University of ColoradoLeeds School of Business Financial Markets and Institutions, FNCE 3020 Course Syllabus Spring 2007 Sousan Urroz-KororiClass Schedule: Tuesdays and Thursdays from 8:00-9:15 in room 103 & 9:30-10:45 in room 154Office Hours: Tuesdays and Thursdays 10:45-11:45 or by appointment—I don’t have an office at the Fleming Building, I meet students in the Under Graduate Office Area at the library E-mail: [email protected]: http://spot.colorado.edu/~urrozkorTexts: Mishkin & Eakins, Financial Markets + Institutions (2006), 5th ed., (The Addison-Wesley Series), ISBN # 0-321-28029-6 It is highly recommended that students read The Wall Street Journal and /or other financial newspapers daily. There will be discussions on current financial and macroeconomics related events in class. You mustbe prepared (have at least one reference) to discuss a current event topic daily. Class discussion/ participation is twenty percent of your overall grade.Objective: through daily class discussions, lectures, and your research (building a portfolio and sharing your experience in class—presentation) we try to understand the role of financial markets and institutions in the global economy including the theories behind interest rate assessment and its associated risks, the role of central banks, and financial market segmentation—capital market vs. money market. The course examines the role of the stock market and mutual funds in rationing capital in the economy. We will study foreign exchange markets and international financial institutions1. This course is a foundation for learninghow all financial markets, worldwide, compete with one another to attract capital, and to redistribute fund, efficiently and timely. Daily Schedule of Classes January16Chapter 1 Introduction:Why Study Financial Markets and InstitutionsQuantitative Problem 1, page 1518 Chapter 2 Overview of Financial SystemQuestions; 1, 2,3,5, 6, & 12, pp. 36& 37 23 Chapter 3 Fundamentals of Financial Markets25 Chapter3 Continues Problems 1,2,5,9,&11 page 6930 Chapter 4 Why Do Interest Rates Changes?Problems 1, 3, & 4 page 98February1Chapter 5 How Do Risk and Term Structure Affect Interest Rates?Problems 1 through 7, pp.1286 Chapter 6 Are Financial Markets Efficient?8 Class Discussion13 Exam I chapters 1 through 615 Chapter 7 Structure of Central Banks and the Federal Reserve System20 Chapter 8 Conduct of Monetary Policy: Tools, Goals, and Targets22 Chapter 9 The Money marketsProblems 1 through 5 pp. 2421 For more in-depth understanding of foreign exchange market I recommend you to take the International Financial Management.127 & March 1Chapter 10 The Bond MarketProblems 1,2,3,4,6,&8 page 2706 Chapter 11 The Stock MarketProblems 1 through 9 pp. 292 & 2938 Chapter 12 The Mortgage MarketProblems 1,2,5 &12 pp. 314 & 31513 Open Discussion Period15 Exam II, Chapters 7 through 1220 &22 Chapter 13 Foreign Exchange MarketProblems 1- 10, page 34527&29 Spring BreakApril3Chapter 14 The International Financial System5 Chapter 17Banking and the Management of Financial InstitutionProblems 1 through 8 page 44910 Chapter 18 Commercial Banking Industry: Structure & Competition 12 Chapter 21 The Mutual Fund IndustryProblems 1 through 10, page 55917 Chapter 23 Investment Banks, Security Brokers and Dealers, and VentureCapital Firms19 Open Discussion Period24 Exam III, chapters 13,14,17,18,21, & 2326,May 1 &3 Presentations ScheduleGrading is based on the student’s relative standing in class. Your name will be called “randomly” for class discussion, if you are not present, or you don’t have a current article to share, you will receive zero. The various elements of the course are weighted as follows: Class Discussion 20% Portfolio Presentation2 20 Exams I, II, & III 60 100% 2 Details will be announced and discussed on the first day of