Part I. The fundamentals of finance, markets, valuation and financial firms -- 1. The price mechanism and the three pillars of finance -- 2. Balance sheets: the key to understanding transforming financial intermediaries -- 3. Financial intermediation: industry sectors, products and markets -- 4. Financial intermediation: commercial and investment bank structure -- Part II. Primary markets: funding liquidity and external capital allocation through credit and capital markets -- 5. Liquidity: what is it? -- 6. Financing the four sectors: companies, households, governments and overseas through credit and capital markets -- 7. Banking: credit intermediation through depository institutions -- 8. Bank liquidity management -- 9. Converting loans to securities: securitisation as a financing tool -- 10. Shadow banking: credit intermediation through non-depository institutions and markets -- 11. Capital market equity initial public offerings and corporate bond origination -- Part III. Secondary markets: market liquidity and market failure -- 12. Market liquidity: order-driven auction markets and quote-driven dealer markets -- 13. The new secondary market structure: competition, dark pools, algorithmic and high frequency trading -- 14. Clearing and settlement of securities transactions -- 15. Market failure: sub-optimal allocation of resources by credit and capital markets and consequent banking and sovereign debt crises -- 16. Assessing risk and return for investors in bank and sovereign debt -- Part IV. Assessing and managing risk in asset portfolios -- 17. Investment management and portfolio structuring -- 18. Investment management practice (funds): pension, insurance, sovereign wealth, long-only, hedge, mutual, cash, ETFs, synthetic ETFs and delta one trading desks -- 19. Wealth management and private banking -- Part V. Internal capital allocation: the role of directors, investors and the market for corporate control -- 20. The internal capital market and investor governance of capital allocation -- 21. The market for corporate control: mergers and acquisitions -- 22. Private equity -- Part VI. Internal risk management and external regulation of financial intermediaries and markets -- 23. Risk management in credit intermediaries and investment banks -- 24. Regulation of banks and investment banks: Basel I, II and III -- 25. Regulation of securities markets -- Part VII. The role of governance and strategy in resource allocation and firm and industry structure: case studies in financial services -- 26. Business unit and corporate strategy, governance and firm and industry structure -- 27. Case studies in financial services: success and failures -- 28. The future structure of the industry: implications and re-regulation -- 29. The fatal flaw in capital allocation: the shift from a trust model to a transactional model -- 30. The global economic and financial outlook: 2020 vision.

Includes bibliographical references and index.