Undergraduate Finance Courses
FIN 20150 Corporate Financial Management (Prerequisite: ACCT 20100)
This course is required for business majors and a grade of "C" or higher is a prerequisite for continuing in the finance major. The course provides an in-depth and quantitative examination of the principles of financial decision-making. Students learn the concept of value maximization, mathematics of finance, valuation of financial securities, capital investment evaluation, the estimation of required rates of return, and the theory of capital structure.
FIN 30210 Managerial Economics (Prerequisites: BAMG 20100, ECON 10010)
This course provides a coordination of economic theory and managerial practice. Topics covered include: consumer demand, production functions, cost behavior, output determination and pricing within various market structures.
FIN 30220 Macroeconomic Analysis (Prerequisites: BAMG 20100, ECON 10010)
This course addresses topics including the goals of economic policy, national income accounting, theory of income determination and the determination and behavior of economic aggregates, such as total output and the price level.
FIN 30400 Advanced Corporate Finance (Prerequisites: BAMG 20100, FIN 20150)
This course provides a sound conceptual framework within which a wide variety of corporate financial policy decisions can be evaluated. The course builds upon and extends the topics in FIN 20150. Topics covered include corporate governance, financial statement analysis, security valuation, capital structure theory, dividend policy, security issuance, and advanced capital budgeting.
FIN 30600 Investment Theory (Prerequisites: BAMG 20100, FIN 20150)
This is an advanced course covering investment theory, financial markets and financial instruments. The topics of security analysis, options and futures are also introduced.
FIN 30700 Real Estate Fundamentals
(Note: This course does not count as a Finance major elective.) This is an introduction to the principles and practices of real estate. Topics covered include land use patterns and regulation, real estate finance, valuation, real estate law, brokerage and transfers, urban economics, and real estate development.
FIN 30710 Land Conservation Financing - 1.0 credit hour (Prerequisites: None)
(Note: This course does not count as a Finance major elective.) This course introduces the land conservation movement in the U.S. and covers the public and private financial mechanisms available to protect environmentally sensitive land and green space. Topics will include such alternative public financing mechanisms as traditional tax-subsidized programs, ballot initiatives, and finance programs, and private financing mechanisms such as use of tax crediting programs to attract low cost private capital. Public/Private partnerships and sophisticated new development methods such as small growth and conservation development will be discussed.
FIN 30720 Real Estate Development Process - 2.0 credit hours (Prerequisites: None)
(Note: This course does not count as a Finance major elective.) This is a first course in real estate development, designed to expose students to the practice of development from project inception to completion and subsequent real estate asset management. Course objectives include: developing familiarity with institutional features of the real estate industry (legal and regulatory processes, real estate markets, financial markets, etc); exploring the practical problems of real estate development; and exposing students to professionals from the development industry. The course will be taught jointly by Notre Dame faculty and real estate practitioners.
FIN 40230 Business Forecasting and Data Mining (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course develops the tools forecasters use to generate and evaluate forecasting models for both the economy and the firm. In addition to classical forecasting tools, the course also uses data mining and extremely large data sets for prediction. The student will make extensive use of commercial software in applying these tools to real-world situations.
FIN 40320 Management of Financial Institutions (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course examines the theory and practice of financial firms and the markets in which they operate. It analyzes the role of various financial intermediaries in the transfer of funds between economic units. Management issues and problem-solving techniques are emphasized through the use of case studies.
FIN 40410 Mergers and Acquisitions (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
The objective of this course is to understand various aspects of the corporate acquisition market, including sources of acquisition synergies, valuation and pricing of acquisition targets, takeover defenses, the roles of management incentives and compensation, financing methods, the roles of insider and institutional shareholders, and regulations and taxes.
FIN 40450 Corporate Risk Management (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course examines why risk management is important for non-financial firms, how they can measure their risk exposures, and alternative approaches for hedging or insuring against identified risks. It provides an in-depth analysis of strategies and financial instruments available for managing commodity price risk, currency risk, interest rate risk, and credit risk.
FIN 40460 Working Capital Management (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course emphasizes the set of decisions and problems that financial and operating managers face in determining short-term financial policy, setting terms when structuring contracts and deals, and managing business processes of the company. Major topics include identifying working capital elements and their relationships to company operations, financial analysis, cash forecasting, banking relations, cash-flow systems, and short-term investment and borrowing strategies.
