JAIIB Exam Study Material: JAIIB AND DB&F Paper 1 Syllabus: Principles & Practices of Banking
So, in the previous articles, we read and discussed about JAIIB/DB&F, exam pattern, Eligibility, Schedule, Registration fees and some other introduction about the same.
Now, in this article, we will be discussing about the JAIIB/DB&F Subjects and Syllabus of PAPER I subject in details.
SUBJECTS OF EXAMINATION:
(1) Principles & Practices of Banking, (Paper 1)
(2) Accounting & Finance for Bankers, (Paper 2)
(3) Legal & Regulatory Aspects of Banking (Paper 3)
PAPER I – PRINCIPLES & PRACTICE OF BANKING This Paper 1 Subject is divided into four Parts (A,B,C and D)
PART A – INDIAN FINANCIAL SYSTEM
Indian Financial System – An Overview
Role of RBI, Commercial Banks, NBFCs, PDs, FIs, Cooperative Banks, CRR, SLR; Equity & Debt Market; IRDA
Banking Regulation
Constitution, Objectives, Functions of RBI; Tools of Monetary Control; Regulatory Restrictions on Lending
Retail Banking, Wholesale and International Banking
Retail Banking- Products, Opportunities; Wholesale Banking, Products; International Banking, Requirements of Importers & Exporters, Remittance Services; Universal Banking; ADRs; GDRs; Participatory Notes.
Role of Money Markets, Debt Markets & Forex Market
Types of Money & Debt Market Instruments incl. G-Secs; ADs, FEMA, LIBOR, MIBOR, etc.
Role and Functions of Capital Markets, SEBI
Overview of Capital Market; Stock Exchange; Commonly used Terms; Types of Capital Issues; Financial Products / Instruments including ASBA, QIP; SEBI; Registration of Stock Brokers, Sub-brokers, Share Transfer Agents, etc QIBs
Mutual Funds & Insurance Companies, Bancassurance & IRDA
Types of Mutual Funds, its Management & its Role; Role & Functions of Insurance Companies; Bancassurance; IRDA
Factoring, Forfaiting Services and Off-Balance Sheet items
Types & advantages of Factoring & forfaiting services; Types of off balance sheet items
Risk Management, Basel Accords
Introduction to Risk Management; Basel I, II & III Accords
CIBIL, Fair Practices Code for Debt Collection, BCSBI
Role and Functions of CIBIL; Fair Practices Code for Debt Collection; Codes of BCSBI
Recent Developments in the Financial System
Structure, Reforms in the Indian Financial System; recent developments in Money, Debt, Forex Markets; Regulatory Framework; Payments and Settlement System
PART B – FUNCTIONS OF BANKS
Banker Customer Relationship
Types; Different Deposit Products & Services; Services to Customers & Investors
KYC / AML / CFT norms
PMLA Act; KYC Norms
Bankers’ Special Relationship
Mandate; POA; Garnishee Orders; Banker’s Lien; Right of Set off
Consumer Protection - COPRA, Banking Ombudsman Scheme
Operational Aspects of COPRA Act & Banking Ombudsman Scheme
Payment and Collection of Cheques and Other Negotiable Instruments
NI Act; Role & Duties of Paying & Collecting Banks; Endorsements; Forged Instruments; Bouncing of Cheques; Its Implications; Return of Cheques; Cheque Truncation System
Opening accounts of various types of customers
Operational Aspects of opening and Maintaining Accounts of Different Types of Customers including Aadhaar, SB Rate Deregulation
Ancillary Services
Remittances; Safe Deposit Lockers; Govt. Business; EBT
Cash Operations
Cash Management Services and its Importance
Principles of lending, Working Capital Assessment and Credit Monitoring
Cardinal Principles; Non-fund Based Limits; WC; Term Loans; Credit Appraisal Techniques; Sources of WC Funds & its Estimation; Operating Cycle; Projected Net WC; Turnover Method; Cash Budget; Credit Monitoring & Its Management; Base Rate
Priority Sector Advances
Targets; Sub-Targets; Recent Developments
Agricultural Finance
Types of Agricultural Loans; Risk Mitigation in agriculture (NAIS, MSP etc.)
