154-0323/02 – Financial Decision-Making under Risk (FRR )
Gurantor department
Department of Finance
Credits
5
Subject guarantor
prof. Ing. Tomáš Tichý, Ph.D.
Subject version guarantor
prof. Ing. Tomáš Tichý, Ph.D.
Study level
undergraduate or graduate
Study language
Czech
Year of introduction
2019/2020
Year of cancellation
Intended for the faculties
EKF
Intended for study types
Follow-up Master
Instruction secured by
Login
Name
Tuitor
Teacher giving lectures
CUL33
doc. Ing. Miroslav Čulík, Ph.D.
KRE330
doc. Ing. Aleš Kresta, Ph.D.
TIC02
prof. Ing. Tomáš Tichý, Ph.D.
Extent of instruction for forms of study
Form of study
Way of compl.
Extent
Full-time
Credit and Examination
2+2
Subject aims expressed by acquired skills and competences
The aim of the course is to allow the students to: - understand key financial issues under risk and uncertainty - learn how to propose robust solutions of these issues using up-to-date tools and techniques - evaluate the linkage between the return and risk - understand flexible approaches to decision-making - analyze the linkage between primary variables and proposed solutions.
Teaching methods
Lectures
Tutorials
Summary
In this course, fundamental issues of financial decision-making are treated. Special attention is paid to the risk and flexibility. The course extends knowledge obtained in basic corporate finance courses by the aspects of risk and flexibility. As well, it extends financial markets courses by proper mathematical treatment. The aim of the course is to introduce key financial issues and teach the students to propose their robust solutions with up-to-date techniques. The students should be able to analyze the linkage between primary variables and proposed solutions.
Compulsory literature:
BERK, J. and P. DEMARZO. Corporate Finance. 5th ed. Harlow: Pearson, 2023, 1184 p.
ISBN 978-1-292-16016-0
. HULL, J. C. Option, Futures and other Derivatives. 11th ed. New York: Prentice Hall, 2022, 880 s.
ISBN 978-1-292-41065-4
. ZMEŠKAL, Z., M. ČULÍK a T. TICHÝ. Finanční rozhodování za rizika. Sbírka řešených příkladů. 4. vyd. Ostrava: VŠB-TU Ostrava, 2013. 182 s.
ISBN 978-80-248-3249-4
.
Recommended literature:
BREALEY, R. A., S. C. MYERS a F. ALLEN. Principles of Corporate Finance. 13th ed. McGraw-Hill, 2019, 992 s.
ISBN 978-0-07-715156-0
. CAMPBELL, J. Y. Financial Decisions and Markets. Princeton: Princeton University Press, 2017, 480 s.
ISBN 978-06-911-6080-1
. COPELAND, T. E., J. W. WESTON and K. SHASTRI. Financial Theory and Corporate Policy. 4th ed. Pearson, 2013, 924 p.
ISBN 978-1-292-02158-4
.
Way of continuous check of knowledge in the course of semester
Credit test - written form Examination - written and oral part
E-learning
Other requirements
There are no other requirements on students.
Prerequisities
Subject has no prerequisities.
Co-requisities
Subject has no co-requisities.
Subject syllabus:
1. Fundamentals of financial decision-making 2. Utility function in decision-making 3. Portfolio theory 4. Capital asset pricing model 5. Arbitrage pricing theory 6. Real investment evaluation 7. Decisions with flexibility 8. Financial derivatives - linear 9. Financial derivatives - options 10. Corporate hedging 11. Cash management of a multinational company 12. Exchange rates forecasting
Conditions for subject completion
Full-time form (validity from: 2019/2020 Winter semester)
Task name
Type of task
Max. number of points
(act. for subtasks)
Min. number of points
Max. počet pokusů
Credit and Examination
Credit and Examination
100
(100)
51
Credit
Credit
35
(35)
18
Písemka
Written test
35
18
2
Examination
Examination
65
(65)
33
3
Písemka
Written test
20
10
3
Ústní zkouška
Oral examination
45
23
3
Mandatory attendence participation:
Attendance is not compulsory.
Show history
Valid from
Valid until
Mandatory attendence participation
Oct 3, 2022 1:55:00 PM
Nov 28, 2023 7:39:56 PM
Participation in the exercises is optional.
Apr 16, 2019 8:03:30 AM
Oct 3, 2022 1:55:00 PM
Conditions for subject completion and attendance at the exercises within ISP:
Attendance is not compulsory. Any student, even within ISP, must fulfill standard condition.
Show history
Valid from
Valid until
Conditions for subject completion and attendance at the exercises within ISP
Oct 3, 2022 1:55:00 PM
Nov 28, 2023 7:39:56 PM
Participation in the exercises is not mandatory. The student must meet the requirements for passing the subject - credit (successful completion of the credit test) and successful completion of the combined examination (written and oral part).
Occurrence in study plans
Academic year
Programme
Branch/spec.
Spec.
Zaměření
Form
Study language
Tut. centre
Year
W
S
Type of duty
2024/2025
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
2024/2025
(N0688A050001) Information and Knowledge Management
P
Czech
Ostrava
1
Choice-compulsory type B
study plan
2023/2024
(N0688A050001) Information and Knowledge Management
P
Czech
Ostrava
1
Choice-compulsory type B
study plan
2023/2024
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
2022/2023
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
2022/2023
(N0688A050001) Information and Knowledge Management
P
Czech
Ostrava
1
Choice-compulsory type B
study plan
2021/2022
(N0688A050001) Information and Knowledge Management
P
Czech
Ostrava
1
Choice-compulsory type B
study plan
2021/2022
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
2020/2021
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
2020/2021
(N0688A050001) Information and Knowledge Management
P
Czech
Ostrava
1
Choice-compulsory type B
study plan
2019/2020
(N0488A050004) Finance and Accounting
(S01) Finance
FRP
P
Czech
Ostrava
1
Compulsory
study plan
Occurrence in special blocks
Block name
Academic year
Form of study
Study language
Year
W
S
Type of block
Block owner
Assessment of instruction
2023/2024 Winter
2022/2023 Winter
2021/2022 Winter
2020/2021 Winter
2019/2020 Winter