ECON 225 - Financial Markets and Investments

Semester Offered: Spring
1 unit(s)

This course provides an overview of the structure and operation of financial markets, and the instruments traded in those markets. Particular emphasis is placed on portfolio choice, including asset allocation across risky investments and efficient diversification. Theoretical foundations of asset-pricing theories are developed, and empirical tests of these theories are reviewed. The course introduces valuation models for fixed-income securities, equities, and derivative instruments such as futures and options. Throughout the course, students apply investment theories by managing a simulated asset portfolio. Additional topics include financial statement analysis and performance evaluation measures. Ms. Pearlman.

Prerequisite(s): ECON 100 and ECON 101, or ECON 102.

Recommended: ECON 201 and ECON 209.

Students with strong quantitative backgrounds can enroll with instructor permission.

Courses numbered 200 and above are not open to freshmen in their first semester.