This unit provides an introduction to basic concepts in corporate finance and capital markets. It is designed to equip students to undertake further studies in finance. After reviewing some very basic ideas in finance and financial mathematics, the unit provides an introduction to the valuation of equity and debt securities and companies. The unit then examines issues related to pricing in capital markets and ends with a discussion of theory and practice related to capital structure and dividend policy.

This unit extends some of the fundamental concepts introduced in FINC5001 Capital Markets and Corporate Finance, and develops a rigorous framework for the analysis and understanding of key aspects of corporate financial decision making. Fundamental concepts in corporate finance are extended to more complex settings. The unit examines more advanced approaches to asset pricing and capital budgeting. New topics are covered in relation to derivative securities and real options applications in capital budgeting. The issues of the cost of capital, corporate capital structure, and corporate dividend policy, are extended to cover the interaction of corporate and personal taxation, agency problems, and information signalling.

The unifying theme in this unit is the application of modern finance theory to financial decision making in the management of banks and non-bank financial institutions. The subject of bank and financial institution decision-making is approached from a risk perspective. The unit objectives are: (i) To provide students with an understanding of the modern model of financial institutions and the economic functions that they perform; (ii) Identify the main types of risk confronted by financial institutions; (iii) Apply relevant techniques to measure and manage those risks; (iv) To provide students with the ability to critically assess the effectiveness of the techniques used by banks to manage their risks(v) To provide students with an understanding of international bank management and financial services.

This unit is aimed at students who wish to obtain a greater understanding of the central issues and principles underpinning recent developments in the global regulation and supervision of banking/financial institutions.

The major focus of this unit is providing students with an understanding of international banking and finance in the contemporary international financial environment. Due to the dynamic nature of the international banking environment, it is necessary to develop skills to effectively identify and understand the effects of current developments. Firstly, the international banking functions are presented; followed by international trade financing, participation in the interbank foreign exchange and Euro currency markets, international investment banking services, and sovereign lending. Other important topics include international money laundering, international banking and debt crises, and offshore banking markets.

International financial crime occupies a leading place on the international governance agenda. It has a devastating impact on national economies, international security and human development. This unit examines key international financial crimes such as investment fraud, corruption, tax evasion, money laundering and terrorist financing. Students gain an understanding of how these crimes are committed, detected and prosecuted. They analyse the changing regulatory environment and the new risks facing businesses and the professions. The role of bank secrecy and tax havens in facilitating financial crime is also studied. There is a special focus on the prevention of financial crime, and the regime for tracing, freezing and recovery of illicit assets. The unit draws on case studies from Australia, the United States, Europe and Asia so as to gain a better appreciation of the national and international responses to international financial crime.

This unit provides students with an introduction to quantitative models and techniques in finance. Topics covered include basic stochastic calculus, probability measures and the role of numeraires, Black-Scholes and Hull-White models, and the theoretical and numerical techniques for valuing derivatives. There is a focus on both the intuitive and mathematical understanding of these topics, as well as their application to problems in quantitative finance.

This unit covers the fundamentals of asset pricing and valuation, under equilibrium conditions and under no-arbitrage restrictions. It reviews the main themes in modern asset pricing, and introduce ideas of importance to the evolution of the discipline, and consequently of relevance to a practitioner's long term perspective. The unit emphasises quantitative methods, so students are required to have fairly strong mathematical skills. Nevertheless, the mathematical tools needed in the unit are adequately reviewed.

This unit covers several aspects of modern/post-modern portfolio theory. An introduction to mathematical optimisation techniques in the presence of uncertainty is covered and results from modern portfolio theory to the Capital Asset Pricing Model derived. The unit also examines other popular models such as the Arbitrage Pricing Theory and Black-Litterman Model and concludes with some topical examples from industry. There is a degree of mathematical sophistication associated with this unit and consequently, students should be comfortable with a mathematical approach. However, the required mathematical tools are covered in the unit.

This unit provides an introduction to the rapidly-growing area of options, futures and swaps. These securities are derived from fundamental securities such as equities and bonds. The unit examines the nature of each type of derivative security before a thorough treatment of the pricing and use of these securities for investment management and risk management purposes.

In our highly globalised and integrated world economy, understanding international dimensions of financial management is essential for businesses. This unit provides a greater understanding of the fundamental concepts and the tools necessary for effective financial decision making by business enterprises, within a global setting.

This unit covers the concepts required for investment in fixed income securities, managing bond portfolios and understanding debt markets. Topics covered include duration, convexity, interest rate risk, bond volatility and the term structure of interest rates. The more complex types of debt securities studied include mortgage backed securities, corporate bonds with embedded options such as convertible bonds and interest rate derivatives.

This unit introduces students to core concepts of fundamental market design and structure, focussing on the processes that turn orders into trades in securities markets, and the forces that mould and effect order flow and execution. The unit provides insights into how the study of securities market microstructure can improve our understanding of today's global financial markets in order to: (a) facilitate better financing and investment decisions; (b) understand when, where and how to transact in financial instruments; and (c) make better use of the ever increasing flow of market information. An improved understanding of today's diverse financial markets allows for successful trading strategies to be developed in different instruments and across many markets, today and in the future.

Mergers and acquisitions have become perhaps the most important activity of investment banks today. They provide a fundamental way for businesses to secure growth. To analyse mergers and acquisitions, most tools from modern financial economics are needed. The unit commences with a review of how existing businesses are valued, continues with an analysis of capital structure decisions, considers management incentives and examines issues in corporate control. It then examines the motives for mergers and acquisitions. Some acquisitions are motivated by value improvements created by correcting incentive problems, some acquisitions, however, are motivated by bad incentives that decrease value.

This unit applies all aspects of finance theory to the general problem of valuing companies and other financial assets. This requires a synthesis of the fundamental concepts of present value, cost of capital, security valuation, asset pricing models, optimal capital structures, derivative pricing and some related accounting concepts. The unit aims to reach a level of practical application that allows students to understand both the theoretical frameworks and institutional conventions of real-world corporate valuations. Basic valuation concepts from accounting are reconciled with the finance theory on which firm value ultimately stands. Students are asked to make extensive use of Excel or similar software in valuation exercises.

Risk is an integral part of financial decisions. Following the rapid evolution of the discipline of financial risk management, analysts must be prepared to access the level of risk in the marketplace. This unit explores the basic concepts of modelling, measuring and managing financial risks within the regulatory framework. Topics covered include market risk (value-at-risk and expected loss), credit risk (single name, portfolio, ratings and market based models, credit derivatives), liquidity risk and operational risk. To overcome the rather quantitative nature of the topics, the unit relies heavily on practical based lab exercises with emphasis on simulations, real life examples and case studies.

This unit explores the considerations when planning the financial needs of new ventures and young companies. An overview of entrepreneurial finance reviews the concepts of valuation for entrepreneurial ventures and possible funding sources from the standpoint of the founder, management team and the funder. Fundamental valuation approaches considered in corporate finance are extended to model the opportunities and the capital structure relevant to a new venture. This unit examines the process of venture capital funding and the challenges of managing and funding growth. New topics are covered in relation to the growth and exit strategies employed by entrepreneurial ventures, as well as later stage financing, including mezzanine financing and buy-outs.