Course

Course Summary
Credit Type:
Course
ACE ID:
CFTA-0017
Organization's ID:
A200
Organization:
Center for Financial Training
Location:
Online
Length:
11 weeks (68.2 hours)
Dates Offered:
Credit Recommendation & Competencies
Level Credits (SH) Subject
Lower-Division Baccalaureate 3 money and banking
Description

Objective:

Provide knowledge of the basic functions of the financial system with unique emphasis on the Five Core Principles, the early introduction of risk, an integrated global perspective. With a concentration on the big picture through these core principles and the rationale for financial rules and institutional structure, the subject matter is highly relevant even when the financial system evolves. Additionally, the course provides an overview of the economic rationale behind current financial tools, rules, and structures

Learning Outcomes:

  • explain the key parts and functions of the financial system and the core principles of money, banking, methods of payment, the future of money and the money supply
  • discuss the role and structure of financial markets, identify the characteristics of a well-run financial market, and explain financial instruments, their uses and valuation
  • describe the role of financial institutions and structure of the financial industry
  • compare the value of monetary payments using present value and future value
  • explain the difference between real and nominal interest rates and how each is calculated
  • interpret and quantify risk, define risk aversion, and explain the role the risk premium
  • explain how bond prices are determined, the relationship between bond pricing and present value, define the relationship among a bond's price and its and various key yield measurements
  • explain the links between credit risk, bond ratings and bond yields, and interpret the yield curve
  • identify characteristics of common stock, indices, valuations, and the role of the stock market within the economy
  • explain derivatives, distinguish between forward and futures contracts, put and call options and how swaps can be used to manage risk
  • explain the roles of banks and other financial intermediaries, analyze how the Federal Reserve and Central Banks impact the economy and the conduct of monetary policy

General Topics:

  • Money and the financial system
  • Money and the payments system
  • Financial instruments, financial markets, and financial institutions
  • Interest rates, financial instruments, and financial markets
  • Future value, present value, and interest rates
  • Understanding risk
  • Bonds, bond prices, and the determination of interest rates
  • The risk and term structure of interest rates
  • Stocks, stock markets, and market efficiency
  • Derivatives: futures, options and swaps
  • Foreign exchange
  • Financial institutions
  • The economics of financial intermediation
  • Depository institutions: banks and bank management
  • Financial industry structure
  • Regulating the financial system
  • Central banks, monetary policy, and financial stability
  • Central banks in the world today
  • The structure of central banks
  • The central bank balance sheet and the money supply process
  • Monetary policy: stabilizing the domestic economy
  • Exchange-rate policy and the central bank
  • Modern monetary economics
  • Money growth, money demand, and modern monetary policy
  • Output, inflation and monetary policy
  • Understanding business cycle fluctuations
  • Modern monetary policy and the challenges facing central bankers
Instruction & Assessment

Instructional Strategies:

  • Audio Visual Materials
  • Computer Based Training
  • Discussion
  • Lectures

Methods of Assessment:

  • Examinations
  • Other
  • Examinations, Discussion Questions, and Direct Email Assignments

Minimum Passing Score:

70%
Supplemental Materials

Other offerings from Center for Financial Training

Accounting
(CFTA-0005)
Analyzing Financial Statements
(CFTA-0002)
Business Communication
(CFTA-0003)
Business Math
(CFTA-0018)
Commercial Lending
(CFTA-0006)
Consumer Lending
(CFTA-0007)
Economics
(CFTA-0008)
Financial Accounting
(CFTA-0022)
Human Relations
(CFTA-0009)
Human Resource Management
(CFTA-0025)
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