Financial Markets and Institutions (19BBA60022)

General information

Type:	OP	Curs:	3	Period:	S semester
ECTS Credits:	2 ECTS

Teaching Staff:

Group	Teacher	Department	Language
Ed: 1	Ariadna Dumitrescu	Economía, Finanzas y Contabilidad	ENG

Group	Teacher	Department	Language
Ed: 2	Ariadna Dumitrescu	Economía, Finanzas y Contabilidad	ENG

Core and compulsory courses in Economics and Financial Economics.

Basic concepts from the Economics and Financial Economics courses like economic modeling, the supply and demand model, the meaning of interest rates, time value of money.

Lectures: 15 hours
Participatory sessions: 3 hours
Independent study: 10
Exam: 2 hours

Financial markets play an important role in the efficient functioning of a market economy. Financial Institutions are any establishments that make these markets function efficiently. This course gives a basic introduction to the main features of financial markets and institutions.

Topics cover financial markets organization, related financial institutions and assets that are traded on these markets, including money, bond, equity and derivative markets. We also analyze the relationships among financial institutions, monetary policy and the stability of the economy as a whole. Financial Markets and Institutions will provide a foundation for your further study of Finance, as well as an essential component of your managerial education about the world in which business operates.

This course explores the function, pricing, and institutional structure of financial markets. Our intent is to understand the differences between these instruments and the institutions that operate in today's financial markets. Understanding the economic foundations of these intermediaries, in addition to the institutional instruments, and developing your analytical and research skills, will prepare you not only for today's job market, but will also help to increase your educational flexibility in adapting to future changes.

Upon completing this course students should be able to:
- Identify the basic characteristics of the range of financial instruments.
- Evaluate the range of financial instruments.
- Apply concepts relevant to financial markets and financial institutions, such as the flow of funds, levels of interest rates and interest rate differentials, to current events or topical issues.
- Explain the mechanics and regulation of financial securities exchanges
- Identify and explain how symmetric versus asymmetric information affects the structure and operation of the financial system.
- Analyze and research current issues and challenges in the financial markets and understand how financial markets and institutions affect or are affected by the global and local communities.

1. Overview of the financial system and financial institutions

2. The role of interest rates in the economy

3. Money Markets and Capital Markets Money Markets Bond Capital Markets Equity Markets Investment Companies

4. Derivative Markets

5. Financial Regulation

The pedagogical approach will be based on active learning, flipped-learning and teamwork. The appropriate teaching method will be chosen depending on the learning objectives of each class session. During class, students will be discussing case studies, listening to lectures, watching and discussing videos, use tutorials, exercises, and personal coaching to lead students towards becoming a confident professional equipped with experience and the skill set needed in modern business.

All students are expected to prepare ahead of class. They should read the required cases and chapter articles, contribute their ideas and to their teams, and come well prepared for class debate.

- Bodie Z., Kane A., and A. Marcus, Investments, McGraw-Hill, 2011.

- Fabozzi F., Modigliani F. and F. Jones, Foundations of Financial Markets and Institutions, Pearson, 2010

Group	Teacher	Department
Ed: 1	Ariadna Dumitrescu	Economía, Finanzas y Contabilidad

Group	Teacher	Department
Ed: 2	Ariadna Dumitrescu	Economía, Finanzas y Contabilidad