Overview
The subject is designed to provide participants with a sound knowledge of the functions of financial markets and institutions, the relationship between the financial system and the economy and the skills required to manage financial risks in business. Participants will be expected to develop and enhance knowledge and skills in the area of financial management applied to government, non-profit and entrepreneurial organisations.
Course Content
The topics to be covered in this subject include:
Introduction to the financial system and its components
Financial instruments
Financial markets
Financial institutions
Foreign markets and institutions
Financial system
Financial mathematics
Functions and operations of financial markets
Securities markets
Money market, bond (debt) market, stock (equity) market, foreign exchange market
Derivatives markets: futures, options and swap markets
Functions and operations of financial institutions
Banks and non-bank financial institutions
The Central bank
Changes in the financial system (regulation and deregulation)
Evolution of the international financial system
Managing financial risks
Risks in financial markets
Risks in financial intermediation — interest rate risk, purchasing power rate, foreign exchange risk