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Unit of study_

AMME5105: Risk Management Analysis

Semester 1, 2020 [Normal day] - Camperdown/Darlington, Sydney

Syllabus covers methods involved in quantifying and measuring risk. Risk measurement techniques; Risk factors; Linear and nonlinear risks; Volatility; Scenario analysis; Stress testing; Value at risk (VAR) frameworks and their limitations. Comparison will be made to real word outcomes using case studies. The handling of "unknown unknowns" and how to incorporate these into a risk analysis will be investigated. An introduction to common financial instruments will be presented.

Unit details and rules

Unit code AMME5105
Academic unit Aerospace, Mechanical and Mechatronic
Credit points 6
Available to study abroad and exchange students


Teaching staff

Coordinator Rod Fiford,
Type Description Weight Due Length
Final exam Final exam
35% Formal exam period 2 hours
Outcomes assessed: LO1 LO4 LO3
Presentation group assignment Group project presentations
30% Multiple weeks To be announced in class.
Outcomes assessed: LO2
Participation Active class participation
5% Multiple weeks N/A
Outcomes assessed: LO1 LO3
Assignment Assignments
30% Multiple weeks Details to be announced in class.
Outcomes assessed: LO1 LO3 LO4
group assignment = group assignment ?

Assessment summary

Students will discuss and analyse a variety of case studies and scenarios as part of their weekly sessions. Assignments/presentations will consist of a combination of individual and group work.

The Final Exam will be calculation and short answer based.

Assessment criteria

Final grades in this unit are awarded at levels of HD for High Distinction, DI (previously D) for Distinction, CR for Credit, PS (previously P) for Pass and FA (previously F) for Fail as defined by University of Sydney Assessment Policy. Details of the Assessment Policy are available on the Policies website at . Standards for grades in individual assessment tasks and the summative method for obtaining a final mark in the unit will be set out in a marking guide supplied by the unit coordinator.

For more information see guide to grades.

Late submission

In accordance with University policy, these penalties apply when written work is submitted after 11:59pm on the due date:

  • Deduction of 5% of the maximum mark for each calendar day after the due date.
  • After ten calendar days late, a mark of zero will be awarded.

This unit has an exception to the standard University policy or supplementary information has been provided by the unit coordinator. This information is displayed below:

5% per day or part thereof.

Academic integrity

The Current Student website  provides information on academic integrity and the resources available to all students. The University expects students and staff to act ethically and honestly and will treat all allegations of academic integrity breaches seriously.  

We use similarity detection software to detect potential instances of plagiarism or other forms of academic integrity breach. If such matches indicate evidence of plagiarism or other forms of academic integrity breaches, your teacher is required to report your work for further investigation.

You may only use artificial intelligence and writing assistance tools in assessment tasks if you are permitted to by your unit coordinator, and if you do use them, you must also acknowledge this in your work, either in a footnote or an acknowledgement section.

Studiosity is permitted for postgraduate units unless otherwise indicated by the unit coordinator. The use of this service must be acknowledged in your submission.

Simple extensions

If you encounter a problem submitting your work on time, you may be able to apply for an extension of five calendar days through a simple extension.  The application process will be different depending on the type of assessment and extensions cannot be granted for some assessment types like exams.

Special consideration

If exceptional circumstances mean you can’t complete an assessment, you need consideration for a longer period of time, or if you have essential commitments which impact your performance in an assessment, you may be eligible for special consideration or special arrangements.

Special consideration applications will not be affected by a simple extension application.

Using AI responsibly

Co-created with students, AI in Education includes lots of helpful examples of how students use generative AI tools to support their learning. It explains how generative AI works, the different tools available and how to use them responsibly and productively.

