Finance and Investment - BSc (Hons)

with a Year in Industry

This module will examine how Excel can be used for financial data analysis. A brief revision of each financial concept will be presented. The syllabus will typically cover:

Introduction to Excel:

• Basic functions, mathematical expressions

Data Analysis with Excel:

• Data analysis, charts, solver, goal seek, pitot tables and pivot charts

Financial Valuation:

• Applications of time value of money
• Applications of capital budgeting techniques in Excel (IRR, NPV, Scenario Analysis, Monte Carlo simulation)
• Company Valuation Models

Portfolio Analysis and Security Pricing:

• Portfolio models, calculations of efficient portfolios, variance-covariance matrix
• Beta coefficient estimations and security market line
• Bond Valuations
• Binomial option pricing, Black-Scholes model.

This module begins with a focus on the financial system of the UK, including the major players in the markets and key interrelations. It then proceeds to cover key topics, including: advanced portfolio theory, the capital asset pricing model, arbitrage pricing theory, the implications and empirical evidence relating to the efficient market hypothesis, capital structure and the cost of capital in a taxation environment, interaction of investment and financing decisions, decomposition of risk, options and pricing, risk management, dividends and dividend valuation models, mergers and failures and evaluating financial strategies.

n the wake of the largest economic crisis in recent times many causes have been proposed for the turmoil. At the centre of the argument is banks' excessive risk-taking behaviour, especially through abundant lending, over-leveraging and dramatic expansion in the usage of credit transfer products in the years leading up to the crisis. On the policy side, incompetence of regulators overseeing the banking system is voiced. Therefore, understanding the banking business and regulation from an international perspective is of paramount importance to prevent future economic crises that may be caused by banks. In this perspective, the module examines the different types of banks, their financial features and risk in banking. It introduces several international banking activities that link national financial markets globally. Particular focus is placed on the importance of regulation from an international perspective through Basel accords.

This module is designed to build upon financial accounting topics taught in previous modules and assess them at a more advanced level. It will also introduce topics, not previous taught. Areas that will be covered are:

The conceptual and regulatory framework for financial reporting – The need for a conceptual framework and the characteristics of useful information. Define what is meant by 'recognition' in financial statements and applying the recognition criteria to assets/liabilities and income/expenses.

Look at why an international regulatory framework is needed over a national regulatory framework. Review the work of the International Accounting Standards Board in setting international accounting standards and how they are moving to harmonised global accounting standards using a principles based rather than a rules based framework.

Describe the concept of a group as a single economic unit and explain and apply the definition of a subsidiary within relevant accounting standards. Prepare basic consolidated financial statements using these concepts.

Distinguish between tangible and intangible non-current assets. Review methods of valuation/revaluation including impairment of assets.

Account for current and deferred taxation within financial statements.

Account for the translation of foreign currency transactions at the reporting date.

Business ethics and sustainability are central to contemporary management and thus this module will explore the following topics:

• History, definitions and timeline of society's view on business ethics and sustainability
• Cross-disciplinary approaches to ethics and sustainability
• Role of globalisation, policy and culture
• Ethics and ethical dilemmas
• Change Management, Values, Governance and Leadership
• Sustainable Business Models
• Social Innovation
• Partnerships and collaboration
• Responsible Supply Chain Management
• Environmental Assessment Frameworks and Sustainable Management in practice
• Sustainable Supply Chain Management
• Innovation and creativity
• The role and responses of Corporations, SMEs, Public and not-for-profit organisations.

The module aims to give students a solid understanding of the basic econometric tools that are often used in the empirical finance literature. The module also develops the IT skills of the students so that students are able to implement sophisticated statistical techniques to model, analyse and forecast financial data by means of Eviews (econometric software). Students will also improve their ability to critically evaluate the use of econometrics in the academic finance literature.

This module is concerned with derivative securities used by the investors for hedging (risk management), speculation and arbitrage purposes. In this module students learn about various derivative instruments such as forwards, futures and options contracts on a range of different underlying assets. These underlying assets could be physical assets such as commodities (gold, oil, etc.) or financial securities (currencies, stocks, etc.). Students also learn about how these derivative instruments are valued. The main focus behind the use of these derivatives would be from risk management perspective. More specifically, this module aims to cover the following topics:

• Types of derivative instruments and their characteristics
• Forward contracts and their valuation
• Futures contracts and their valuation
• Options contracts and their valuation
• Uses of derivatives in portfolio management.

The module helps prepare students to acquire and develop the employability and transferable skills necessary to search and successfully apply for work experience and graduate opportunities in the commercial and public sector and postgraduate study.

The world of fixed-income markets is becoming increasingly more complex with debt instruments that have varied payoffs structures and fixed-income derivatives that are growing in size and complexity. As a result of the 2007-2008 global financial crisis many key players in the fixed-income markets either collapsed (Bears Stearns and Lehman Brothers), or were bailed out by governments (Freddie Mac, Fannie Mae, the Royal Bank of Scotland, Lloyds TSB, and HBOS, etc.). Hence, the aim of this module is to provide an introduction of the complex nature of fixed-income markets and securities and a discussion on the forces affecting prices and risks of such instruments. The module will also include a discussion on the appropriate management techniques to hedge the risks associated with fixed-income instruments.

