CALCULATE FINANCIAL STRATEGIES

The major in Finance at Franklin provides students with a comprehensive and rigorous education of both theory and practice in finance. The curriculum emphasizes up-to-date knowledge in finance and teaches students the skills and tools necessary to succeed in today’s highly globalized and technological world. Students learn how to apply concepts from economics, finance and business to real-world problems using teaching methods based on traditional lectures, case studies, simulations, and experiential learning. In particular, the program stresses both the area of financial economics (studying the behavior of traders in financial markets and the determinants of price formation) and of financial management (studying business practices useful in devising strategies to attain financial goals). Within the major, students can choose between a business applications track and an economic policy applications track.

Majors

This major provides students with a variety of career opportunities. It prepares students for employment and careers in the financial division of commercial and industrial businesses, in the banking and financial services sector, or in central banks and international organizations. It also prepares students for graduate studies in business, economics, and finance.

View requirements

Finance

The major in Finance provides students with a comprehensive and rigorous education of both theory and practice in finance. The curriculum emphasizes up to date knowledge in finance and teaches students the skills and tools necessary to succeed in today’s highly globalized and technological world. Students learn how to apply concepts from economics, finance and business to real-world problems using teaching methods based on traditional lectures, case studies, simulations and experiential learning. In particular, the program stresses both the area of financial economics (studying the behavior of traders in financial markets and the determinants of price formation) and of financial management (studying business practices useful in devising strategies to attain financial goals). Within the major, students can choose between a business applications track and an economic policy applications track.

This major provides students with a variety of career opportunities. It prepares students for employment and careers in the financial division of commercial and industrial businesses, in the banking and financial services sector, or in central banks and international organizations. It also prepares students for graduate studies in business, economics, and finance.

Major Requirements (57 Credits)

Foundation Courses (18 credits)
BUS 115 Financial Accounting

This course is designed to provide students with a basic knowledge of financial accounting concepts, procedures, analysis, and internal reports as an essential part of the decision-making process. The focus is on the three basic steps of the accounting process: recording, classifying, and summarizing financial transactions. Emphasis is placed on the general accounting activities leading up to the preparation of financial statements.

BUS 226 Managerial Finance

This course examines the principles and practices of fund management in organizations. Attention is given to managerial financial decisions in a global market setting concerning such questions as how to obtain an adequate supply of capital and credit, and how to evaluate alternative sources of funds and their costs. Topics include the management of assets and liabilities, working capital management, capital budgeting, equity versus debt financing, capital structure, and financial forecasting. (This course was previously BUS 326. Students may not earn credit for both BUS 226 and BUS 326.)

BUS 243 Personal Finance

This course introduces students to the basic concepts and tools needed to make wise and informed personal financial decisions. The content of this course is presented from a practical point of view and with an emphasis on the consumer as the financial decision-maker. The primary objective of this course is to help students apply finance practices to their own lives. For example, students will learn how to plan and manage personal finances, how to obtain credit to purchase a home or a car, and how to invest personal financial resources in stocks, bonds, and real estate. Students will also learn how to interpret financial and economic news that have an impact on personal finances.

ECN 100 Principles of Macroeconomics

This entry-level course in economics covers the fundamentals of macroeconomics and, together with ECN 101, it provides the necessary prerequisites for any other upper-level course in economics. This course introduces students to the study of economics as a field of knowledge within the social sciences. In the first part, focus will be on the definition, the explanation, and the significance of national income, business fluctuations, the price level, and aggregate employment. In the second part, special attention is devoted to the functioning of a payment system based on currency and bank money. Finally, students will discuss the instruments and the functioning of public policy aimed to stabilize prices and maintain high levels of output and employment within the current macroeconomic context. Current economic news will be regularly scrutinized.

ECN 101 Principles of Microeconomics

This is an entry-level course in economics, covering fundamentals of microeconomics and aimed at students who choose it as an elective or plan to continue their studies in economics. This course helps students develop basic analytical skills in economics and microeconomics. It provides students with a basic understanding of the market system in advanced capitalist economies. It examines the logic of constrained choice with a focus on the economic behavior of individuals and organizations. After a theoretical analysis of the determinants and the interaction of supply and demand under competitive conditions, alternative market structures will be investigated, including monopolistic and oligopolistic forms. The course examines the conditions under which markets allocate resources efficiently and identifies causes of market failure and the appropriate government response. The introduction to the role of government includes its taxing and expenditure activities as well as regulatory policies.

