ProBanker simulation software is used in college level commercial banking, management of financial institutions, and money and banking courses as a supplemental tool, both at the undergraduate and graduate levels.
ProBanker allows instructors to relate lecture-based banking principles with the hands-on experience in running a commercial bank. It provides an opportunity for experiential learning in a classroom that is both rigorous and fun.
The main inputs for the game include variables that are covered extensively in most commercial banking courses:
ProBanker offers two modes for training. In Autosim mode, participants play against the computer to help them understand the sensitivity and impact of each variable in isolation. In Competitive mode, they play against other teams in a simulated banking market. The application allows for different degrees of complexity, making it appropriate for use from introductory commercial bank management courses to advanced electives in risk management and money and banking.
To make it easier for the instructors to interpret the results, ProBanker has developed a diagnostic tool to provide the necessary information to analyze the outcomes. This is a useful tool as the algorithms and interdependency among variables can be challenging to decipher after each run. Instructors are better able to help students understand the impact of their decisions and suggest ways to improve their performance.
The simulation allows the instructor to increase the complexity of the game incrementally to keep pace with the teaching of the core principles. For example, the game can turn off various variables such as the percentage of non-performing loans, loan loss rates, fee income, deposit premiums and reserve requirements.
The simulation allows the instructor to change the macro environment and other parameters to provide a variety of realistic scenarios. Variables include changes to GDP, the term structure of interest rates, and demand functions.
The objective of using the simulation when teaching the commercial banking or financial institution courses is to:
The following instruments and bank management topics are covered in the simulation. The level and depth of the coverage is left to the discretion of the instructor.