Financial Economics (ECON512) Course Detail

Course Name Course Code Season Lecture Hours Application Hours Lab Hours Credit ECTS
Financial Economics ECON512 3 0 0 3 5
Pre-requisite Course(s)
Course Language Turkish
Course Type N/A
Course Level Social Sciences Master's Degree
Mode of Delivery Face To Face
Learning and Teaching Strategies Lecture, Discussion, Question and Answer.
Course Coordinator
Course Lecturer(s)
  • Prof. Dr. Doğan Cansızlar
Course Assistants
Course Objectives The goal of the course is to let the student comprehend the main principles and institurions of the financial markets. AMong the topics to be covered are: the mechanism and working principles of the financial system, financial tools, and valuation (stocks, bond, forward, futures, options) time value of money, risk managemnet,financing alternative,s capital budgeting, international finance, economic crises, real economy, macroeconomic activities, monetary policy, banking sector relations, modern portfolio management.
Course Learning Outcomes The students who succeeded in this course;
  • By the end of the course, the student will be able to follow the financial markets (money and capital markets) and comment on them
Course Content Functions and structure of the financial system, the role and function of financial instruments, the elementary valuation of financial instruments, primarily stocks, bonds, futures, and options, the role of risk and how markets manage and control risk, issues in corporate finance and capital budgeting, issues in international finance and the inter

Weekly Subjects and Releated Preparation Studies

Week Subjects Preparation
1 Financial Economics and Financial Markets (Money and Capital markets) 1-12
2 Stocks- Pricing of bonds-Efficient markets hypothesis 13-45
3 Time value of money (interest rate) 47-100
4 Cost of Capital 101-114
5 BAnking System and Money Creation Process of the Banks 115-136
6 Banking: Loans, Deposits, Management and Performance Evaluation 137-195
7 The Central Bank and Monetary Policy-REserves 196-260
8 Midterm exam
9 Foreign Exchange Markets, Foreign exchange rate 267-300
10 Exchange Rate regimes, and the Turkish case 300-371
11 Foreign Trade and Foreign Exchange Rate Relationship 372-401
12 Imposibble Trinity 402-412
13 Risk and Risk Management ( Forward, Futures, Opsiyon, Swap ) 413-439
14 Financing Sources_ Economic Crisis 440-469
15 Modern Portfolio Management 470-500
16 Final Exam


Course Book 1. The Economics of Money, Banking and Financial Markets”, Frederic S.Mishkins, Pearson, 2013
Other Sources 2. Ders Notları

Evaluation System

Requirements Number Percentage of Grade
Attendance/Participation 1 5
Laboratory - -
Application - -
Field Work - -
Special Course Internship - -
Quizzes/Studio Critics - -
Homework Assignments - -
Presentation 1 10
Project - -
Report - -
Seminar - -
Midterms Exams/Midterms Jury 1 30
Final Exam/Final Jury 1 55
Toplam 4 100
Percentage of Semester Work 45
Percentage of Final Work 55
Total 100

Course Category

Core Courses
Major Area Courses
Supportive Courses X
Media and Managment Skills Courses
Transferable Skill Courses

The Relation Between Course Learning Competencies and Program Qualifications

# Program Qualifications / Competencies Level of Contribution
1 2 3 4 5
1 1. To be able to combine and use the knowledge of their own undergraduate program area with the knowledge of business administration.
2 2. To have information about the structure and functioning of the financial system and each financial institution.
3 3. To have information about regulations and legislation related to financial institutions
4 4. To be able to see the risks that different financial institutions are exposed to and gain the ability to produce basic solutions.
5 5. To have knowledge about basic investment strategies.
6 6. Having knowledge about research methods and techniques and being able to use them.
7 7. To have information about the institutional characteristics of emerging and developed markets and investment strategies for bonds, stocks and derivatives in these markets.
8 8. To have the ability to reach scientific knowledge in the field of business, to monitor, evaluate and apply the current literature
9 9. To be able to transfer information about the business area by using effective verbal, written and visual communication methods.
10 10. To be aware of professional ethics, environmental awareness, sustainability, social responsibility, cultural, social and universal values
11 10. To be aware of professional ethics, environmental awareness, sustainability, social responsibility, cultural, social and universal values
12 11. To be able to work effectively with different disciplines or multicultural teams, to take responsibility, to make risk analysis, to keep up with change, to think critically and to use initiative in problem solving.
13 12. To have the ability to present a research problem, to develop hypotheses, to design research and to reach a conclusion by using qualitative/quantitative methods, by making the necessary literature review, and to have the ability to publish an academic publication as a result.

ECTS/Workload Table

Activities Number Duration (Hours) Total Workload
Course Hours (Including Exam Week: 16 x Total Hours) 16 3 48
Special Course Internship
Field Work
Study Hours Out of Class 16 4 64
Presentation/Seminar Prepration
Homework Assignments
Quizzes/Studio Critics
Prepration of Midterm Exams/Midterm Jury 1 2 2
Prepration of Final Exams/Final Jury 1 3 3
Total Workload 117