Modules for course N3CM | MSC/FIN10
MSc Finance (10 month)
This is a provisional list of modules to be offered on this course in the 2018–19 academic year.
The list may not be complete, and the final course content may be different.
- ASB-4403: Int'l Financial Markets (15) An overview of financial markets and instruments; Review of the concepts of risk and return; Portfolio theory and diversification; The capital asset pricing model; Other asset pricing models; Efficient markets, behavioural finance and anomalies; Hedging, speculation and arbitrage; Foreign exchange and derivative markets; Option characteristics and option pricing; Forwards, futures and swaps.
- ASB-4414: Corporate Risk Management (15) The nature of risk management; Risk identification; Business loss exposures; Risk measurement; Probability distributions (uses and limitations); Risk control tools; Risk financing tools; Influence of the market on risk management decisions; The interdependence of insurance and loss prevention decision; Insurance versus alternatives.
- ASB-4416: Credit Risk Analytics (15) Valuation of financial cash flows and rates of return; Expected return models and event studies in finance; The Law of One Price in finance and pricing financial claims via arbitrage; Portfolio theory and the modelling of investment portfolios; Value at Risk; Bootstrap methods; Brownian motion; Monte Carlo methods in finance; Pricing financial claims via replication and Black-Scholes option pricing.
- ASB-4425: Invstmt Strat & Portfolio Mgmt (15) The characteristics and roles of investment institutions; Investment objectives and the asset allocation decision; Principles of portfolio management; Bond valuation and bond portfolio management strategies; Equity portfolio management strategies; Performance measurement;
- ASB-4601: Research Methods (15) Describing and summarising data; Probability and probability distributions; Principles of statistical inference; Correlation and regression analysis; Regression models for panel data.
- ASB-4405: Int'l Financial Management (15) The financial management of multinational companies (MNCs). The macroeconomic, fiscal, currency and political environments. Determinants of exchange rates, and purchasing power and interest rate parity. Management of exchange rate exposure through forwards, options. Corporate financing decisions and the role of the global financial markets. Cost of capital and performance evaluation; capital investment appraisal. Working capital management and the positioning of funds in the MNC.
- ASB-4408: Financial Econometrics (15) • Review of the linear regression model: estimation and hypothesis testing; • Dynamic regression models: distributed lag and autoregressive models; • Non-stationarity and testing for unit roots; • Modelling long-run relationships: cointegration; • Modelling volatility: univariate ARCH and GARCH models; • Regression analysis using panel data.
- ASB-4417: Market Risk Analytics (15) Introduction to financial engineering; Static replication -creation, decomposition and analysis of financial products; Dynamic replication; Hedging strategies; Convexity, volatility and credit risk in financial engineering; Case studies in financial engineering.
- ASB-4906: Applied Financial Projects (30) (Semester 3) Students will choose 2 Applied Business Projects from the list below. It is envisaged that a small number of additional projects will be made available depending on the research interests of new staff and it is possible that the menu of projects might vary slightly from year to year within an equivalent structure. 1. Private Banking and Wealth Management 2. Marketing Financial Services 3. Operations Management Each of these is taught in a five-day series of lectures, workshops and discussions scheduled over a four-week period in June.
30 credits from:
- ASB-4010: New Venture Creation (15) (Semester 2) Entrepreneurship theory and evolution of the concept; Starting your own business; Creativity and Innovation; Franchising; Buying a business; Succeeding in family business.
- ASB-4406: Financial Analysis (15) (Semester 2) Balance sheet and income statement analysis; Financial ratio analysis and inter-firm comparison; Trend analysis and financial forecasting; Analysis of profitability and growth; The quality of financial statements, and using financial statements in valuation; Cash accounting, accrual accounting and discounted cash flow valuation; Pricing book values and earnings; Assessment of credit and equity risk.
- ASB-4437: Merger and Acquisition (15) (Semester 2) Theory of the firm: "Build vs Buy"; Current issues in the M&A landscape; Motives for M&A; How do mergers work? When do mergers work? Winners and losers; Valuation in the context of an acquisition; Criteria for value-adding acquisitions; Cross-border vs domestic acquisitions.