Subject description

This subject is about the tools and logical frameworks with which decision makers choose their investments in a world characterised by uncertainty (risk). Emphasis is on investment in financial assets such as shares, bonds, options and futures rather than on real assets. Subjects include portfolio choice, allocations of investments between … For more content click the Read More button below.

Delivery

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Learning outcomes

On successful completion of this subject, students will be able to:
1.
Explain financial market operations and the characteristics of various financial assets.
2.
Conduct portfolio construction and asset pricing by using a set of quantitative tools.
3.
Explain market events in terms of key financial theories such as Efficient Market Hypothesis and Behavioural Finance Theories.
4.
Value fixed income securities and control interest risk with reference to the term structure of interest.
5.
Develop rationales for investing in derivative securities such as options and futures.

Assessment details

Research Project
In session test
Final exam

Textbook information

Contact details

Faculty contact

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