Master 2024/2025

Theory of Finance

Type: Compulsory course (Master of Finance)

Area of studies: Finance and Credit

Delivered by: HSE Banking Institute

Where: HSE Banking Institute

When: 1 year, 1, 2 module

Mode of studies: distance learning

Online hours: 20

Open to: students of one campus

Instructors: Victoria Rodina

Master’s programme: Finance

Language: English

ECTS credits: 6

Course Syllabus

Abstract

This course is designed to introduce to students the fundamental issues of the Theory of Finance. It is an in-depth study of what the fundamental properties of key financial instruments are and what techniques based on these properties for appropriate pricing and / or detecting mispricing have been suggested. In addition to a thorough insight into fundamental theoretical concepts the course covers some areas of related applied / quantitative research.Two key types of financial instruments are studied throughout the course, bonds and equities. The course’s focus is on fundamental and advanced concepts as well as applications in asset pricing in bond and equity markets. It investigates into what are approaches to asset pricing when pay-offs are certain (fixed claims) and when pay-offs are uncertain (state contingent claims).The course provides essential knowledge and competence at a postgraduate level to those students who intend to follow careers in applied or quantitative finance, as well as to those students who intend to pursue further research. It would be beneficial for perspective CFA level 2&3 test takers as well.