Capital Markets Theory

lecon2605  2021-2022  Louvain-la-Neuve

Capital Markets Theory
5 crédits
30.0 h
Q2

  Cette unité d'enseignement n'est pas dispensée en 2021-2022

Langue
d'enseignement
Anglais
Thèmes abordés
We will start to investigate the basic concepts in a simple binomial model in discrete time before generalizing them to general dynamic markets in discrete time. Before extending the concepts to continuous time, we will introduce the main mathematical tools of stochastic calculus. We will analyze applications to pricing of options on stocks and on interest rates via change of numeraire techniques.
Acquis
d'apprentissage

A la fin de cette unité d’enseignement, l’étudiant est capable de :

1 The student will be able to master financial concepts related to modern asset pricing theory by arbitrage. This will allow him to get the knowledge necessary to evaluate most prices of financial derivatives on stock and in-terest rates.
 
Contenu
We will present the main theoretical concepts and apply them in exercises to help for a better understanding.
Autres infos
The students should have basic knowledge in probability and statistics, mathematics, and finance. The evaluation will be an oral exam. The support is made of slides and exercises with their correc-tions.
Faculté ou entité
en charge


Programmes / formations proposant cette unité d'enseignement (UE)

Intitulé du programme
Sigle
Crédits
Prérequis
Acquis
d'apprentissage
Master [60] en sciences économiques, orientation générale

Master [120] en sciences économiques, orientation économétrie

Master [120] en sciences économiques, orientation générale