MAT 201 Introduction to Statistics

This computer-based course presents the main concepts in Statistics: the concept of random variables, frequency, and probability distributions, variance and standard deviation, kurtosis and skewness, probability rules, Bayes theorem, and posterior probabilities. Important statistical methods like Contingency analysis, ANOVA, Correlation analysis and Regression Analysis are introduced and their algorithms are fully explained. The most important probability distributions are introduced: Binomial, Poisson, and Normal distribution, as well as the Chebyshev theorem for non-known distributions. Inferential statistics, sampling distributions, and confidence intervals are covered to introduce statistical model building and single linear regression. Active learning and algorithmic learning are stressed. Emphasis is put both on algorithms –methods and assumptions for their applications. Excel is used while calculators with STAT buttons are not allowed. Ultimately students are required to make a month-long research project, select the theoretical concept they want to test, perform a literature review, find real data from Internet databases or make their surveys, apply methods they studied in the class, and compare theoretical results with their findings. Research is done and presented in groups, papers are Individual. Selected SPSS or Excel Data Analysis examples are also provided.

Core Finance Courses (24 Credits)
BUS 358 Financial Markets and Institutions

This course examines the infrastructure of the financial system and provides students with a comprehensive understanding of the different functions performed by financial markets and institutions and the role they play in assisting small and large companies. The main emphasis of this course will be the in-depth exploration of the major instruments in the financial market and the institutional characteristics of the markets (i.e.: money, stock, bond, mortgage, crypto, and blockchain markets) in which these assets are traded. Furthermore, the course analyzes the different types of financial intermediaries (commercial banks, investment banks, mutual funds, venture capitalists), which facilitate the flow of funds and are crucial for a well-functioning financial market.

BUS 405 Portfolio Analysis and Asset Management

This course provides students a comprehensive understanding of the management of investment portfolios including topics such as portfolio and asset pricing theories, portfolio optimization, asset allocation, security analysis (macro analysis, financial statement analysis), fixed income portfolio management, active (mutual funds, hedge funds) and passive (ETFs) investment strategies, performance evaluation, taxation, portfolio risk management, and international diversification. An additional emphasis of this course will be the in-depth analysis of alternative asset classes such as real estate, precious metals, and cryptocurrency.

BUS 426 International Financial Management

This course deals with financial problems of multinational business. Topics include sources of funds for foreign operations, capital budgeting and foreign investment decisions, foreign exchange losses, and evaluation of securities of multinational and foreign corporations. Particular emphasis is placed on international capital and financial markets. Recommended: BUS 306.

BUS 453 Fintech

This course explores the intersection between finance and technology and how technological developments are transforming the finance industry. The main emphasis of this course will be the in-depth analysis of the digitalization in the financial service industry focusing on three core areas: Payments, Lending, and Investments. The course will examine the market structure and its digital transformation by comparing services offered by traditional and challenger banks. Finally, the course will provide evidence on the impact of those new services on consumers, investors, and corporations.

ECN 325 Money, Banking and Financial Markets

This upper-level course in economics is the first part of an ideal two-semester sequence including ECN 328. This course is designed to provide students with an understanding of the monetary dimension of contemporary economies. This includes the nature of the means of settlement, the technology of monetary payments, the banking system and its pro-cyclical, crisis-prone character that requires control and regulation, the response of financial markets to changing policy conditions and perceived risks, and central banks’ operations and goals when setting interest rates. Special attention is devoted to current monetary policy issues with special reference (but not limited) to the practice of the U.S. Fed and the European Central Bank. Recommended prerequisites: ECN 225, ECN 256, BUS 326

ECN 328 International Banking and Finance

This upper-level course in economics is the second part of an ideal two-semester sequence including ECN 325. This course is designed to provide students with an appreciation of the meaning and consequence of international monetary relations, notably with respect to cross-border payments and investments under different monetary, banking, financial, and political institutions. In the first part, the class will investigate currency exposure, the currency market and its actors, the determination of exchange rates, measures and indices of the external value of a currency. In the second part, focus will be on the structure of balance-of-payments accounting, the size and significance of current account imbalances, and exchange rate policies. Finally, students will study monetary unions with special reference to the current issues and future prospects of Economic and Monetary Union in Europe. Recommended prerequisites: ECN 225, ECN 256, ECN 325

