Finance (FIN)

This course introduces the students to the essentials of financial decision making within the firm as well as the general characteristics of financial markets and securities. It is intended to provide the student with the background to understand the role of risk in the financial markets as well as the management of risk within the firm.

Examines the framework for return on investment calculation and criteria in new ventures, cash management techniques and controls for small businesses; equity and debt sources and their criteria for investment in new businesses; additional sources of capital and entry strategies for new businesses. Covers the financial skills needed at each level and phase of a new venture's development. Reviews the equity and debt markets for start up firms and alternative entry strategies such as franchising and acquisition.

Studies the flow of funds in the short-term and long-term financial markets. Sources and uses of funds, interest rate theory, the role of the Federal Reserve System and the U.S. Treasury are studied to provide background for interpretation of current developments.

This course provides students with the tools and concepts of modern financial theory and how to apply them to corporate financial decision, building upon the basic principles of finance developed in introductory finance. It covers issues such as capital budgeting, working capital management, capital structure, corporate control, corporate governance, and dividend policy. In addition, advanced topics such as mergers and acquisitions and the use of real option theory in making corporate financial decision may be addressed.

Analyzes corporate combinations and their effects on management, labor, the consumer, the economy, etc. Topics include the economic and financial setting of business combinations, the motives for mergers, merger valuation, merger financing, merger negotiations and the consequences of such corporate activities.

Surveys the financial environment, goals and problems of the multinational corporation. Analyzes the financial opportunities and risks resulting from business operations in differing political, economic and monetary systems. Topics include: balance of payments accounting and analysis techniques, the evolution of the international monetary system with special emphasis on current issues, foreign exchange rate determination and forecasting, foreign exchange risk and exposure management techniques, environmental risk management. Covers special topics in international finance such as working capital management strategies, capital budgeting, cost of capital and optimal financial structure.

Introduces advanced methodological tools required to do research in finance and investment analysis. Topics include study of simple linear regression, multiple regression analysis, analysis of variance, discriminate analysis, factor analysis and non-parametric tests. Emphasizes modern portfolio theory. Use of computers is required.

Provides a survey of the structure and dynamics of international financial markets and their linkages to domestic markets. Topics include the global profile of capital movements, the Eurocurrency and major domestic money markets, the international capital markets including bonds and syndicated credits, the foreign exchange market. One focus of the course is optimizing international financial asset portfolios.

Provides a solid foundation in the investment field. Considers aspects of accounting, economics, finance, strategic management and marketing and management science relevant to modern investment analysis. Topics include the analysis and understanding of security markets, the economy, industries, companies, and the analysis and valuation of corporate securities.

Analyzes the theory and practice of modern investment management. Topics include quantitative concepts, portfolio analysis, capital asset pricing theory model, performance measurement, efficient market hypothesis, portfolio management process, use of derivative securities, ethical and legal considerations and professional standards.

Introduces modern quantitative methods to measure and manage financial risk. Focuses on teaching students to identify the business issues, regulatory requirements and techniques to measure and report risk across a major financial institution and to design or buy a risk management system. Covers market risk, credit risk and liquidity risk.

This course teaches estimation and forecasting of time series models in finance. Students will learn how to measure and forecast financial volatility and correlations and become proficient with GARCH type models and historical volatilities. These methods will be used to measure risk and analyze alternative approaches to calculating Value at Risk, dynamic portfolio selection and risk control. The course also examines implied volatilities from options, variance swaps, credit risk models, market (in) efficiency, dynamic relationships between global financial markets and high frequency volatility. The course teaches estimation, Monte Carlo simulations and programming methods.

Introduces students to financial risk management (hedging) from the perspective of non-financial corporations. Students learn why firms should hedge risk, whether they do manage risk, and how to measure and manage risk. Designed for those who want to learn how to use derivatives to maximize firm value through risk management. Aims to provide the right tools and insights to manage various market risks in a corporate setting rather than focusing on pricing financial derivatives or financial engineering.

