Business Administration, Financial Economics and Ethics, Second Cycle, 7.5 credits

Learning outcomes

After the course, the student shall

• Have knowledge about theory and practice in the field of financial economics
• Have knowledge about interest rates and bond valuation
• Have knowledge about mean-variance portfolio optimization
• Have knowledge about the capital asset pricing model (CAPM)
• Have knowledge about ethical issues in the financial services industry
• Be able to analyze financial problems based on theory
• Be able to analyze asset price data
• Be able to implement mean-variance portfolio optimization and CAPM on data.

Content

The main course topics are i) interest rates and bond valuation, ii) asset returns and their propertires, iii) mean-variance portfolio optimization, iv) capital asset pricing model (CAPM) and risk factors, v) market efficiency, and vi) ethical issues in the financial services industry. The course may include additional topics in financial economics

Examinations and grades

Written Examination, 6 credits (Code: A001)
Grades used are Fail (F), Sufficient (E), Satisfactory (D), Good (C), Very Good (B) or Excellent (A).

Assignment, 1.5 credits (Code: A002)
Grades used are Fail (U) or Pass (G).

According to the Higher Education Ordinance, Chapter 6, Section 18, a grade is to be awarded on the completion of a course, unless otherwise prescribed by the university. The university may determine which grading system is to be used. The grade must be determined by a teacher specifically nominated by the university (the examiner).

In accordance with university regulations on grading systems for first and second-cycle courses and study programmes (Vice-Chancellor’s decision ORU 2018/00929), one of the following grades is to be used: fail (U), pass (G) or pass with distinction (VG). For courses included in an international master’s programme (60 or 120 credits) or offered to the university’s incoming exchange students, the A to F grading scale is to be used. The vice-chancellor, or a person appointed by them, may decide on exceptions from this provision for a specific course, if there are special grounds for doing so.

The grades used on this course are Fail (F), Sufficient (E), Satisfactory (D), Good (C), Very Good (B) or Excellent (A).

Comments on grades

To obtain a passing grade for the course as a whole, a minimum of grade E is required for the written examination and a passing grade on the assignment. The course grade is then awarded based on the written examination.

Modes of assessment

Written Examination, 6 credits (Code: A001)
Written Assignment, 1.5 credits (Code: A002)

For students with a documented disability, the university may approve applications for adapted or other modes of assessment.

For further information, see the university's local examination regulations.

Specific entry requirements

First-cycle courses of 75 credits in Business Administration including an independent project of 15 credits.
Statistics, Basic Course, 15 credits and Data Mining and Business Analytics, Basic Course, 15 credits
alternatively
Statistics, Basic Course, 15 credits and 7.5 credits in regression analysis/econometrics/scientific method within economic or statistics. The applicant must also have qualifications corresponding to the course "English 6" or "English B" from the Swedish Upper Secondary School.

For further information, see the university's admission regulations.

Other provisions

The course will be given in English.

Students who have been admitted to and registered on a course have the right to receive tuition and/or supervision for the duration of the time period specified for the particular course to which they were accepted (see, the university's admission regulations (in Swedish)). After that, the right to receive tuition and/or supervision expires.

Reading list and other learning resources

Required Reading

Berk, Jonathan & Peter DeMarzo (latest edition)
Corporate Finance
Boston, MA: Pearson, (selected chapters)

Lecture notes (will be distributed at the time of the course), maximum of 200 pages.

Scientific articles, maximum of 150 pages.