30414 - PRINCIPLES OF FINANCE
Course taught in English
Go to class group/s: 25
- How investors make portfolio allocation decisions and how assets are priced in financial markets.
- How firms set their financial policies, including capital budgeting (which investments to make), capital structure (how to raise capital), and payout policy (how to return profits to shareholders).
- The extent to which the leading finance theories really work in the data and in the real world.
- Finance and Big Data: Asset Prices and Asset Returns.
- Valuation of Stock and Bonds.
- Capital budgeting.
- Mean-Variance Analysis and Portfolio Diversification.
- Equilibrium in Financial Markets: The Capital Asset Pricing Model (CAPM).
- Market Efficiency and Behavioral Finance: Definitions and Empirical Tests.
- Financial Structure and the Value of the Firm.
- Payout Policy.
- Written exam(s) with a mix of open ended and multiple choice questions.
- Homework and class participation.
- I. WELCH, Corporate Finance, An Introduction, Prentice Hall, 2017, 4th edition, ISBN 978-0984004928.