This course uses an integrated framework to explore the implications of financial decisions such as working capital management, capital structure and financial risk management for non-financial business decisions. Tools such as the Porter Model, Dupont Analysis and Game Theory are used to show how finance theory can be used to craft strategy in operational domains such as marketing, human resource management, supply chain management and competitive positioning.

This course teaches students about financial products that are needed to achieve success in the area of financial technology. Students learn about spot (cash) and derivative products related to the asset classes of equities, fixed income, commodities, and foreign exchange. Students review the time value of money, and explore bond characteristics, bond valuation, and bond yield. Students learn about yield curves, both why they are important and how they are formed. Students will explore advanced bond valuation and bond sensitivity using detailed Bloomberg examples. Students will then turn to exploring forwards, calls, puts, and swaps. Students will learn concepts and conventions related to forwards, calls, and puts, and learn the opportunities and exposures associated with them. Students will learn how to price and value forwards, calls, and puts, and will learn about the measures of sensitivity known as the “Greeks”. Students will explore trading strategies. Students will also delve deeply into interest rate swaps and credit default swaps.

Provides an overview of the critical methods and tools used to estimate the fundamental value of an enterprise. Focuses on equity valuation and touches on concepts relevant to other asset classes. Discusses discounted cashflow and comparative valuation methodologies, including the estimation of growth rates and discount rates.

This course provides students with an overview of the private equity asset class, focusing primarily on leveraged buyouts and secondarily on growth capital and venture investing. It explores the private equity industry, its fundraising and fund structure, the investor universe, sources of deal financing, valuation and deal structuring, portfolio company management, and investment realization. The material is presented through textbook readings, lectures, and case analysis. This course should be very helpful to students interested in commercial banking, leveraged finance, investment banking, private equity, or any other field where a strong background in financial analysis and private company valuation is required.

This course teaches trade lifecycle, related regulation, market microstructure and algorithmic trading that are needed to achieve success in the area of financial operations and technology. Students learn about the entire lifecycle of trading, consisting of pre-trade, trade execution, post-trade, and ongoing position management. Pre-trade explores activities such as onboarding, due diligence, technology and trade planning. Trade execution explores trading platforms, trading venues, and trade types. Post-trade explores clearing and settlement, as well as related participants and organizations. Ongoing position management explores transaction cost analysis, reconciliation, corporate actions, and other ongoing position management activities. This course also explores regulation in-depth including Reg NMS, securities regulation, derivatives regulation, investment company regulation, investment advisor regulation, with a specific focus on Title VII of the Dodd-Frank Act, Section 619 of the Dodd-Frank Act, Reg NMS, and regulation related to systemic risk. The course will also introduce students to the market microstructure literature and to the field of algorithmic trading.

This course covers investment strategies for individuals and institutions. Explores diversification strategies utilizing multi-industry portfolios, international equities, real estate and other assets. Considers tax strategies involving tax advantages investments and securities transactions. The student will receive practical experience in establishing portfolios that reflect the outlook for investments in relation to risk tolerances.

This course covers various subject matters within the world of real estate finance including the capitalization (debt and equity) of real property. It will discuss the procedures involved in underwriting and in investing in real estate including mortgage loans and single family home ownership. It will introduce students to the role of government in the financing of commercial and residential real estate and cover direct and indirect ownership of real estate assets. Finally, it will provide an overview of how real estate markets work, including the valuation of real estate.

Introduces the tools and concepts employed in financial management for individuals. Topics include analysis of investment alternatives, tax minimization techniques, tax shelters, risk analysis, employee benefits, retirement, and estate planning. Discusses the method of integrating these disciplines into an overall financial plan tailored to individual needs.

In-depth coverage of a selected issue in Finance. Subject matter may vary from semester to semester. Enrollment is limited to facilitate a high level of interaction among faculty and students.

The course will provide students with a strong theoretical foundation of the law pertaining to the field of financial services and in investment management, as well as a practical understanding of the implications of recent changes in the industry. The course will focus on the law, rules and regulations related to investment managers, investment advisers, hedge funds, private equity funds, etc. it will incorporate knowledge and understanding of the various financial products that exists in the industry, and the different regulatory frameworks that govern the activities associated with those products and industry participants.

