Quantitative finance
Information from the course leader
A warm welcome to the Swedish University of Agricultural Sciences and the course Quantitative finance!
Below, you will find general information about the student account, registration for the course and other practical information.
The student account
You will need your student account to access e.g. your e-mail, Ladok and Canvas. For information regarding how to create your student account, follow this link: https://student.slu.se/en/study-support/it-support/support/new-student---start/
Registration for the course
You cannot self-register for this course. The course registration is made manually by the education administrator based on the attendance list from the course introduction. If you have any questions regarding your registration possibility, or if you are unable to attend at the start of the course, please contact the course leader.
Educational support
If you are entitled extra educational support, please inform the course leader at the start of the course so that special arrangements can be made.
For educational support for an exam, see instructions in the exam registration in Ladok Student. You need to register for alternative exam arrangements no later than 10 workings days prior to the examination day. More information here: https://student.slu.se/en/study-support/study-support/funka/.
Discontinuation of a course
If you want to discontinue the course, you should immediately notify the educational administrators at econ-edu@slu.se, who in turn will inform the course leader and register a non-completion of the course in Ladok after your approval. You are also able to register an early non-completion of the course (within three weeks after course start) in Ladok yourself.
Exams
You need to register for exams in Ladok. The registration closes 10 working days prior to the exam. You can find your anonymity code in Ladok Student. It's not possible to register for the exam after the deadline has passed.
On Wednesdays between 12:30-14:30 we have an exam hand out at the department (Ulls hus, 4th floor). Please remember to bring your ID-card.
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Do not hesitate to contact us at econ-edu@slu.se if you have any questions!
Kind regards,
The educational administrators
Course evaluation
The course evaluation is now closed
FÖ0459-10234 - Course evaluation report
Once the evaluation is closed, the course coordinator and student representative have 1 month to draft their comments. The comments will be published in the evaluation report.
Additional course evaluations for FÖ0459
Academic year 2023/2024
Quantitative finance (FÖ0459-10371)
2023-08-28 - 2023-10-30
Academic year 2022/2023
Quantitative finance (FÖ0459-10146)
2022-08-29 - 2022-10-31
Academic year 2021/2022
Quantitative finance (FÖ0459-10240)
2021-08-30 - 2021-11-01
Academic year 2020/2021
Quantitative finance (FÖ0459-10045)
2020-08-31 - 2020-11-01
Academic year 2019/2020
Quantitative finance (FÖ0459-10182)
2019-09-02 - 2019-10-31
Syllabus and other information
Syllabus
FÖ0459 Quantitative finance, 15.0 Credits
Investering och finansieringSubjects
Economics Business AdministrationEducation cycle
Master’s levelModules
| Title | Credits | Code |
|---|---|---|
| Assignments | 5.0 | 0202 |
| Exam | 10.0 | 0203 |
Advanced study in the main field
Second cycle, has only first-cycle course/s as entry requirementsMaster’s level (A1N)
Grading scale
The grade requirements within the course grading system are set out in specific criteria. These criteria must be available by the course start at the latest.
Language
EnglishPrior knowledge
Knowledge equivalent to 180 credits, including 90 credits within business administration or economics. 15 credits microeconomics must also be included as well as 15 credits statistics or 5 credits mathematics and 5 credits statistics. Knowledge equivalent to English 6.Objectives
The course is intended to provide a dynamic perspective on economic issues related to the firm´s capital expenditures as well as to financing capital expenditures.
After successful completion of the course, the students will be able to:
account for the investment process and the economic objectives of the firm,
analyse investment related cash flows considering the effects of taxes, inflation and uncertainty,
analyse the determinants of optimal lifetime and replacement of real assets,
analyse the determinants of capital structure and proper capacity to analyse a situation when investment and financing decisions interact,
analyse an investment decision from a portfolio perspective as well as the use of real option theory in the investment decision making process.
Content
The course is implemented with lectures, problem classes and exercises.
The course covers investment theory, continuos as well as discrete measures for evaluating investment under certainty as well as under uncertainty over future conditions. Additional major topics include portfolio theory and applications of portfolio management to agricultural investment. Also, the determinants of capital structure are addressed with a specific emphasis to how personal taxes, transaction costs and product quality choices affects the capital structure and the real capital employed at the firm level.
The specific contents of the course are:
Introduction, classification of investments, the value of time
Financial mathematics; series and interest
Measures for evaluating investments including fiscal and inflationary concerns
Economic life-time and replacement decision analysis
Evaluating investment decisions under uncertainty
Portfolio theory and expected utility
Capital Asset Pricing Model
Arbitrage Pricing Model
Evaluating the interactive investment and financing decision
Option theory
The investment process
The topics "Investment theory" and "Option theory" addresses economics issues that are of central relevance in the governance of small businesses as well as in the manangement of natural resources.
Grading form
The grade requirements within the course grading system are set out in specific criteria. These criteria must be available by the course start at the latest.Formats and requirements for examination
Passed exam.
Passed assignments.
If a student has failed an examination, the examiner has the right to issue supplementary assignments. This applies if it is possible and there are grounds to do so.
The examiner can provide an adapted assessment to students entitled to study support for students with disabilities following a decision by the university. Examiners may also issue an adapted examination or provide an alternative way for the students to take the exam.
If this syllabus is withdrawn, SLU may introduce transitional provisions for examining students admitted based on this syllabus and who have not yet passed the course.
For the assessment of an independent project (degree project), the examiner may also allow a student to add supplemental information after the deadline for submission. Read more in the Education Planning and Administration Handbook.
Other information
The right to participate in teaching and/or supervision only applies for the course instance the student was admitted to and registered on.
If there are special reasons, students are entitled to participate in components with compulsory attendance when the course is given again. Read more in the Education Planning and Administration Handbook.
Additional information
The specific entry requirements can also be fulfilled through four years of completed studies at the Forest Science programme with specialization in business administration.Entry requirements can also be met by students who are admitted to the agricultural programme and have the knowledge equivalent to 180 credits at undergraduate level out of which at least 60 credits in business administration or economics, and have taken (and been approved) the FÖ0449 (Företagsbeslut & mikroekonomi) och FÖ0373 (Lantbruksekonomi och driftsplanering) or NA0179 (Econometrics and programming). Level of English equivalent to upper secondary school English.
Students admitted autumn 2015 or earlier: the requirement of FÖ0449 can be replaced by the course FÖ0395 and the requirement of NA0179 can be replaced by the course NA0161.
Responsible department
Department of Economics
Further information
Litterature list
Main Course Textbooks
[1] Principles of Corporate Finance, Brealey, R.A., Myers, S.C., Allen, F., McGraw-Hill Companies, 14th edition, 2022.
[2] Hardy, M. R., & Saunders, D. (2022). Quantitative Enterprise Risk Management. Cambridge University Press.
The following books may be used to provide additional content in some specific parts of the course:
[3] Microeconomic Analysis - Hal R. Varian - W. W. Norton & Company, [V], Chapters 11 and 20.
[4] Coping with Risk in Agriculture, Hardaker, J.B., Huirne, R.B.M., Anderson, J.R., Gudbrand, L., CABI Publishing, Wallingford, 2004, [H&Al], chapters 5, 6, 7, 8.
[5] Inefficient Capital Markets: An Introduction to Behavioral Finance - Andrei Shleifer. Oxford UP, 2000.
Other suggested readings
[6] Options, Futures and Other Derivatives, by Hull, J.C., Prentice Hall; 5 edition.
[7] Investment under Uncertainty, by Dixit, A.K., Pindyck, R.S., Princeton University Press, Princeton, NJ, 1994.
Additional papers and reports will be provided during the course.