Students are introduced to and learn to use and evaluate a range of discounted cash flow techniques, Qualitative aspects of capital Budgeting and investments are also covered. The concept of market efficiency and of the link between risk and return are illustrated by reference to historical returns. Basic issues around share valuation are also discussed, and the students are introduced to derivative instruments, and how they may be used both defensively and aggressively.
FI4005 Advanced Corporate Finance (Autumn/3)
3 hours per week; 13 weeks/5thsemester; 26L/13L; ECTS credits:6
The course covers the more advanced capital budgeting, taking into account inflation, uncertainty and tax. Simulation and scenario analysis are covered. The concept of a real option is introduced. Agency theory, dividend policy and capital structure are all covered
in some detail. The capital markets are introduced, and approaches to share valuation are discussed. Portfolio theory is covered as a means of reducing risk.Prerequisite FI4003.
FI4007 Investments: Analysis and Management (Autumn/4) 3 hours per week; 13 weeks/5th semester; 26L/13L; ECTS credits:6
The topics covered include an introduction to the investment environment: equity securities, fixed income securities, derivative securities; Financial markets: primary and secondary markets; the efficient market hypothesis; risk and return: measures of risk and returns; Portfolio and capital market theory: dealing with uncertainty, portfolio risk and return, analysing portfolio risk, the role of diversification, modern portfolio theory; Portfolio selection: efficient portfolios and diversification; Asset Pricing Models: risk-return trade-off, capital market line, security market line, Capital Asset Pricing Model (CAPM), Arbitrage Pricing Theory (APT); Equity valuation: dividend discount models, technical analysis, the role of sentiment; Fixed income valuation: bond yields and prices, the term structure, bond strategies; Option valuation: both the binomial model and the black-scholes model; Evaluation of investment performance.
FI4407 Financial Institutions and Markets* (Autumn/4)
3 hours per week; 13 weeks/7th semester; 26L/13T; ECTS credits:6
Overview of the financial system, financial markets; bond and equity markets, money markets, Euro markets, futures and options markets; introduction to financial institutions, theory of the banking system, bank regulation; band asset and liability management, bank liquidity management, bank credit risk management; financial innovations; securitisation, EU financial services and single market legislation; issues in portfolio management; transaction costs, regulation of investment services, active versus passive portfolio management, indexation, portfolio performance measurement.
Prerequisite FI4305 IN4003 Principles of Risk Management (Autumn/2)
3 hours per week; 13 weeks/3rd semester; 26L/13L; ECTS credits:6
Concepts of risk, pure and speculative risk; paradigms of risk; risk communication; perceptions of risk; risk and regulation; risk and society; risk in the economic and legal environment; risk in a corporate context; probability and risk management; modelling risk management; portfolio theory and diversification; identification, analysis, evaluation, control, financing of risk; theory of risk retention; risk funding including alternative risk transfer; monitoring the process; financial models for the justification of risk management expenditure; risk management in an organisation; formulation and implementation of risk management strategies.
IN4005 Risk Analysis (Autumn/3)
3 hours per week; 13 weeks/5th semester; 26L/13L; ECTS credits:6
Decision making under conditions of uncertainty: Bayesian decision theory; economic value of information; Design of retention programme; probability of ruin; solvency concepts; Behavioural theories of accident prevention; role of heuristics; Control of intellectual property; reputation management; crisis management; Net present value & risk control/ derivation of annuity formulae/ determination of discount rate. Prerequisites: IN4004 and IN4014.
IN4007 Governance and Risk (Autumn/4)
3 hours per week; 13 weeks/7th semester; 26L/13L; ECTS credits:6
Risk Management as a response to governance, the relationship between risk and governance, stakeholders and risk, governance and risk in an international context, risk and the structures of organisations, the control of risk through ethical, legal, economic, social, psychological and technical means. Codes of practice (Turnbull) and relevant regulation; Environmental risk and its control; Governance and compliance.
IN4015 Risk and Insurance (Autumn 3) 3 hours per week; 13 weeks/5th semester; 26L/13L; ECTS credits:6
Nature of Risk; insurance as a risk management device; statistical treatment of data, inferential statistics; utility theory and buyer behaviour, insurability; corporate demand for insurance. Prerequisites IN4004 and IN4014.
IN4427 Insurance Organisations and Markets (Autumn/4) 3 hours per week; 13 weeks/7th semester; 26L/13T; ECTS credits:6
Risk theory and insurance; actuarial theory, ruin theory and insurance; classification of risk, liability, property, personal, and financial risk; the economic function of an insurance organisation; insurance as a means of risk financing; pure premium models; economics of insurance, the supply and demand for insurance; development of insurance in the economy; the theory of insurable risks; a typology of insurance and reinsurance; models of compulsory insurance.
IN4725 Risk and Insurance (Autumn/2) 4 hours per week; 13 weeks/3rd semester; 52L; ECTS credits:6
Risk theory and insurance; risk analysis; classification of risk, liability, property, personal and financial risk; the economic function of an insurance organisation; insurance as a means of risk financing; pure premium models; economics of insurance, the supply and demand for insurance; development of insurance in the economy; the theory of insurable risks; a typology of insurance and reinsurance; models of compulsory insurance.
IN4735 Insurance Organisations (Autumn/4) 3 hours per week; 13 weeks/7th semester; 26L/13T; ECTS credits:6
The structure of the insurance industry; the functions of an insurance organisation; insurance organisation accounts and costing; the use of information technology; quality and insurance; captive management.
MG4031 Management Principles (Autumn/1) 3 hours per week; 13 weeks/1st semester; 26L/13T; ECTS credits:6
Management concepts and evolution, the business environment, functions of management, planning, organising, staffing, leading and controlling, decision making, organisation structure and design leadership, motivation, work design, organisational control introduction to ethics and social responsibility, change management.
MG4035 International Management (Autmn/3)
3 hours per week; 13 weeks/5th semester; 26L/13T; ECTS credits:6