FIN 40470 Corporate Governance & Catholic Social Teaching (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course studies corporate governance, focusing mostly on publicly traded firms. We will consider three viewpoints: (i) investors, (ii) all stakeholders (i.e., investors, employees, suppliers, management, taxpayers, the community, etc.), and (iii) the purpose of business in Catholic Social Teaching (i.e., the 'common good' , which includes the good of all stakeholders). In the 'investor' viewpoint, the main issue studied is the separation of ownership and control, and how corporate governance mechanisms can help investors to get a return on their investments. In the stakeholder viewpoint, we will consider how these mechanisms affect different stakeholders. The main mechanisms considered are legal duties, shareholder rights, M&A, boards, executive compensation, activism, creditor rights and bankruptcy, and restructuring. We will review the main Catholic Social Teachings documents (e.g Rerum Novarum, Quadragesimo Anno, Laborem Exercens, Centesimus Annus and Caritas in Veritate).
FIN 40480 Corporate Governance (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course studies the major issues and problems involved in corporate governance from the point of view of an investor. Emphasis is on evaluating proposed solutions to these problems. Topics such as external political and legal influences, and internal executive compensation and monitoring of executive behavior will be discussed.
FIN 40490 Real Option Analysis (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course provides a framework for understanding and evaluating the inherent flexibility in investment opportunities. Students will gain sufficient mastery of the quantitative techniques to be able to apply the real options framework to real-world cases such as evaluating early stage pharmaceutical R&D investments, multi-stage business roll-out strategies, optimal development of mining or drilling ventures, decisions about when to optimally abandon a failing business, and more.
FIN 40500 International Finance (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course is an overview of the issues that corporations and financial institutions face when operating in international markets. It addresses the international financial environment and examines several factors that influence the determination of exchange rates. It defines the foreign exchange risk exposure that corporations may face and examines possible risk management solutions, with a focus on the use of derivative markets such as options, swaps and futures. Finally, it examines investment related issues within an international setting. Case studies may be used to emphasize issues and problems solving techniques.
FIN 40520 Global Portfolio Management (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600; Permission Only)
This is an advanced investments course which elaborates on the basic principles discussed in introductory finance courses with a focus on multi-asset portfolio management in a global context. The topics covered will include: Institutional investors & the "Endowment Model", global asset allocation, public equities, hedge funds, emerging markets, private equity, real estate, commodities, fixed Income, risk management and portfolio measurement & evaluation. An important feature of this course is guest lecturers from a number of world renowned investors.
FIN 40550 Global Asset Allocation (Prerequisite: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course covers all of the major world capital markets and their inclusion in a globally diversified portfolio from an institutional investor perspective. Asset Classes covered will include U.S. and Non-U.S. Equities, Global Fixed Income, Real Estate, Private Equity, Hedge Funds, and Currency. It is assumed that participants in this class will already have a foundation in domestic U.S. stock and bond markets, so comprehensive coverage of the "Alternative Asset classes" will be featured. Investment strategies and portfolio management techniques across and within Asset Classes will be discussed, along with the differences between Strategic and Tactical Asset Allocation. Normal portfolios, investment methods and styles, portfolio optimization, risk management and performance attribution are also included in the course content. The objective of the course is to prepare the individual for any aspect of the global institutional investment management business.
FIN 40610 Security Analysis (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
The objective of this course is to develop a detailed understanding of the tools used by market professionals and corporate managers to analyze the value of companies and stocks. The central theme of the course will be the pricing of equity securities using discounted cash flow and relative valuation techniques. After completing this course, students should be able to identify and interpret the key value drivers for a firm or industry, develop quantitative models for firm and equity valuation based on DCF and multiples, and present firm and equity valuation analyses in a professional manner.
FIN 40620 Trading and Markets (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course examines the general nature of organized trading by examining how bid and offer prices are determined, how market rules evolve, and what markets should be built. While markets for products and services are discussed, the focus is on the trading of financial securities. Existing centralized equity exchanges face competition from new alternative trading systems made possible by today's information technology. This course will also examine the impact and implications of this dynamic.