Micro, Small and Medium Enterprises
MSMED Act, 2006 Policy Package for MSMEs; Performance and Credit Rating Scheme; Latest Developments
Government Sponsored Schemes
SGSY; SJSRY; PMRY; SLRS
Self Help Groups
Need for & Functions of SHGs; Role of NGOs in Indirect Finance to SHGs; SHGs & SGSY Scheme; Capacity Building
Credit Cards, Home Loans, Personal Loans, Consumer Loans
Operational Aspects, Advantages, Disadvantages & Guidelines of Credit Cards; Procedure and Practices for Home Loans, Personal Loans and Consumer Loans
Documentation
Types of Documents; Procedure; Stamping; Securitisation
Different Modes of Charging Securities
Assignment; Lien; Set-off; Hypothecation; Pledge; Mortgage
Types of collaterals and their characteristics
Land & Buildings; Goods; Documents of Title to Goods; Advances against Insurance Policies, Shares, Book Debts, Term Deposits, Gold, etc; Supply Bills
Non Performing Assets
Definition; Income Recognition; Asset Classification; Provisioning Norms; CDR
Financial Inclusion
BC; BF; Role of ICT in Financial Inclusion, Mobile based transactions, R SETI
Financial Literacy
Importance of financial literacy, customer awareness
PART C – BANKING TECHNOLOGY
Essentials of Bank Computerization
Computer Systems; LANs; WANs; UPS; Core Banking
Payment Systems and Electronic Banking
ATMs; HWAK; PIN; Electromagnetic Cards; Electronic Banking; Signature Storage & Retrieval System; CTS; Note & Coin Counting Machines; Microfiche;
NPC; RUPAY
Data Communication Network and EFT systems
Components & Modes of Transmission; Major Networks in India; Emerging Trends in Communication Networks for Banking; Evolution of EFT System; SWIFT; Automated Clearing Systems; Funds Transfer Systems; Recent Developments in India
Role of Technology Upgradation and its impact on Banks
Trends in Technology Developments; Role & Uses of Technology Upgradation; Global Trends; Impact of IT on Banks
Security Considerations
Risk Concern Areas; Types of Threats; Control Mechanism; Computer Audit; IS Security; IS Audit; Evaluation Requirements
Overview of IT Act
Gopalakrishna Committee Recommendations
Preventive Vigilance in Electronic Banking
Phishing; Customer Education; Safety Checks; Precautions
PART D – SUPPORT SERVICES - MARKETING OF BANKING SERVICES / PRODUCTS
Marketing – An Introduction
Concept; Management; Products & Services; Marketing Mix; Brand Image
Social Marketing / Networking
Evolution, Importance & Relevance of Social Marketing / Networking
Consumer Behaviour and Product
Consumer Behaviour; Product Planning, Development, Strategies, etc; CRM
Pricing
Importance, Objectives, Factors, Methods, Strategies of Pricing; Bank Pricing
Distribution
Distribution Channels; Channels for Banking Services; Net Banking; Mobile Banking
Channel Management
Meaning, Levels, Dynamics, Advantages
Promotion
Role of Promotion in Marketing; Promotion Mix
Role of Direct Selling Agent / Direct Marketing Agent in a bank
Definition; Relevance; Banker as DSA / DMA; Delivery Channels in Banks; Benefits
Marketing Information Systems – a longitudinal analysis
Functions & Components of MKIS; MKIS Model; Use of Computers & Decision Models; Performance of MKIS; Advantages
On the very next upcoming Articles, we will be discussing about the Syllabus of Paper 2 in detail, about the subjects and how to plan for it, study for it, and finally we together will start the preparation for these.
We want our readers to be on the top of every profession specially our Banking aspirants and bankers who think that there is no way to stop where you are and there is never a stop to your growth. And believe us You can’t miss these courses. It is not mandatory but yes it is very very important for your knowledge and growth in any banking or financial institution.
