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Financial Markets I. B

Type of study Bachelor
Language of instruction Czech
Code 154-0333/03
Abbreviation FTIB
Course title Financial Markets I. B
Credits 5
Coordinating department Department of Finance
Course coordinator Ing. Martina Novotná, Ph.D.

Subject syllabus

1. Financial system, main functions of financial system. Financial markets, financial intermediaries.
2. Securities and their characteristics - general definition of securities and their classification according to various aspects. Properties of securities.
3. Capital market, capital market instruments. Primary market, secondary market - characteristics.
4. Money market, money market instruments. Short-term financial instruments yields and their calculation. Discount.
5. Shares and the principle of equity securities. Legal regulation of shares in the Czech Republic. Features, forms and transferability of shares. Basic calculations related to shares.
6. Bonds - the principle of bonds, criteria of their classification and types of bonds.
7. Basic calculations related to bonds. Bond rating and its importance. Czech bond market.
8. Financial investment - the principle and phases of the investment process, basic objectives of investing. Yield, risk and liquidity measurement. Historical and expected return. Sources of systematic and unsystematic risk.
9. Stock exchanges - history, definition of stock exchange, elements of stock exchange system. PSE - organizational structure, trading on PSE. RM-System, Central Securities Depository.
10. Primary issues - organization of primary issues, importance of primary issues, prospectus of the issuer of securities, primary issues in the Czech Republic. Information obligation of financial market participants.
11. Collective investment - individual versus collective investment, advantages and risks of collective investment. Basic collective investment entities.
12. Types of funds, investing in funds. Collective investment in the Czech Republic.
13. Legislative basis of the Czech financial market, supervision and regulation on financial markets, basic ethical principles on financial markets.
14. Current state of financial markets, lessons learned from crises. Expected trends in financial market development.

Literature

CECCHETTI, Stephen G. a Kermit L. SCHOENHOLTZ. Money, banking, and financial markets. Sixth edition. New York: McGraw-Hill, 2019. ISBN 978-1-260-22678-2.
REJNUŠ, Oldřich. Finanční trhy. 5., aktualizované a rozšířené vydání. Praha: Grada Publishing, 2024. ISBN 978-80-271-5012-0.
VESELÁ, Jitka. Investování na kapitálových trzích. 3. vyd. Praha: Wolters Kluwer Česká republika, 2019. 792 s. ISBN 978-80-7598-212-4.

Advised literature

BRANDL, Michael W. Money, banking, financial markets & institutions. Second edition. Boston, MA: Cengage, 2021. ISBN 9781337904827 .
MISHKIN, Frederic S. The economics of money, banking, and financial markets. Business school edition. New York: Pearson, 2019. ISBN 978-0-13-473420-0.
SYROVÝ, Petr. Investování pro začátečníky. 4. vyd. Praha: Grada Publishing, 2022. Investice. ISBN 978-80-271-3458-8.