API-141: Finance

Semester: Fall

Credit: 1.0

Syllabus: Click here for syllabus

Faculty: Akash Deep

Schedule

Day Time Location
First Day 9/2
Meet Day M/W 11:40 AM - 1:00 PM L140
Review F 8:40 AM - 10:00 AM L280
2nd Review, Fri, 1:10-2:30 in L140

Description

This course provides a general survey of finance and investments. It emphasizes an intuitive, logically rigorous understanding of the theory and practice of financial markets, illustrating the concepts through examples and cases drawn from the public, private, and nonprofit sectors. Topics covered include:  present value analysis and discounting; diversification; the trade-off between risk and return; market efficiency; pricing of stocks and bonds; the capital asset pricing model; the arbitrage pricing theory; term structure of interest rates; the principle of arbitrage; derivative securities such as forwards, futures, and options; use of derivatives for hedging; and risk management. Prerequisites: Assumes a knowledge of basic high school mathematics, familiarity with spreadsheets, and a course in microeconomics (such as API-101).