Investment

• Concept of price and value in Modern Finance;

• criteria of the investor under risk;

• What remuneration is the investor entitled to claim?;

• Forecast cash flows;

• Criteria for selecting assets and projects;

• Other factors affecting the investment decision;

• Efficiency and microstructure of the financial markets;

• Bubbles and financial crises!

The course will be delivered mainly in French, with certain supplements or resources in English when relevant.

The course contributes to the following objectives of the Master program in Economics (Focus Business Economics):

• Thorough and critical understanding of fundamental economic concepts and models as they apply to decisions made by individuals, firms and policy-makers;

• Thorough and critical understanding of methods and tools for data analysis;

• Thorough and critical understanding of the working, benefits and limits of markets, as well as regulatory approaches and their limitations;

• Thorough knowledge of corporate financial techniques, reporting standards and practices;

• Knowledge of the key mechanisms of economic governance, at the European and national levels;

• Identify and apply the relevant analytical tools and scientific concepts to analyze an economic problem in depth;

• Take the perspectives and incentives of different stakeholders into account to ensure accurate problem analysis and effective implementation of projects or decisions;

• Keep up to date about political and economic developments to improve business practice;

• Display critical thinking;

• Understand, analyse and evaluate with rigor;

• Communicate with impact.

At the end of the course, students will be able to:

• Understand and master the fundamental concepts of the investment decision;

• Use these concepts in practice in order to offer robust solutions to the actors involved.

As part of the course, we diversify the teaching methods:

• Flipped classeroom: preparation of theoretical material in advance (at home and in the classroom);

• Individual and / or group presentations;

• Case studies and rigourous analyzes on the investment decision theme;

• Q & A sessions.

References, bibliography, and recommended reading

Here are some recommended readings:

• A. Brealey, S.C. Myers and F. Allen - Principles of Corporate Finance – 12th Edition – 2017, McGraw-Hill Ed.

• S. Bodie, R.C. Merton and D.L. Cleeton – Financial Economics, 2008 – 2th Edition – Prentice Hall

• W.F. Sharpe, G.J. Alexander and J.V. Bailey – Fundamentals of Investments, 2001 - 3rd Edition, Peason Ed.

Contacts

Roland.Gillet@ulb.ac.be

roland.gillet@univ-paris1.fr

Campus

Solbosch

Method(s) of evaluation

• Other

Other

The assessment of students is based on:

• Ongoing evaluation (presentation and group and individual work);

• and or a final exam including knowledge questions and open-ended questions.

Language(s) of evaluation

• french
• english