ECTS credits ECTS credits: 4.5
ECTS Hours Rules/Memories Student's work ECTS: 76.5 Hours of tutorials: 4.5 Expository Class: 13.5 Interactive Classroom: 18 Total: 112.5
Use languages Spanish, Galician, English
Type: Ordinary subject Master’s Degree RD 1393/2007 - 822/2021
Departments: Financial Economics and Accounting
Areas: Financial Economics and Accounting
Center Faculty of Business Administration and Management
Call: Second Semester
Teaching: With teaching
Enrolment: Enrollable | 1st year (Yes)
This subject pursues the following objectives:
- To know the role of finance and the finance department in the value creation process of the company.
- To know how to analyze the risks affecting the company and the risk of commercial operations.
- To know how to measure market and interest rate risk and to know how to manage foreign exchange risk.
- To know the products available to the company to implement a risk management policy and the fundamentals of companies operating at the international level.
- To know how to diagnose a company in crisis and develop a viability plan through a financial simulation model.
With this aim the subject is structured in 5 units. In the first, risk measurement and modelling is addressed in a generic way. Then in unit 2 instruments and techniques of financial risk management, including derivatives, are analyzed. Then we move into the analysis of different financial risks, in particular default risk, interest rate risk and exchange rate risk and the processes of crisis and reorganization are also addressed with a focus on the development of the viability plan.
UNIT 1: CORPORATE RISK
UNIT 2: PRODUCTS FOR CORPORATE RISK MANAGEMENT
UNIT 3: DEFAULT RISK MANAGEMENT
UNIT 4: INTEREST RATE RISK MANAGEMENT
UNIT 5: CORPORATE INTERNATIONAL FINANCE AND EXCHANGE RATE RISK MANAGEMENT
FINANCIAL RISK
Day, A. (2012): Mastering Financial Modeling, Pearson.
Durán y Otero (2010): Análisis financiero dinámico, Cuadernos de la Fundación Mapfre
Holden, C. (2012): Excel Modeling in Corporate Finance, Pearson.
Jackson y Staunton (2005): Advanced Modelling in finance using excel and VBA , Wiley.
Jorion (2009): Financial Risk Manager Handbook, Wiley.
Mun, J. (2008): Modeling Risk, Wiley
Ferruz, Portillo y Sarto (2009): Dirección financiera del riesgo de interés, Pirámide
Fernández y Partal (2010): Gestión y control del riesgo de crédito en la Banca, Ed. Delta.
Charnes (2007): Financial modeling with Crystal Ball and Excel. Wiley
Scott (2010): Building financial models with Microsoft Excel : a guide for business professionals, Wiley.
DERIVATIVE PRODUCTS
Castellanos E. (2012) Opciones y futuros sobre renta variable: manual práctico. Editorial BME.
Díez de Castro y Mascareñas (1994) ” Ingeniería Financiera”
Fabozzi, F (2001): Handbook of fixed income securities, McGraw Hill Profesional
Hull,J (2009): Mercados de futuros y opciones, Pearson-Prentice Hall.
Knop, R (2003): Derivados de crédito, Ediciones Pirámide.
Knop, R (2006): Manual de instrumentos derivados, EFA.
Lamothe,P et al. (2006) “Opciones financieras y productos estructurados”, (1994) “Swaps y otros derivados OTC”
Martín Marín y Trujillo Ponce (2004) “ Manual de Mercados Financieros”
Martínez Abascal y Guasch (2004): Gestión de carteras de renta fija, McGraw-Hill Profesional
DEFAULT RISK
Fabozzi, F (2001): Handbook of fixed income securities, McGraw Hill Profesional
HULL,J (2004) Opciones y futuros.Mc Graw Hill
JORION, P. (2009); Financial Risk Manager Handbook, 5th Edition, Wiley (Finance),
Knop, R (2003): Derivados de crédito, Ediciones Pirámide.
