|
Academic Year: | 2013/4 |
Owning Department/School: | School of Management |
Credits: | 6 |
Level: | Intermediate (FHEQ level 5) |
Period: |
Semester 1 |
Assessment: | CW 25%, EX 75% |
Supplementary Assessment: |
Like-for-like reassessment (where allowed by programme regulations) |
Requisites: | In taking this unit you cannot take MN10311 or take MN20211 or take MN20310 or take ES20070 and before taking this unit you must take MN10500 or have relevant work experience. |
Description: | Aims: This unit aims to introduce students to the principal tools of economic analysis used in financial decision making. The unit will provide students with a critical understanding of the key principles of discounted cash flows, theories of asset pricing, valuation of alternative financial instruments, portfolio diversification and methods of valuation. Learning Outcomes: At the end of this unit students will be able to: 1. understand the theoretical basis of the time value of money and the calculation of present values 2. construct a diversified portfolio 3. critically evaluate the theory of efficient markets 4. value equity and fixed-income financial instruments 5. differentiate between different types of options 6. understand the principles of futures and forward contracts. Skills: Numerical facility with accounting and financial data, and identification/conversion to relevant economic data for decision-making. Content: Extensions & applications of present value model, optimality of NPV rule; security valuation: equities and bonds; risk, return and cost of capital; portfolio theory and diversification; asset pricing & CAPM; stock market efficiency; options; forwards and futures contracts. |
Programme availability: |
MN20502 is a Generally Available Unit which is available to all students of the University (subject to the usual constraints) to take either as a Director of Studies approved option within their programme of study or as an 'extra' unit which does not count towards a final award.
MN20502 is Optional on the following programmes:Department of Chemistry
|