Financial Markets and Institutions

Course Code: 
BBA 347
Course Period: 
Spring
Course Type: 
Core
P: 
3
Application: 
0
Credits: 
3
ECTS: 
6
Prerequisite Courses: 
Course Language: 
İngilizce
Course Objectives: 
To provide a complete understanding of financial markets and institutions, to equip the students with an indepth analysis of the financial system, its organizations, the financial securities and derivatives.
Course Content: 

The rules of financial markets and institutions, the international financial markets, financial derivatives markets, Cental Banks and their functions.

Course Methodology: 
1: Lecture, 2: Question-Answer, 3: Discussion, 9: Simulation, 12: Case Study, 4: Practice, 12: Case Study, 14: Self Study, 15: Problem Solving
Course Evaluation Methods: 
A: Testing, B: Homework, C: Performance

Vertical Tabs

Course Learning Outcomes

Learning Outcomes

Program Learning Outcomes

Teaching Methods

Assessment Methods

Knows the basic concepts of financal markets

1, 4

1,2,3,14,15

A,B

Explains pricing and valuation

1, 4, 9

1,2,3,12,14,15

A,B

Knows risk and return concepts

1, 4

1,2,3,12,14,15

A,B

Uses financial decision making processes

1, 4, 9

1,2,3,12,14,15

A,B

 
 

Course Flow

Week

Topics

Study Materials

1

Overview of the Financial System; the Roles of Financial Institutions and the Performance of Financial Markets

Textbook

2

Central Banking and Conduct of Monetary Policy; Tools, Goals and Strategies of the Central Banks; Open Market Transactions; Monetary Targeting; Inflation Targeting

Textbook

3

Exchange Rate Regimes in the International Financial System; Law of One Price; Purchasing Power Parity Theory; Interest Rate Parity Theory

Textbook

4

Foreign Exchange Markets and the International Financial System; Unsterilized vs. Sterilized Interventions

Textbook

5

Interest Rates, Risk and Term Structure; Changes in Interest Rates

Textbook

6

Bond Markets; Bond Pricing; Current Yield; Capital Gains Yield; Duration

Textbook

7

Mid-term

Textbook

8

Stock Markets; Stock Pricing; Riskiness of Stock Investments

Textbook

9

Efficient Market Hypothesis; CAPM; APT

Textbook

10

Banking; Commercial Banking; Pension Funds; Insurance Companies

Textbook

11

Financial Derivative Markets and Pricing of Derivatives; Forwards; Futures; American vs. European Futures

Textbook

12

Options and Option Pricing Models; Binomial Option Pricing; Black&Scholes Option Pricing Model

Textbook

13

Options and Option Pricing Models; Binomial Option Pricing; Black&Scholes Option Pricing Model

Textbook

14

Review and sample problems

Textbook

15

Review and sample problems

Textbook

16

Final Exam

Textbook

 
 

Recommended Sources

Textbook

Fundamentals of Financial Management, Brigham&Houston, 12th ed., South,Western Cengage Learning

Additional Resources

 

 
 

Material Sharing

Documents

 

Assignments

 

Exams

 

 
 

Assessment

IN-TERM STUDIES

NUMBER

PERCENTAGE

Mid-terms

1

50

Quizzes

0

0

Assignment

2

50

Total

 

100

CONTRIBUTION OF FINAL EXAMINATION TO OVERALL GRADE

 

40

CONTRIBUTION OF IN-TERM STUDIES TO OVERALL GRADE

 

60

Total

 

100

 

 

COURSE CATEGORY

Expertise/Field Courses

 
 

Course’s Contribution to Program

No

Program Learning Outcomes

Contribution

1

2

3

4

5

1

Students should demonstrate their knowledge of the essential body of knowledge in business management (functions of management: organization theory: policy and strategy: information, technology and operations management; human capital management; accounting; finance; marketing; economics; and an integrated perspective).

 

 

X

 

 

2

Students should demonstrate their ability to construct strategy, make organizational decisions and define the required processes to execute these decisions by utilizing the concept and knowledge in business management and by considering cultural and ethical values.

 

 

X

 

 

3

Students should demonstrate the ability to understand the dynamics of global business environment; follow the changes and improvements and understanding the importance of flexibility and creativity in the changing global business world

 

 

 

X

 

4

Students should demonstrate their comprehension of basic economics, law and social sciences which shape the global business environment and their ability to make decisions via these knowledge.

 

 

 

 

X

5

Students should demonstrate their ability to communicate effectively and work in harmony with members from different disciplines.

 

X

 

 

 

6

Students should be able to effectively communicate in writing or orally in global business environment.

 

 

X

 

 

7

Students should be able to appreciate and recognize contributions of individuals from diverse cultures, and should be able to effectively communicate, positively contribute and work as a team member.

 

X

 

 

 

8

Students should be able to use common information and communication technologies employed in business management.

 

 

 

 

X

9

Students should be able to define problems related with business processes, gather data, choose the required methods to analyze the data, evaluate the results and identify the necessary practices and communicate their ideas effectively.

 

 

 

X

 

10

Students should be able to demonstrate their ability to make contributions in business team or project groups, take responsibility and take the leadership role.

 

X

 

 

 

11

Students should demonstrate their understanding of business ethics and social responsibility concepts and motivation to take active role in these subjects.

X

 

 

 

 

12

Students should have required English proficiency to follow the current events and improvements in their professional area and to communicate their ideas in international business arena.

 

 

 

X

 

13

Students should understand the importance of lifelong learning to maintain personal and professional development.

 

X

 

 

 

14

Students should demonstrate that they have the discipline and responsibility to conduct and independent study, project, research.

 

 

X

 

 

 
 

ECTS

Activities

Quantity

Duration
(Hour)

Total
Workload
(Hour)

Course Duration (Including the exam week: 16x Total course hours)

16

3

48

Hours for off-the-classroom study (Pre-study, practice)

16

3

48

Mid-terms

1

10

10

Homework

2

8

16

Final examination

1

10

10

Total Work Load

 

 

132

Total Work Load / 25 (h)

 

 

5.28

ECTS Credit of the Course

 

 

5