International Master Programs at WISE & SOE, Xiamen University

This course is a bilingual language course specially designed for the international graduate students who have little knowledge of Chinese language. The teaching will base on the practicing of some basic Chinese expressions and talk about the linguistic knowledge about the language, including Chinese phonetics, lexical, grammar and characters, etc. The course will combine the practicing and systematical knowledge of the language all through the teaching, and methods of comparing Chinese with the media language of English will be applied. Students are expected to learn to apply the language for daily use in a short time, and later come to grip with the systematical knowledge of Chinese language, which will be helpful for foreign students in future studies.

The lecture series will focus on economic reform of China in the past three decades, Chinese literature, the basic classics of Chinese philosophy , Chinese festivals and culture and so on.

Introduction to Corporate Finance

Analytical techniques and tools are the focus of this course to answer the three key questions facing every business. These questions involve investment, financing and dividend decisions. Topics covered in this course will examine the concepts of hurdle rates, valuation, capital structure, dividend payout and share buyback as well as corporate restructuring, divestitures and mergers & acquisitions.

This module provides an introduction to key accounting concepts and knowledge. Accounting objectives, conventions and standards, and the rules that govern disclosure are examined. Other topics include ratio and cash flow analysis, analysis of inventories and analysis of long-lived assets. There will be also be coverage on the analysis of financing liabilities, analysis of off-balance sheet activities, accounting for pensions and income taxes, and international accounting differences and their effect on financial statements.

This module covers the principles of micro- and macroeconomic analysis, with particular reference to economic management and the financial markets. Our aim is to learn theories in order to apply them in analysis. Topics in microeconomics include supply and demand, competition and monopoly, externalities and the new IT economy. Topics in macroeconomics include growth, trade, cycles and the recent developments in the rational expectation theory.

This module provides the basic aspects of quantitative analysis, probability theory and data analysis, with special reference to finance. Topics include the time value of money, theory of interest, probability theory, descriptive data analysis, decision trees, estimation and hypothesis testing, and simple statistical analysis such as correlation analysis, regression analysis and time series analysis.

In this course, valuation models such as discounted cash flow models, P/E multiples, and alternative-pricing models will be covered. Financial ratios as a measure of risk will be discussed. Implication of efficient market theory on fundamental and technical analysis will also be examined. Global and local equity market features will be incorporated to add depth to the module. And for Portfolio Management this module covers the basic concept of investment in financial markets. Equity portfolio investment is studied in detail. Concepts of risk and return are analyzed in the context of formal pricing models such as the Capital Asset Pricing Model(CAPM) and the Arbitrage Pricing Theory. Aspects of efficient market theory and anomalies are considered. The concept of portfolio diversification and the construction of optimal portfolios such as mean-variance efficient portfolios are studied. The syllabus extends to the consideration of international diversification and investments where currency risks and interest rate risks need to be evaluated.

This module builds on and extends the coverage of the earlier modules of Economic Analysis and Quantitative Methods and Statistics. Some advanced topics in analysis of economic data are covered, including multiple regression model, time series and econometric modeling, nonparametric statistics, multivariate analysis. Applications of these techniques in portfolio management, economic forecasting, term structure modeling, asset pricing theories, performance measures and interest rate management will be examined.

This course focuses on the fixed-income markets and basic analytical tools used in analyzing fixed income securities. Features of fixed-income securities and credit rating will be covered in detail. Topics on basic analytical tools include: interest rates and yield-curve mathematics, duration analysis and convexity. Theories on the term structure of interest rates will also be discussed.

This module introduces the concept of derivative pricing based on the idea of an arbitrage-free market. Basic derivative instruments such as forwards, futures, options, and swaps will be covered. Valuation models for forwards and the Black-Scholes model for options will be studied. The difference between forwards and futures will be discussed. The module contents will also address the hedging issue and the trading issue. From a hedging perspective, option Greeks, interest rate and currency swaps versus exposures, and forward-spot basis risks will be studied. From a trading perspective, arbitrage opportunities, violations of parities such as put-call parity, and other options strategies will be reviewed.

