List of Courses
IBF502 Corporate Finance
This course covers the theories and practices of corporate finance as well as the financial decisions made by managers. The topics addressed in this course include the concept and techniques of valuation of cash flows, capital budgeting, risk and return, cost of capital, capital structure theories and decisions, dividend theories and policy, short-term financial management, corporate governance, control and restructuring.
IBF503 Microeconomics for Global Business
This course provides students with the basic conceptual framework used in modern microeconomics for global business. After taking this course, students are expected to be able to apply the concepts, analysis, and theories developed in this field to understand global real-world situations, including issues of banking and finance.
IBF504 International Macroeconomics
This course teaches the concepts and theories of international macroeconomics. The topics that it covers includes balance of payments, money and inflation, exchange rate, optimum currency areas, and the impacts of fiscal, monetary and trade policies in open economies.
Restriction: Students are only allowed to take either IBF504 International Macroeconomics or IBF615 International Money and Finance, but not both.
IBF505 Investment Theory and Applications
This course starts with an introduction to the investment environment and financial instruments. It then leads to the basic utility theory under uncertainty and the discussion on how to make optimal decision under uncertainty. It will focus on the concepts of risk and return, diversification, asset allocation and efficient markets. Upon the completion of this course, students will understand market trading structures, equity, fixed income, and derivative securities, portfolio performance strategies and evaluation methods. Students will also know how to apply these theories to the analysis of optimal investment decisions in the financial market.
Pre-requisite: IBF006 Financial Management, or Undergraduate Course in Financial Management or Corporate Finance
IBF601 Microeconomics of Banking
This course presents the modern theory on microeconomic foundation of banking. The topics to be covered include the roles of banks (such as liquidity insurance, information sharing coalition, and delegated monitoring, etc.), optimal contracting between lenders and borrowers, credit rationing, industrial organization approach to banking, bank runs and systemic risks, the need for a central bank, deposit insurance, and so on. Emphasis will be given to applying to banking the concepts and theories developed over the last twenty years in the field of economics of information and contract.
.IBF602 Derivatives and Risk Management
The course aims to provide an introduction to derivatives and risk management. It will examine different types of domestic and global financial risks faced by financial institutions and cover the theory and practice of pricing and using of derivative securities in risk management. The course takes the approach of identifying the risks and their management issues, pricing of selected financial instruments, methods of determining “Value at Risk” (VAR), and other methods of risk management.
Pre-requisite: IBF505 Investment Theory and Applications or equivalent
IBF603 Multinational Financial Management
This course provides students with detailed knowledge and techniques relevant to financial planning, governance & control, decision-making, risk management and performance appraisal for multinational business operations. To pave the way for future career developments, students will learn practical ideas on financial and risk management skills required to become corporate executives in multinational corporations.
Pre-requisite: Undergraduate Course in Financial Management or Corporate Finance
IBF604 Financial Econometrics I
This course provides students an introduction to the principles of econometric analysis. The course equips students with appropriate econometrics techniques and software skills for doing empirical research in economics and finance. The emphasis of this course will be on developing and applying regression techniques in cross-sectional contexts.
IBF605 Business Valuation and Financial Statement Analysis
This course focuses on teaching the concepts and techniques of fundamental analysis, which are useful not only for investment decisions but also for management’s assessment of their own firm’s strength and weakness. The recognition of genuine liabilities, cash flow analysis, financial statement consolidation techniques and equity/ business valuation models will be covered.
Pre-requisite: IBF619 Accounting for Financial Professionals or equivalent
IBF606 Financial Institutions on the Chinese Mainland and in Hong Kong
This course examines how financial markets (such as those for bonds, stocks, mortgages) and financial institutions (commercial banks, non-banks, investment banks, insurance companies, pension funds, mutual funds, and other institutions) work. Financial markets and institutions not only affect your everyday life but also involve huge flows of funds throughout economies, which in turn affect business profits and production of goods and services. The study of financial markets and institutions will reward you with an understanding of many exciting issues.
