Integrated University

Code: UITB510EM   Title: Financial & Capital Markets  Version: 1

Level: M                                   UIT credit rating: 3

Module type: Standard

Valid from: March 2003

Contributes towards: MBA (see notes)

Pre-requisites: None

Co-requisites: None

Excluded combinations: None

Learning outcomes:

On completion of this module successful participants should be able to:

a)         Knowledge and Understanding
understand the differences, roles and functions of capital and financial markets from business perspectives appreciate the dynamic nature of financial markets and institutions and the importance of financial industry sector in different economies. 

b)         Subject-specific Skills
appreciate the application of such financial instruments as live stock-index futures, equity options and their variants demonstrate clear understanding the difference between the return produced by assts of the business and the overall cost of those assets from shareholders perspectives

c)         Cognitive Skills
apply financial instruments to analyse the overall portfolio management strategy of an organisation evaluate the application of immunisation strategies, yield curve analysis and financial engineering concepts to the enhancement of financial assets of the firm demonstrate managerial skills to avoid risk in such options as swaps, forwards, futures and derivatives

d)         Transferable Skills
identify the domestic and global sources of finance and evaluate their respective rate of returns analyse the financial strengths and weaknesses of a firm and draw up appropriate financial strategy to overcome the latter achieve and maintain target capital structure of the firm to increase the value of shareholders.

Syllabus Outline:

●  Measuring financial performance
●  Theories, policies and institutions
●  A flow-of-funds perspective
●  The impact of globalisation, innovation and technology on the financial environment 
●  Financial markets, instruments and market makers
●  Market efficiency
●  Commercial banks, securities firms, mutual funds and financial conglomerate
●  Financial intermediaries and risk assessment management
●  Exchange rate determination
●  The global financial system
●  Monetary policy in a globalised financial system

Teaching and Learning Approaches:

The lecturers will develop students’ perceptions of the role and importance of financial markets and institutions in contemporary business world since it is the goal of any financial manager to achieve and maintain target capital structure of the firm.   On line workshops will focus on the evaluation and assessment of varied sources of finance to achieve a balance between the returns produced by the assets and overall cost of those assets.  You will be encouraged to use internet facilities and other sources of information to draw up structured plan for your assignment and communicate with the module leader through Blackboard.

Indicative Readings:

Blake, D. (2000). Financial Market Analysis, 2^nd Edition, Wiley

Butler, K. (2003). Multinational Finance, 3^rd Edition, South-Western.

Chisholm, A. (2002). An Introduction to Capital Markets, Wiley.

Daniels, J.P. and Hoose, D.V. (2002). International Monetary and Financial Economics, 2^nd Edition, Thomson Learning.

Grinblatt, M. and Titman, S. (2001). Financial Markets and Corporate Strategy, 2^nd Edition, Irwin.

Jones, C.P. (2001). Investments: Analysis and Management, 8^th Edition, Wiley.

Levinson, M. (2002). Guide to Financial Market, 3^rd Edition, The Economist.

Liebenberg, L. (2002). The Electronic Financial Market of the Future, Palgrave.

Madura, J. (2003). Financial Markets and Institutions, 6^th Edition, South-Western.

Melicher, R.W. and Norton, E.A. (2003). Financial Institutions, Markets and Money, 8^th Edition, Thomson Learning.

Assessment

Weighting: Components A = 100%

ATTEMPT 1

First Assessment Opportunity
Component A
Description of each element                                                                             Element weighting
1. Supervised mini-project (3,000 words)                                                                          1

Second Assessment Opportunity (further participation is not required)
Component A
Description of each element
1. Supervised mini-project (3,000 words)                                                                          1 

Specification confirmed by……………………………………Date……………………..
Faculty Dean/Programme Manager