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Financial Institutions

General

Prefix

FIRE

Course Number

572

Course Level

Graduate

College/School

Herberger Business School

Description

Role in the economy; current issues/controversies in banking and intermediation; international aspects of financial intermediation.

Prerequisites

Credits

Min

3

Max

3

Repeatable

No

Goals and Diversity

MN Goal Course

No

Cultural Diversity

No

Learning Outcomes

Outcome

Demonstrate an understanding of the role, benefits and costs of financial intermediation in the world economy

Outcome

Apply the use of options to solve hedging problems.

Outcome

Demonstrate an understanding of the pricing, yield computation and price risk of various debt instruments.

Outcome

Create varied option strategy payoff positions.

Outcome

Apply duration based hedging strategy to mitigate price risk.

Course Outline

Course Outline

Financial intermediation: 10% Individual options and combinations: 20% Term structure of interest rates: 10% Bond pricing fundamentals and duration: 20% Computing stock market indices: 5% Money market securities pricing and yield computation: 15% Bond pricing between coupon payments, TIPS, and STRIPS: 0%

Dependencies

Programs

FIRE572 is a completion requirement for: