Writing in Finance and Banking
Annotated Bibliography
Going back to the early stages in the field of finance and banking is much harder than one would think because of the constant recording of numbers, transactions, financial statements, and notes for a variety of businesses. The purpose of researching this is to inform readers of the evolution of writing within the finance and banking industry along with what one will more than likely learn and come across when trying to get into this type of career. It all begins with the “founding” fellows and how they became known in finance and banking. I became interested in finance and banking when my father applied for a loan for a small business he was starting. I was fascinated by the data he had to provide, using cost analysis to make his argument. I learned that, besides being good in mathematics, I liked the practical aspect of this field. These selections will be the basis of my education as I study them more closely in the classes I take as an upper classman.
Landmark Texts
Benninga, S. (2008). Financial modeling (3. ed.). Cambridge, MA: MIT Press.
Financial Modeling is a guide that is considered a landmark text because it provides information about complications and difficulties that are not covered in standard finance classes that many businesses today encounter. This handbook explains how to figure out models with the use of spreadsheets in Microsoft Excel. The chapters in this book cover several areas that go all the way back through the years along with current and up-to-date methods and practices that are used in financial institutions and businesses today. A few of those subjects include business formulas, financial computations, developing financial statements, and portfolio-keeping. One reviewer, Ed McCarthy, referred to this work by stating, "Benninga has a clear writing style and uses numerous illustrations, which make this book one of the best texts on using Excel for finance that I've seen." Simon Benninga is a reputable source for learning about finance for many reasons. He has been a professor of finance at many universities such as the Wharton School of the University of Pennsylvania, University of Groningen, and University of Otago (New Zealand), which gives him an international edge in the field. Also, he has been a visiting speaker at numerous campuses and well-known locations to give his expertise on finance and economics.
Bliss, R. R., & Kaufman, G. G. (2008). Financial institutions and markets: Current issues in financial markets. New York: Palgrave Macmillan.
Financial Institutions and Markets: Current Issues in Financial Markets edited by Robert Bliss and George Kaufman is an essential read for individuals entering into the world of business involving finance. It is a diverse and well-rounded collection of research papers created by leaders within the field to explain and further the readers’ knowledge about the continuous improvements and changes inside financial institutions and their markets. This compilation of studies not only describes the United States, but the international world as well. The beginning subject of this book is banks and their role in finance along with the evolution of its impact and regulations it must follow to maintain fairness and equality. The policies illustrated in text and tables will help anyone be able to gather a sufficient amount of background information about the field and how things work. Contributors such as George G. Kaufman, Christian Johnson, Ronnie J. Phillips, and Harvey Rosenblum among others are credited for their involvements and impacts in finance and banking throughout the years to help the field get to where it is in today’s society. This is worth reading and looking into because George Kaufman has a Ph. D in economics along with currently being an educated professor of finance and economics at Loyola University Chicago. In addition, Robert Bliss has credentials of a doctorate in finance at the University of Chicago and is currently the F.M. Kirby Chair in Business Excellence at the Schools of Business at Wake Forest University.
Constable, S., & Wright, R. E. (2011). The Wall Street Journal guide to the 50 economic indicators that really matter: From Big Macs to "zombie banks,” the indicators smart investors watch to beat the market. New York: Harper Business.
The WSJ Guide to the 50 Economic Indicators That Really Matter is a guide about indicators that external users and investors overlook, yet are extremely important and affect the economy involving finance. Robert Wright is a well-known financial historian that has the education and intelligence to provide the investors with predictive assumptions and advices about future changes in business along with the help of Simon Constable, who is a Dow Jones columnist with experience in the progression of the economy and financial activities. This particular guide is vital to investors whether they realize it or not because it targets the smaller and disregarded indicators. Some of these overlooked indicators include automobile sales, book-to-bill ratios, the Baltic dry index, and several others. The more knowledgeable and expert stockholders have a grasp over these concepts, which assist them to beat the overall stock market in the long run. However, less-experienced people involved that look over this handbook can gain an advantage as getting adjusted into the economy and all of its components. Today’s market is a very tricky and complicated concept in the economy and with the help of this read, investors of all levels of expertise can benefit from the advice and tips given within it.
Evanoff, D. D., & Kaufman, G. G. (2005). Systemic financial crises resolving large bank insolvencies. Singapore: World Scientific.
The idea of banks and financial institutions being profitable and credit-worthy is completely ideal in the industry. This landmark text is a great resource for inside workers within the system to help teach and inform about troubles and solvency problems. One major factor that ensures good solvency for financial institutions is protection of internal controls along with safeguarding stability. Another important point discussed in this text is the consequences of large corporations that do not take the necessary steps and precautions to make sure problems are taken care of before the company’s numbers or financial statements show the faults. The main benefit of Systemic Financial Crises: Resolving Large Bank Insolvencies is the case studies provided towards the end that give prime examples of situations that could come across any institution and what should be done to fix issues like solvency correctly. George Kaufman is recommendable for his abundance of education in economics along with currently teaching finance and economics at a well-known university. In addition, Douglas Evanoff has a Ph. D in economics along with being vice president and advisor at the Federal Reserve Bank of Chicago.
Hamilton, A., & Syrett, H. C. (1987). The papers of Alexander Hamilton. New York: Columbia Univ. Press.
