FINANCIAL MARKETS AND INSTITUTIONS
Learning outcomes of the course unit
The course aims to illustrate the structural characteristics of a financial system, supplying the conceptual framework in order to understand the role of financial institutions in the economic system. At the end of the course the students will acquire:
1)the knowledge necessary to understand the features and the development of the financial system in general, the aims and scope of financial supervision, the role and the economics of financial intermediaries, the characteristics of financial needs and of financial instruments;
2)the ability to apply knowledge in order to evaluate financial instruments used for investments, financial needs, payments and risk management;
3)the ability to judge the suitability of a financial system to the real problems of the economic system, even in the social and ethical point of view, and to choose the right instruments to satisfy financial needs;
4)the ability to use a fair technical language;
5)learning skills through problem solving method.
Students are suggested to attend first year lessons before attending this course. Check on the Degree Course website what subjects are mandatory before taking second-year exams.
Course contents summary
The course analyzes the role and the efficiency conditions of a financial system in order to evaluate the structure and the evolution of Italian financial system. In this perspective are analyzed financial needs, instruments, markets, institutions, authorities and supervision policies of the financial system.
1) The structure and role of the financial system; 2) The demand for financial services; 3) Valuation of financial instruments; 4) The payment system; 5) 2 Financial balances and financial intermediation; 6) Financial markets and the conditions of financial market efficiency; 7) Market imperfections and the role of financial institutions 8) The characteristics and the role of banks; 9) Non-banking financial institutions; 10) Insurance companies; 11) Financial system supervision: goals, authorities and tools.
Munari L., "Gli strumenti finanziari e creditizi", 3rd edition, McGraw-Hill, 2015, ISBN: 978-8838668722.
Ronchini B., Bocchialini E., Poletti L., "Economia del sistema finanziario", Giappichelli, 2021 (new edition, available from October 2021).
Slides and any other additional material are available on Elly.
Knowledge and understanding: traditional lessons. The main topics of the course will be pointed out during lessons.
Applying knowledge and understanding: exercises.
Making judgments: students will be induced to judge the strengths and weaknesses of each financial instrument and intermediation model.
Learning skills: every topic will be discussed beginning from the illustration of the problem and then analyzing the given solution.
Communication skills: the meaning of each term used by the financial community will be explained.
Recordings of in-class lessons will be uploaded on Elly.
Assessment methods and criteria
The knowledge of the main topics of the course will be assessed through 6 multiple-choice questions worth 2 marks each and 1 open question worth 6 marks. The knowledge of the other topics of the course will be assessed through one open question worth 6 marks.
The ability to apply knowledge will be assessed through 3 exercises for 2 marks each.
Communication skills, making judgments and learning skills will be assessed analyzing the answers to the 2 open questions cited above.
During the exam devices such as smartphones, smartwatches, tablets, etc. are strictly forbidden.
The final grade is published in Esse3.
In addition to standard exams, partial exams might be offered during the course. Dates and structure of possible partial exams will be communicated during the first weeks and on Elly.
The exam will be written and oral. Additional details will be communicated during the course.
The cum laude mark will be given to students that, in addition to the full mark, display a significant systematic knowledge of the topic, a significant ability to apply knowledge, a noticeable ability to make judgments, and a particular attention to the way contents are expressed.
ONLINE EXAM (if necessary due to the pandemic)
The exam structure and the marking scheme will be communicated as soon as possible during the course and on Elly.
With online exams, only devices strictly necessary to take the exam are allowed.