Financial markets are places where suppliers of capital (“investors”) and consumers of capital (“firms”) meet and trade. The first part of this course provides students with an introduction to these markets, including the key players and roles and responsibilities they perform. Students next examine the techniques, which both investors and firms use to deal with cash flows that occur at different points in time; students will look at valuation problems across several types of asset classes, such as bonds and stocks.
The second part of this course introduces the concepts of risk and uncertainty, which are central to an understanding of finance. We will introduce a measure of risk and develop a model of how this risk measure corresponds to a level of expected return on an asset or project. Students integrate this model of risk and return with the valuation of cash flows through time and consider the evidence on how prices in financial markets are related to value. This course concludes with a discussion of company financial statements, exploring the “language” and use of these statements for valuation purposes.
Course Level: Appropriate for sophomores and above with some experience in the same subject area, or in a related area.
|I2F – The University of North Carolina at Chapel Hill|
|Summer 2014 Sections||
Start Date: 06-09-2014
End Date: 08-08-2014
Mon 6:00pm - 7:20pm EST
Wed 6:00pm - 7:20pm EST