Financial Economics and Banking BSc (Hons)

In year two, this course aims to deepen your understanding of key themes in economics, such as macro and microeconomics. You’ll focus on the ethical and regulatory frameworks governing finance and explore how policy and regulations affect financial decisions. You will explore how corporate and investment banks operate around the world.

Modules

• Intermediate Microeconomics (20 credits)

  The aim of this module is to build on the knowledge you should have acquired in year one, by examining microeconomic concepts in greater depth, based on prior introduction. You will explore modern microeconomic theory by addressing several issues faced by individuals, households and firms.

  Compulsory

• Introduction to Econometrics (20 credits)

  The aim of this module is to introduce you to the concepts of econometrics and their usefulness in analysing economic and financial data. It aims to equip you with the relevant ‘toolkit’ to be able to apply important econometric techniques used in the economics and financial industry. It also gives you the chance to develop knowledge of how to accurately apply the tools to estimation, statistical inference and forecasting in a variety of markets. You will have the opportunity to acquire programming skills with the use of relevant econometric software packages, topped up by the necessary skills to interpret results in economics, finance and banking contexts.

  Compulsory

• Corporate and Investment Banking (20 credits)

  The aim of this module is to give you an understanding of a wide range of corporate finance services and investment banking services. You will examine the roles of corporate banking and investment banking, which are becoming vital as providers and mediators between lenders and borrowers, and between corporations and financial institutions around the world. Topics covered include the role of banks, services corporate banks provide, working capital management, international banking services, structured finance, IPO services and merger acquisition process.

  Compulsory

• Intermediate Macroeconomics (20 credits)

  This module will use the main economic concepts, such as output, unemployment, inflation, consumption, and investment to study the dynamics of an economy at a more advanced level. The way the economy behaves at a country level is explained, as is what the government and other policy authorities (such as the central bank) can do to influence it. You will be encouraged to use the knowledge that should have been acquired in year one, to examine the short-run and long-run effects of price changes on employment, output and other key macroeconomic variables. You will also have the opportunity to study how policy changes in one sector of the economy may affect the rest of the macroeconomy (intentionally or not). In addition to examination of the causes of inflation and economic crises, various approaches to responding to these will be covered.

  Compulsory

• Banking Risk Management (20 credits)

  This module, in conjunction with banking regulations, takes you through risks in financial services. It aims to equip you with a broad understanding of how banks are impacted by risk, and what measures banks can take to measure and mitigate the risks they encounter. It focuses on the traditional spectrum of risk types including market risk, foreign exchange risk, credit risk and operational risk.

  Compulsory

• Banking Supervisions, Regulatory Frameworks and Fin Ethics (20 credits)

  Banking supervision is becoming gradually vital due to the impact of the EU on UK regulation, and changes in government policy. The aim of this module is to provide an understanding of the function and operation of financial services within the wider economy, covering the evolution of global banking supervision, current trends in regulatory standards and the role of central banks and supervisory authorities in the implementation of regulatory rules. Topics covered include the theoretical framework of banking supervisions and financial ethics, international banking regulation, and the evolution of international capital framework, including Basel I, Basel II and Basel III.

  Compulsory

After your second year, you have the opportunity to take a sandwich year, studying abroad or on professional placement*. Our employability experts in the Talent Team can provide you with a wide range of support services in order to help you apply for a placement opportunity*, including mock interviews and CV-writing workshops.

(*subject to availability, competitive application, meeting visa requirements and potentially, additional costs).

You should now be studying all themes in depth, and seeking to strengthen your research skills in preparation for your final major project (an internship, a dissertation or a simulation). You should spend time exploring the potential employment paths you seek to pursue following graduation, with our academic and employability tutors, as well as with invited speakers (subject to availability*).

Modules

• Applied Econometrics and Research Methods (20 credits)

  The module aims to provide you with an in-depth knowledge of modern econometrics, with the opportunity to facilitate your awareness in how these techniques can be used and applied to real economics, finance and banking data. More specifically, the module is designed to consolidate and extend the material covered in the second-year Introduction to Econometrics module. It prepares you to critically assess empirical findings reported in the literature, as well as providing you with the chance to explore how to carry out your own empirical research. You will have the opportunity to enrich your programming skills through the continued use of an econometric package, to conduct economic and financial data analysis.

  Compulsory

• Investment Analysis and Portfolio Management (20 credits)

  This module focuses on a wide range of up-to-date financial instruments for financing and investment in today’s financial markets. It aims to provide in-depth understanding of trading mechanisms and the investment process in the markets.

  Compulsory

• International Economics (20 credits)

  This module explores the economic interactions between nations. Following the financial crisis and recent global developments (Brexit and the trade war between the US and China), the economic relationship between countries may be more important than ever. This module explores theories and empirical research on open economies. It should help you to familiarise yourself with international economics concepts used in the modern global economic environment.

  You will have the opportunity to study models of international trade and finance that aim to provide the basic analytical tools, together with a solid and coherent framework, to enable you to critically reflect on the current policy debate pertaining to international trade, investment and economic development. The focal point of this module is to link the models and theories studied in class with the real-world issues/policies in international economics.

  Compulsory

• Optional modules

  Choose one from the following:

  • International Securities (20 credits)

  This module aims to provide a systematic knowledge of international securities, primary and secondary markets and valuation techniques for equity, fixed income and derivative instruments. You will also have the chance to learn the characteristics and organization of the international money market and its participants, understand all types of currency risks, and explore how to manage these by applying hedging techniques.

  • Venture Capital and Private Equity (20 credits)

  This module aims to provide you with a systematic and in-depth understanding of the workings of Venture Capital (VC) funds, Leveraged Buy Out (LBO) funds and the Private Equity (PE) industry. It will explain the origins, history and development of the PE and VC industries and their participants, structure, and transactions. You will have the chance to gain knowledge of business planning processes, fundraising processes, investment processes and different methods of creating value. The latest trends, current developments and issues in the industry will be covered.

  Optional

• Final Project

  Choose from one of these final projects:

  • Dissertation AFE (40 credits)

  The aim of this module is to provide students with the opportunity to undertake a significant piece of written work on a topic appropriate to their field of study. Students will undertake a substantive piece of research, where they will use their knowledge and experience to focus on a specialist area.

  • Internship Project AFE* (40 credits)

  This project will provide students with an opportunity to undertake an internship and accompanying piece of research, which will contribute to their research skills development and extend their experience in the fields of Accounting, Finance or Economics. The project will need to be based on a topic relevant to the internship employer context and approved by the student’s supervisor.

  • Simulation AFE (40 credits)

  The Simulation module is an action-based learning module, in which students have the opportunity to act as professionals in the fields of accounting, finance and economics, in a simulated business environment. Participants will be required to make business decisions which they will see the results of in real time, in a highly competitive environment, over several rounds of simulation.

  Optional