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Quantitative Methods for Financial Instruments Pricing
Major: Financial Engineering
Code of subject: 6.113.03.E.056
Credits: 6.00
Department: Finance
Lecturer: Associate Professor, Candidate of Economic Sciences, Fedevych Liudmyla
Semester: 7 семестр
Mode of study: денна
Завдання: Ability to learn and master modern knowledge; apply knowledge in practical situations, ability to generate new ideas; be critical and self-critical
Ability to think abstractly, analyze and synthesize; Knowledge and understanding of the subject area and understanding of professional activities; Skills in the use and creation of information and communication technologies; Determination and perseverance in tasks and responsibilities.
Ability to perform tasks formulated in mathematical form; Ability to select and apply mathematical methods for solving applied problems, modeling financial systems, analyzing, designing, managing, forecasting, decision-making in the field of finance; understand the task formulation in the language of a particular subject area, search and collect the necessary initial data.
Ability to use knowledge in the field of finance, mathematics and statistics to analyze financial transactions and calculate the price of financial instruments; create new financial products and services that are used to redistribute financial resources, risks and income among market participants in accordance with changes in the micro and macroeconomic environment
Learning outcomes: -ability to conduct research at the appropriate level, to organize, analyze, classify, evaluate the acquired knowledge on the subject of research
- master the methodological tools for evaluating the effectiveness of the use and creation of new financial instruments
- be able to summarize trends and patterns of capital market development, analyze the essential characteristics of financial instruments in global markets,
- evaluate financial instruments on the basis of modern theories and valuation methods, use the acquired theoretical knowledge to characterize and forecast the underlying asset market in accordance with the market situation
-ability to offer solutions in the field of investment, portfolio formation, asset management and risk taking into account the state of the financial market and macroeconomic factors
-ability to create new financial products and services that are used to redistribute monetary resources, risks and revenues between market participants in accordance with changes in the micro- and macroeconomic environment
-to show the ability to self-study and continue professional development
Required prior and related subjects: Finance, Modeling of financial systems, Fundamental and technical analysis,
Modeling of financial risks
Summary of the subject: Rating. National rating scale.
The cost of money over time.
Fundamentals of fundamental analysis.
Risk and return on the capital market.
Evaluations of financial instruments in terms of risk and return.
The main provisions of the capital asset valuation model.
Valuation / price of financial instruments.
Market coefficients. Indicator of the capitalized value of shares. Determining the price / income ratio.
Valuation / price of derivative financial instruments.
Fundamentals of technical analysis.
Basic approaches to evaluation according to the standards of evaluation activity.
Assessing the feasibility of investing
Опис: Rating. National rating scale.
The cost of money over time.
Fundamentals of fundamental analysis.
Risk and return on the capital market.
Evaluations of financial instruments in terms of risk and return.
The main provisions of the capital asset valuation model.
Valuation / price of financial instruments.
Market coefficients. Indicator of the capitalized value of shares. Determining the price / income ratio.
Valuation / price of derivative financial instruments.
Fundamentals of technical analysis.
Basic approaches to evaluation according to the standards of evaluation activity.
Assessing the feasibility of investing
Assessment methods and criteria: - current control (express surveys, testing, written tests, laboratory work);
- final control (exam).
Критерії оцінювання результатів навчання: 1. Thematic control of the level of knowledge during the semester (including laboratory) - 40.
2. Execution of the final task (individual research task), control work -30;
3. Passing the test - 30
Порядок та критерії виставляння балів та оцінок: 100-88 points - ("excellent") is assigned for a high level of knowledge (some inaccuracies are allowed) of the educational material of the component contained in the main and additional recommended literature sources, the ability to analyze the phenomena studied in their interconnection and development, clearly, concisely, logically, consistently answer the questions posed, the ability to apply theoretical provisions in solving practical problems; 87-71 points - ("good") is assigned for a generally correct understanding of the educational material of the component, including calculations, reasoned answers to the questions posed, which, however, contain certain (insignificant) shortcomings, for the ability to apply theoretical provisions in solving practical problems; 70 - 50 points - ("satisfactory") is assigned for poor knowledge of the educational material of the component, inaccurate or poorly reasoned answers, with a violation of the sequence of presentation, for poor application of theoretical provisions in solving practical problems; 49-26 points - ("not certified" with the possibility of retaking the semester control) is assigned for ignorance of a significant part of the educational material of the component, significant errors in answering questions, inability to apply theoretical provisions in solving practical problems; 25-00 points - ("unsatisfactory" with mandatory re-study) is assigned for ignorance of a significant part of the component's educational material, significant errors in answering questions, inability to navigate when solving practical problems, ignorance of the basic fundamental provisions.
Recommended books: 1. Фінансовий інжиніринг : навчальний посібник / В. О. Величкін, М. В. Тимошенко. – Дніпро : Університет митної справи та фінансів, 2019. – 124 с.
2. Про ринки капіталу і організовані товарні ринки: Закон України від 23.02.2006 № 3480-IV (із змінами). [Електронний ресурс] – Режим доступу : https://zakon.rada.gov.ua/laws/show/3480-15#Text
3. Офіційний сайт Національного банку України. Режим доступу: http://www.bank.gov.ua
4. Офіційний сайт Національної комісії з цінних паперів та фондового ринку – Режим доступу: https://www.nssmc.gov.ua/
5. Офіційний сайт Міністерства фінансів України. Режим доступу: http://www.minfin.gov.ua
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