FINANCIAL MATHEMATICS (SEM)
Learning outcomes of the course unit
At the end of the course, the student will be able to perform elementary valuations of financial and fixed-income assets, to compare market prices of fixed-income assets, to set up a problem of financial valuation or choice, and to identify and evaluate the simplest financial risks.
Course contents summary
The course aims at introducing to elementary mathematical methods and models for evaluating:
- financial and fixed-income assets;
- future cash-flows (coming from financial assets, productive investments, firm operation, etc.);
- term structure of interest rates and valuation of fixed-income assets;
- investment management under financial risk.
Lecture notes given by the teacher, plus one of the following (at student's choice):
- G. Castellani, M. De Felice, F. Moriconi, Manuale di finanza. Vol. 1 - Tassi d'interesse. Mutui e obbligazioni, il Mulino, Bologna, 2005
- E. Castagnoli, L. Peccati, Matematica in azienda. Vol. 1 - Calcolo finanziario con applicazioni, Egea, Milano, 2010 (4a edizione).
Assessment methods and criteria