Financial Markets and the Economy

Catalog description

Operation, regulation, use, and evaluation of principal financial markets and institutions; monetary policy, asset pricing, and their effects on business. FINAN 518 Financial Markets and the Economy (3) This course will give students a thorough understanding of the major components and operation of our financial system. This system is used to finance businesses and consumer spending as well as for the management of money (payments and investments). FINAN 518 is a graduate course that adds to both your breadth (variety of topics) and depth (rigor, sophistication) of understanding of financial markets and institutions. The course consists of six inter-related major topics: � Over-view of the financial system � Survey and analysis of financial institutions that are used by businesses and by consumers and investors � A rigorous analysis of interest rates and asset prices, including an introduction to asset pricing models � An explanation and evaluation of our most important financial markets � Study of important financial assets (chapters 16-25) that are used by businesses to raise funds and are used by investors to increase their wealth and income � An introduction to the relatively new, and growing, markets for financial derivatives, covering the pricing of derivatives (principally futures and options contracts and their use for hedging price risk and for speculation)