COURSE UNIT TITLE

: FINANCIAL ECONOMICS

Description of Individual Course Units

Course Unit Code Course Unit Title Type Of Course D U L ECTS
ELECTIVE

Offered By

ECONOMICS (UOLP-SUNY ALBANY)

Level of Course Unit

First Cycle Programmes (Bachelor's Degree)

Course Coordinator

PROFESSOR DOCTOR SAADET KASMAN

Offered to

ECONOMICS (UOLP-SUNY ALBANY)

Course Objective

This course is intended to introduce advanced undergraduate students to the basic theoretical and empirical issues relating to: the role of financial markets in the economy; investment, financing and payout decisions of firms as well as saving and investment decisions of individuals. It also develops the main ideas in finance theory, including the CAPM, arbitrage pricing and option pricing within an economic framework.

Learning Outcomes of the Course Unit

1   Acquire basic knowledge about important theories of finance such as Efficient Market Hypothesis, CAPM and APT as well as the workings of different financial markets and institutions such as Stock markets, Bond markets, Derivative markets, Insurance companies, Mutual funds and Pension Funds,
2   To be able to demonstrate investment decisions of investors using tools from economic analysis
3   To establish an ability to relate financial markets to the rest of the economic system to be able to comprehend the reasons for financial crisis.

Mode of Delivery

Face -to- Face

Prerequisites and Co-requisites

UEC 3003 - MONEY AND BANKING

Recomended Optional Programme Components

None

Course Contents

Week Subject Description
1 The Investment Environment 1
2 Asset Classes and Financial Instruments 2
3 How Securities are traded 3
4 Learning about Return and Risk from the Historical Record 5
5 Risk Aversion and Capital Allocation to Risky Asset 6
6 Risk Tolerance Notes
7 Risk Tolerance Notes
8 Review Notes
9 Stock Market and Bond Market Notes and Presentation
10 Derivative Market and Efficient Market Hypothesis Notes and Presentation
11 Banking Industry and Insurance Industry Notes and Presentation
12 Pension Funds and Mutual Funds Notes and Presentation
13 Mortgage Market and Reason for Financial Crisis Notes and Presentation
14 Asymmetric Information and Sustainable Finance Notes and Presentation

Recomended or Required Reading

1. Bodie, Kane and Markus , Investments (2003), Mcgraw-Hill.
2. Lecture Notes

Planned Learning Activities and Teaching Methods

1. Lecture
2. Discussions and Presentations

Assessment Methods

SORTING NUMBER SHORT CODE LONG CODE FORMULA
1 MT Midterm
2 PRS Presentation
3 FN Final
4 FCG FINAL COURSE GRADE MT * 0.35 + PRS * 0.30 + FN * 0.35
5 RST RESIT
6 FCGR FINAL COURSE GRADE (RESIT) MT * 0.35 +PRS * 0.30 + RST * 0.35


Further Notes About Assessment Methods

1. Midterm exam
2. Final exam
3. Presentations

Assessment Criteria

1. The midterm and final exams will be based on questions which evaluate understanding and synthesis of topics explained and discussed in the course.
a. The learner will clearly define basic concepts in financal economics such as CAPM, APT, Efficient market hypothesis.
b. The learner will demonstrate understanding of different financial institutions and instruments.
c. The learner will show the outcomes of different economic policies on financial institutions.
d. The learner will evaluate the investment decisions of investors who have different risk tolarance.
e. The learner will explain the reasons of financial crisis.

2. Group work and presentation will include detailed research on a topic chosen by the students. Presentation will be assessed
on
a. Content (How student provide the topic and the content of the presentation)
b. Coherence and Organization (How student efficiently organize the content)
c. Creativity and Material (How student provide presentation materials that are visually appealing and capture the audience's
attention)
d. Speaking Skills (Whether student is able to use clear speech at appropriate volume and clear articulation)
e. Audience Response (Whether student is able to answer questions, engage the audience in the presentation, and maintain
their interest throughout)
f. Length of Presentation (Whether student is able to manage given presentation time effectively)

Language of Instruction

English

Course Policies and Rules

1. Attending at least 70 percent of lectures is mandatory.
2. Plagiarism of any type will result in disciplinary action.

Contact Details for the Lecturer(s)

To be announced.

Office Hours

To be announced.

Work Placement(s)

None

Workload Calculation

Activities Number Time (hours) Total Work Load (hours)
Lectures 14 3 42
Preparations before/after weekly lectures 12 2 24
Preparation for midterm exam 1 20 20
Preparation for final exam 1 20 20
Preparing presentations 1 35 35
Final 1 2 2
Midterm 1 2 2
TOTAL WORKLOAD (hours) 145

Contribution of Learning Outcomes to Programme Outcomes

PO/LOPO.1PO.2PO.3PO.4PO.5PO.6PO.7PO.8PO.9PO.10PO.11PO.12PO.13PO.14
LO.15544
LO.24455
LO.3544