Lamothe,P et al. (2006) “Opciones financieras y productos estructurados”, McGraw Hill
Lando, D. (2004), Credit Risk Modeling: Theory and Applications, Princeton University Press.
Loffler and Posch (2007): Credit risk modeling using excel and VBA, John Wiley&Sons
Martínez Abascal y Guasch (2004): Gestión de carteras de renta fija, McGraw-Hill Profesional
Saunders, A. and Allen, L. (2002), Credit Risk Measurement: New Approaches to Value at Risk and Other Paradigms, 2nd edition, Wiley.
Tomás et al. (2008): Cómo analizan las entidades financieras a sus clientes, Gestión2000.
Garrido, V. (2012): Modificaciones estructurales y reestructuración empresarial, Dykinson.
INTEREST RATES
HULL,J (2010): Introducción a los mercados de futuros y opciones, Pearson Prentice Hall
JORION, P (2010): Financial Risk Management Handbook, Wiley.
Fabozzi, F (2001): Handbook of fixed income securities, McGraw Hill Profesional.
Knop, R et al. (2006): Instrumentos de renta fija, Ariel
Martínez Abascal y Guasch (2004): Gestión de carteras de renta fija, McGraw-Hill Profesional
Knop et al. (2008): Activos de renta fija. Pirámide.
EXCHANGE RATES
Eiteman et al. (2010): Las finanzas de las empresas multinacionales, Ed. Pearson
Eun y Resnik (2007): Gestión financiera internacional, Mc Graw Hill
Madura, J (2003): International financial management, Thomson
Martín Marín, J.L. (2006): Finanzas Internacionales, Ed Thompson
Shapiro (2009) Multinational Financial Management, John Wiley.
Basic and general competencies of the degree to which the subject contributes:
-CG03- Ability to apply the knowledge acquired to business reality.
-CG04- Ability to solve problems in new or unfamiliar environments.
-CG06 - Ability to communicate information, ideas, business management problems -of a generic or specific nature- and
Solution proposals
-CG07- Ability to design integrated management projects or functional areas of the company.
-CG08- Mastery of various tools, instruments and management methods necessary to run a company.
-CG09- Ability to identify, gather and interpret relevant data on issues related to business management.
-CB7 - That students know how to apply the knowledge acquired and their ability to solve problems in new or little-known environments within
broader (or multidisciplinary) contexts related to their area of study
-CB9 - That students know how to communicate their conclusions and the knowledge and ultimate reasons that support them to specialized and
non-specialized audiences in a clear and unambiguous way
-CB10 - That students possess the learning skills that allow them to continue studying in a way that will be largely self-directed or autonomous.
- Transversal capabilities:
CT-03 analysis and synthesis ability,
CT-04 planning and organization,
CT-06 ability to integrate and work in teams of diverse composition.
Learning outcomes:
-Know the role of finance and the finance department in the company's value creation process.
-Know how to carry out an analysis of the risks that affect the company and the risk of commercial operations.
-Knowing how to measure market and interest rate risk and how to manage foreign exchange risk.
-To know the products available to the company to implement a risk management policy and the fundamentals of companies operating at international level.
-Knowing how to diagnose a company in crisis and develop a viability plan through a financial simulation model.
Being a subject of a Master, it is especially important that the student notes the applicability of its contents. The development of the theoretical contents will be accompanied by multiple examples and the solving of case studies, and solutions will be searched individually and/or in small working teams. In this way the student will reach a better understanding and a higher motivation, as consequence of his/her involvement with the learning process. An important part of the subject will be given at the computer room, which will allow a better monitoring of the students’ progress, as well as to develop new abilities and skills. Furthermore, the review of bibliographic sources will be promoted in order to help the student having a more integral view and to improve the deepening into those topics that can be more interesting.
Students will receive the support of the virtual campus of the USC through the virtual classroom of the subject, in which the periodic programming of the classes and the corresponding supporting material will be offered, both for the lecture and interactive sessions.
