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Graduate Course Proposal Form Submission Detail - FIN6537

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Current Status: Approved, Permanent Archive - 2011-03-11
Campus: Tampa
Submission Type: New
Course Change Information (for course changes only):
Comments: recd 12/3; GC approved 1/24/11; to System Concurrence 1/27/11; To SCNS 2/7/11. SCNS approved. Effective 3/11/11. posted in banner


  1. Department and Contact Information

    Tracking Number Date & Time Submitted
    2374 2010-09-28
     
    Department College Budget Account Number
    Finance BA 1404-000-00
     
    Contact Person Phone Email
    Scott Besley 46341 sbesley@usf.edu

  2. Course Information

    Prefix Number Full Title
    FIN 6537 Financial Options & Futures

    Is the course title variable? N
    Is a permit required for registration? N
    Are the credit hours variable? N
    Is this course repeatable?
    If repeatable, how many times? 0

    Credit Hours Section Type Grading Option
    03 C - Class Lecture (Primarily) R - Regular
     
    Abbreviated Title (30 characters maximum)
    Financial Options & Futures
     
    Course Online? Percentage Online
    C - Face-to-face (0% online) 0

    Prerequisites

    FIN 6515 or equivalent

    Corequisites

    Course Description

    This course covers financial futures and options markets and the fundamental properties and the pricing principles of these instruments. In addition, hedging and risk management strategies are covered in the course.


  3. Justification

    A. Please briefly explain why it is necessary and/or desirable to add this course.

    Offered as enrichment course (not part of program/concentration/certificate)

    B. What is the need or demand for this course? (Indicate if this course is part of a required sequence in the major.) What other programs would this course service?

    This course has been offered numerous times as a Selected Topics course. Following is the enrollment in the course during the past four years that it has been offered:

    • Fall 2009, 18

    • Fall 2008, 18

    • Fall 2007, 16

    • Fall 2006, 22

    As the Master of Science in Finance (MSF) program grows (the program started a few years ago), so will the demand for this course. In addition, students who take the Chartered Financial Analyst (CFA) exam are interested in this.

    C. Has this course been offered as Selected Topics/Experimental Topics course? If yes, how many times?

    Yes, 3 or more times

    D. What qualifications for training and/or experience are necessary to teach this course? (List minimum qualifications for the instructor.)

    Ph.D. in finance or related area, and a good understanding of options and futures.


  4. Other Course Information

    A. Objectives

    This course will provide students with:

    • The concepts and application of the pricing principles required for success in careers in investments.

    • Basic properties of options and futures (derivatives)

    • The benefits and dangers associated with derivatives as investment alternatives.

    B. Learning Outcomes

    When students finish this course, they should:

    • Understand the markets, the fundamental properties, and the pricing principles of financial options and futures.

    • Be able to apply the pricing principles to determine futures/forward prices on financial instruments as well as on commodities.

    • Be able to apply the Black-Scholes model as well as the Binomial Option Pricing Model to value call and put options, including employee stock options.

    • Understand the potential benefits of using financial options and futures to address individual or corporate hedging needs.

    • Understand the significant risk involved in using financial options and futures for speculation.

    C. Major Topics

    Options and futures, derivatives, risk management, investments

    D. Textbooks

    Fundamentals of Futures and Options Markets, Seventh Edition (2008), by John C. Hull, published by Pearson Prentice Hall

    E. Course Readings, Online Resources, and Other Purchases

    No additional purchases; other readings are assigned as needed.

    F. Student Expectations/Requirements and Grading Policy

    The grade will be based on your equally weighted performances on the midterm, the final, and a term project (33.33% each). Class participation is an integral part of this. Active class participation could increase a grade if it would otherwise be marginally below a cutoff point.

    G. Assignments, Exams and Tests

    Exams--midterm exam and final exam; there is a group "term" project that requires students to examine publicly traded options on a stock.

    H. Attendance Policy

    Attendance will not be taken each class period.

    Course Attendance at First Class Meeting – Policy for Graduate Students: For structured courses, 6000 and above, the College/Campus Dean will set the first-day class attendance requirement. Check with the College for specific information. This policy is not applicable to courses in the following categories: Educational Outreach, Open University (TV), FEEDS Program, Community Experiential Learning (CEL), Cooperative Education Training, and courses that do not have regularly scheduled meeting days/times (such as, directed reading/research or study, individual research, thesis, dissertation, internship, practica, etc.). Students are responsible for dropping undesired courses in these categories by the 5th day of classes to avoid fee liability and academic penalty. (See USF Regulation – Registration - 4.0101,

    http://usfweb2.usf.edu/usfgc/ogc%20web/currentreg.htm)

    Attendance Policy for the Observance of Religious Days by Students: In accordance with Sections 1006.53 and 1001.74(10)(g) Florida Statutes and Board of Governors Regulation 6C-6.0115, the University of South Florida (University/USF) has established the following policy regarding religious observances: (http://usfweb2.usf.edu/usfgc/gc_pp/acadaf/gc10-045.htm)

    In the event of an emergency, it may be necessary for USF to suspend normal operations. During this time, USF may opt to continue delivery of instruction through methods that include but are not limited to: Blackboard, Elluminate, Skype, and email messaging and/or an alternate schedule. It’s the responsibility of the student to monitor Blackboard site for each class for course specific communication, and the main USF, College, and department websites, emails, and MoBull messages for important general information.

    I. Policy on Make-up Work

    Arrangements will be made for students who have excused absences to make up missed work.

    “Plagiarism is defined as "literary theft" and consists of the unattributed quotation of the exact

    words of a published text or the unattributed borrowing of original ideas by paraphrase from a

    published text. On written papers for which the student employs information gathered from

    books, articles, or oral sources, each direct quotation, as well as ideas and facts that are not

    generally known to the public-at-large, must be attributed to its author by means of the

    appropriate citation procedure. Citations may be made in footnotes or within the body of the text.

    Plagiarism also consists of passing off as one's own, segments or the total of another person's

    work.”

    “Punishment for academic dishonesty will depend on the seriousness of the offense and may

    include receipt of an "F" with a numerical value of zero on the item submitted, and the "F" shall

    be used to determine the final course grade. It is the option of the instructor to assign the student

    a grade of "F" of "FF" (the latter indicating dishonesty) in the course.”

    J. Program This Course Supports

    Master of Science in Finance (MSF) program and MBA program


  5. Course Concurrence Information

    Master of Science in Finance (MSF) program and MBA program; students who take the Chartered Financial Analyst (CFA) exam are also interested in this course as well.



- if you have questions about any of these fields, please contact chinescobb@grad.usf.edu or joe@grad.usf.edu.