| Code |
14184
|
| Year |
1
|
| Semester |
S2
|
| ECTS Credits |
7,5
|
| Workload |
OT(3H)/TP(30H)
|
| Scientific area |
Economics
|
|
Entry requirements |
PhD Students who attend the course need to have previous knowledge of macroeconomics, microeconomics, econometrics, calculous, algebra, and financial and asset markets. The course requires intensive reading with real applications to financial markets.
|
|
Learning outcomes |
- Understand the decision of an investor to invest in risk assets and free risk assets;
- Understand the operation of capital markets;
- Learning to estimate the fundamental value of bonds and shares;
- Determine the optimal set of portfolios available to an investor;
- Determine the profitability of a financial asset;
- Estimate the fundamental value of bonds and shares, and evaluate the credit risk and interest rate of a bond.
- Assess financial derivative contracts
|
|
Syllabus |
1. Portfolio theory
2. Capital markets equilibrium models
3. Stock valuation
4. Bond valuation
5. Financial derivatives valuation
|
|
Main Bibliography |
Main
Bodie, Z., Kane, A., and Marcus, A. (2023), Investments, 13th Edition, McGraw-Hill International Editions.
Bodie, Z., Merton, R., and Cleeton, D. (2012), Financial Economics, 2nd Edition, Prentice Hall.
Sharpe, W., Alexander, G., and Bailey, J.V. (2015), Investments, 7th Edition, Pearson.
Hull, J. (2021). Options, Futures, and Other Derivatives, 11th Edition. Pearson.
Martellini, L., Priaulet, P., and Priaulet, S. (2001), Fixed-Income Securities: Dynamic Methods for Interest Rate Risk Pricing and Hedging. John Wiley & Sons.
Supplementary
Various scientific articles to be made available on Moodle
|
|
Teaching Methodologies and Assessment Criteria |
The methodology is characterized by the co-existence of the exhibition model with the interactive model. In classes we shall use the whiteboard and projection slides, does being formal presentation classes (OHP), with practical and current examples and analysis of scientific articles. Interrogative, participatory and active method, being the language of instruction Portuguese, or English if there are students from Erasmus to justify it.
Students will always be prompted for a direct intervention in the discussion of theoretical problems and their practical implications. As a means to promote the active participation of students in the classroom, it will be promoted practical work using econometric softwares (Stata, Eviews,) and with presentation in classes, and students will be encouraged to develop a permanent bibliographical research activity, after obtaining the necessary orientation, and develop critical thinking over analyzed scientific articles.
In order to achieve the goal of
|
|
Language |
Portuguese. Tutorial support is available in English.
|