Syllabus and Reading List


SYLLABUS  


I STRUCTURE AND FUNCTIONS OF FINANCIAL MARKETS

1. Functions of financial markets  
2. Functions of financial institutions
3. Securities
4. Financial system regulation
5. Efficacy of financial markets
6. Information asymmetry and financial structure
7. Regulatory aspect of financial markets

II INFRASTRUCTURE AND THE SETTING OF FINANCIAL MARKETS

1. Securities Commission
2. Stock exchange
3. Broker-dealer companies
4. Central Securities Depository
5. Rating agencies

III FINANCIAL INSTITUTIONS

1. Banks
2. Investment Funds
3. Insurance companies  
4. Pension funds

IV FINANCIAL INSTRUMENTS

1. Short-term financial instruments
2. Bonds
3. Mortgage instruments
4. Shares
5. Derivative financial instruments

V FINANCIAL ANALYSIS

1. Financial reports as a basis for financial analysis   
2. Ratio analysis of financial statements
3. Ratio analysis of shareholder returns
4. Leverage analysis  
5. Net current assets analysis
6. Statement of cash flows analysis

VI FINANCIAL MARKETS MICROSTRUCTURE

1. Types of markets
2. Primary placement
3. Secondary Market
4. Takeover process  
5. Types of stock exchange orders  
6. Prices of financial instruments
7. Basic stock exchange operations  
8. Clearing and settlement
9. Stock Exchange Indices

VII REGULATION AND PRESERVATION OF INTEGRITY OF  FINANCIAL MARKETS

1. Legal aspects of functioning of the financial market
2. Financial market participants - statuses
3. Preservation of integrity of financial markets
4. Disputes and arbitration on financial markets
5. Professional ethics on financial markets

Books

The reading material for the examination will the text book Financial markets and the following pieces of legislation:

  • The Law on the Capital Market
  • The Law on the Takeovers of Joint Stock Companies
  • The Law on Investment Funds
  • The Law on companies (All provisions of this Law save for the ones pertaining to entrepreneurs, general partnerships and limited partnerships)