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San Francisco State University
Finance 536: International Finance
Fall 2017
Instructor:
Mr. Ming Li
Office: Sci 358
Phone: 415-338-6082
Email: [email protected]
Office Hours:
Mon,4:30-7; Wed, 2:40-4:10
Prerequisites:
A grade of C- or better in Fin 350; IBUS 330 and ISYS 263 or pass computer
information systems proficiency test.
Course Description and objectives:
The course covers the international financial environment for corporate financial
management and international investments.
Topics include balance of payment,
foreign exchange markets, international parity conditions, foreign exchange risk
management and international financial markets. Traditional corporate finance
functions such as investing decision, financing decision, and cost of capital are
addressed in the international context. The objective is to obtain a basic understanding
of the workings of international financial markets, the currency risk in international
investing, and management of exchange risk exposure.
Course materials:
Required Textbook:
Eiteman, Stonehill, and Moffett, Multinational Business Finance, Addison Wesley,
14th edition.
In addition to the text, following sources provide extensive information on current issues
of international trade and finance:
The Wall Street Journal
,
The Economist
and
Financial
Times
.
A financial calculator is also required.
Class Website:
Our class website for course agenda, documents, exercises and announcements is
Use your SFSU id and password to access them.
Homework
There will be weekly homework assignments. You are not required to turn in your
homework. Solutions will be posted on the course web site. In general, homework
exercises require critical thinking and quantitative skills. Homework exercises are
extremely helpful to your understanding of course materials. You shall prepare
yourself for the final exam by working on these problems. To help improve your
problem-solving skills, I will discuss homework problems as well as additional
exercises regularly in class throughout the course.
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Exam
There will be three exams. Each exam contains several (essay or problem solving)
questions and takes about 90-120 minutes. Each exam has 30 points. It is non-cumulative
and covers materials since the previous exam.
For the exam you will be allowed to bring in a calculator, and an 8½ by 11 sheet of paper
on which you can write, type, or copy anything that you like (yes you can write on both
sides!) I suggest that you use the paper sheet for economic and financial formulas.
No
other materials may be used during the exam.
