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Financial modelling

Course aims

The objective is to master the problems solving and interpretation from the area of finance and banking with aid of instruments of mathematical modelling. The subject if focused on financial planning, contemporary theory of portfolio, models of managing portfolio, optimisation of bond portfolio and portfolio of assets and liabilities in the banking institutions, application of tools for technical analyses, models of valuation of capital assets, models of valuation of options (Black-Scholes model, binomial model of valuation), hedging strategies, application of the method Value at Risk, simulation of random processes of financial assets and portfolios, forecasting of parameters of the financial assets.

Literature

BENNINGA, Simon a Benjamin CZACZKES. Financial Modeling [CD-ROM]. 2nd ed. Cambridge: MIT Press, 2000. 622 s. ISBN 0-262-02482-9.
HULL, J. C. Options, Futures, and other Derivarives. 8th ed. Prentice Hall, 2011.
ZENIOS, Stavros. A. Practical Financial Optimization. Oxford: Blackwell Publishing, 2007.
Doporučená

Advised literature

ADAMS, A. BLOOMFIELD, D. and P. BOOTH. Investment Mathematics and Statistic. Kluwer Law International, 1995.
CAMPBELL, J. Y., LO, A. W. and A. C. MACKINLAY. The Econometrics of Financial Markets. Princeton University Press, 1997.
DUFFIE, Darrell. Security Markets - Stochastic Models. Academic Press, Incorporation, 1988.


Language of instruction angličtina
Code 154-9524
Abbreviation FINMa
Course title Financial modelling
Coordinating department Department of Finance
Course coordinator prof. Dr. Ing. Zdeněk Zmeškal