This module provides students a solid foundation on key topics of portfolio management, which covers various categories of portfolios and constructing portfolios targeting given objectives. The content includes:

• The Investment Policy Statement
• Modern Portfolio Management Concepts, Asset Classes, and International Diversification
• Management of Individual/Family Investor Portfolios
• Management of Institutional Investor Portfolios
• Economic Analysis, Setting Capital Market Expectations, and Industry Analysis
• Asset Allocation, Risk Aversion and Optimal Risky Portfolios
• Portfolio Construction and Revision, Portfolio Theory and Practice
• Performance Evaluation of Portfolio Management.

The curriculum considers the alternative investment techniques available in the global financial markets. Portfolio analyses will be extended to include focuses on commodities, real estate, private equity and hedge funds. The module will include an investigation of the underlying rationale for such investment types as well as providing an understanding of the construction and management of relevant strategies.

The syllabus will typically cover:

• Introduction to Alternative Investments and their characteristics
• Hedge Fund Strategies
• Investing in Commodities
• Real Estate investment instruments
• Private Equity / Venture Capital Valuation
• Formulation and implementation of various active and passive investment strategies, as well as the analysis and management of risks associated with particular strategies.

The module begins with motivations for risk management in general and then covers the practice of risk management. In particular, students are introduced to the current thinking on governance and regulatory systems, followed by industry practices for managing certain common types of risk. Critical evaluation of these practices is incorporated where applicable.

Topics covered in this module include:

• Introduction to general risk management theory, how and why it generates value
• A taxonomy of risks, including Market Risk, Credit Risk, Liquidity Risk, Operational Risk, Model Risk, Regulatory Risk, Legal/Contract Risk, Tax Risk, Accounting Risk, and Political Risk.
• Introduction to Governance and Regulation
• Standard measures of risk
• Risk measurement for security portfolios
• Hedging techniques using financial derivatives
• Evaluation of hedging performance.

The module helps prepare students to acquire and develop the employability and transferable skills necessary to search and successfully apply for work experience and graduate opportunities in the commercial and public sector and postgraduate study. The curriculum builds on knowledge and experience gained in related employability modules delivered at Stages 1 and 2, providing further guidance and more advanced practical exercises in application writing, CVs, careers advice, interview and assessment centre techniques, numeracy and competency tests, and psychometric evaluation. The aims here are to support students during their final year in applying for good graduate jobs and MSc degree programmes.

The law affects the commercial world in many ways. This module focuses on how businesses fulfil their legal obligations to customers, suppliers and their workforce. As well as exploring how businesses are structured and the duties on directors and partners it also considers the legal obligations individuals and organisations have over those to whom they have a duty of care. The module further covers the main laws governing the employment of staff and contractors. By applying the law to real-world business situations students are able to fine-tune their problem solving skills, and their ability to construct well-reasoned and persuasive arguments.

This module will allow students to work on a substantive piece of research which will allow them to frame and prioritise real business problems using well known fields and frameworks within academic business and management disciplines.

• Developing important research questions in the area of business and management
• Literature search and review
• Understanding different research designs used in business and management research projects
• Collection, use and analysis of secondary and primary data
• Developing Analytical and Critical Thinking in using theory and data to frame and address business and management problems
• Preparing and structuring the Business/Consultancy Project
• Referencing, Citations and Developing writing skills
• Communication and Presentation skills.

This module is concerned with International Investment Banks’ products and strategies that involve the description and analyses of the characteristics of more commonly used financial derivative instruments such as forward and future contracts, swaps, and options involving commodities, interest, and equities markets. Modern financial techniques are used to value financial derivatives. The main emphasis of the module is on how International Investment Banks value, replicate, and arbitrage the financial instruments and how they encourage their clients to use derivative products to implement risk management strategies in the context of corporate applications.

This module will provide students with an introductory understanding of Financial Technology and its application to the institutions' daily business. The students will have a good understanding of the range of the technologies that help financial systems that can include banking, insurance, and financial market. The students will acquire the ability to understand issues related to technology and find pathways towards addressing them. The module will cover the following indicative topics:

• Introduction to Techs: FinTech, InsurTech, WealthTech, RegTech, SupTech, etc
• Blockchain and Digital assets: Cryptocurrency, bitcoin, ethereum, etc;
• Robot advisors;
• Decentralised Finance and financial inclusion;
• Fintech regulation;
• Global and regional perspectives on Fintech adoption.

This is an introductory module to introduce students to the role and evolution of accounting. 

Topics to be covered may include: single entry accounting; double entry bookkeeping; financial reporting conventions; recording transactions and adjusting entries; principal financial statements; institutional requirements; auditing; monetary items; purchases and sales; bad and doubtful debts; inventory valuation; non-current assets and depreciation methods; liabilities; sole traders and clubs, partnerships, companies; capital structures; cash flow statements; interpretation of accounts through ratio analysis; problems of, and alternatives to, historical cost accounting.

Making decisions is one of the most important things any manager or business must do. Making smart decisions, however, can be extremely difficult due the complexity and uncertainty involved. Decision Analysis (DA) provides a structured and coherent approach to decision making. It involves a wide range of quantitative and graphical methods for identifying, representing, and assessing alternatives in order to determine a best course of action. DA is regularly employed by many leading companies in the pharmaceutical, oil and gas, utilities, automotive, and financial services sectors. In this module, you learn about the basic concepts of DA and how to apply it in a variety of practical business planning situations.

This module is designed to build upon financial accounting topics taught in previous modules and assess them at a more advanced level. It will also introduce topics, not previous taught.

The following is an indicative list of topics to be covered:

• Accounting for complex transactions in financial statements
• Analysing and interpreting financial statements
• CSR
• Preparation of financial statements including those for complex groups
• Content and application of International Accounting Standards, as appropriate.