This course will cover the international financial system, institutions and market practices; international finance theorems and their application; Euromarkets; international debt and equity raising; measurement of foreign exchange risk; managing foreign exchange exposure; foreign currency futures, options and swaps, international portfolio investment and capital budgeting and international trade finance.

The course will cover the statistical and econometric techniques needed to conduct quantitative research in finance. Topics include estimation of CAPM, option pricing, continuous time process, term structure, VaR, CVaR and credit risk. Emphasis is on understanding and interpreting empirical findings in a range of financial markets, from viewpoints of academics as well as practitioners.

This module focuses on risk management in multinational corporations and financial institutions. Module covers major areas such as foreign exchange, money market instruments, Euromarkets exchange, traded instruments versus O-C-T products, derivative products, understanding the corporations risk exposure , issues in measurement of exposure, risk management in treasury operations and asset/liability management in financial institutions.

This is an introductory course of basic probability and statistic theory. The course consists of two parts: probability and statistic theory. Topics covered in the courses include random variable, univariate and multivariate distributions, statistical properties of sample mean and sample variance, different concepts of convergence, the law of large numbers and the central limit theorems, maximum likelihood estimation,the general method of moments, and hypothesis testing. Students who register for this course are required to have one-year training in calculus and some basic knowledge of matrix and matrix operation.

This module builds on and extends the coverage of the earlier module Financial Statement Analysis 1 and 2. Advanced topics in financial statement analysis that include corporate restructuring, accounting for inter-corporate investments, mergers and acquisitions, distress analysis, accounting for global corporations and the use of financial statements as a tool for valuation and forecasting will be covered.

This course will cover the mathematical theories and tools that are important forlearning and understanding the theories of financial engineering. Major topics of this course include: probability theory, martingale, stochastic process, stochastic, integral, Itos lemma, Black-Scholes PDE, equivalent martingale measure (optional).

This course is an advanced mathematical treatment of stochastic modeling in finance, with special emphasis on sequential portfolio choice and asset pricing theory. Both the no-arbitrage and equilibrium approach of asset pricing will receive in-depth treatment in this course. Special efforts will be made to understand the price process is determined in a well-functioning market place with rational agents/investors. Optimal trading strategies and the equilibrium dynamics of security prices as stochastic processes will be studied thoroughly through applications.

The area of options has seen unparalleled growth since the development of pricing models, starting with the Black-Scholes model in 1973. The uses and importance of options to the field of finance cannot be underestimated. This course is key to your understanding of the basic instruments of derivative marketplaces and their uses. Options and other derivative securities have a certain elegance, based on mathematical associations. It is important to note that the coverage in the course will necessarily be mathematical in nature, as such you need to make sure that you keep up with the class. The worth of something is often measured by the personal price that you pay.

The course is an introductory graduate level course in time series analysis with particular applications in finance. The main purpose of this course is to provide students with a rigorous foundation and empirical analysis skills to pursue applied projects involving economic and financial time series data. The course focuses on time series methods that have become popular and are widely used in applied economics and finance. While economic and financial examples are often used as motivation, an economic or finance background is not required for the course. Of course, if students have a strong background in finance, it will be a plus for this course. We will use a computer package called R, which is a very convenient programming language for homework assignments and projects. We will teach it at the introductory level, but NOTICE that students will have to learn R on their own.

This course teaches the application of computing technology to the solution of practical problems in investment/finance. Shares, options and futures are covered, however the emphasis is on the application of computing to finance, using packages such as Excel and SAP which may be encountered by students who pursue a career combining computing and finance/accounting.

This course helps students recognize the fundamental importance of risk management in todays commercial world and seeks to provide students with extended skills in the strategic and process applications of risk management. This course will prepare you for the increasingly complex risk management issues faced when employed in many areas of business and government. The range of units undertaken will greatly assist those seeking employment in managerial positions where risk management is an expanding field of practice.

