Principles of Finance
Seoul, South Korea
Area of Study
Finance, Financial Management
Taught In English
Course Level Recommendations
ISA offers course level recommendations in an effort to facilitate the determination of course levels by credential evaluators.We advice each institution to have their own credentials evaluator make the final decision regrading course levels.
Recommended U.S. Semester Credits3
Recommended U.S. Quarter Units4
Hours & Credits
This course is an introduction to financial market structure and financial asset valuation. The main topics of the course are arbitrage, portfolio selection, equilibrium asset pricing (CAPM), equity valuation, fixed income securities and derivative pricing. You are expected to understand valuation formulas and be able to apply them to new problems. The appropriate tools necessary for solving these problems will be developed at each stage and practiced in the homework assignments. The models we will cover have immediate applications and implications for realworld financial decisions. Every effort will be made to relate the course material to current financial news.
Students must be comfortable with basic statistics, linear algebra, and calculus.
All exams and quizes are in-class and closed-book. Only financial calculators are allowed. Instead, I will provide a formula sheet with all the relevant formulas. Use of other material (e.g. iPhone) is a violation of the honor code. There will total of two exams and two quizzes. The exams and quizzes will consist of short problems like those on the problem sets and in the lecture notes. The midterm and final exams are during the exam week. Exam and quiz days will be announced later in class.
There will be weekly homework assignments graded on a check/no-check basis. You may work in groups but you must write up and submit your assignments individually. Homework will be collected in class; homework turned in within 24 hours of deadline will be considered late and will receive a half point; After 24 hours, no assignments will be accepted unless due to serious illness or family emergency. Electronic submission via email is also accepted. Class participation will be based on questions and comments in class.
Class announcements, lecture materials and homework will be posted on the website.
Students should turn off cell phones before entering class. Interruptions caused by a ringing cell phone may be considered as part of the grade.
The University Honor Code applies. You are responsible for known and abiding by the rules.
If you engage in an act of academic dishonesty, you become liable to severe disciplinary action. Such acts include cheating; falsification or invention of information or citation in an academic endeavor; helping or attempting to help others commit academic infractions; plagiarism; offering bribes, favors, or threats; academic interference; computer related infractions; and failure to comply with research regulations.
Courses and course hours of instruction are subject to change.