International Finance

(3-4 Credit Hours) · Undergraduate

BS326/526 International Finance deals with the financial policy decisions of a firm in an international environment. Principal topics covered in the unit revolve around the financing options/decisions of multinational firms conducting business in an international arena. In particular, the unit examines (a) the international financial environment (i.e. history of monetary systems, foreign exchange markets, quotations, interest arbitrage), (b) foreign exchange risk management (i.e. how multinational firms measure and manage foreign exchange risks and derivative products) and (c) global financing and investment (i.e. Eurobonds, equity markets, cost of capital). When taught in Dublin, Ireland the course FIN 30030 International Financial Management at UCD; As the international company becomes the norm rather than the exception, the need to internationalise the tools of financial analysis is critical. In this module we examine the global financial environment, exchange rate systems and their determination, and international sources of finance for firms. This module also encompasses global risk management; we learn the tools and skills necessary to analyse, advise and recommend on the best approaches to managing exchange risks. PB - Sao Paulo, Brazil (IFM 2402): This rigorous, quantitatively-driven course equips students with the analytical toolkit multinational finance professionals rely on daily: the international monetary system, balance of payments analysis, foreign exchange markets, parity relationships and exchange rate forecasting, and currency/interest rate derivatives. Students build practical hedging skills by managing transaction and economic exposure to FX risk, then apply the full toolkit in a term project assessing an emerging market's investment attractiveness, closely mirroring the risk-assessment work done in global banking and asset management.