International Financial Markets (2019/2020)

Learning outcomes

In this Course the students learn the fundamentals of international finance. This topic has evolved considerably in recent years due to the deregulation of financial markets, product innovations and advances in technology. Considering also that capital markets are becoming increasingly integrated, an understanding of international finance has become essential for making the best financial decisions. The Course provides a preliminary analysis of the differences between international finance and domestic finance. The analysis of international financial institutions and the activities in international markets provides students with the necessary tools to make correct financial decisions in a constantly evolving international context. At the end of the Course students will be able to discuss the recent developments in the international financial markets, with a particular focus on international banks, money markets, bond markets and equity markets. Moreover, students will be able to optimize the financial decisions of companies operating internationally.

Part one:
- Globalization and the Multinational Firm
- Corporate Governance around the world
Part two:
- The market for Foreign Exchange
- Futures and Options on Foreign Exchange
Part three
- Management of Transaction Exposure
- Management of Economic Exposure
Part four
- International Banking and Money Market
- International Bond Market
- International Equity Markets
- Interest rate and currency swaps
- International Portfolio Investment

This course will be assessed with a written examination which will include open questions on the theory and some exercises. This exam will test for: (a) the accurate and thorough understanding of the concepts, methods, and models in the course, (b) ability to use these theoretical tools to answer financial practical questions.
Students can also prepare an optional project work (alone or in small groups) concerning the main topics of the Course, and submit it before the end of the Course; in this way they might obtain up to two additional marks in the final examination, based on the assessment of this project work.