WK Topic Learning activity Learning outcomes
Week 01 Note - content and timings may vary as we are reliant on commitment from external practitioners. Course introduction, context and background. Overview of business and financial risk. How financial and business risk relate to engineering Lecture and tutorial (3 hr)  
Week 02 Tutorial exercise TBA Tutorial (3 hr)  
Week 03 Introduction to financial instruments. Valuation, volatility and hedging. Introduction to risk appetite and your personal attitude to risk. Behaviour and risk taking; Preparation for group work Lecture and tutorial (3 hr)  
Week 04 External industry practitioner (tbc) - Business Risk Management. Equities, bonds and futures; Finalising group work topics for approval Lecture and tutorial (3 hr)  
Week 05 Risk as an engineering system. Quantifying. risks. Stress testing Lecture and tutorial (3 hr)  
Week 06 Risk as an engineering system, quantifying, risks, Value at risk (VAR), stress testing, hedging Lecture and tutorial (3 hr)  
Week 07 Asset liability management, the treasury function, foreign exchange Lecture and tutorial (3 hr)  
Week 08 Industry sectors 1 Lecture and tutorial (3 hr)  
Week 09 Industry sectors 2; External industry practitioner - trading/dealing room risk Lecture and tutorial (3 hr)  
Week 10 Industry practitioner TBC Lecture and tutorial (3 hr)  
Week 11 Insurance. Hedging and managing risk. Lecture and tutorial (3 hr)  
Week 12 Case studies. Lecture and tutorial (3 hr)  
Week 13 Revision and exam preparation. Lecture and tutorial (3 hr)  

Study commitment

Typically, there is a minimum expectation of 1.5-2 hours of student effort per week per credit point for units of study offered over a full semester. For a 6 credit point unit, this equates to roughly 120-150 hours of student effort in total.

Learning outcomes are what students know, understand and are able to do on completion of a unit of study. They are aligned with the University's graduate qualities and are assessed as part of the curriculum.

At the completion of this unit, you should be able to:

  • LO1. determine acceptable levels of financial risk and ways to manage or mitigate where unacceptable
  • LO2. complete and properly document a group project, partake in group discussions and be able to articulate and present your work and generate and answer questions from the audience
  • LO3. understand industry practice around risk quantification
  • LO4. perform calculations to quantify risk under various scenarios.

Graduate qualities

The graduate qualities are the qualities and skills that all University of Sydney graduates must demonstrate on successful completion of an award course. As a future Sydney graduate, the set of qualities have been designed to equip you for the contemporary world.

GQ1 Depth of disciplinary expertise

Deep disciplinary expertise is the ability to integrate and rigorously apply knowledge, understanding and skills of a recognised discipline defined by scholarly activity, as well as familiarity with evolving practice of the discipline.

GQ2 Critical thinking and problem solving

Critical thinking and problem solving are the questioning of ideas, evidence and assumptions in order to propose and evaluate hypotheses or alternative arguments before formulating a conclusion or a solution to an identified problem.

GQ3 Oral and written communication

Effective communication, in both oral and written form, is the clear exchange of meaning in a manner that is appropriate to audience and context.

GQ4 Information and digital literacy

Information and digital literacy is the ability to locate, interpret, evaluate, manage, adapt, integrate, create and convey information using appropriate resources, tools and strategies.

GQ5 Inventiveness

Generating novel ideas and solutions.

GQ6 Cultural competence

Cultural Competence is the ability to actively, ethically, respectfully, and successfully engage across and between cultures. In the Australian context, this includes and celebrates Aboriginal and Torres Strait Islander cultures, knowledge systems, and a mature understanding of contemporary issues.

GQ7 Interdisciplinary effectiveness

Interdisciplinary effectiveness is the integration and synthesis of multiple viewpoints and practices, working effectively across disciplinary boundaries.

GQ8 Integrated professional, ethical, and personal identity

An integrated professional, ethical and personal identity is understanding the interaction between one’s personal and professional selves in an ethical context.

GQ9 Influence

Engaging others in a process, idea or vision.

Outcome map

Learning outcomes Graduate qualities

This section outlines changes made to this unit following staff and student reviews.



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