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ECTS Course Overview



Trends and Innovations in Financial Markets

* Exchange students do not have to consider this information when selecting suitable courses for an exchange stay.

Course Unit Code154-0566/01
Number of ECTS Credits Allocated4 ECTS credits
Type of Course Unit *Choice-compulsory
Level of Course Unit *Second Cycle
Year of Study *
Semester when the Course Unit is deliveredSummer Semester
Mode of DeliveryFace-to-face
Language of InstructionEnglish
Prerequisites and Co-Requisites Course succeeds to compulsory courses of previous semester
Name of Lecturer(s)Personal IDName
NOV33Ing. Martina Novotná, Ph.D.
Summary
The aim of the course is to provide an overview of current trends in financial markets. The main focus is on asset securitization and the creation of securitized products, the role of credit rating agencies in capital markets and the essence of alternative investment.
Learning Outcomes of the Course Unit
The course is focused on selected topics of financial markets with the emphasis on current trends, innovative financial instruments and alternative investments. The course covers main aspects of asset securitization which provides an important source of financing for a variety business. In this course, students will be provided with an overview of securitized products and alternative investments, recognize the main risks and understand the impact of regulatory changes on the market.

At the end of the course, students will be able to:

- Evaluate the importance and types of financial innovations,
- understand the concept and process of asset securitization,
- characterise the main types of securitised products,
- discuss the role of rating agencies in the financial markets,
- distinguish between the principal classes of alternative investments,
- access the importance of adding an alternative investment to a portfolio,
- characterise current trends in the financial markets.

The prior knowledge of basic concepts and tools of financial markets is essential in this course.
Course Contents
Introduction to securitization
Basic concept of asset securitization
Motives and process of securitization
Originators and investors of the asset securitization market
Residental mortgages and securitization
Securitization of commercial mortgages and consumer loans
Asset-backed securities
Collateralized debt obligations
The current asset securitization market
Introduction to alternative investments
Hedge funds
Private equity
Structured products
Recommended or Required Reading
Required Reading:
CHAMBERS, Donald R, Mark Jonathan Paul ANSON, Keith H BLACK a Hossein KAZEMI. Alternative investments: CAIA level I. 3rd ed. Hoboken: Wiley, 2015. ISBN 978-1-119-00336-6.
FABOZZI, Frank J. Bond markets, analysis, and strategies. 8th ed., global ed. Pearson, c2013. ISBN 978-0-273-76613-1.
HU, Joseph. Asset securitization: theory and practice. Singapore: John Wiley & Sons (Asia), 2011. ISBN 978-0-470-82603-4.

CHAMBERS, Donald R, Mark Jonathan Paul ANSON, Keith H BLACK a Hossein KAZEMI. Alternative investments: CAIA level I. 3rd ed. Hoboken: Wiley, 2015. ISBN 978-1-119-00336-6.
FABOZZI, Frank J. Bond markets, analysis, and strategies. 8th ed., global ed. Pearson, c2013. ISBN 978-0-273-76613-1.
HU, Joseph. Asset securitization: theory and practice. Singapore: John Wiley & Sons (Asia), 2011. ISBN 978-0-470-82603-4.

Recommended Reading:
BAIG, Suleman a Moorad CHOUDHRY. The mechanics of securitization: a practical guide to structuring and closing asset-backed security transactions. Hoboken: John Wiley & Sons, Inc., 2013. ISBN 978-0-470-60972-9.
HU, Joseph. Asset securitization: theory and practice. Singapore: John Wiley & Sons (Asia) Pte. Ltd., 2011. ISBN 978-0-470-82603-4.
CHAMBERS, Donald R, Mark Jonathan Paul ANSON, Keith H BLACK a Hossein KAZEMI. Alternative investments: CAIA level I. Third edition. Hoboken: Wiley, 2015. ISBN 978-1-119-00336-6.
BAIG, Suleman a Moorad CHOUDHRY. The mechanics of securitization: a practical guide to structuring and closing asset-backed security transactions. Hoboken: John Wiley & Sons, Inc., 2013. ISBN 978-0-470-60972-9.
BODIE, Zvi, Alex KANE a Alan J MARCUS. Investments and portfolio management. 9th ed., global ed. New York: McGraw-Hill/Irwin, c2011. ISBN 978-0-07-128914-6.
CHOUDHRY, Moorad. Structured credit products: credit derivatives and synthetic securitisation. 2nd ed. Singapore: John Wiley & Sons (Asia), 2010. ISBN 978-0-470-82413-9.
Planned learning activities and teaching methods
Lectures
Assesment methods and criteria
Tasks are not Defined