Theory of Finance

Bachelor 2024/2025

Type: Compulsory course (International Bachelor's in Business and Economics)

Area of studies: Economics

Where: St.Petersburg School of Economics and Management

When: 2 year, 3, 4 module

Mode of studies: offline

Open to: students of one campus

Instructors: Victor Krakovich, Boris Lodyagin, Хованский Сергей Константинович, Казанский Александр Вячеславович, Хованский Сергей Константинович

Language: English

ECTS credits: 5

Full Syllabus Ask Question

Abstract

It is an introductory course to the theory of finance. The course starts with discussing the basics terms such as the cashflows, NPV, and progresses towards more advanced topics. It also discusses empirical puzzles and practical applications of the financial concepts. After mastering this course, the students will gain initial knowledge on the theory of finance and will be able to apply it in solving some simple real life problems.

Learning Objectives

To know theories of finance and their appropriate applications
To critically analyze the given problem and to derive comprehensive solutions for the given problem
To identify a problem and select appropriate models to solve it

Expected Learning Outcomes

To know basic financial concepts
To build financial models of the projects and firms
To identify appropriate models to address business problems

Course Contents

Introduction
Financial Mathematics 1
Financial Mathematics 2
Investment Decisions
Valuation of Bonds
Valuation of Common Stocks
Portfolio Theory
Capital Asset Pricing Model
Current trends in Finance
Banking system and regulators
Banking Finance 1
Banking Finance
Derivatives: forwards+futures
Derivatives: options
Stock Market Infrastructure: Professional Participants and Their Licensing
Personal Financial Planning
Analysis of financial instruments
Financial Institutions

Assessment Elements

Test1
Midterm
Lecture quizzes
Lecture quizzes
Project
Test2
Exam

Interim Assessment

2024/2025 4th module
0.2 * Exam + 0.05 * Lecture quizzes + 0.05 * Lecture quizzes + 0.3 * Midterm + 0.1 * Project + 0.2 * Test1 + 0.1 * Test2

Bibliography

Recommended Core Bibliography

Richard Brealey, Stewart Myers, & Franklin Allen. (2020). ISE EBook Online Access for Principles of Corporate Finance: Vol. Thirteenth edition. McGraw-Hill Education.

Recommended Additional Bibliography

International finance, Pilbeam, K., 2013
MARKOWITZ, H. (1952). Portfolio Selection. Journal of Finance (Wiley-Blackwell), 7(1), 77–91. https://doi.org/10.2307/2975974

Authors

KRAKOVICH VIKTOR VALEREVICH

Course Syllabus