Postgraduate Course: Statistics For Finance (CMSE11086)
||College||College of Arts, Humanities and Social Sciences
|Credit level (Normal year taken)||SCQF Level 11 (Postgraduate)
||Availability||Not available to visiting students
|Summary||This course will provide you with the statistical concepts needed for financial applications. The goal is to apply statistical tools to analyse data, solve problems and make business decisions. This introductory course will provide you with the essential background for subsequent courses.
The content of this course is similar to an advanced undergraduates statistics course. Although there is a strong emphasis on theory, you will get an introduction to an econometric software for conducting basic empirical research. The material is presented to understand, rather than memorise, statistical concepts. The course shall be accessible for both, students with strong quantitative background, and those who are ready to put effort into the class material.
- Data: Plots and Summaries
- Introduction to Probability
- Statistical Inference: Confidence Intervals, Hypothesis Tests, and p-values
- The Simple Linear Regression Model
- The Multiple Linear Regression Model
Student Learning Experience:
This course is taught via a combination of weekly lectures and tutorials. Students will be introduced to an econometrics software (either STATA or SAS) during computer-based tutorials. Tutorials are intended to help students go over exercises they found difficult rather than to solve all the weekly tutorial questions. Therefore, students should attempt solving tutorial questions in advance of tutorial sessions. Students will receive early feedback by taking a mid-term exam. By the end of the course an individual project, based on STATA or SAS, which assesses the achievement of intended learning outcomes will be delivered.
Entry Requirements (not applicable to Visiting Students)
||Other requirements|| None
Course Delivery Information
|Academic year 2022/23, Available to all students (SV1)
|Learning and Teaching activities (Further Info)
Lecture Hours 20,
Seminar/Tutorial Hours 9,
Summative Assessment Hours 4,
Programme Level Learning and Teaching Hours 3,
Directed Learning and Independent Learning Hours
|Assessment (Further Info)
|Additional Information (Assessment)
||40% mid-course exam (individual) - assesses all course Learning Outcomes
60% final exam (individual) - assesses all course Learning Outcomes
||Formative: feedback will be provided via tutorials
Summative: feedback will be provided on the exams.
||Hours & Minutes
|Main Exam Diet S1 (December)||Statistics For Finance (CMSE11086): Final Exam||2:00|
|Outwith Standard Exam Diets November||Statistics For Finance (CMSE11086): Mid-Course Exam||2:00|
On completion of this course, the student will be able to:
- Define, explain and illustrate the concepts of probability, random variables, point estimation, interval estimation, hypothesis testing and inference.
- Critically discuss the link of theory with empirical applications.
- Understand and critically evaluate the importance of assumptions in statistics/econometrics.
- Carry out basic data analysis in a statistical software package.
|Douglas A. Lind, William G Marchal, Samuel A. Wathen (2012), Statistical Techniques in Business and Economics, 15th Edition, McGraw-Hill|
Wooldridge, J. (2015), Introductory Econometrics: A Modern Approach, 6th edition, Thomson.
|Graduate Attributes and Skills
||Communication, ICT, and Numeracy Skills
After completing this course, students should be able to:
Critically evaluate and present digital and other sources, research methods, data and information; discern their limitations, accuracy, validity, reliability and suitability; and apply responsibly in a wide variety of organisational contexts.
|Course organiser||Dr Angelica Gonzalez
Tel: (0131 6)51 3027
|Course secretary||Ms Heather Ferguson
Tel: (0131 6)50 8074