The financial institutions in China and those in Hong Kong, as in the US, have undergone rapid changes in recent decades. This course provides a comprehensive survey of the nature and the role of financial markets and institutions, with particular emphasis on Hong Kong and Chinese Mainland. It also examines the various dimensions of issues about regulation and prudential supervision, and the developments of such institutions.
IBF611 Management of Banks and Financial Institutions
The course would cover the theories and practice of the landscape, operations, and development of commercial banks and financial institutions. Topics like the regulations, organization and operations of banks and financial institutions, the management of asset and liability, liquidity risk, capital risk, interest rate risk and credit risk will be discussed.
IBF612 Professional Issues in Banking and Finance
This course will cover topics like private banking, private equity, start-up financing and venture capital, investment banking, commercial banking, equity capital markets, brokerage operation process, ethical and regulatory issues in financial services industry and so on. Lectures would be delivered by seasoned experts who have rich practical experience in relevant fields.
IBF614 Fixed-Income Securities
Fixed-income securities include bonds and structured products (e.g. mortgage-backed securities and asset-backed securities) that promise interest payments and repayment of the amount borrowed. They also extend to all securities whose valuation and hedging are related to interest rates. In the sale of those securities by issuers to investors, credit ratings are critical in the assessment of the credit risk associated with such securities.
The course will cover the basics of various types of fixed-income securities and securitization products, as well as the terminologies and methodologies of credit rating of corporates, financial institutions and securitizations. These concepts and tools are useful to practitioners who want to use these securities, whether for investing, hedging, market-making, or speculating.
Pre-requisite: IBF505 Investment Theory and Applications or equivalent
IBF615 International Money and Finance
Today’s financial markets are truly global in nature. No student of economics or finance can fully understand current developments without some background in international finance. This course attempts to cover the practical issues of international finance and summarizes the current literature with only elementary math as a prerequisite. The practical questions include, but not limit to, where to borrow and invest internationally, what different types of international bonds and stocks can be used to raise capital, how exchange rates affect cash flows, what can be done to avoid foreign exchange exposure and risk, and the general financial management problems of doing business in the global environment.
Restriction: Students are only allowed to take either IBF504 International Macroeconomics or IBF615 International Money and Finance, but not both.
IBF617 Global Investment
This course is designed for graduate students for Master’s degree in finance, investment professionals, and financial managers. Today much of investing is global in nature and this course gives students the tools needed to operate in an environment of global finance, global investment, and global competition. The globalization argument can be summarized to “why not learn internationally rather than only domestically?” The benefits of international diversification of risk and return have increasingly been recognized. We have seen that guidelines and legislation have been made more favorable to foreign investment. The global integration of financial markets has led to reduced costs, easier access to information, and rapid development of worldwide expertise by major financial institutions.
Pre-requisite: IBF504 International Macroeconomics or IBF615 International Money and Finance; and IBF505 Investment Theory and Applications or equivalent; and IBF604 Financial Econometrics I or equivalent
IBF618 Financial Econometrics II
This course mainly covers time series modeling, panel data analysis and limited dependent variable models. The course focuses on theoretical underpinnings of the relevant estimation and inferences. It also includes a hands-on component where students will apply various techniques discussed in class to financial time series and panel data.
Pre-requisite: IBF604 Financial Econometrics I or equivalent
IBF619 Accounting for Financial Professionals
The objectives of this course are to provide students with a framework to understand the accounting process in entities and acquire the accounting knowledge that are essential to financial professionals. In addition, this course also introduces students the tools to understand and to interpret information from financial statements, and to enable them to make sound decisions based on relevant accounting information.
IBF620 Legal Issues in the Regulation and Compliance of Financial and Banking Institutions
The course aims to introduce students to some of the most important issues of regulation and compliance of the banking and financial institutions in Hong Kong. Having completed the course, students should have a firm foundation for understanding of such issues, including insider trading, securities price manipulation, investment product mis-selling, money laundering, and personal data protection.
IBF621 Behavioral Finance
Behavioral finance uses insights from psychology to understand how human behaviors influence the decisions of individual investors, markets, and managers. This course (1) describes how individuals and firms make financial decisions, and how those decisions might deviate from those predicted by traditional financial or economic theories; (2) explores the existence of psychological biases in financial decision-making, and examines the impacts of these biases in financial markets and other financial settings; (3) discusses how the insights of behavioral finance complement the traditional finance paradigm.