The Papers of Alexander Hamilton covers the years from 1708 to 1803. It includes a variety of useful sources for people to comprehend the purpose and reason behind financial matters. It focuses on the life of Alexander Hamilton, who was the United States Secretary of the Treasury along with helping with the development of the United States Continental Congress and the Constitutional Convention. He is known for establishing his financial system for the country that not only set the foundation for the years of finance and banking to present day, but also in order to stimulate the economy for success and work our way out of national debt. Another aspect described in detail is Hamilton’s efforts in public credit and the idea of creating a national bank, which could from there, develop and prosper as the years go on. Therefore, Alexander Hamilton is a founding contributor to this area of business and everyone involved in finance should take the time to read how it all started beginning with this man.
Hamilton, A. (1800). Letter from Alexander Hamilton, concerning the public conduct and character of John Adams, esq. president of the United States. Philadelphia: New-York.
This piece, Letter from Alexander Hamilton, Concerning the Public Conduct and Character of John Adams, ESQ., President of the United States, is a letter written by Alexander Hamilton that addresses his personal issues about John Adams and his strategies as a leader of the country. Hamilton was a man of business etiquette with expertise in finance and banking. Even though John Adams was focused on issues concerning foreign countries and the economy in general, Alexander Hamilton felt that he was not fit in most areas explaining, “Not denying to Mr. Adams patriotism and integrity and even talents of a certain kind… (referring to Adams’s position as President of the United States) on account of lack of sound judgment, eccentricity, inability to preserver, vanity beyond bounds, and a jealousy capable of discoloring every subject.” Overall, Hamilton’s ideas and thoughts about how the financial system of the country should be constructed and ran efficiently are well-respected and profound since he helped start the foundation in finance.
Hamilton, A. (1850). The works of Alexander Hamilton containing his correspondence, and his political and official writings. New York: J.F. Trow, printer.
The quote, “A national debt if it is not excessive will be to us a national blessing; it will be powerful cement of our union. It will also create a necessity for keeping up taxation to a degree which without being oppressive, will be a spur to industry...,” is stated within this text and stands out as an overall subject that relates to finance and banking. Again, Alexander Hamilton is considered the Father of this area of business along with helping establish the stepping stones in order to gain an abundant amount of knowledge on this topic to be well-respected and reliable. Investors and people going into finance and banking need to understand and be able to demonstrate the principles, methods, and organizational structure that are mostly uniform throughout businesses and time. In addition, it is important to realize that many factors can affect the world of finance and banking such as the economy, war, and/or political issues and how all of it ties together into one system. This text shows an excellent example of all of these aspects and considerations to comprehend the overview of the field.
Kaufman, G. G. (2003). Market discipline in banking: Theory and evidence. Amsterdam, the Netherlands: Elsevier JAI.
Market Discipline in Banking: Theory and Evidence is a fundamental text in that it explains and describes in detail about how the banking system is effective and what contributes to its success. Having ethical, dedicated, and productive members and management within the system along with following guidelines and regulations set by the government is not enough to be valuable to investors and others even though it may seem like it is. This is where the idea of market discipline comes into play. This theory was not always accepted because of concerns about an overwhelming amount of malfunctions and miscalculations within the banking system. Market discipline engages interested parties in the organization of ensuring the accuracy of the bank along with assisting in correcting problems that could end up being harmful to the overall system. The coupling of the bank and market discipline is shown as effective with much potential in the future in order to be profitable for finance and banking in today’s economy. This piece would be very beneficial to people in banking careers or studies because of the large amount of knowledge and analytical/statistical thinking that went into this text along with the numerous experiences of the author that helps support his expertise in finance and banking.
Tirole, J. (2006). The theory of corporate finance. Princeton, N.J.: Princeton University Press.
The Theory of Corporate Finance is a great and informative text for not only scholars of the finance and economic system within the corporate world but especially for college students of all levels going into the field. Many of the developing and increasingly complicated theories and ideas can be difficult for undergraduates to comprehend; however, Tirole presents this overview in an understandable and simple way so that it is beneficial to its readers. Its main point is to update what all is included with the financing of corporations, which used to be concepts like fairness, liability, and assessment and now consist of additional terms like risk management, solvency, assets, and the impact of banks and government ties. Overall, this book is very educational and useful for learning the general principles in corporate finance and macroeconomics. Jean Tirole is a great advisor and teacher in this field because he is a French Professor of economics along with studying finance and banking over his years of experience. Also, he has published more than one hundred articles pertaining to finance along with six books. Therefore, his knowledge is very widespread not only within the field but internationally as well to provide well-rounded and valuable information for interested readers.
Wright, R. E., & Cowen, D. J. (2006). Financial founding fathers: The men who made America rich. Chicago: University of Chicago Press.
Financial Founding Fathers: The Men Who Made America Rich is a landmark text in that it helps explain and describe the groundwork and fundamental principles in finance and economics that is the basis for today’s financial institutions and business strategies. This book concentrates on nine individuals that are considered the financial founding fathers of America, in which Alexander Hamilton and Andrew Jackson are given much attention for their contributions. These people together worked to create a foundational system that secured wealth in order to ensure liberty for citizens and keeping the country out of debt and moving forward overall. Also, this effort assisted in maintaining a united country with a balanced and regulating government. This piece is not only highly recommended but useful in that it helps understand and describe basics and concepts that detail the lasting aspects of the financial system. Robert Wright is well-thought-of and trustworthy because of his involvement as a financial historian along with his expertise to provide valuable advice to investors about the future and an analytical prospective.