Course syllabus

Finansiell ekonomi, avancerad kurs
Financial Economics, Advanced Course

TEK103, 7,5 credits, A (Second Cycle)

Valid for: 2012/13
Decided by: Education Board 1
Date of Decision: 2012-03-27

General Information

Elective for: F5, F5-fm, I4, I4-fir, Pi5, Pi5-fm
Language of instruction: The course will be given in English

Aim

The objective of this course is to give the students an understanding of well known ideas and theories within financial economics.

Learning outcomes

Knowledge and understanding
For a passing grade the student must

Competences and skills
For a passing grade the student must

Judgement and approach
For a passing grade the student must

develop an ability to pursue further studies in the field and to seek and evaluate information with a high degree of independence

Contents

The course contains the following building blocks

· investment decision under certainty: the risk free rate and Fisher-separability;

· risk aversion and expected utility;

· Arrow-Debreu securities;

· portfolio theory

· market equilibrium: CAPM and multi-factor equilibrium models;

· derivatives

· term structure of the interest rates;

· real options;

· efficient markets;

· information asymmetry and agent theory;

Examination details

Grading scale: TH
Assessment: Students are evaluated in a written exam. In addition, quick quizes during the course give points that are added to the score on the exam. Points from quick quizes are only added to the score on the exam during the same term as the quick quizes were carried out.

Admission

Admission requirements:

The number of participants is limited to: 60
Selection: ?
The course overlaps following course/s: NEKM25, NEKN81

Reading list

Contact and other information

Course coordinator: Professor Björn Hansson, Bjorn.Hansson@nek.lu.se
Course homepage: http://www.nek.lu.se
Further information: Corresponds to NEKM25.