| Week |
Subject |
Related Preparation |
| 1) |
• Syllabus
• Discuss Library Orientation Course, Instructor to verify completion
• What’s Special about “International” Finance?
• Goals for International Financial Management in accordance with the ethical considerations throughout the world.
• Globalization of the World Economy
• Evaluation of Multinational Corporations
|
Read the syllabus
Read of Seyidoğlu (2013), Chapter 1 |
| 2) |
• Identify the stages of corporate expansion overseas by which companies gradually become MNCs
• Identify the advantages of being multinational, including the benefits of international diversification
• Describe the general importance of financial economics to multinational financial management
• Explain the theory of comparative advantage
• Discuss why do firms become multinational
• Theory of Comparative Advantage
• What is Different about Global Financial Management?
• Market Imperfections
• Globalization Process
• The Process of Overseas Expansion by Multinationals
|
Reading of Seyidoğlu(2013), Chapter 4.
Answer the research questions at the end of the chapter and preparing for class discussion.
|
| 3) |
• Structure and Functions of the Foreign Exchange Market
• Traders of the foreign exchange market
• Spot exchange rate quotation
• Buying-selling exchange rate margin
• Spot currency transactions
• Alternative expressions of cross rates |
Reading of Seyidoğlu(2013), Chapter 4.
Answer the research questions at the end of the chapter and preparing for class discussion. |
| 4) |
• Triangle (Three-ended) arbitrage
• Spot market microstructure
• Forward exchange rate quotation
• Long and short forward positions
• Forward cross rates
• Swap transactions
• Forward premium |
Reading of Seyidoğlu(2013), Chapter 6.
Answer the research questions at the end of the chapter and preparing for class discussion. |
| 5) |
• Interest rate parity and the law of one price
• Purchasing power parity
• Fisher effect
• International Fisher effect |
Reading of Seyidoğlu(2013), Chapter 5.
Answer the research questions at the end of the chapter and preparing for class discussion.
Prepare for the quiz. |
| 6) |
• Interest rate parity
• Guaranteed interest rate arbitrage
• Determination of interest rate parity and exchange rate
• Reasons for deviation from interest rate parity
• Estimation of exchange rates
• Effective market approach
• Fundamental analysis approach
• Technical analysis approach
• Performance of estimation methods
• Quiz |
Reading of Seyidoğlu(2013), Chapter 7.
Answer the research questions at the end of the chapter and preparing for class discussion.
Preparation for the midterm exam. |
| 7) |
Midterm Exam |
None |
| 8) |
• Features of futures contracts
• Currency futures markets
• Features of FX futures contracts
• Similarities and differences between foreign exchange futures and forward contracts
• Futures Contracts: Some Preliminaries |
Reading Seyidoğlu(2013), Chapter 8.
Answer the research questions at the end of the chapter and prepare for class discussion. |
| 9) |
• Terminology related to options
• Currency option markets
• Quotation and prices of currency options
• Risk and return in option transactions
• Value and pricing of the option |
Reading of Seyidoğlu(2013), Chapter 9.
Answer the research questions at the end of the chapter and preparing for class discussion.
Prepare for the quiz. |
| 10) |
• Interest rate risk
• Managing interest rate risk
• Quiz |
Reading of Seyidoğlu(2013), Chapter 10.
Answer the research questions at the end of the chapter and preparing for class discussion. |
| 11) |
• Types of currency exposure
• Hedging strategy with forward market
• Money market hedge strategy
• Hedging strategy with options markets |
Reading Seyidoğlu(2013), Chapter 11.
Answer the research questions at the end of the chapter and preparE for class discussion. |
| 12) |
• Risk sharing agreements
• Determining the costs of using different hedging techniques
• Defining the operational effect and understanding its difference from the transaction effect
• Calculation of transaction effect in certain exchange rate change and cost, income scenarios
• Determination of appropriate marketing, production and financing strategies to combat the economic consequences of exchange rate changes.
• Impacts of exchange rate risk |
Reading Seyidoğlu(2013), Chapter 11
Answer the research questions at the end of the chapter and prepare for class discussion. |
| 13) |
• Identification of the accounting impact
• Define the four basic conversion methods
• Calculation of accounting impact with different methods
• Understanding the management of accounting impact
• Conversion methods
• Transformation effect and economic reality
• Development of accounting hedge strategy |
Reading of Seyidoğlu(2013), Chapter 3.
Answer the research questions at the end of the chapter and prepare for class discussion. |
| 14) |
• Definition of balance of payments
• Structure of the balance of payments
• Basic account groups of the balance of payments
• Balancing of balance of payments balance |
Prepare for the final exam |
| 15) |
Final Exam |
None |
| |
Program Outcomes |
Level of Contribution |
| 1) |
Sufficient knowledge in mathematics, science and engineering related to their branches; and the ability to apply theoretical and practical knowledge in these areas to model and solve engineering problems. |
|
| 2) |
The ability to identify, formulate, and solve complex engineering problems; selecting and applying appropriate analysis and modeling methods for this purpose. |
|
| 3) |
The ability to design a complex system, process, device or product under realistic constraints and conditions to meet specific requirements; the ability to apply modern design methods for this purpose. (Realistic constraints and conditions include such issues as economy, environmental issues, sustainability, manufacturability, ethics, health, safety, social and political issues, according to the nature of design.) |
|
| 4) |
Ability to develop, select and use modern techniques and tools necessary for engineering applications; ability to use information technologies effectively. |
|
| 5) |
Ability to design experiments, conduct experiments, collect data, analyze and interpret results to examine engineering problems or discipline-specific research topics. |
|
| 6) |
The ability to work effectively in disciplinary and multidisciplinary teams; individual work skill. |
|
| 7) |
Effective communication skills in Turkish oral and written communication; at least one foreign language knowledge; ability to write effective reports and understand written reports, to prepare design and production reports, to make effective presentations, to give and receive clear and understandable instructions. |
|
| 8) |
Awareness of the need for lifelong learning; access to knowledge, ability to follow developments in science and technology, and constant self-renewal. |
|
| 9) |
Conform to ethical principles, and standards of professional and ethical responsibility; be informed about the standards used in engineering applications. |
|
| 10) |
Awareness of applications in business, such as project management, risk management and change management; awareness of entrepreneurship, and innovation; information about sustainable development. |
|
| 11) |
Information about the universal and social health, environmental and safety effects of engineering applications and the ways in which contemporary problems are reflected in the engineering field; awareness of the legal consequences of engineering solutions. |
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ISTANBUL OKAN UNIVERSITY INFORMATION PACKAGE / COURSE CATALOGUE
