KTTS4150 International Finance (5 cr)
Description
Connection of Course Contents to UN Sustainable Development Goals
Promote the role of strong institutions (16) as the backbone of the stable financial markets and at the background of economic growth.
Function of fx markets, pricing of international fixed income, currency and other international assets, partial equilibrium models and parities in international finance, efficiency in fx market, foreign direct investments, international diversification in stock markets, exchange rate risk, exposure, hedging and risk management in currency markets, emerging markets finance and open economy macro model.
Learning outcomes
On successful completion of the course, the students
• are capable of identifying the main forms of international financial markets
• understand the functions of international fixed income, currency and stock markets
• are familiar with the most frequently utilized models and approaches for analyzing the connections between international financial markets and macro economy
• are able to write analytical reports on a specific topic on international finance
The course improve following generic skills:
- critical thinking
- co-operative skills
- oral and verbal communication
- critical evaluation and assessment
- policy evaluation
- causative modelling
Additional information
Recommended timing for BIF students: 1st year.
Recommended timing for Finnish M.Sc. degree students: 3rd or 4th year.
Study materials
Lecture notes and other relevant material distributed through Moodle
Literature
- Cochrane, J. (ed.): Financial Markets and the Real Economy Volume 18 of the International Library of Critical Writings in Financial Economics (2006), also available as NBER Working Paper http://www.nber.org/papers/w11193.
- http://www.nber.org/papers/w11193.
- Krugman, P. , Obstfeld, M & Melitz M., 2018: International Economics; Theory & Policy, 11th ed., Global Edition; ISBN: 978-1292214870
- Cuthbertson, C. & Nitzshce, D., 2004. Quantitative Financial Economics; Stocks, Bonds and Foreign Exchange, 2nd ed.; ISBN: 978-0470091715
- Sercu, P., 2009: International Finance: Theory Into Practice; ISBN: 978-0-691-13667-7
- Moffett, M.H., Stonehill, A. I. & Eiteman, D. K., 2016: Fundamentals of Multinational Finance, Global (5th) ed.; ISBN: 978-1292076539
- Evans, M.D.D., 2011: Exchange Rate Dynamics.; ISBN: 978-0691150895
- Bekaert, G. & Hodrick, R., 2018. International Financial Management, 3rd ed.; ISBN: 978-1107111820
- Fabozzi, F.J., 2016. Bond Markets, Analysis, and Strategies, 9th ed.; ISBN: 978-0133796773