Financial Institutions and Markets

Course Description

Principal institutions and markets comprising the financial system; their roles in short-term, long-term and equity financing, interest rate determination and capital formation. Interrelationships between domestic and international and financial markets. Government policy objectives and regulations as influences on the financial system. Prerequisite: Grade of C or better in FIN 315

Syllabus

Student Learning Outcomes, Goals, Objectives:

Students successfully completing this course will be able to:

  • understand the determinants of interest rates, why they change, and the risk and term structure
  • understand the essential elements of the Federal Reserve System and how monetary policy is conducted
  • understand the essential elements of financial markets including the money markets, bond markets, and the instruments traded in these markets
  • apply the principles of security valuation and to find the price and yields of financial market instruments
  • understand why financial markets are efficient
  • understand the essentials of commercial bank financial statements
  • know the important banking and market regulations
  • understand why financial crises occur and why they are so damaging to the economy

Course Grading Information:

Activity/Performance Measure Percentage/Points
Data Analysis Projects 20%
Exam 1 25%
Exam 2 25%
Comprehensive Final Exam 30%

Course grades are determined as follows:

Percentage Letter Grade
92 or HigherA
90 – 91.9A-
88 – 89.9B+
82 – 87.9B
80 – 81.9B-
78 – 79.9C+
72 – 77.9C
70 – 71.9C-
68 – 69.9D+
62 – 67.9D
60 – 61.9D-
Below 60F

Attendance/Participation:

Attendance/participation is not a graded component included in the student's final grade for this course.

Course Materials Purchased by the Students:

  • Financial Markets and Institutions (required). Anthony Saunders and Marcia Cornett McGraw Hill: New York, NY, 8th edition, 2018. ISBN: 9781260772401
  • Microsoft Excel (required). Some calculations in this course will be taught using Excel. Please bring your laptop or notebook computer with you to every class.

Scholarly Perspectives

This course engages diverse scholarly perspectives to develop critical thinking, analysis, and debate and inclusion of a reading does not imply endorsement.