Submitted by: Submitted by vikashranjan
Views: 106
Words: 1312
Pages: 6
Category: Business and Industry
Date Submitted: 12/09/2013 05:30 AM
Term: V
Credits: One
Prerequisite: Quantitative Finance, Basic Mathematics & Statistics
Email: nalini_prava@yahoo.co.in/nt@iimshillong.in
Intercom: 8037
Objective
Financial Engineering is today changing the practice of finance. Financial-service firms have begun to use financial engineering as a basis of competition. Corporate financial managers also use financial engineering to advance shareholder value. The companies can use one type of financial engineering – derivatives – as part of their financial programs. Through case studies, we will study in detail how financial engineering is used in the firms to reduce their costs of financing, to alter their fundamental risk exposures, and new ways to compete. The objective of this course is to introduce the techniques used for pricing various types of derivatives and their practical application. The course is quantitative in nature and mathematical preparation is required. The course is highly accessible to any student who understands basic mathematics and Statistics and is willing to work hard. The course is designed assuming that the participant is familiar with the contents of the Quantitative Finance course.
Grading
Surprise quizzes: 20%
Case analysis presentation, class participation and assignment: 20%
Term paper: 20%
End theme exam: 40%
Prescribed Textbooks: 1.Options, Futures, And Other Derivatives by John Hull, Prentice hall, 2009
2. Risk Management & Derivative by Rene M.Stulz,Thomson South-western,2007
3. Derivatives: An Introduction by Robert A. Strong, Thomson South western, 2006
4. Derivatives markets by Robert McDonald, Addison Wesley
5. Derivatives-Markets, Valuation, and Risk Management, John Wiley & Sons, Inc.2006
Supplementary Reading Material
The supplementary reading material including cases, technical notes, and research articles is made available for students.
Pedagogy
The pedagogy to be followed will be completely based on the students follow up. It will be mix of case...