| Course title | Financial Mathematics |
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| Course code | KMI/YFINM |
| Organizational form of instruction | Lecture + Lesson |
| Level of course | Bachelor |
| Year of study | not specified |
| Semester | Summer |
| Number of ECTS credits | 6 |
| Language of instruction | English |
| Status of course | unspecified |
| Form of instruction | Face-to-face |
| Work placements | This is not an internship |
| Recommended optional programme components | None |
| Course availability | The course is available to visiting students |
| Lecturer(s) |
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| Course content |
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(1) Basic terminology, percentages, means, progressions. (2) Simple interest and bank discount, standards of interest calculations. (3) Compound and continuous interest. (4) Inflation, real and effective interest rate. (5) Time value of money, system of cash flows. (6) Annuities - saving redemption. (7) Annuities - loan redemption. (8) Complex savings models. (9) Depreciation of assets. (10) Modelling of basic bank products in Excel. (11) Portfolio, performance measuring. (12) Volatility measuring. (13) Random interest.
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| Learning activities and teaching methods |
Monologic (reading, lecture, briefing)
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| Learning outcomes |
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The aim of the course of Financial and Actuarial Mathematics is to introduce students to the basic terminology, models, principles, and mathematical calculations of financial mathematics and their applications in concrete financial problems. The secondary aim is to develop students' language competences in the filed of financial mathematics.
Students understand the basic principles of financial mathematics, they are able to compare various financial products and to use effectively the relevant software in their financial computation. |
| Prerequisites |
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The course has no prerequisities.
KMI/CM1 ----- or ----- KMI/KMATA ----- or ----- KMI/KMATI ----- or ----- KMI/MATEA ----- or ----- KMI/MATI ----- or ----- KMI/MATIA ----- or ----- KMI/M1 ----- or ----- KMI/M1A ----- or ----- KMI/YMATI and KMI/CM1 ----- or ----- KMI/KMATA ----- or ----- KMI/KMATI ----- or ----- KMI/MATI ----- or ----- KMI/MATIA ----- or ----- KMI/M1 ----- or ----- KMI/M1A ----- or ----- KMI/YMATI |
| Assessment methods and criteria |
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Combined exam
Credit Requirements: Obtaining at least 15 points out of 22 in two credit tests (each of them is worth a maximum of 11 points). Examination Requirements: Calculation of two financial problems using MS Excel. Final mark is based on the results of the credit tests and the final examination. |
| Recommended literature |
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| Study plans that include the course |
| Faculty | Study plan (Version) | Category of Branch/Specialization | Recommended semester |
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