Professor Michael Burkart

This course is available on the CEMS Exchange, Global MSc in Management, Global MSc in Management (CEMS MIM), Global MSc in Management (MBA Exchange), MBA Exchange, MSc in Accounting, Organisations and Institutions, MSc in Law and Accounting, MSc in Management and Strategy, MSc in Management of Information Systems and Digital Innovation, MSc in Real Estate Economics and Finance, MSc in Regulation and MSc in Risk and Finance. This course is available as an outside option to students on other programmes where regulations permit.

This course is not open to students in the MSc Accounting and Finance and MSc Finance and Economics.

This course cannot be combined with FM429 Asset Markets A or FM430 Corporate Finance and Asset Markets.

Students should be comfortable with 'High School' level Mathematics and simple algebra, e.g. the ability to solve linear systems of two equations and two unknowns.

A first course in financial analysis: this course explores the way that firms and the capital market function to channel savings toward productive investments. From the investor's perspective it considers characteristics of the major financial contracts and the principles used in their valuation. It considers how investors should select their portfolios and the implications of this behaviour for pricing assets in stock and bond markets. It explores the question of whether stock markets are efficient in reflecting investors’ information. It applies these insights to the firm's financial management decision of whether or not to invest in a risky project and how to select among alternative investments.

30 hours of lectures in the LT.

Ten three-hour lecture and seminar sessions. This course is taught twice, in both Michaelmas and Lent Term. Students must either register for FM473M which is taught in Michaelmas Term, or FM473L which is taught in Lent Term.

Brealey, Myers and Allen, Principles of Corporate Finance.

Exam (100%, duration: 2 hours) in the main exam period.