Covers topics in the theory and practice of investment management. Provides an opportunity to discuss current issues in investment management.

Analyses of U.S. and foreign fixed income markets. Describes the various products, where and how they are traded, how they are priced, and how they are used to achieve a variety of financial goals including capital formation, interest rate risk management, and portfolio diversification. Topics covered include treasury, agency, corporate, and municipal bonds, floating rate bonds, mortgage-backed securities, term structure modeling, immunization, credit risk management, credit derivatives, and interest rate derivatives including swaps, caps and floors, and swaptions.

This course will explore the characteristics of international financial markets and evaluate the associated risks and benefits within the framework of the changing global markets. Special attention will be devoted to Eurocurrency markets and regional integration. Students will have the opportunity to meet with political and business leaders, and learn more about the business culture in these countries.

The goal of this course is to provide students with an overview of the burgeoning hedge fund industry and its role in the financial and economic environment. The course will cover different trading strategies and provide opportunities to discuss current legal, social, and ethical issues related to the hedge fund industry. Topics will include the origin of hedge funds, business issues of hedge fund managers, institutional developments in the hedge fund community, regulatory issues, the use of derivatives, and strategies to avoid financial instability.

This course is an international field study course which incorporates a one-week trip to Japan. While in Japan, students will attend seminars given by corporate and investment bankers, government officials, and other financial executives. There will be on-campus lectures discussing the relevant theories and principles prior to the trip.

The International Field Study incorporates a trip to study the financial environment in different countries. While visiting these countries, students will visit companies and attend seminars given by corporate and investment bankers, government officials, and other business executives. The course will cover various aspects of the financial markets of the countries visited, as well as the way in which businesses in those countries use financial markets. Prior to leaving the U.S., students will attend class meetings covering topics relevant to the seminars given in the host countries.

This course enables students to understand the impact of financial technology on an organization’s objectives. Students learn how to integrate financial technology as a key driver for business process change in the organization – both in financial institutions, such as stock exchanges, payment intermediaries, investment and commercial banks, but also in non-financial firms utilizing their services, such as manufacturing and retail firms. In financial institutions and financial services firms, this will involve the development of new financial products utilizing IT innovations, while in non-financial firms, this will involve the appropriate adoption of these products and their use in the different finance functions such as the management of working capital management and the raising of long-term capital.

The course explores the different parts of the financial services industry, where financial technology has impacted the way business is conducted. The course will examine the growth of the different financial technology sectors by using case studies and industry reports. Students will work in groups and make presentations on their assigned areas. This course will bring together the two disparate parts of the program – the tools and the areas of application. By investigating how different companies have used financial technology tools, students will get a feel for how the industry has developed and how they can position themselves in the best way to create a career. Finally, the course will look at some societal issues that the introduction of financial technology raises.

This course integrates the theory of risk management with the practical problems of financial and nonfinancial risks faced by business firms and other organizations. Both quantitative techniques and qualitative methods utilized for risk management applications are addressed. The methodologies and tools used in identifying, measuring, managing and monitoring market risk, credit risk, operational risk, and liquidity risk are discussed. Difficulties related to risk budgeting, counterparty risks and to modeling risk aggregation arc explored. The course makes extensive use of case studies.

This course integrates and advances the knowledge of investments. Its practical orientation will help those poised to begin a career in the investment area. This course takes the micro investment knowledge from more basic investment analysis courses and the macro analysis material from portfolio management courses to provide a higher level of relevant material that investment practitioners are called upon to utilize. Students will be offered extensive case study material and problems and working in groups they will manage and present the results of their own investment portfolios.

Integrates the theory of financial analysis with real world financial problems faced by business firms in our society. Topics include financing of current operations, long-term financing, capital structure decisions, dividend policy, and investment decisions. Extensive use of case problems. Restrictions/Requirements: Must have advanced standing.

Research findings are presented in a formal written paper. Students meet individually with the instructor. Restrictions/Requirements: Advanced standing. Successful completion of an acceptable research project on a topic approved by the instructor.