Pre-requisite: IBF505 Investment Theory and Applications or equivalent
IBF622 Paying for the Real Economy: the Theory and Financing of International Trade
This course will prepare students to understand international trade from multiple dimensions necessary to enhance student’s preparation for working in fields of international banking and finance. The first part of the course will present mainstream theories and empirical tests of international trade, with focuses on why and how countries trade and use policy to alter trade flows. The second part of the course will analyze the markets for money from which agents obtain currency to pay for traded goods and pay particular attention to explaining currency exchange rates in terms of economic fundamentals. This part will also examine strategies to manage exchange rate risk.
The third part of the course will explain and analyze multiple ways to hedge against uncertainties inherent in the financing and shipping of goods across borders. It considers risks unique to the cross-border trade in goods. Will an exporter follow through on his commitment to export? Will the shipped goods measure up to the criteria described in the contract? Will the importer pay on time? Will government agencies interfere with the transaction?
Pre-requisite: None (though IBF604 Financial Econometrics I is strongly recommended as is a good understanding of microeconomic and macroeconomic theory)
Co-requisite: None (though IBF618 is strongly recommended)
IBF623 Quantitative Methods for Finance and Economics
This course provides students with a number of important quantitative methods for finance and economics. Topics are selected according to their practicality. The course begins with the basics and gradually progresses to more advanced topics.
IBF624 Fintech Trends and Challenges
Fintech is a portmanteau of financial technology that describes an emerging financial services sector in the 21st century. It refers to anywhere technology is applied in financial services or used to help companies manage the financial aspects of their business, including new software and applications, processes and business models.
This course will provide an overall understanding of the theoretical framework and different aspects of financial technology through seminars and lectures. Specifically, it will cover topics in internet finance, cryto-currencies, blockchain-based systems, crowdfunding, robo-adviser, peer-to-peer lending, regulatory technology, cyber security, data protection, regulation of Fintech and the like. Upon the completion of this course, students will develop a broad understanding and strong analytical skills in various Fintech areas and their impact to the banking and finance sectors.
IBF625 Regional Study of a Financial Center in the East
As an intensive and experiential unit, this course offers valuable opportunities for students to learn beyond classroom. A study tour to a financial centre in the East with local pre-tour and follow-up sessions would be arranged for students in order to enhance students’ international exposure and experiential learning. An instructor from the selected financial centre would deliver an overview of its economic and financial development. Students will engage in field visits, seminars and discussions to gain firsthand experience and insights of the characteristic of the selected financial centre, and then will further analyze the comparative advantages and limitations of the selected financial centre.
IBF626 Regional Study of a Financial Center in the West
As an intensive and experiential unit, this course provides a platform for students to learn beyond classroom. A study tour to a financial centre in the West with local pre-tour and follow-up sessions would be arranged for students in order to enhance students’ international exposure and experiential learning. An instructor from the selected financial centre would deliver an overview of its economic and financial development. Students will engage in field visits, seminars and discussions to gain firsthand experience and insights of the characteristic of the selected financial centre, and then will further analyze the comparative advantages and limitations of the selected financial centre.
IBF627 Practical Cases in Banking and Finance
This course will cover the practice of private banking, private equity, start-up financing and venture capital. Lectures would be delivered by seasoned professionals who have senior experience in relevant fields. Students will role-play as finance professionals to present practical cases in class.
IBF628 Big Data and Artificial Intelligence in Finance
This course aims at providing students with working knowledge of Big Data and Artificial Intelligence as well as developing students’ relevant hands-on skills that are applicable in finance.
Pre-requisite: IBF624 Fintech Trends and Challenges
IBF629 Selected Seminars in Economics and Finance
This course allows students to learn practical, methodological as well as theoretical lessons from leading scholars and practitioners in economics and finance worldwide. Students will follow instructor’s list to attend, either onsite or online, selected lectures and seminars delivered by local and overseas speakers on their expertises.