Finance

Introduction

Finance deals with the savings and investments of businesses, individuals and authorities; and permeates all parts of society. This introductory course focuses primarily on the investment side of finance, and introduces financial instruments (shares and bonds), and the so-called real investments (e.g., launch of new products). Part of the course will also be devoted to discussing the role of sustainability in investment decisions. The students will acquire the knowledge and skills to make investment decisions that are relevant for companies, authorities and private individuals.

The course connects theory and practice by analyzing real world examples with Excel. Therefore, the students will also gain valuable experience in analyzing investment projects that will generate a competitive advantage in their future working life.

Course content

• Introduction – Placement of the course's content in the finance subject
• Interest calculation and application to the pricing of shares and bonds
• Portfolio theory, diversification and risk
• The capital value model: Price of risk in financial markets and significance for investment projects' cost of capital
• Review of a realistic case for investment analysis