The module aims to introduce students to the modern theory of finance and financial management. Theoretical concepts like the net present value, decision making under uncertainty, portfolio selection and the capital asset pricing model are introduced. These concepts serve as prerequisites for investment and financing decisions which are exemplified by an analysis of valuation of firms, capital structure decisions and dividend policy. More specifically, the topics covered are the value and capital budgeting, portfolio theory, models of security valuation, efficient markets, long-term financing, company dividend decisions, capital structure, and interactions of investment and financing decisions. In all cases contemporary examples will be used to make theory come to life.

(LO1) Students will be able to demonstrate understanding of the main themes of modern financial management.

(LO2) Students will be equipped with the tools and techniques of financial management.

(LO3) Students will be able to interpret and critically examine financial management issues and controversies.

(LO4) Students will generate a knowledge base to support their progression when studying Business Finance in the final year.

(S1) Problem solving skills

(S2) Numeracy

(S3) Commercial awareness

(S4) Organisational skills

(S5) Communication skills

(S6) IT skills

(S7) International awareness

(S8) Lifelong learning skills

(S9) Ethical awareness

Teaching Method: Lecture
Description: 12 x 2 hour sessions
Scheduled Directed Student Hours: 24
Attendance Recorded: Yes

Teaching Method: Seminar
Description: These sessions will be scenario-based questions much like exam style questions that develop student understanding of key concepts in contemporary Financial Management.
Scheduled Directed Student Hours: 6
Attendance Recorded: Yes

Self-Directed Learning Hours: 120
Description: These independent learning hours are aimed at supporting the directed student learning. The module leader will provide guidance in the form of suggested readings and topics to examine with the expectation that students are well prepared to contribute to the tutorial activities and to understand the content of lectures. Self-Directed Learning will include research activity, developing academic writing skills, and wider reading to support the module

There are the following non-modular requirements:
ACFI102 or ACFI103 and either ACFI111 or ECON111 (or equivalent).

Skills/Other Attributes Mapping

Skills / attributes: Lifelong learning skills
How this is developed: Taught
Mode of assessment (if applicable)

Skills / attributes: International awareness
How this is developed: By keeping up to date with financial news and current examples used in lectures from global companies and events.
Mode of assessment (if applicable)

Skills / attributes: IT skills
How this is developed: Where appropriate videos will be utilised to help students recreate in class examples.
Mode of assessment (if applicable)

Skills / attributes: Communication skills
How this is developed: The module will make use of a discussion forum where students will be expected to behave in a collegiate manner and help each other resolve queries
Mode of assessment (if applicable)

Skills / attributes: Organisational skills
How this is developed: The module moves a t a fast pace and it is essential that students take control of their studies.
Mode of assessment (if applicable)

Skills / attributes: Commercial awareness
How this is developed: Wherever possible lecture material will be related to the “real world"
Mode of assessment (if applicable)

Skills / attributes: Numeracy
How this is developed: Taught
Mode of assessment (if applicable): Assessment 1

Skills / attributes: Problem solving skills
How this is developed: This module is quantitative in nature. We go through intuitive and simple techniques in
order to solve potentially complex problems by thinking laterally about the task at hand. Problems are designed in a way that students can demonstrate understanding of key topics in financial management.
Mode of assessment (if applicable)

An introduction to equity markets Laws: Ch 1. Further information in Arnold: Ch 9 & Ch 10;
Risk versus Return Laws: Ch2. Further information in Arnold: Ch 7;
The Capital Asset Pricing Model and Factor Models Laws: Ch2. Further information in Arnold: Ch 8;
The time value of money, dividend discount model and the market and valuation of bonds Laws: Ch3 and Ch4. Further information in Arnold: Ch 2;
Capital Structure and the weighted average cost of capital Laws: Ch6. Further information in Arnold: Ch 10;
Valuation and Investment Decision Rules Laws: Ch5 and Ch6. Further information in Arnold: Ch 2;
Dividend Policy Laws: Ch3. Further information in Arnold: Ch 19;
Market Efficiency Laws: Ch1 and Arnold: Ch 13;
An introduction to Foreign Exchange (FX) markets and interest rates: relationship between exchange rates and interest rates; FX and interest rate risk, hedging using forwards and futures; trading and hedging using futures Laws: Ch7 Ch8 Ch9. Fu rther information in Arnold: Ch 21;
An introduction to equity options, FX options and hedging using FX options Laws: Ch7 Ch8 Ch9. Further information in Arnold: Ch 21.