Financial Markets (FM-E)

Área

AC Gestão > UC Obrigatórias

Activa nos planos curriculares

Finance > Finance > 1º Ciclo > Unidades Curriculares Obrigatórias > Financial Markets

Nível

1º Ciclo (L)

Tipo

Não Estruturante

Regime

Semestral

Carga Horária

Aula Teórica (T): 0.0 h/semana

Aula TeoricoPrática (TP): 4.0 h/semana

Trabalho Autónomo: 108.0 h/semestre

Créditos ECTS: 6.0

Objectivos

The curricular unit aims to introduce the student to financial markets, their function, working mechanisms, agents and traded instruments. After will be introduced the theory of the efficient portfolio management and equilibrium models to help on optimal portfolio management. Then, the hypothesis of efficient markets and performance evaluation. Finally, the concept of value at risk is analysed, as well as behavioural and ethical issues will be covered.

Programa

1.Introduction to Investments and Markets
1.1.The economic theory of choice
1.2.Financial Securities
1.3.Financial Markets
2.Portfolio Analysis
2.1.Mean Variance Portfolio Theory
2.1.1.The Characteristics of the Opportunity Set under Risk
2.1.2.Delineating Efficient Portfolios
2.1.3.Techniques for Calculating the Efficient Frontier
2.2.Simplifying the Portfolio Selection Process
2.2.1.The Single-Index Model
2.3.Selecting the Optimum Portfolio
2.3.1. How to Select among the Portfolios in the Opportunity Set
2.4. Estimating Expected Returns
2.4.1.Models of equilibrium in Capital Markets - The Capital Asset Pricing Model (CAPM)
2.4.2.Other Ways to Estimate Expected Returns
2.5.Widening the Selection Universe
2.5.1.The International Diversification
3.Security Analysis
3.1.Efficiency in financial markets
3.2.The Valuation Process ? Common Stocks
3.3.The Valuation Process ? Bonds
3.3.1.Interest Rate Theory and the Pricing of Bonds
3.3.2.The Management of Bond Portfoli

Metodologia de avaliação

The course is structured into 25 sessions of 2 hours each, in which new topics are introduced by the lecturer. Students are asked to solve problems on the different topics covered, and they are given access to solutions. Microsoft Excel is a key software to succeed in the course. According to the circumstances the final exam might be required to be solved using Microsoft Excel.

Bibliografia

Principal