International Finance Management

Course Description 

This course is intended for the general comprehension and understanding of the foreign exchange market including cryptocurrencies market. Taking into consideration the integration of world trade and the evolution of financial transactions this course has been organized in the following form. First, an introduction to the new world market, and the importance of the international financialmanagement. Secondly, the study of the money flow and the balance of payment accountancy of a country. Afterwards, the course will continue with the explanation of the currency markets and the exchange risk involved, taking into account the parity conditions that regulates market imperfections. Finally, it will focus on the importance of hedging and the financial tools that can be used to hedge on exchange risk when it is required.

Relevance

Students should understand that multinational enterprises continue to be dependent on its ability to recognize and benefit from imperfections in national markets when engaging on import and export activities. Nowadays, studentsface a world that is increasingly influenced by theeffects of technology and the Internet. It is necessary to know all the available tools that the market offersto reduce the risk in the face of the uncertainty of the exchange risk from one currency to another. Students should dominate concepts of volatile exchange ratestocreate profit opportunities for both investors and firms.Students willlearn about thetraditional and regulated channels of monetary exchange andinitiatethe discussion of new markets based on the use of blockchain technology. The evolution of the monetary system, the benefits of the virtual currencies and the fundamental basicsof the stability of the international financial system are analyzed so that the student develops critical thinking in theface of new challenges and changes.

General Objective of the Course 

Acquire the related knowledge nowadays in the world currency markets, understanding the exchange rate risk involved in the market operations and learn the different instruments for hedging. Learnthe waysto accessto these conceptsand instruments for more accurate decisions on international level operations.

Evaluation Assessment