Finance 390
For required courses for the finance major, see the Programs of Study chapter. Additional information about the undergraduate program can be found at https://myrbs.business.rutgers.edu/undergraduate-new-brunswick/areas-of-study.

33:390:203 Introduction to Finance (3) Introduction to concepts of value, valuation of financial instruments, capital budgeting, risk and return, and security analysis. Prerequisites: 01:640:112 (or greater) and 01:960:285 and 33:010:272. Business administration minors. No credit for business majors. Credit not given for both this course and 33:390:300/33:390:310.

33:390:205 Overview of Finance for Wall Street (3) This is the introductory course for the Road to Wall Street program. The course and the program are designated for high-potential students. The course is offered in the fall, and interested students should apply during the spring semester of their freshman year. Applicants will be selected based on their GPA, application essays, and interviews. The purpose of this New Brunswick-based overview course is to provide students with an elementary understanding of basic topics relevant to finance, financial modeling, financial markets, and financial instruments in order to prepare them for sophomore/junior year interviews. This course does not provide finance elective credit.

33:390:300 Financial Management (3) Valuation of assets based on the timing and risk (including portfolio-based risk) of their cash flows. Applications include the valuations of financial assets (bonds and shares of stock) and capital budgeting. The use of arbitrage to value assets such as options.  Prerequisites: 33:010:272 and 01:640:135 and 01:960:285. Junior or senior status. Not open to finance majors.

33:390:310 Financial Management for Finance Majors (3) Valuation of assets based on the timing and risk (including portfolio-based risk) of their cash flows.  Applications include the valuations of financial assets (bonds and shares of stock), the cost of capital, and capital budgeting. The use of arbitrage to value assets such as options. 
Prerequisites: 33:010:272 and 01:640:135 and 01:960:285. Junior or senior status.

33:390:320 Global Capital Markets (3)   A study of the structure of securities, the financial markets in which they are traded, and the trading rules used by these markets. The assets include stocks, bonds, derivatives, and securitized assets issued by domestic and international issuers from the public and private sectors. The markets include both domestic and international exchanges. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:331 Special Topics: Ethics in Finance (3) Focuses on the ethical issues confronting financial professionals, including considerable coverage of the many corporate and investment firm challenges and violations, the role of the financial regulators, and the very latest developments threatening the financial world (markets, institutions, and participants).  Instruction includes an overview and discussion of what is legal and what is illegal, what is ethical and what is unethical, and why it is so important in the business of finance.

33:390:375 International Financial Management (3) A study of the markets and the regimes for the exchange and interest rates for the world's leading economies and currencies. Examines the related institutions (e.g., central banks), agreements and policies, and the use of markets to share and allocate risk. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:380 Investment Analysis (3) Overview of financial markets and instruments that are used in investments. A brief discussion of the allocation of capital to risky assets. Efficient markets hypothesis, the behavioral finance critique, and technical analysis. The term structure of interest rates and the valuation of fixed income securities, including the use of duration and convexity. Valuation of common stock. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:385 Investment Banking Analysis (3) A valuation-oriented course that provides many of the skills and knowledge required by first-year investment banking analysts. Includes Excel-based valuation models, financial statement and discounted cash flow analyses, and comparable valuation methodologies. Also included are modeling leverage buyouts and mergers and acquisitions. Prerequisites: 33:390:400. Finance majors only. Junior or senior status.

33:390:400 Corporate Finance (3) Capital budgeting, capital structure, dividend policy, mergers and acquisitions, and some aspects of international finance. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:410 Asset Pricing and Portfolio Analysis (3) Focuses on modern theories of portfolio choice and portfolio management. In-depth coverage of mean variance portfolio selection, efficient frontier, Markowitz portfolio selection model, and single- and multifactor index models. Examines capital asset pricing models and the efficient market hypothesis, portfolio performance evaluation, active portfolio management, and international diversification. Prerequisites: 33:390:380. Finance majors only. Junior or senior status.

33:390:415 Indexing & ETFS (3) An advanced, modern finance course with the objective of studying portfolio construction and investment management by way of understanding and using indexes and Exchange Traded Funds (ETFs).  The course is designed to be comprehensive in covering the economic space available to investors, the many investment objectives/strategies represented by indexes and ETFs, and the key determinants for building and trading these portfolios.  The contemporary and practical class content is enhanced by exposure to useful industry resources and participants.  There is a class project that involves working on teams to practice the application of tools and material learned in class.

33:390:420 Derivatives (3) Analysis of different kinds of futures and options. Use of commodity, interest rate stock index, and currency futures for hedgers and speculators. Stock options, investment strategies, arbitrage restriction on value and evaluation models, and the use of options and futures contracts in portfolio management. Prerequisites: 33:390:380. Finance majors only. Junior or senior status.

