| Course Name | Speculative Markets |
| Code | Semester | Theory (hour/week) | Application/Lab (hour/week) | Local Credits | ECTS |
|---|---|---|---|---|---|
| ECON 514 | Fall/Spring | 3 | 0 | 3 | 7.5 |
| Prerequisites | None | |||||
| Course Language | English | |||||
| Course Type | Service Course | |||||
| Course Level | Second Cycle | |||||
| Mode of Delivery | - | |||||
| Teaching Methods and Techniques of the Course | ||||||
| Course Coordinator | ||||||
| Course Lecturer(s) | ||||||
| Assistant(s) | - | |||||
| Course Objectives | The aim of this course is to introduce the students to financial instruments that are classified as derivatives and show how these instruments can be used for hedging different risks. |
| Learning Outcomes | The students who succeeded in this course;
|
| Course Description | In recent years there has been phenomenal growth in the markets for futures contracts on financial assets, as well as options on these assets. Derivatives enable firms and portfolio managers to hedge a variety of risks. This course introduces the student to forward contracts, futures and options and walks the student through the process of using these instruments to hedge different risks. |
| Related Sustainable Development Goals | |
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| Core Courses | |
| Major Area Courses | ||
| Supportive Courses | ||
| Media and Managment Skills Courses | ||
| Transferable Skill Courses |
| Week | Subjects | Required Materials |
| 1 | Introduction | |
| 2 | Financial forwards | |
| 3 | Financial futures | |
| 4 | Financial futures cont’d. | |
| 5 | Commodity forwards/futures | |
| 6 | Hedging with forwards/futures | |
| 7 | Hedging with forwards/futures cont’d. | |
| 8 | Swaps | |
| 9 | Swaps cont’d. | |
| 10 | Midterm | |
| 11 | Options | |
| 12 | American Options | |
| 13 | European Options | |
| 14 | Greeks | |
| 15 | Final Exam | |
| 16 | Review of the Semester |
| Course Notes/Textbooks | Options, Futures and Other Derivatives (6th edition), by John C Hull. |
| Suggested Readings/Materials |
| Semester Activities | Number | Weigthing |
| Participation | 16 | 10 |
| Laboratory / Application | ||
| Field Work | ||
| Quizzes / Studio Critiques | ||
| Portfolio | ||
| Homework / Assignments | ||
| Presentation / Jury | ||
| Project | 1 | 50 |
| Seminar / Workshop | ||
| Oral Exam | ||
| Midterm | 1 | 40 |
| Final Exam | ||
| Total |
| Weighting of Semester Activities on the Final Grade | 18 | 100 |
| Weighting of End-of-Semester Activities on the Final Grade | ||
| Total |
| Semester Activities | Number | Duration (Hours) | Workload |
|---|---|---|---|
| Course Hours (Including exam week: 16 x total hours) | 16 | 3 | 48 |
| Laboratory / Application Hours (Including exam week: 16 x total hours) | 16 | ||
| Study Hours Out of Class | 16 | 6 | 96 |
| Field Work | |||
| Quizzes / Studio Critiques | |||
| Portfolio | |||
| Homework / Assignments | |||
| Presentation / Jury | |||
| Project | 1 | 30 | |
| Seminar / Workshop | |||
| Oral Exam | |||
| Midterms | 1 | 20 | |
| Final Exams | |||
| Total | 194 |
| # | Program Competencies/Outcomes | * Contribution Level | ||||
1 | 2 | 3 | 4 | 5 | ||
*1 Lowest, 2 Low, 3 Average, 4 High, 5 Highest
