The main aim of this course is to enable students to develop a sound understanding of the fundamental principles underlying the theory and practice of business finance; thereby providing a strong basis for further study of advanced finance theory and cognate disciplines.

The course will introduce students to a number of important concepts in finance, which lie at the heart of basic financial decisions.

First half of the course (taught by Dr. Filipa Da Silva Fernandes):

• Capital budgeting decisions/investment criteria
  
• Net Present Value, IRR and Payback period
• Comparing different projects
• Concept of risk
  
• Risk measurement and diversification
• Security Market Line (SML)
• Market beta and introduction to Capital Asset Pricing Model (CAPM)

Second half of the course (taught by Dr. Sola Kasim):

• Introduction to bond valuation
  
• Interest rate risk 
  
• Theory of interest rates
• Term structure of interest rates
• Introduction to financial options
  
• Stock valuation
• Basic financial option valuation
• Market beta and introduction to Capital Asset Pricing Model (CAPM)
• Options valuation
  
• Introduction to real options
• Real options
• Introduction to the Black-Scholes model

All the topics will be approached from both theoretical and practical perspectives.

本课程是金融学和财务管理专业的主干课程，是研究市场经济条件下金融市场运行机制及其各主体行为规律的一门学科。本课程从阐述金融市场的基本要素、功能、产生及发展的基本脉络入手，在此基础上对构成金融市场体系的主要子市场——货币市场、债券市场、股票市场、基金市场、外汇市场、黄金市场、金融衍生市场等，进行分别介绍和阐述。最后全面介绍金融市场监管的相关理论与实践。

This course is the main course for finance and financial management majors. that study financial market operating mechanism and the law of market main body behavior in the market economy. This course starts with the basic elements of the financial markets, function, emergence and development, then introduces and elaborates the main sub-markets of the financial market system including the money market, bond market, stock market, fund market, the foreign exchange market, gold market and derivatives markets. Finally, the course analyses the theories and practice of financial market supervision roundly.