Finance Course Descriptions
FINA 6305: Managerial Finance
This course focuses on risk-return analyses that managers use to maximize firm value.
Topics include time value of money (review), valuation of financial instruments, capital
budgeting, cost of capital and capital structure, working capital management, and
Prerequisites: ACCT 6300, BUAD 6300, and ECON 5F70.
FINA 7310: Intermediate Managerial Finance
Presents additional concepts and models for financial decision making. Topics covered
include capital budgeting, lease financing, working capital management, mergers and
acquisitions, risk management, capital structure theory, dividend policy, and multinational
financial management. Formerly MGT 7372.
Prerequisite: FINA 6305.
FINA 7320: International Financial Markets
Policies and practices required to manage foreign exchange risk, finance international
trade, and meet working capital and investment needs of multinational companies.
Formerly MGT 7385.
Prerequisites: FINA 6305.
FINA 7322: Investments
This course provides a thorough overview of investments, providing students with knowledge
of basic types of securities (bond, stock, foreign exchanges and derivatives) and
how the markets for these securities operate. Students will learn about the principles
of finance, including arbitrage, market efficiency, asset pricing models and portfolio
theory. Specific topics include risk-return and mean-variance efficient frontiers,
diversification and pricing of risk, security, pricing, etc. In addition, students
will apply skills in modern investment pricing techniques, including the pricing of
fixed-income securities, equities, foreign exchange and derivatives. Principles of
portfolio selection and management and risk control will also be covered in relevant
topics. Finally, the course will look at how banks and other financial institutions
make money by bringing issuers and investors together.
Prerequisites: ACCT 5325 & FINA 6305.
FINA 7327: Corporate Valuation
The course focuses on providing students with theoretical and applied understanding of key methods and tools used in valuing companies in order to evaluate mergers and acquisitions, new projects or make strategic decisions. Analysis of the factors that drive corporate value will be emphasized. This course will build upon the concepts covered in FINA 6305 Managerial Finance and FINA 7310 Intermediate Corporate Finance. Prerequisite: FINA 7310.
FINA 7350: Derivatives
In this course, students develop an understanding of financial derivative instruments
(forwards, futures, options and swaps) and their applications to investment strategy
and risk management. Throughout the course, we cover material in the contracts, hedging,
arbitrage, pricing and risk management of financial derivative instruments. Derivatives
pricing models such as Binomial Tree Model and BSM Model will be discussed in detail.
In the class, students learn how to apply futures strategies for long and short hedge
and how to apply option strategies such as covered calls, spreads and butterflies
and options Greeks for financial engineering and risk management purpose. Students
will also use options and futures contracts for tactical portfolio strategies purpose.
Relevant topics such as securitization and real options will also be covered in the
Prerequisite: ACCT 5325, FINA 6305, FINA 7322.
FINA 8395: Portfolio Management
This course serves as the Capstone class of the M.S. Finance program. The objective
of the course is to apply all of the theoretical finance knowledge students have learned
in other MS Finance courses. By studying the empirical evidence relevant for portfolio
management, we will cover investment strategies and risk management of equity portfolios,
such as estimation of capital market parameters, trade-off between risk and return,
equilibrium asset pricing models, portfolio construction, optimal portfolio selection
and random walk as applied to portfolio management, etc.
Prerequisite: Approval required – final term.