Undergraduate Course: Financial Mathematics (MATH10003)
Course Outline
School |
School of Mathematics |
College |
College of Science and Engineering |
Course type |
Standard |
Availability |
Available to all students |
Credit level (Normal year taken) |
SCQF Level 10 (Year 3 Undergraduate) |
Credits |
10 |
Home subject area |
Mathematics |
Other subject area |
Specialist Mathematics & Statistics (Honours) |
Course website |
http://student.maths.ed.ac.uk |
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Course description |
Optional course for Honours Degrees involving Mathematics and/or Statistics; stipulated course for Honours in Economics and Statistics. Syllabus Summary: Revision of random variables, expectation, variance, covariance and correlation. Binomial distribution. Properties of Normal random variables and the central limit theorem. Time value of money, compound interest rates and present value of future payments. Interest income. The equation of value. Annuities. The general loan schedule. Net present values.Comparison of investment projects Option pricing techniques in discrete and continuous time. Black-Scholes option pricing formula. |
Course Delivery Information
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Delivery period: 2010/11 Semester 1, Available to all students (SV1)
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WebCT enabled: No |
Quota: None |
Location |
Activity |
Description |
Weeks |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
King's Buildings | Lecture | | 1-11 | 15:00 - 15:50 | | | | | King's Buildings | Lecture | | 1-11 | | | | 15:00 - 15:50 | |
First Class |
First class information not currently available |
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Delivery period: 2010/11 Semester 1, Part-year visiting students only (VV1)
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WebCT enabled: Yes |
Quota: None |
Location |
Activity |
Description |
Weeks |
Monday |
Tuesday |
Wednesday |
Thursday |
Friday |
King's Buildings | Lecture | | 1-11 | 15:00 - 15:50 | | | | | King's Buildings | Lecture | | 1-11 | | | | 15:00 - 15:50 | |
First Class |
Week 1, Thursday, 14:00 - 14:50, Zone: King's Buildings. JCMB, Lecture Theatre B |
Summary of Intended Learning Outcomes
1. Knowledge of basic financial concepts.
2. Ability to apply basic probability theory in financial models.
3. Introduction to actuarial mathematics.
4. Introduction to basic financial derivative instruments.
5. Introduction to option pricing in discrete time.
6. Familiarity with the Black-Scholes formula.
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Assessment Information
Examination only.
Visiting Student Variant Assessment
Examination (100%) |
Please see Visiting Student Prospectus website for Visiting Student Assessment information |
Special Arrangements
Not entered |
Contacts
Course organiser |
Dr Adri Olde-Daalhuis
Tel: (0131 6)50 5992
Email: A.OldeDaalhuis@ed.ac.uk |
Course secretary |
Mrs Katherine Mcphail
Tel: (0131 6)50 4885
Email: k.mcphail@ed.ac.uk |
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copyright 2010 The University of Edinburgh -
1 September 2010 6:18 am
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