| Unit name | Financial Markets and Corporate Finance |
|---|---|
| Unit code | ACFI30012 |
| Credit points | 20 |
| Level of study | H/6 |
| Teaching block(s) |
Teaching Block 1 (weeks 1 - 12) |
| Unit director | Dr. Quaye |
| Open unit status | Not open |
| Units you must take before you take this one (pre-requisite units) |
Principles of Finance (ACFI20001) |
| Units you must take alongside this one (co-requisite units) |
None |
| Units you may not take alongside this one |
None |
| School/department | School of Accounting and Finance - Business School |
| Faculty | Faculty of Social Sciences and Law |
Why this unit is important?
The unit is designed to give you a thorough overview of the complex and dynamic world of financial decision making in asset markets and in corporations. You will acquire thorough understanding of the salient characteristics of stocks, bonds, and derivatives, which will aid in the development of the skills required to assess and price them in financial market transactions. Regarding corporate finance, the unit highlights the role of information asymmetry and incentive structures in capital budgeting and capital structure decisions. In this way, the unit will help students understand and navigate the intricacies of financial decision taking in markets and corporations.
How does this unit fit into your programme of study?
The unit is offered to several finance-related programmes. Taking part in this unit will complement your studies from Year 2 by additional in-depth exploration of the two core areas of finance. The unit will deepen your understanding of financial decision making in markets and corporations; you will learn to assess complex financial instruments, risk management strategies, and corporate financing and strategy. These studies will prepare you for further finance research and a wide range of professional finance practice.
An overview of content
This course delves into the workings of securities markets and how these markets shape corporate financing decisions amidst information dynamics and conflicts of interest. Integrating mathematical/statistical approaches and case studies, students gain a deeper understanding of optimal capital structures, financial distress, information asymmetry, conflict of interest, corporate strategy, capital allocation to risky assets and asset pricing, the efficient markets hypothesis, fixed income securities, and derivatives. This holistic curriculum equips undergraduates with the ability to navigate the complexities of both corporate finance and financial markets with analytical precision.
How will students personally be different as a result of the unit?
You will gain competence and confidence in your understanding of financial markets and corporate decision taking, and an appreciation of the underlying unity in finance theory. Parts of the unit are based on research articles and you will gain increased competence in your ability to study advanced research papers on your own.
Learning Outcomes
Develop competence and maturity in:
1. Describing and explaining the key principles, theories, and terminologies related to financial markets and corporate finance.
2. Analysing and interpreting financial market data and corporate data;
3. Recommending appropriate corporate decisions in the presence of information asymmetry and conflicting stakeholder interests;
4. Constructing and proposing trading and investment strategies by synthesizing knowledge of various asset classes, and market instruments.
5. Explaining the findings of advanced research papers using language suitable for a non-specialist audience.
Weekly 2-hour lectures. In most weeks you will also attend an exercise class or a tutorial class (in smaller groups). You are given exercises in advance, these are discussed with your peers and your tutor in class, and full solutions are published after class.
Your total learning time for this unit is expected to be some 200 hours. This is made up of contact time, directed learning tasks, independent learning and assessment activity.
Tasks which help you learn and prepare you for summative tasks (formative):
Exercise classes and tutorials offer an opportunity to receive feedback from the tutor and from your peers. Written answers to exercises are published on Blackboard. You are offered a trial test that is similar to the exam and that allows you to practice answering the kind of question that you will see in the exam. Some tutorials also include group presentations.
Tasks which count towards your unit mark (summative):
100% exam, 2.5 hours, assessing ILO1, ILO2, ILO3, ILO4 and ILO5
When assessment does not go to plan
Resit exam in same format as the main exam.
If this unit has a Resource List, you will normally find a link to it in the Blackboard area for the unit. Sometimes there will be a separate link for each weekly topic.
If you are unable to access a list through Blackboard, you can also find it via the Resource Lists homepage. Search for the list by the unit name or code (e.g. ACFI30012).
How much time the unit requires
Each credit equates to 10 hours of total student input. For example a 20 credit unit will take you 200 hours
of study to complete. Your total learning time is made up of contact time, directed learning tasks,
independent learning and assessment activity.
See the University Workload statement relating to this unit for more information.
Assessment
The assessment methods listed in this unit specification are designed to enable students to demonstrate the named learning outcomes (LOs). Where a disability prevents a student from undertaking a specific method of assessment, schools will make reasonable adjustments to support a student to demonstrate the LO by an alternative method or with additional resources.
The Board of Examiners will consider all cases where students have failed or not completed the assessments required for credit.
The Board considers each student's outcomes across all the units which contribute to each year's programme of study. For appropriate assessments, if you have self-certificated your absence, you will normally be required to complete it the next time it runs (for assessments at the end of TB1 and TB2 this is usually in the next re-assessment period).
The Board of Examiners will take into account any exceptional circumstances and operates
within the Regulations and Code of Practice for Taught Programmes.
