Basic knowledge about mathematical and financial concepts, such as calculus and numerical series, progressions, logarithms, derivation and basic integration, interest rates and financial transactions, among others. Therefore, students should be also enrolled in the subject Financial Management.
Objective of the course
The purpose of this elective subject is to increase knowledge about Finance, specifically regarding valuation of Fixed-Income Securities, Term
Structure of Interest Rates (in the first part of the course), and Portfolio Management, among others (during the second half of semester).
Relationship with other subjects
This subject is related with many others, because of concepts such as interest rate, financial transactions, loans and valuation of financial assets (directly interrelated with Economic Policy, Basic Accounting, Principles of Economics, Mathematics, Statistics, Introduction to Econometrics, Economic History, Financial System, etc.).
Relevance for the professional career
The subject, together with "Financial Management", is an essential part of the background in a degree in Economics as well as the professional career, both in private enterprise, a financial institution or a public entity. The role of this subject is essential because of the relevance of the financial aspects. In addition, training in finance can be complemented with another elective subject: "Mathematical Modelling for Finance".
| Course competences | |
|---|---|
| Code | Description |
| E02 | Understand the role of institutions and economic agents in economic and social activities. |
| E03 | Ability to find economic data and select relevant facts. |
| E04 | Analytical skills to identify and anticipate relevant economic and legal issues and the different alternative solutions. |
| E06 | Application of profesional criteria to the analysis of problems, based on the use of technical tools. |
| E15 | Ability to develop relevant financial information for business decision-making. |
| G02 | Ability to understand the ethical responsibility and the code of ethics of professionals working in the field of economics. To know, respect and contribute to the fulfillment of the commitments related to gender equality, non-discrimination, human rights legislation and development cooperation. |
| G04 | Ability for the use and development of information and communication technology in the development of professional activity. |
| Course learning outcomes | |
|---|---|
| Description | |
| Train the student to listen to and defend arguments orally or in writing | |
| Train the student to search for information in order to analyze it, interpret is meaning, synthesize it and communicate it to others. | |
| Train the student to work out problems in creative and innovative ways. | |
| Train the student to it raise the ethical exercise of the profession, becoming aware of social responsibility in decision-making | |
| Additional outcomes | |
| Not established. |
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Unit 1: FINANCIAL MARKETS
-
Unit 2: VALUATION OF FIXED-INCOME SECURITIES
-
Unit 3: TERM STRUCTURE OF INTEREST RATES
-
Unit 4: RISK AND EXPECTED RETURN OF ASSETS
-
Unit 5: MARKOWITZ PORTFOLIO SELECTION
-
Unit 6: THE CAPITAL ASSET PRICING MODEL (CAPM)
-
Unit 7: OTHER TOPICS OF INTEREST IN FINANCE
| Training Activity | Methodology | Related Competences (only degrees before RD 822/2021) | ECTS | Hours | As | Com | R | Description * |
| Class Attendance (theory) [ON-SITE] | Lectures | E02 E03 E04 E06 G02 | 1 | 25 | N | N | N | |
| Class Attendance (practical) [ON-SITE] | Problem solving and exercises | E02 E03 E04 E06 E15 G02 G04 | 0.5 | 12.5 | Y | N | N | |
| Other off-site activity [OFF-SITE] | Combination of methods | E02 E03 E04 E06 E15 G02 G04 | 1 | 25 | Y | Y | Y | |
| Study and Exam Preparation [OFF-SITE] | Self-study | E02 E03 E04 E06 E15 G02 G04 | 1.9 | 47.5 | N | N | N | |
| Final test [ON-SITE] | Assessment tests | E02 E03 E04 E06 E15 G02 G04 | 0.1 | 2.5 | Y | Y | Y | |
| Total: | 4.5 | 112.5 | ||||||
| Total credits of in-class work: 1.6 | Total class time hours: 40 | |||||||
| Total credits of out of class work: 2.9 | Total hours of out of class work: 72.5 | |||||||
As: Assessable training activity Com: Training activity of compulsory overcoming R: Rescheduling training activity
| Grading System | |||
| Evaluation System | Face-to-Face | Self-Study Student | Description |
| Self Evaluation and Co-evaluation | 25.00% | 0.00% | |
| Final test | 60.00% | 0.00% | |
| Assessment of active participation | 15.00% | 0.00% | |
| Total: | 100.00% | 0.00% | |
| Not related to the syllabus/contents | |
|---|---|
| Hours | hours |
| Study and Exam Preparation [AUTÓNOMA][Self-study] | 47.5 |
| Final test [PRESENCIAL][Assessment tests] | 2.5 |
| Unit 1 (de 7): FINANCIAL MARKETS | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 5.5 |
| Unit 2 (de 7): VALUATION OF FIXED-INCOME SECURITIES | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 4.5 |
| Class Attendance (practical) [PRESENCIAL][Problem solving and exercises] | 2.75 |
| Other off-site activity [AUTÓNOMA][Combination of methods] | 6.25 |
| Unit 3 (de 7): TERM STRUCTURE OF INTEREST RATES | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 4.5 |
| Class Attendance (practical) [PRESENCIAL][Problem solving and exercises] | 2.5 |
| Other off-site activity [AUTÓNOMA][Combination of methods] | 5 |
| Unit 4 (de 7): RISK AND EXPECTED RETURN OF ASSETS | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 4 |
| Class Attendance (practical) [PRESENCIAL][Problem solving and exercises] | 1.75 |
| Unit 5 (de 7): MARKOWITZ PORTFOLIO SELECTION | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 4 |
| Class Attendance (practical) [PRESENCIAL][Problem solving and exercises] | 3.25 |
| Other off-site activity [AUTÓNOMA][Combination of methods] | 4.75 |
| Unit 6 (de 7): THE CAPITAL ASSET PRICING MODEL (CAPM) | |
|---|---|
| Activities | Hours |
| Class Attendance (theory) [PRESENCIAL][Lectures] | 2.5 |
| Class Attendance (practical) [PRESENCIAL][Problem solving and exercises] | 2.25 |
| Other off-site activity [AUTÓNOMA][Combination of methods] | 9 |
| Global activity | |
|---|---|
| Activities | hours |