The course discusses the principles of macroeconomics to enable students to analyze problems in the key areas using appropriate tools. The areas covered include macroeconomic policy debates, the microeconomics behind macroeconomics, open economy and pathologies. The course aims to develop a better understanding of these macroeconomic contents using verbal, graphical and simple mathematical techniques.

We will study more recent developments of microeconomics --- the analysis of strategic interaction, problems involving information and incentives, the functioning of imperfectly competitive markets, etc. The tools you will pick up are now being extensively used in a wide variety of fields and become a standard part of the language of economists.

This course is designed to introduce a wide range of mathematical techniques used in senior undergraduate level economics courses. Topics include the tools used to analyze equilibrium models, comparative-static models, optimization, and, to a limited extent, dynamic models. The course will extensively employ linear algebra and basic calculus.

This course provides a mix of theory and applications of macroeconomics. Topics range from the classical economics, Keynesian economics and other neo-classical models such as overlapping generation models, dynamic optimization, real business cycle theory, inter-temporal open economy models and the theory of economic growth. Various theories will be illustrated using examples drawn from local and international policy issues, as appropriate.

The purpose of this course is to teach the basic principles of micro theory which lie at the core of modern argumentation of economics. Hence this is very much like learning a language. By the end of the course, you should have exposed to most standard techniques in partial-equilibrium analysis, including fundamental theories to analyze firm and consumer behaviors. The main textbook used will be Varian, Microeconomic Analysis, 3rd Edition.

This course begins with an introduction of the classical linear regression (CLR) models, and then relaxes assumptions gradually. Besides CLR models, this course covers linear regression models with I.I.D. observations, linear regression models with dependent observations, linear regression models with HAC disturbances, instrumental variables regression, GMM and MLE. This course also touches several frontier topics, for example, nonparametric econometrics and model selections et al. This course aims to provide solid econometric foundation for both theorists and empirical economists.

This course will introduce the basic theories of financial theories, and discusses the link between general equilibrium and asset prices. Topics include:

- Equilibrium and arbitrage

- Valuation

- Risk

- Optimal portfolio

- Equilibrium prices and allocations

- Mean variance analysis

- Martingale of price

This is a course for all of us to develop ideas. We am developing better ways to coach you as young economists. We expect you to learn more by getting your hands dirty, rather than simply studying for an exam. We expect you to have more tangible outputs at the end of the course, i.e. a potential research topic. However, this approach requires more co-ordination than sitting an exam. You are reliant on each other to give constructive and thoughtful comments. It requires you to really sit down and think about not just your own ideas, but your fellow classmates ideas. Critically evaluating your classmates work will not only help your classmate now, but it will also improve your ability to critically evaluate your own work.

This course introduces the technical and legal aspects of human resource management. We will examine how to manage human resources effectively in the dynamic legal, social, and economic environment currently constraining organizations. Among the topics included are: formulation and implementation of human resource strategy, job analysis, methods of recruitment and selection, techniques for training and development, performance appraisal, compensation and benefits, and the evaluation of the effectiveness of HRM systems. Emphasis is placed on integrating human resource management with the overall business strategy.

This course also provides students with the insights and tools they need to work successfully as human resource management consults both as human resource managers operating within the firm to improve organizational effectiveness and as external consultants providing project support to an internal human resource organization. The textbook used will be Managing Human Resources Through Strategic Partnerships by Susan E. Jackson and Randall S. Shuler (2002).

This course will introduce the application of experimental methods to study economic questions. Experiments are used to test the validity of economic theories and test-bed new market mechanisms. Using cash-motivated subjects, economic experiments create real-world incentives to help us better understand why markets and other exchange systems work the way they do. Experiments may be conducted in laboratory settings or in the field. Also see Simulations and games in economics education.

The course can be loosely classified into the following topics: Markets, Games, Decision making, Bargaining, Auctions, Coordination, Social Preferences, Learning, Matching, and Field Experiments.