International Finance

Course code ACFI3140Units 10Level 3000Faculty of Business and LawNewcastle Business School

In an increasingly global business world, awareness of the most important dimensions of international finance is vital. This course exposes you to the advanced aspects of corporate financial management in an international setting such as currency loans hedged with options and real exchange rates.
International Finance equips you with both the knowledge and the technical skills required to understand and analyse a range of relevant financial issues within the global environment.

Available in 2014

Callaghan CampusSemester 2
Previously offered in 2013, 2012, 2011, 2010, 2009, 2008, 2007, 2006, 2005, 2004
ObjectivesOn completion of this course you will be able to:
1. Review the problems of dealing in foreign currency and the advantages and disadvantages of overseas funding
2. Recognise and calculate forward exchange rates given spot rates
3. Identify market conventions on exchange rate quotation and correctly calculate those quotations
4. Demonstrate an integrative understanding of the foreign exchange market and the relationships between interest rates, spot and forward rates and expected inflation
rates
5. Comprehend the range of hedging strategies including forward rate hedging and contingent hedging
6. Explain the use of futures and option contracts in hedging foreign exchange exposure
7. Analyse, evaluate and synthesise both quantitative and qualitative financial information to influence problem solving and decision making.
8. Demonstrate the capacity to work independently and respond to change in a flexible adaptive manner.
9. Apply appropriate formats and technologies to financial communication.
ContentProvides systematic analysis of issues in international fiance, such as the international financial system, institutions and market practices, exchange rate quotation and behaviour, the relationship between spot and forward exchange rates, interest rates and expected inflation rates, the measurement of foreign exchange risk, managing foreign exchange exposure, foreign currency futures and options and international investment.
Replacing Course(s)NA
TransitionNA
Industrial Experience0
Assumed KnowledgeACFI2080 and one of the following courses EBUS2000, STAT1060 or ECON1130.
Modes of DeliveryInternal Mode
Teaching MethodsLecture
Tutorial
Assessment Items
Essays / Written AssignmentsAssignment
Examination: Formal
Other: (please specify)Tutorial Questions
Quiz - ClassMid-semester quiz
Contact HoursLecture: for 2 hour(s) per Week for Full Term
Tutorial: for 1 hour(s) per Week for 12 weeks
Timetables2014 Course Timetables for ACFI3140