and multiple regression to model relationships amongst financial and economic variables. Students study statistical properties of financial data, analyze them using Excel data analysis tools, and learn to interpret and clearly present results.

Corporate Governance and Market Regulations

This course surveys worldwide corporate governance from the investor’s point of view. It focuses on the importance of corporate governance for the investor. The course begins with a discussion of the basic corporate governance problem and the major issues related to it, prominent proposed solutions to the problem, the different ways it is addressed in various companies, and the positives or drawbacks of various solutions. The course continues with a broad overview of current issues in market regulation focusing on the role and evolving responsibilities of order entry firms, market makers, and other participants in the market. The course highlights preventive compliance tools and methods through case studies and interactive discussion; and explores areas related to compliance, surveillance, examinations, trading, enforcement, and other areas of interest in market regulation. Topics include raising capital from the public and issues arising in the subsequent trading of publicly listed securities, insider trading and market manipulation, and key concepts in the Takeovers Act. Students will learn how corporate governance has an important influence on a society’s economic productivity.

Corporate Finance

This course introduces the theory and practice of the financial management of companies. Topics include cost of capital and optimal capital structure, capital budgeting, working capital management, long term debt financing, common and preferred stock financing, dividend policy, share buybacks, and corporate governance. Students will develop an understanding of companies’ behavior and needs by learning how firms raise and allocate capital, and by studying ethical issues linked to this decision process.

Stock and Bond Valuation

This course focuses on stocks and bonds. It discusses the mathematics of these basic financial products; and the implementation of practical tools to compute returns and yields, assess risk, and determine fundamental values. Topics include equity valuation models (dividend discount and free cash flow models, and P/E ratio valuation), risk and risk measurement, macroeconomic and industry analysis, bond prices and yields, the term structure of interest rates, interest rate risk and bond duration and convexity, and bond portfolio management. Students acquire a working knowledge of stock and bonds including the characteristics of the instruments and their markets, the factors affecting the way in which they trade, and their uses by different players in global financial markets.

Asset Management and Investment Banking

This course provides a broad overview of asset management practices. It presents various strategies, financial instruments, and investment vehicles through the analysis of real investment funds. Beginning with a presentation of the different key players of investment banking and asset management, the course describes the different asset classes (stocks, bonds, HF, commodities, volatility, etc.) and focuses on the underlying principles and strategies (passive, active, total return, and absolute return) used in the financial industry.

Derivative Products and Strategies

This course focuses on “plain vanilla” financial derivatives such as options, futures, and swaps; the markets in which they trade; and the strategies that can be constructed using these derivative instruments. The course provides a detailed study of equity and currency options, forwards and futures on stock indices, currencies and commodities, and currency, interest rate, and equity swaps. Students will learn the characteristics and specifications of these derivative products, the trading strategies that can be implemented using them (such as stock‐index arbitrage, fixed income arbitrage, various options strategies like strangles, and straddles), and how to develop an intuition about the factors that affect the way in which they trade.

Portfolio Theory and Management

This course analyzes different portfolio management techniques with respect to empirical evidence of security returns. Major topics include discussion of the Capital Asset Pricing Model (CAPM), the Arbitrage Pricing Theory (APT), and multifactor models. Students construct and monitor their own investment portfolios using data from Bloomberg. They learn how to combine different asset classes into investment portfolios according to modern portfolio theory with the objective of achieving an optimal riskreturn profile.

Real Estate Investing

This course seeks to impart an understanding of commercial real estate as an income producing investment. It explains real estate syndications as an ownership form, financing alternatives, and the use of financial leverage. Students will learn the techniques used to valuate commercial properties, how to prepare an investment analysis, and how to identify the risks of development projects. They will develop an in-depth understanding of the mortgage market with its several sources of financing.

Risk Management

This course focuses on the measurement and management of different types of financial risk such as market risk, liquidity risk, and operational risk; and develops a framework for integrated risk management. The course emphasizes the Value at Risk (VaR) technique and its applications. Students will learn and implement quantitative techniques for risk management using Excel spreadsheets.

Hedge Fund and Fund of Funds Management

This course is designed to expose students to various characteristics of hedge funds – their classification in terms of the strategies employed and risk‐adjusted performance evaluation, and their organizational structure as well as their objectives, risks, and disclosure practices. The course introduces legal issues concerning the formation of a hedge fund and their business practices such as management and incentive fees structure. The “hedge fund universe,” its historical and current evolution, and its ethical issues is presented from a variety of perspectives, from managers to private and institutional investors. Several classes in this course are taught by market professionals.

Capstone Applied Project

This course requires students to develop an applied project to facilitate the application of theory, skills, and knowledge acquired over the course of the MFIN program. The capstone applied project may take the form of a thesis or a project‐based learning exercise. The thesis is completed in collaboration with a faculty expert and investigates industry, market, and a topical issues or opportunities related to a specific area of interest. Any problems investigated must have current and ongoing relevance. The project‐ based learning exercise requires students to work with their faculty mentor on a sustained basis that will involve both direct contact hours and research/lab hours. The final deliverable is the project white paper. Students will learn how to work under pressure and apply what they have learned in the MFIN program.

Wealth Management

The course presents all aspects of wealth management for high net worth individuals. It seeks to develop a profound understanding of issues such as suitable asset allocation from an integrated prospective, behavioral investing, risk appetite, lifestyle, life cycle, and estate planning. Topics include international wealth planning and financial planning and life cycle for high net worth individuals; trusts, foundations, and estate planning; tax laws, residence, and family office description and structure; and integrated asset allocation, risk tolerance, and behavioral investing. Students will learn to liaise effectively with a specialist, and assess and integrate the advice to create an optimal solution to the often complex wealth planning situations of high net worth individuals. They will master the major concepts of international laws and regulations concerning wealth planning, domestic and international estate and tax planning, and how to optimize a client’s situation.

