Subject: Fundamentals of Financial Engineering 1 (14 - IFM102)


Basic Information

CategoryScientific-professional
Scientific or art field:Production Systems, Organization and Management
InterdisciplinaryNo
ECTS5
Course specification

Course is active from 20.05.2014..


Precondition courses

Course idMandatoryMandatory
Introduction into the Information and Financial EngineeringYesYes

Course which have preconditioned courses Fundamentals of Financial Engineering 1

Course idMandatoryMandatory
Fundamentals of Financial Engineering 2YesYes
This course aims at providing students with fundamental theoretical and applied knowledge in modern financial engineering. Introduction to financial management, with an emphasis on portfolio management and theoretical fundamentals of modern financial economics.
By the end of the course, students should be able to: 1) Apply quantitative measures of return on investments in securities, in order to assess their risk, correlations, price and profitability. 2) Construct an efficient portfolio of securities. 3) Analyze the information from probability distribution functions and moments of random variables in financial management. 4) Value bonds and stocks. 5) Understand the basic types of financial derivatives such as forward, futures contracts and options.
Investment environment; Financial markets and instruments; Securities trading; Mutual funds; Risk and return on investment; Capital allocation and efficient portfolios; The Capital Asset Pricing Model; Arbitrage Pricing Theory; Theory of efficient markets; Technical analysis; Bonds; Security analysis; Stocks; Financial derivatives.
Educational methods include lectures, tutorials and lab sessions (in the computer classroom), as well as office hours. During the course work, students are encouraged to participate in intensive class discussions, problem-oriented reasoning, independent study work and be active in class. The prerequisite to write the final exam is to complete all the pre-exam assignments by earning at least 15 points.
AuthorsNameYearPublisherLanguage
Zvi Bodie, Alex Kane, Alan J. MarcusInvestments 10th Global Edition, 10/e2014McGraw-Hill Education EuropeEnglish
Craig W. HoldenExcel Modeling in Investments (5th Edition)2014Prentice HallEnglish
Burton G. MalkielA Random Walk Down Wall Street (11th Edition)2015W. W. Norton & CompanyEnglish
Course activity Pre-examination ObligationsNumber of points
Complex exercisesYesYes10.00
Complex exercisesYesYes10.00
Complex exercisesYesYes10.00
Oral part of the examNoYes70.00
Name and surnameForm of classes
Missing picture!

Dobromirov Dušan
Associate Professor

Lectures
Missing picture!

Radišić Mladen
Associate Professor

Lectures
Missing picture!

Radišić Mladen
Associate Professor

Practical classes