INTERNATIONAL BURCH UNIVERSITY
Faculty of Economics and Social Sciences
Department of Banking and Finance
2017-2018

SYLLABUS
Code Name Level Year Semester
BAF 205 Financial Markets and Institutions Undergraduate 2 Fall
Status Number of ECTS Credits Class Hours Per Week Total Hours Per Semester Language
Compulsory 5 2 + 1 127 English

Instructor Assistant Coordinator
Sanel Halilbegović, Assist. Prof. Dr. assist prof dr Sanel Halilbegovic Sanel Halilbegović, Assist. Prof. Dr.
[email protected] [email protected] no email

This course examines the form and function of various financial markets and the manner in which financial managers use these markets to accomplish strategic corporate objectives. Focus will be placed on the behavior of major financial institutions and their role in the intermediation process as suppliers of funds as well as the form and function of specific financial markets.

COURSE OBJECTIVE
The objective of the course is to give students understanding of the place of financial system in the economy and to guide students in developing critical thinking skills as applied to financial markets and institutions.

COURSE CONTENT
Week
Topic
  1. What do interest rates mean and what is their role in valuation?
  2. How do risk and term structure affect interest rates?
  3. Structure of Central Banks
  4. Conduct of monetary policy: tools, goals, strategy and tactics
  5. The money markets
  6. The stock markets
  7. Preparation for midterm exam
  8. Midterm exam
  9. The mortgage markets
  10. The foreign exchange market
  11. Banking and the management of financial institutions
  12. Savings associations and credit unions
  13. The mutual fund industry
  14. Insurance companies and pension funds
  15. Final Exam

LABORATORY/PRACTICE PLAN
Week
Topic

    TEACHING/ASSESSMENT
    Description
    • Interactive Lectures
    • Practical Sessions
    • Excersises
    • Presentation
    • Discussions and group work
    • Student debates
    • Assignments
    • Case Studies
    • Use of educational films
    Description (%)
    Method Quantity Percentage (%)
    Homework10
    Midterm Exam(s)35
    Final Exam145
    +ClassParticipation110
    Total: 100
    Learning outcomes
    • Demonstrate an awareness of the variety of financial instruments
    • Define the types of risks financial institutions face
    • • Compare and contrast the major theories of the determination of the general level of interest rates
    • • Examine the rationale for financial intermediation
    • • Discuss the determinants of bank failure and financial crisis
    TEXTBOOK(S)
    • Frederic S. Mishkin and Stanley (2009). Financial Markets and Institutions”, 6th Edition, Prentice Hall.

    ECTS (Allocated based on student) WORKLOAD
    Activities Quantity Duration (Hour) Total Work Load
    Lecture (14 weeks x Lecture hours per week)15345
    Laboratory / Practice (14 weeks x Laboratory/Practice hours per week) 0
    Midterm Examination (1 week)122
    Final Examination(1 week)122
    Preparation for Midterm Examination11818
    Preparation for Final Examination13030
    Assignment / Homework/ Project11515
    Seminar / Presentation11515
    Total Workload: 127
    ECTS Credit (Total workload/25): 5