FIN 40630 Options and Futures (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course examines options and futures markets, providing rigorous training to prepare students for employment with firms where derivatives are either of primary importance (e.g., banks, trading firms) or secondary importance (e.g., corporations having interest rate or foreign exchange exposure that requires hedging). Topics include fundamental pricing relations and models, trading strategies, and risk management. The emphasis is on financial derivatives for which the underlying assets are stocks, bonds, or foreign exchange.
FIN 40640 Applied Investment Management (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600, Permission Only)
This course will provide an opportunity for students to blend the theory of investments with the practical demands of investment management. The course objectives include an understanding of the process of establishing a portfolio strategy with a real portfolio, gaining knowledge of the mechanics of trading, principles of equity valuation and technical analysis. Students actively manage a multi-million dollar portolio through the semester.
FIN 40650 Advanced Derivatives and Risk Management (Prerequisite: FIN 40630)
This course provides rigorous training to prepare students for employment with firms where derivatives are either of primary importance (e.g., banks, trading firms) or secondary importance (e.g., corporations having interest rate or foreign exchange exposure that requires hedging). Topics include swaps, interest-rate forwards and options, advanced derivatives strategies, exotic and credit derivatives, financial risk management techniques, and organizational risk management. One novel feature of this class is that each student must choose a derivatives topic of personal interest, analyze it in depth and then present his/her analysis to the class.
FIN 40660 Fixed Income Investment Strategies (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course studies the U.S. and global bond markets. The focus is on traditional and evolving bond instruments including those with embedded options. We will consider bond valuation techniques, the term structure of interest rates and the analysis of bonds with embedded options. Bond portfolio management strategies and performance benchmarks are also studied.
FIN 40670 Advanced Investment Strategies (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course introduces students to advanced topics in investments. The building blocks of the course include portfolio theory and factor models, active quantitative investment strategies based on time-series and cross-sectional return predictability, market frictions (transaction costs, liquidity, short-sale constraints, tax, etc.), and major institutional players. Special topics change from one year to another to reflect recent trends and practices in the industry.
FIN 40680 Private Equity (Prerequisite: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course will expose students to investments in privately-held companies that do not trade on organized exchanges, at all stages of a firm's life cycle from venture capital through growth and mezzanine capital and leveraged buyouts. Topics include deal sourcing and structure, contract design, valuation, and returns to holders of private equity securities and publicly traded private equity firms. Recent developments, the impact of private equity on society and ethical issues surrounding each topic will also be discussed.
FIN 40690 Behavioral Finance (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course provides an understanding of the behavioral biases that individuals exhibit and the effects of these biases on financial markets. Standard finance theory assumes that individuals such as investors or financial managers are rational expected utility maximizers. Behavioral finance argues that some investors are not fully rational and arbitragers are limited in the extent to which they can undo the effects of these investors. A number of stock market anomalies will be presented and analyzed..
FIN 40710 Real Estate Valuation and Investment (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
The course considers fundamental methods of real estate valuation with emphasis on income property valuation and single property investment analysis. Topics will include market comparable and discounted cash flow methods of valuation, financial leverage, taxes, corporate real estate investment, performance measures, pro forma construction and software (Argus), and the role of real estate in mixed asset portfolios. Techniques of market analysis may be considered.
FIN 40720 Real Estate Capital Markets (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
This course analyzes primary and secondary real estate capital markets. Included are fundamental features, investment characteristics, and underwriting of commercial and residential mortgages. The economics and mathematics of alternative loan structures is considered. Additionally, construction debt, subdebt, alternative lending (land/bridge/hard asset loans), private and public equity markets, and real estate securitization markets are covered. The basic structure and mathematics of private equity funds and joint ventures is addressed.
FIN 40820 Mathematical Methods in Financial Economics (Prerequisites: ACCT 30100, FIN 30210, FIN 30220, FIN 30400, FIN 30600)
An introduction to financial economic problems using mathematical methods, including the portfolio decision of an investor and the determination of the equilibrium price of stocks in both discrete and continuous time, will be discussed. The pricing of derivative securities in both discrete and continuous time including various stock and interest rate options will also be included. Projects reflecting students' interests and background are an integral part of this course.