Fundamentals of Financial Engineering 1 | Faculty of Technical Sciences

Subject: Fundamentals of Financial Engineering 1 (17.IFM102)

Native organizations units: Department of Industrial Engineering and Engineering Management, Chair of Production Systems, Organization and Management

Type of studies	Title
Undergraduate Academic Studies	Information Engineering (Year: 1, Semester: Summer)

General information:

Category	Scientific-professional
Scientific or art field	Proizvodni i uslužni sistemi, organizacija i menadžment
ECTS	5

This course aims at providing students with fundamental knowledge and techniques in modern financial business and engineering accounting, as a basis for financial engineering.

Students should be qualified to (1) understand the role and importance of engineering accounting in business; (2) understand the methods of creating financial statements; and (3) understand the relationships between business partners. Also, they should adopt the fundamental notions in financial engineering related to securities, risk assessment for them, correlations, price and profitability, portfolio of securities, and basic types of financial derivatives, such as forward, futures, contracts, and options.

T-bills, Trial Balance, Elements of the final statements. Introduction to financial management and theoretical fundamentals of modern financial economics. Investment environment. Financial markets and instruments. Securities trading. 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.

Authors	Title	Year	Publisher	Language
Maskell, Brian	Practical lean accounting	2012	CRC Press	English
Zvi Bodie, Alex Kane, Alan J. Marcus	Investments 10th Global Edition, 10/e	2014	McGraw-Hill Education Europe	English
Robert Libby, Patricia Libby and Daniel Short	Financial Accounting	2013	McGraw-Hill/Irwin	English
Craig W. Holden	Excel Modeling in Investments (5th Edition)	2014	Prentice Hall	English
Burton G. Malkiel	A Random Walk Down Wall Street (11th Edition)	2015	W. W. Norton & Company	English