Introduction to Finance

In this introductory survey course we will explore the role of finance in society, the basic workings of the financial system, how funds are allocated within the economy, and how institutions raise money. We will cover a range of topics, including: interest rates and the time value of money; uncertainty and the trade-off between risk and return; security market efficiency; stocks, bonds, and optimal capital structure; financing decisions and capital budgeting; sovereign risk; foreign currencies; derivatives markets; and concerns about the role of finance in society. The course will include discussions of current news events in global markets, as well as a significant project applying the tools we have learned. (INTD 316 or permission of instructor) 3 hrs. lect/lab