Module FINN40315: International Financial Asset Pricing

Department: Finance

FINN40315: International Financial Asset Pricing

Tied To

• L1K109: Economics and Finance (see Postgraduate Handbook 2012-2013 for details)
• L1K609: International Money, Finance and Investment (see Postgraduate Handbook 2011-2012 for details)
• L1K709: Finance (see Postgraduate Handbook 2011-2012 for details)
• N3K109: Finance
• N3K309: Finance (Corporate and International Finance)
• N3K709: Finance (Economics and Finance)

Pre-requisites

Corequisites

Excluded Combinations

Aims

• The module aims to:
• develop students' advanced knowledge and critical understanding of key theoretical and empirical issues in international financial asset management including international diversification, and asset pricing;
• develop students' ability to critically review this specialised complex area of knowledge with a view to undertaking future research in this area.

Content

• Portfolio allocations under certainty and uncertainty;
• International portfolio diversification issues;
• Asset pricing;
• Puzzles in international finance - e.g. home bias puzzle, exchange rates puzzle, equity premium puzzle

Learning Outcomes

• have explored, understood and appreciated the complexity and diversity of the current academic literature and its implications for professional practice, and be able to identify open questions for their own research;
• have demonstrated ability to learn and work independently in addressing challenging complex issues in international financial asset management.

• have used highly specialised and advanced technical, professional and academic skills in analysing international financial asset management.

• Written Communication;
• Planning, Organising and Time Management;
• Problem solving and analysis;
• Using initiative;
• Numeracy;
• Computer Literacy;
• Group work.

Modes of Teaching, Learning and Assessment and how these contribute to the learning outcomes of the module

• A combination of lectures (possibly blended delivery), seminars with practical demonstrations, practical work and guided reading will contribute to achieving the aims and learning outcomes of this module.
• Summative assessment by written assignment, which will test students' knowledge and understanding of the subject matter and their ability to apply what they have learned in the analysis of specific issues.

Teaching Methods and Learning Hours

Summative Assessment

Formative Assessment

Students will receive written comments on formative written assignments. Typically over the 10 weeks of the class, two of the seminars will be written up and submitted in small groups, this will be around 2500 words for each formative assignment.