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.
1x 3hr seminar per week
2 x in-class test (2x15%), assignment (20%), final exam (50%)
Only students with strong quantitative/mathematical skills should attempt this course
FINC5001 or FINC6000