Financial Mathematics

The American College of Greece

Course Description

  • Course Name

    Financial Mathematics

  • Host University

    The American College of Greece

  • Location

    Athens, Greece

  • Area of Study

    Finance, Mathematics

  • Language Level

    Taught In English

  • Course Level Recommendations

    Lower

    ISA offers course level recommendations in an effort to facilitate the determination of course levels by credential evaluators.We advice each institution to have their own credentials evaluator make the final decision regrading course levels.

    Hours & Credits

  • US Credits

    3
  • Recommended U.S. Semester Credits
    3
  • Recommended U.S. Quarter Units
    4
  • Overview

    DESCRIPTION:
    Fundamental concepts of financial mathematics and their application in investment project appraisal, credit transactions and pricing of financial products.

    RATIONALE: 
    To provide students with a solid understanding in compound interest theory, the time value of money and of their application to the analysis of financial transactions, important for advance courses in corporate finance and investment analysis, fixed income and derivatives.

    LEARNING OUTCOMES: 
    As a result of taking this course, students should be able to:
    1. Demonstrate understanding of the time value of money and compound interest theory and their application to financial products’ pricing.
    2. Apply discounting techniques for investment appraisals and explain their differences.
    3. Explain the main factors influencing the term structure of interest rates and calculate spot and forward rates and contracts.

    METHOD OF TEACHING AND LEARNING:
    In congruence with the teaching and learning strategy of the college, the following tools are used:
    − Class lectures, interactive learning (class discussions, group work) and practical problems solved in class.
    − Exercises are assigned as homework, the solutions of which are reviewed in class.
    − Office hours: students are encouraged to make full use of the office hours of their instructor, where they can ask questions, see their exam paper, and/or go over lecture material.
    − Use of blackboard.
    − IT sessions in labs, during which the student practices in recoding transactions using special accounting software (Peachtree Complete Accounting).
    − A tutoring service provided by the College is also available to students who choose to get additional help.