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Course Code: 
AFN 316
Course Period: 
Spring
Course Type: 
Core
P: 
3
Application: 
0
Credits: 
3
ECTS: 
6
Prerequisite Courses: 
Principles of Finance
Course Language: 
İngilizce
Course Objectives: 

This course gives a basic introduction to the main features of financial institutions and markets, focusing on markets and institutions that failed during the recent turmoil. The first part of the course covers interest rates and securities pricing, including rate of return calculations, how markets determine the overall level of interest rates, and why different securities pay different interest rates. The second part of the course covers financial markets, related financial institutions and the assets that are traded on these markets.

Course Content: 

Financial markets and role of participants in development of financial markets; Fundamentals of financial Markets; Financial markets (money, bond, stock, and derivatives markets); The financial services industry.

Course Methodology: 
1: Lecture, 2: Question-Answer, 3: Discussion, 4: Simulation, 5: Case Study
Course Evaluation Methods: 
A: Testing, B: Presentation, C: Homework, D: Project, E: Laboratory

Vertical Tabs

Course Learning Outcomes

Learning Outcomes

 

Program Learning Outcomes

Teaching Methods

Assessment Methods

1. Explain the historical development of financial markets and financial institutions,

 

5,7

1,2,3

A,C

2. Understand the general role of financial institutions in the financial markets and in an economy,

 

3,5,7

1,2,3

A,C

3. Identify the relevant factors that determine the interest rates in the financial markets,

 

1,2

1,2,3

A,C

4. Understand the role of participants in the development of money and capital markets

 

7,4

1,2,3

B

5. Be familiar with the financial institutions industry

 

5,7

1,2,3

B

6. Assess the impacts of competition, risks and globalization on the performance of financial institutions

 

6,10

1,2,3

A,C

 

 

Course Flow

Week

Topics

Study Materials

1

Introduction-General Review 

Textbook-Introduction

2

Overview of the Financial System

Textbook, Online resources

3

Interest Rates  and  Their Role in Valuation

Textbook

4

Risk and Term Structure of Interest Rates

Textbook

5

Regulation

Textbook, Article

6

Review

 

7

Money Markets

Textbook, Online resources

8

Bond Markets

Textbook, Online resources

9

Equity Markets

Textbook, Lecture Notes

10

Mortgage Markets

Textbook, Online resources, Lecture Notes

11

Insurance Companies

Textbook, Online resources, Lecture Notes

12

Financial Institutions Industry

Textbook,Online resources

13

Derivative markets - Introduction

Textbook,Online resources

14

General Review

Textbook

15

Final

 
 

Recommended Sources

Textbook

Main Text Mishkin, F. S., Eakins, S. G., Financial Markets and Institutions, 5th edition, Addison-Wesley, 2006. 

Howells P, and Bain K., The Economics of Money, Banking and Finance, A European Text, 4rd edition, Prentice Hall, 2008.

Additional Resources

Course web site, financial calculator, online resources, articles, lecture notes.
 

Material Sharing

Documents

Homework assignments, Guidelines for term project, Articles.

Assignments

Homework assignments, Project; Students will be assigned a specific topic to present for discussion.

Exams

Midterm Exam and Final Exam
 
 

Assessment

IN-TERM STUDIES

NUMBER

PERCENTAGE

Mid-terms

1

60

Assignments

6

20

Term project

1

20

Total

 

100

CONTRIBUTION OF FINAL EXAMINATION TO OVERALL GRADE

 

60

CONTRIBUTION OF IN-TERM STUDIES TO OVERALL GRADE

 

40

Total

 

100
 

 

COURSE CATEGORY

Expertise/Field Courses
 

Course’s Contribution to Program

COURSE'S CONTRIBUTION TO PROGRAM

No

Program Learning Outcomes

Contribution

1

2

3

4

5

 

1

To understand the core principles of finance and to be able to apply them both nationally and internationally.

 

 

x

 

 

 

2

To formulate solutions to finance problems by effectively using contemporary information technologies and up-to-date financial instruments.

 

x

 

 

 

 

3

To judge the best possible outcome to problems that require ethical and social responsibility-based thinking by identifying stakeholders and weighing alternative solutions.

 

 

x

 

 

 

4

To develop the necessary background to be able to work in multicultural and multilingual environments.

 

 

  

X

 

 

5

To analyze the developments in financial markets by interpreting and distinguishing among the factors affecting them.

 

 

 

 

X

 

6

To recognize management tools and models specific to multinational companies and to be able to apply them where necessary.

x

 

 

 

 

 

7

To understand the structure of the global economic system and to be able to analyze how new developments will affect this structure.

 

 

  

 

X

 

8

To be able to use critical thinking ability in decision making process.

 

 

 

X

 

 

9

To develop and demonstrate the leadership, teamwork and communication skills that may be transferred to the lifelong learning process.

 

 

 

 

 

 

10

To interpret environmental and sustainability issues by implementing quality management processes.

 

 

 

  

 

 
 
 

ECTS

Activities

Quantity

Duration
(Hour)

Total
Workload
(Hour)

Course Duration (Including the exam week: 15x Total course hours)

15

3

45

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

15

4

60

Mid-terms

1

5

5

Homework

6+1(Project)

(2+8)

20

Final examination

1

10

10

Total Work Load

 

 

140

Total Work Load / 25 (h)

 

 

5.6

ECTS Credit of the Course

 

 

6
 

 

3

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