Course Descriptions

Course catalog descriptions for courses offered in the F09 term.

Finance

Department Chairperson: Rajan, Uday
Department Website: http://www.bus.umich.edu/Academics/Departments/Finance
 
 
FIN 551 Financial Management and Policy
  3 hours Core Terms Offered: F09
  Course Prerequisites: (ACC 501 and TO 501) and (no credit in FIN 503, 513, 552, 553) 
   
  Financial Management and Policy --- This course is primarily devoted to the principles of financial valuation. We will first discuss the concept of present value in extensive detail, and then apply the principles of valuation to value (a) real projects (or what is commonly referred to as capital budgeting) and (b) financial securities (stocks and bonds) under certainty. Since financial decision-making virtually always involves risk & uncertainty, we will then introduce the concept of risk, and the relation between risk & return. We will integrate our knowledge of cash flows with our understanding of risk to modify capital budgeting techniques in the presence of risk & uncertainty. The course concludes with an introductory treatment of the effects of financing on capital budgeting decisions.
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FIN 566 Real Estate Finance and Investment I
  1.5 hours Elective Terms Offered: F09(A)
  Course Prerequisites: (FIN 503 or 513 or 551 or 591 or Financial Engineering student) and (no credit in FIN 568, UP 566) 
   
  Real Estate Finance and Investment I --- This course begins the development of concepts and techniques for structuring real estate financial deals. It introduces mortgage analysis and structuring, the user cost of capital, valuation of income property and taxation of real estate. The objectives of the course are to provide you with the basic skills for analyzing and structuring mortgages and real estate deals and to develop your intuition for indentifying opportunities and avoiding the pitfalls in real estate.
 
 
FIN 567 Real Estate Finance and Investment II
  1.5 hours Elective Terms Offered: F09(B)
  Course Prerequisites: (FIN 503 or 513 or 551 or 591 or Financial Engineering student) and (no credit in FIN 568, UP 566) 
  Advisory Prerequisites: FIN 566 
   
  Real Estate Finance and Investment II --- This course continues the development of concepts and techniques for structuring real estate financial deals begun in FIN 566. We focus on advanced valuation, risk management, debt structuring, REITs, construction financing and securitization of real estate assets and liabilities. The objectives of the course are to provide you with the more advanced skills for analyzing and structuring mortgages and real estate deals as well as to deepen your intuition for identifying opportunities and avoiding the pitfalls in real estate.
 
 
FIN 609 Fixed Income Securities and Markets
  2.25 hours Elective Terms Offered: F09(A)
  Course Prerequisites: FIN 503 or 513 or 551 or 591 or Financial Engineering student 
   
  Fixed Income Securities and Markets --- This course uses both cases and lectures to develop a practical understanding of some of the more important fixed income securities and markets. Derivatives and the management of fixed income securities are major themes present throughout the course. This course covers the term structure of interest rates, Treasury securities, strips, swaps, and other fixed income derivatives.
 
 
FIN 612 International Financial Management I
  1.5 hours Elective Terms Offered: F09(A)
  Advisory Prerequisites: FIN 503 or 513 or 551 or 591 
   
  International Finance I: Currency Markets --- The purpose of this course is to provide the analytical framework required for understanding how changes in international financial conditions influence decisions faced by modern business leaders. The focus will be on interactions between cross border trade and capital flows, inflation, interest rates, exchange rates, monetary and fiscal policy, and economic growth. Exchange rate regimes, debt and currency crisis, and international financial institutions will also be explored. The course is tailored to students seeking careers in international banking and investment or with finance and strategy departments of corporations operating in world markets.
 
 
FIN 614 International Financial Management II
  1.5 hours Elective Terms Offered: F09(B)
  Advisory Prerequisites: FIN 612 
   
  International Finance II: Stock and Bond Markets --- This course examines international financial markets, and the opportunities they present for achieving risk management and asset allocation objectives. The principle focus will be on assets traded in liquid markets: currencies, equities, bonds, swaps, and other derivatives. Analytical tools for risk and return measurement, portfolio management, hedging, and implementing dynamic investment strategies in an international context will be examined. The course is tailored to students seeking careers in international banking and investment or with finance department of corporations operating in world markets.
 
 
FIN 615 Valuation
  2.25 hours Elective Terms Offered: F09(B), F09(A)
  Advisory Prerequisites: FIN 503 or 513 or 551 
   
  Valuation --- This course focuses on corporate asset management, in particular, on valuation. Topics include financial statement analysis, capital budgeting methods, estimating incremental cash flows, estimating cost of capital, valuation of projects, valuation of companies in takeovers, cross-border valuation, and valuation of strategic options. The course also covers working capital management.
 
 
FIN 623 Venture Capital Finance
  1.5 hours Elective Terms Offered: F09(A)
  Cross-listed with: ES 623 
   
  Venture Capital Finance --- This course covers venture capital market structure and institutional arrangements and the application of financial theory and methods in a venture capital finance setting. It presents and applies the fundamentals of venture capital finance, employing "live" case studies to focus on financing startup and early stage, technology-based firms.
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FIN 629 Financing Research Commercialization
  3 hours Elective Terms Offered: F09
  Advisory Prerequisites: MBA Core or permission of instructor 
  Cross-listed with: ES 629 
   
  Financing Research Commercialization --- This course is a practicum, offering an opportunity to apply collective team work of a student/mentor alliance to building a launch pad for a technology-based venture. This course is open to Ross School MBA and BBA students as well as all UM graduate students. Student teams will work with mentors and principal investigators (PI) from UM faculty in the Medical School, College of Engineering and other divisions to build a business and marketing plan for a new technology or invention. Projects are based upon disclosures made to UM Office of Technology Transfer, other universities and industrial companies.
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