In the first opportunity, two alternative evaluation systems are foreseen, both for students taking the subject for the first time and for repeating students:
- A continuous evaluation system, in which during the semester the students will develop various evaluation activities that will allow them to pass the subject without having to take a final exam. Three types of evaluation activities are included in this system:
o Theoretical-practical tests: two tests will be carried out throughout the course, in the usual class time, covering all the contents of the subject. They will account for 30% of the final grade.
o Spreadsheet test: during class time, a test will be carried out to assess the skill in handling the spreadsheet for the analysis of international financial management decisions. It will account for 50% of the final grade.
o Works related to the content of the different topics that make up the program or others of relevance in the field of the subject, for which a deadline will be set. They will contribute 20% of the final grade.
- A unique assessment system, consisting of taking a theoretical-practical final exam on the established official date, which will represent 100% of the final grade, reserved for those students who, for reasons listed in Instruction nº1 / 2017 of the USC Secretaría Xeral, request and obtain a class attendance exemption, as well as for those who do not pass under the continuous evaluation system.
In the second opportunity, the evaluation is only contemplated through the completion of a final exam. In any of the modalities it will be necessary to obtain a grade equal to or greater than 5 to pass the subject.
In cases of fraudulent performance of exercises or tests, the provisions of the Regulations for the evaluation of student academic performance and review of grades will apply.
Competence assessment: The alternative activities integrated in the evaluation system contribute in different ways and with different intensity to the achievement of all the competences listed in the competence section.
In the theoretical-practical tests the following are evaluated: CT3, CT4, CG03, CG04, CG08, CG09, CB7, CB10.
In the spreadsheet test, the following are evaluated: CT6, CG03, CG04, CG06, CG07, CG08, CG09, CB7, CB9, CB10.
PERSONAL WORK AT THE CLASSROOM
Classroom session in groups: 10 hours
Seminars in groups: 22 hours
Tutorship in very small groups: 8 hours
Evaluation at the classroom: 5 hours
TOTAL PERSONAL WORK AT THE CLASSROOM: 45 HOURS
PERSONAL WORK OF THE STUDENT
Autonomous study, individual or in group: 27,5 hours
Writing exercises, conclusions or other essays: 10 hours
Recommended readings, activities at a library or similar: 20 hours
Preparation of oral presentations, debates or similar: 10 hours
TOTAL PERSONAL WORK OF THE STUDENT: 67,5 HOURS
Basic knowledge on Finance is required. It is considered of critical importance to attend to the lectures as a way of understanding and assimilating the subject contents. With regard to the non-lecture hours, the student will have to invest hours for the revision of the contents presented at the classroom, and to apply and consolidate the knowledge through problems resolution, as well as to deep into the concepts through the bibliographic revision. With a constant work during the four-month period the study for the final exam should not imply an excessive number of study hours.
It is as well recommended to make use of the tutor hours in order to solve doubts or clarify concepts. On the other hand, given the important role of the Excel applications for this subject, the student is advised to improve his skills both with his personal effort as well as with the tutor hours.
Juan Ramon Piñeiro Chousa
Coordinador/a- Department
- Financial Economics and Accounting
- Area
- Financial Economics and Accounting
- j.pineiro [at] usc.es
- Category
- Professor: University Lecturer
Ada Maria Perez Pico
- Department
- Financial Economics and Accounting
- Area
- Financial Economics and Accounting
- adamaria.perez [at] usc.es
- Category
- Professor: LOU (Organic Law for Universities) PhD Assistant Professor
| Tuesday | |||
|---|---|---|---|
| 16:00-17:30 | Grupo /CLE_01 | Spanish | Computer room 4 |
| 17:30-19:30 | Grupo /CLIS_01 | Spanish | Computer room 4 |
| 05.22.2025 17:00-20:00 | Grupo /CLE_01 | Seminar 3 |
| 06.26.2025 17:00-20:00 | Grupo /CLE_01 | Seminar 3 |