Financial Markets and Financial Investments

Code:

1EC208

Acronym:

MIF

Keywords
Classification	Keyword
OFICIAL	Management Studies

Instance: 2015/2016 - 2S

Active?	Yes
Responsible unit:	Agrupamento Científico de Economia
Course/CS Responsible:	Bachelor in Economics

Cycles of Study/Courses

Acronym	No. of Students	Study Plan	Curricular Years	Credits UCN	Credits ECTS	Contact hours	Total Time
LECO	365	Bologna Syllabus since 2012	2	-	6	42	162

Teaching language

Portuguese

Objectives

The objective is to give students theoretical principles about the fundamental dimensions of financial markets and operations. Information about common practices in financial markets will also be provided.
The aim is to endow the students with:
1. Theoretical skills needed for future studies.
2. Practical skills for those who wish to enter the labor market.

Learning outcomes and competences

It is expected students to get an excellent  and updated grasp on both products as negotiations taking place in financial markets, as well as thei established conventions.

Working method

Presencial

Program

1. Market classification
2. Market behaviors
3. Exchange rate market
4. Capital markets
a. classification of financial assets
b. market orders
c. stock and bond pricing
d. financial information
5. Risk and return
a. Definition and measurement of risk
b. Definition and measurement of historical and expected return
c. Details about operations involving risk
i. Short-selling
ii. Margin accounts
d. Modern portfolio theory
e. The market model
f. The CAPM

Mandatory literature

Fernandes, A.L.C.; Paulo Mota; Carlos Alves; Manuel Rocha ; Mercados, Produtos e Valorimetria de Activos Financeiros, Almedina, 2012
Fernandes, Abel L Costa; Manual de Gestão Financeira INternacional, Associação Industrial Portuense, 1993
Ross/Westerfield/Jaffe; Corporate Finance, 7th ed., McGraw-Hill, 2005

Complementary Bibliography

EJ Elton, MJ Gruber; Modern Portfolio Theory and Investment Analysis, ohn Wiley & Sons Inc, 1995

Teaching methods and learning activities

Theoretical presentation, presentation of cases, use of on-line information in selected sites.

Evaluation Type

Distributed evaluation with final exam

Assessment Components

Designation	Weight (%)
Exame	90,00
Participação presencial	10,00
Total:	100,00

Eligibility for exams

In order to qualify for the continuous evaluation modality, students must comply with a minimum presence in lectures of 75% of the total classes lectured.
This presence requirement is calculated for each set of subject matters being evaluated in each test.

Calculation formula of final grade

I.
Evaluation by tests:
2 tests with non-cumulative subject matters.
!st test has a weight of 40%; second test has a weight 0f 50%. 10% of the final grade goes to participation and presence during classes.

The final grade is computed as
Grade in the 1st test*40%+Grade in the 2nd test*50%+Participation and presence in classes*10%

Final exam evaluation: 
When the final grade is obtained by final exam, the grade is computed as:
Max((Grade in the exame*90%+Participation and presence in classes*10%; Grade in the final exam)

Examinations or Special Assignments

Among the documents available for study, it will be offered a number of selected news about current events that are considered relevant for the course. Students should study this material as it is considered essential and it will be assessed in the tests.

Special assessment (TE, DA, ...)

As in the in the general rule of evaluation of knowledge of the Faculty (RAC).

Classification improvement

As in the in the general rule of evaluation of knowledge of the Faculty (RAC).