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Investments (FNCE30001)
Undergraduate level 3Points: 12.5On Campus (Parkville)
About this subject
- Overview
- Eligibility and requirements
- Assessment
- Dates and times
- Further information
- Timetable(opens in new window)
Contact information
Semester 1
Semester 1: antonio.gargano@unimelb.edu.au
Semester 2: juan.sotes@unmelb.edu.au
Overview
Availability | Semester 1 Semester 2 |
---|---|
Fees | Look up fees |
This subject is an introduction to investment analysis, with emphasis on equity securities and fixed interest securities. The topics covered focus on issues fundamental to financial managers, money managers, risk managers, financial advisers and regulators. These topics include: fundamental ideas in asset pricing; modern portfolio theory and its applications; equilibrium theories of asset pricing; portfolio performance evaluation; empirical evidence on security returns; key issues in pricing fixed interest securities; the term structure of interest rates; techniques in fixed interest portfolio management and the pricing of floating rate notes and interest rate swaps.
Intended learning outcomes
On successful completion of this subject students should be able to:
- Discuss core concepts in finance, including risk, return, risk premium and risk aversion;
- Analyse the portfolio selection problem, with emphasis on the mean variance framework;
- Develop techniques to evaluate the performance of money managers;
- Critically evaluate theories of asset pricing and their applications in the pricing of securities;
- Analyse issues in the pricing of fixed interest securities and the management of portfolios;
- Critically evaluate theories of the term structure of interest rates;
- Discuss issues in the pricing of derivative securities and their application in risk management.
Generic skills
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High level of development: problem solving; application of theory to practice; interpretation and analysis; critical thinking
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Moderate level of development: written communication; statistical reasoning; synthesis and evaluation of data and other information
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Some level of development: oral communication; collaborative learning; team work
Last updated: 11 April 2024
Eligibility and requirements
Prerequisites
Code | Name | Teaching period | Credit Points |
---|---|---|---|
FNCE20001 | Business Finance |
Semester 1 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
|
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
FNCE20005 | Corporate Financial Decision Making | Not available in 2024 |
12.5 |
AND one of:
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECOM20001 | Introductory Econometrics |
Semester 2 (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
|
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ECON20003 | Quantitative Methods 2 |
Semester 2 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
Semester 1 (On Campus - Parkville)
|
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
MAST20005 | Statistics | Semester 2 (On Campus - Parkville) |
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
MAST20004 | Probability | Semester 1 (On Campus - Parkville) |
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
MAST20006 | Probability for Statistics | Semester 1 (On Campus - Parkville) |
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
MAST20018 | Discrete Maths and Operations Research | Semester 2 (On Campus - Parkville) |
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
MAST20029 | Engineering Mathematics |
Semester 1 (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
Summer Term (On Campus - Parkville)
|
12.5 |
620-270 Applied Statistics
620-261 Introduction to Operations Research (2008 or earlier)
Corequisites
None
Non-allowed subjects
Students may not gain credit for both
Code | Name | Teaching period | Credit Points |
---|---|---|---|
FNCE30001 | Investments |
Semester 1 (On Campus - Parkville)
Semester 2 (On Campus - Parkville)
|
12.5 |
Code | Name | Teaching period | Credit Points |
---|---|---|---|
ACTL30006 | Financial Mathematics III | Semester 1 (On Campus - Parkville) |
12.5 |
Recommended background knowledge
Please refer to Prerequisites and Corequisites.
Inherent requirements (core participation requirements)
The University of Melbourne is committed to providing students with reasonable adjustments to assessment and participation under the Disability Standards for Education (2005), and the Assessment and Results Policy (MPF1326). Students are expected to meet the core participation requirements for their course. These can be viewed under Entry and Participation Requirements for the course outlines in the Handbook.
Further details on how to seek academic adjustments can be found on the Student Equity and Disability Support website: http://services.unimelb.edu.au/student-equity/home
Last updated: 11 April 2024
Assessment
Additional details
- 3-hour end-of-semester examination (70%)
- A mid-semester test (20%)
- Individual assignments (500 words or equivalent) throughout the semester (10%)
- To pass this subject students must pass the end of semester examination.
Last updated: 11 April 2024
Dates & times
- Semester 1
Principal coordinator Antonio Gargano Mode of delivery On Campus (Parkville) Contact hours One x 2 hour lecture, One x 1 hour tutorial Total time commitment 170 hours Teaching period 27 February 2017 to 28 May 2017 Last self-enrol date 10 March 2017 Census date 31 March 2017 Last date to withdraw without fail 5 May 2017 Assessment period ends 23 June 2017 Semester 1 contact information
Semester 1: antonio.gargano@unimelb.edu.au
Semester 2: juan.sotes@unmelb.edu.au - Semester 2
Principal coordinator Rob Brown Mode of delivery On Campus (Parkville) Contact hours One x 2 hour lecture, One x 1 hour tutorial Total time commitment 170 hours Teaching period 24 July 2017 to 22 October 2017 Last self-enrol date 4 August 2017 Census date 31 August 2017 Last date to withdraw without fail 22 September 2017 Assessment period ends 17 November 2017
Time commitment details
170 hours
Last updated: 11 April 2024
Further information
- Texts
Prescribed texts
You will be advised of prescribed texts by your lecturer.
- Subject notes
- Related Handbook entries
This subject contributes to the following:
Type Name Breadth Track Economics and Finance - Breadth options
This subject is available as breadth in the following courses:
- Available through the Community Access Program
About the Community Access Program (CAP)
This subject is available through the Community Access Program (also called Single Subject Studies) which allows you to enrol in single subjects offered by the University of Melbourne, without the commitment required to complete a whole degree.
Entry requirements including prerequisites may apply. Please refer to the CAP applications page for further information.
Last updated: 11 April 2024