International Taxation

This course provides a broad understanding of the legal and financial aspects of income taxation, as well as a demonstration of how the basic building blocks of most tax systems can generate tax planning opportunities. The course illustrates these concepts by referring to legislation in specific countries; introduces corporate income taxation; and focuses on residency, interest deductions, and anti‐avoidance legislation. It then addresses international tax issues. Students will learn the financial aspects of tax and how to value alternative tax planning techniques. They will become familiar with tax treaties and other techniques for the avoidance of double taxation.

Client Relationship Management

This course presents an overview of integrated services for private clients and how to implement appropriate client segmentation. It focuses on applying modern customer relationship management systems and data‐mining techniques to high net worth individuals. Topics include customer behavior and client segmentation, private client behavior and total quality management, acquisition and retention of high net worth individuals, image creation, branding and communication strategies, and integrated services and pricing strategies. Students will learn pricing strategies and how to build long term customer loyalty with private clients by adding value to private banking services. They will grow to appreciate the importance of each service while understanding the critical nature of creating synergies between different segments of a bank.

Selling Financial Products

This course is designed to provide students with the skills necessary to sell financial products and services either in a B2B or a B2C environment. Most of the selling techniques are comparable to the ones used in other fields of services sales. Students learn how to decipher the use of various means of communication with an emphasis on Non Verbal communication, identify the social style of the counterpart based on Manning and Reese typology, understand the buying process, implement prospecting techniques, namely through cold calling, use the SPIN method to identify prospect needs, practice oral presentation techniques by means of informative and persuasive presentations, identify the various negotiation techniques, define their BATNA and practice conflict handling techniques and have general ideas of the main negotiation styles as related to local culture. The course will use practical communication exercises, sales role plays and students oral presentations. Outside guest speakers will bring their specific experience in the field of selling financial products.

Green Finance

The Green Finance course addresses the organization and dynamics of the financial system in dealing with climate change and ensuring a sustainable development. There is now clear scientific evidence that emissions from economic activity, particularly the burning of fossil fuels for energy, are causing changes to the Earth's climate. In order to underpin an effective global response to this challenge Green Finance involves a new organization, measures, policies, instruments and innovations for the financial system. The ‘Green Finance’ course provides students with an independent, rigorous and comprehensive analysis of the financial aspects of this crucial issue. Main topics of the course are the challenges, strategic implications and business impact for the financial industry.

Please note that this list is not exhaustive and subject to change

...To Practice

At the end of the academic year, the applied research project or the internship offer students the opportunity to apply the theory gained in the courses and to further develop their interests and competencies in a chosen field of specialization.

In their internship search, Master in Finance, Private Banking & International Wealth Management students are supported by all IUM faculty members and by the IUM Career Office, that provide them with information and guidance on the finance job market places and help them throughout the year to carefully prepare their applications in these competitive markets.

Senior Private Bankers or wealth Management Advisors have undoubtedly various backgrounds, profiles and various ways to develop and manage their portfolio of clients. This exclusive relationship with high end and "exceptional" clients means to combine a strong rigorous mindset with outstanding empathy skills that are not easily acquirable in a typical academic program.

For this reason, this master's degree in Finance has a strong focus on practical experience thanks to the interaction and participation of senior private bankers and wealth managers. Invited to present their selling methodologies and investment approaches during courses, those professionals are also keen on fostering students soft skills and guiding them in their career choice.

At the end of the academic year, the applied research project or the internship offer students the opportunity to apply the theory gained in courses and to further develop their interests and competencies in a chosen field of specialization.

Career opportunities for the MSc in Finance (Private Banking & International Wealth Management)

Careers combining people skills and a solid knowledge of complex markets dynamics.

The last financial crisis, the fast growing emerging markets and the permanent search for secure and innovative solutions have profoundly changed the wealth management industry. Developed in partnerships with well established institutions, the IUM Master in Private Banking & International Wealth Management is designed to fit their new needs for key competencies, combining a thorough understanding of complex financial schemes and strong relationship management skills.

IUM MSc in Finance alumni are now working in famous Private Banks, wealth management boutiques and family offices, financial advisory companies, asset management / investment firms. The broad range of skills they acquired during this intensive and practical program enabled them to apply for positions as: Junior Private Banker, Real Estate investment manager, funds/ porfolio manager, financial advisor, tax planning officer...

Some of the companies where they have interned or are still working are:

American Express Bank Paris, Bank Julius Baer Switzerland, Bank J.Safra Monaco, Banque Populaire du Luxembourg, Barclays Wealth Geneva, Ing Bank Amsterdam, Merrill Lynch Monaco, BNP Paribas Private Bank , SocGen Private Banking Monaco, Credit Foncier Monaco, PriceWaterhouse coopers Brussels...

Talal Bessa, Master in Finance (Private Banking and Wealth Management 2010)
Junior Private Banker, Bank J. Safra

"When we enroll, we all know that we’ll end up in a group of students with diverse educational and business backgrounds, but the richness of cultures, nationalities, and personal wealth in any given class is truly unique. In 2010, the five continents were represented in our class, students were coming from Colombia, Nigeria, China, the UK, Germany, Lithuania, Russia, Italy, Portugal, Canada, the USA to name a few countries. We exchanged on our experiences and future strategies, our respective political and cultural background, and received valuable insight on one another’s field of expertise.

Some people consider the small size of a university a handicap, I consider it a gift. When we study a technical field like finance, we sometimes need personal assistance and that is not possible in a class of 150 students. This Master of Finance at IUM is very challenging; so having highly knowledgeable professionals at our disposal was a gift."