Universidad Pública de Navarra - Nafarroako Univertsitate Publikoa
Public University of Navarre
| Course code: 176404 | Subject title: FINANCIAL MARKETS AND INSTRUMENTS | ||||
| Credits: 6 | Type of subject: Mandatory | Year: 2 | Period: 2º S | ||
| Department: Gestión de Empresas | |||||
| Lecturers: | |||||
| MUGA CAPEROS, LUIS FERNANDO (Resp) [Mentoring ] | MARTINEZ GARCIA, BEATRIZ [Mentoring ] | ||||
| MANSILLA FERNANDEZ, JOSE MANUEL [Mentoring ] | |||||
Descriptors
Financial System. Interbank Markets. Bond Market. Equity Market. Foreign Exchange. Derivatives.
General proficiencies
GP03 Oral and written communication
GP05 Developing software knowledge applied to the corresponding subject
GP06 Ability to analyze and seek information from various sources
GP07 Solving problems skills
GP08 Decision making skills
GP09 Capacity for teamwork
GP15 Ethic behavior in the job
GP17 Autonomous learning skills
Specific proficiencies
SP01 Entender economic institutions and implementing resulting theoretical or formal representations of how the economy works
SP02 Identify relevant economic information and its content
SP03 Recognize information from data in a professional way
SP03 Derive data unrecognizable relevant information by non-professionals
SP04 Applying professional criteria based on the management of technical tools to the analysis of business problems
SP05 Ability to create reports about companies and markets
SP12 Plan, organize and control projects in the various functional areas of the company
SP15To understand the financial markets, their structure, key players and products
Methodology
Through this course we follow diverse teaching-learning methodologies.
Lectures.
Practical computer-based sessions.
Individual assignments.
Case discussions.
Group assignments.
Search and filtering internet-based information.
Evaluation
| Learning outcome | Evaluation/Assessment System | Weight (%) | Re-examination |
| RFI07, RFI08, RFI09 y RFI10 | Objective evaluation of assignments. | 25% | NO |
| RFI07, RFI08, RFI09 y RFI10 | Final exam. Minimum required mark: 5/10. | 75% | YES |
Agenda
UNIT 1: INTRODUCTION TO THE FINANCIAL SYSTEM.
1.1 Economic units with surplus and deficit. The role of markets and agents. The financial system.
1.2 Financial Assets.
1.3 Financial Intermediaries: Brokers and Dealers.
1.4 Financial Markets: Definition and Characteristics.
1.5 Overview of Financial Markets.
UNIDAD 2: THE INTERBANK MARKET.
2.1 Transactions between the ECB and Financial Institutions.
2.1.1 The ECB¿s Monetary Policy Instruments
2.1.2 Transactions between the ECB and Financial Institutions.
2.2 Transactions between financial institutions.
2.2.1 Deposit Markets.
2.2.2 Other markets (FRAs, Foreign Exchange markets¿).
UNIDAD 3: THE BOND MARKET.
3.1 Corporate Bonds Market.
3.1.1 Short-Term Assets.
3.1.2 Long-Term Assets.
3.1.3 Markets (AIAF, SEND, MARF...).
3.1.4 Securitization.
3.2 Treasury Bonds Markets.
3.2.1 Treasury Bonds and Notes.
3.2.2 Government (Treasury) Securities Auctions.
3.2.3 Classification of Operations.
3.2.4 Strips.
3.3 Term Structure of Interest Rates.
UNIDAD 4: THE EQUITY MARKET.
4.1 The Primary Market.
4.2 The Secondary Market.
4.3 Equity Issuance and Public Offerings
4.4 Stock Markets Intermediaries.
4.5 Stock Market Indexes.
4.6 Other Securities Traded in Stock Markets.
UNIDAD 5: THE FOREIGN EXCHANGE MARKET.
5.1 Foreign Currency: Definition and negotiation.
5.2 The Spot and the Forward Markets.
5.3 Direct and Cross-rate Quotations
5.4 International Parity Conditions.
UNIDAD 6: THE DERIVATIVE MARKET.
6.1 Forwards and Future Markets.
6.1.1 Futures: Markets and Securities.
6.1.2 Forwards, FRAs and Swaps.
6.1.3 Strategies with Forwards and Futures.
6.2 Options
6.2.1 Options: Definition and Classification.
6.2.2 Determinants of options pricing.
6.2.3 Strategies with Options.
Bibliography
Access the bibliography that your professor has requested from the Library.
Basic Bibliography:
- Bodie, Z., Kane, A, and Marcus, A. Essentials of Investment, McGraw Hill, 11th Edition. 2019.
- Moffet, M., Stonehill, A., Eiteman, D. Fundamentals of Multinational Finance. Global Edition, Pearson, 5th Edition. 2016.
Complementary Bibliography:
- Mishkin, F.S. The Economics of Money, Banking, and Financial Markets. Pearson. 2016.