33:390:430 Treasury Management (3) Introduction to liquidity and cash management, including the examination of inventory, cash, accounts receivable, and other treasury-related, short-term, financial management issues. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:435 Real Estate Finance and Mortgage-Backed Securities (3) Examination of primary markets, secondary markets, and derivative products. Topics include origination process, income-producing mortgage loans, agency purchases, security pricing, and securitization of single-family and commercial loans. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:440 Advanced Corporate Finance (3) Complex corporate securities, such as callable and convertible debt or adjustable rate preferred stock, option theory, corporate insurance, and hedging. Prerequisites: 33:390:400. Finance majors only. Junior or senior status.

33:390:445 Special Topics: Digital Assets (3) This course is designed to help students develop skills and knowledge in the area of blockchain and cryptocurrency, in general, and in particular, as it applies to finance and the financial industry.

33:390:450 Financial Analysis, Planning, and Forecasting (3) Overview of short-term and long-term financial analysis, planning, and forecasting; credit, cash, marketable securities, and inventory management. Applications of regression, linear programming, and computer techniques in alternative financial planning and forecasting analyses. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:460 Corporate Risk Management (3) Examination of issues faced by the risk manager. Provides a survey of techniques used to measure, estimate, and mitigate a variety of risk exposures, by insurance, hedging, and diversification. Covered risk exposures include interest rate risk, credit risk, market risk, liquidity risk, foreign exchange risk, off balance sheet risk, and operational risk. Prerequisites: 33:390:420. Finance majors only. Junior or senior status.

33:390:465 Pension Fund Investment and Management (3) Application of financial theory and methods to pension fund investment and management. Prerequisites: 33:390:310. Finance majors only. Junior or senior status.

33:390:480 Research in Finance (BA) Individual research and reading program under the guidance of a member of the department. Prerequisites: Permission of department. Open only to finance juniors or seniors.

33:390:481 Research in Finance (BA) Individual research and reading program under the guidance of a member of the department.  Prerequisites: Permission of department. Open only to finance juniors or seniors.

33:390:490 Fixed Income (3) The study of bond valuation and various measures of bond risk, securitization, and measures of portfolio risk and how spread risk and convexity affect the value of a bond portfolio when interest rates change. Prerequisites: 33:390:380. Finance majors only. Junior or senior status.

33:390:491 Special Topics: Credit Analysis (3) This course is designed to expand student knowledge of fixed-income markets with an in-depth discussion of credit investing. The focus of the class will build on entry-level understanding of interest rates, credit investing, and securitization to more precise real-world investing analysis and techniques. Topics will include understanding the fundamental drivers of credit markets, corporate bond risk, and the understanding of the segments of a corporate capital structure. Prerequisites: 33:390:490. Finance majors only. Senior status only

33:390:492 Special Topics in Finance (3) Special topics course in an area of finance.

33:390:493 Special Topics in Finance (3) This course and 390:494 make a limited enrollment, yearlong sequence that satisfies the Capstone Project requirements of the Honors College and the SAS Honors Program. Students who are accepted into the seminar are expected to take both semesters of the seminar. Admission is based on an application process and acceptance by the course professors. Three of the 6 credits qualify as a finance elective. The format for both semesters will be conversational, rather than a traditional lecture. Students will be required to present their analyses of topics and answer challenging questions from their classmates. Students taking 390:493 will study the nature of U.S. and global financial cycles and crises. The cycles selected for study will begin hundreds of years ago and end with the Great Recession of 2008-2009. The course will focus on the influence of factors such as excess borrowing, asset bubbles, herd mentality, contagion, and globalization on financial asset returns. Students will also read and discuss some of the classic books about investing. During this first semester, students will write a scholarly research paper on a topic related to the coursework. Prerequisites: By application only. Senior status.

33:390:494 Special Topics in Finance Honors Seminar (3) During the second semester, small teams will concentrate on portfolio management of a model portfolio. The portfolio will consist of a multi-asset and be USD based. All portfolios will be managed on the Bloomberg Terminal and students will be required to keep a trade log and trade notes. Students will analyze discrepancies between the returns that were expected at the time that the portfolio was selected and the realized returns. There will be a combined emphasis on both risk management as well as the total returns of the model portfolios. Class time will simulate a mock investment committee where students will discuss news events and their effects on markets, recent trades, and portfolio performance. The second semester will also have a number of specific lectures that reinforce certain portfolio and risk management techniques. Only three of the credits for 33:390:493 and 33:390:494 qualify as a finance elective credits. Prerequisites: 33:390:393. Senior status.

33:390:495,496 Honors Project in Finance (3,3) Individual research and preparation of a written thesis under direction of a finance faculty member.  Prerequisites: Open to finance seniors in honors program only. Both semesters must be completed to receive credit.