This course aims at discussing some advanced financial models, with the aid of Excel/VBA. Topics include: capital budgeting, leasing operations, immunization techniques, portfolio allocation, option pricing.
S. Benninga, "Modelli Finanziari. La Finanza con Excel" (2a ed.), McGraw-Hill, 2010
Learning Objectives
At the end of the course, students will be able to tackle financial problems, solving them with Excel, and presenting the results with clarity. This course will improve students' skills regarding problem-solving, software competences and communication.
Prerequisites
Basic Financial Mathematics and Statistics.
Teaching Methods
Class lectures with blackboard, slides and use of Excel.
Type of Assessment
Oral exam with theoretical and practical (Excel) questions.
Course program
References are to Benninga's textbook.
- Intro to Excel and VBA
- Capital budgeting, leasing, immunization (Chap 1,2,5,6,24,25)
- Portfolio allocation and VaR (Chap 7-12 and 14)
- Option pricing (Chap 15-18, 21-23)