ECN 365 Investment Analysis I

This course focuses on the basic concepts of value and risk, and explores the principles that guide strategic investment decisions. Major emphasis is placed on the notion of net present value, the evaluation and pricing of bonds and stocks, and the definition and measurement of risk. The concepts of portfolio risk and expected return, as well as the role of portfolio diversification are carefully investigated. Students are then introduced to market efficiency, portfolio theory and the relationship between risk and return in the context of alternative theories, mainly the capital asset pricing model and the arbitrage pricing theory. (Recommended: ECN 225, ECN 256; Strongly Recommended: MAT 200)

ECN 366 Investment Analysis II (Corporate Finance)

This course focuses on the financing decisions of firms. After an introduction to the questions related to the definition of debt policy and the capital structure of the firm, the course investigates the problems related to the issue of securities and dividend policy, as well as the impact of corporate taxes and the costs associated to bankruptcy, financial distress and conflicts of interest. The second part of the course studies the fundamentals of option pricing theory and the valuation of options - with applications to warrants and convertible bonds - and provides an introduction to the use of derivatives for hedging financial risk.

 
Choose one of the following tracks
Business Applications (15 Credits)
BUS 135 Introduction to Business Systems

The course introduces the global business system in the context of the economic, political, social and technological environments, relating business to society as a whole. Topics covered include the international scope, function, and organization of firms, and other fundamental concepts of multinational business. The course also addresses functional areas such as the value chain, production, marketing, human resources, and accounting.

BUS 136 Marketing in a Global Context

This course is an introduction to the tools and concepts used in the marketing process for consumer and industrial products as well as for services. The focus is on the basic marketing concepts (product, place, price, promotion) as they relate to the field of global marketing. Emphasis is placed on the increasingly important role of interdisciplinary tools to analyze economic, cultural and structural differences across international markets. Specific consideration is given to the development of integrated marketing programs for a complex, global environment.

BUS 306 Quantitative Methods and Dynamic Forecasting

In the first part of this course students learn concepts in inferential statistics, its main principles and algorithms. They learn how to apply sampling distributions in the case of business random variables, how to state and test business hypotheses about population mean or proportion differences, how to calculate ANOVA table components, and how to deploy estimation methods to provide information needed to solve real business problems. In the second part of the course, students learn advanced model building methods, algorithms needed to make and test dynamic multiple regression models and time series (ARMA) models. In addition to teaching and learning methods based on the textbook, problem-based learning (PBL) and interactive engagement (IE) are used. Many internet data bases, EXCEL add-ins and EViews are used to enhance IE based learning. Selected SPSS or STATA examples are also provided.

BUS 353 Strategic Management Theory

Strategic management is the study of firms and the political, economic, social and technological environments that affect their organization and strategic decisions. This course considers the external market environment in which firms operate, and provides theoretical foundations, focusing on economic and strategic theories of the firm and introducing key concepts of organizational theory. Practically, the course looks at the creation of competitive advantage of a firm in the global arena. The readings and class discussions include both theoretical concepts and practical case studies. (Junior status recommended)

BUS 455 Global Strategic Management

This course, intended as a capstone to the International Management major, should come after students have studied all basic aspects of management. The course focuses on the development and implementation of multinational corporate strategies. Using the case study method and a computer-based simulation, students are required to apply the concepts of accounting, finance, marketing, management science and organizational behavior to the development of a strategic plan. Emphasis includes the integration of strategy, organizational structure and corporate culture.(As a capstone, this writing-intensive course counts towards the Academic Writing requirements.) (This writing-intensive course counts towards the Academic Writing requirement).

Economic Policy Applications (15 credits)
BUS 353 Strategic Management Theory

Strategic management is the study of firms and the political, economic, social and technological environments that affect their organization and strategic decisions. This course considers the external market environment in which firms operate, and provides theoretical foundations, focusing on economic and strategic theories of the firm and introducing key concepts of organizational theory. Practically, the course looks at the creation of competitive advantage of a firm in the global arena. The readings and class discussions include both theoretical concepts and practical case studies. (Junior status recommended)

ECN 225 Issues and Controversies in Macroeconomics (Intermediate Macroeconomics)

This intermediate-level course in macroeconomics builds upon the introductory two-semester (ECN 100 and ECN 101) sequence and, in conjunction with ECN 256, prepares students to study upper-level economics. This course is designed to provide students with an appreciation of current economic issues and questions in modern macroeconomics, through the recognition of economics as a controversial subject. In the first part, we review some important measurement issues in macroeconomics that have policy consequences. In the second part, students will explore the competing theoretical frameworks developed in the twentieth century to explain growth cycles, employment and inflation. Finally, the acquired knowledge will be applied to the current policy issues in the aftermath of the Great Recession. Recommended prerequisite: MAT 200.

ECN 256 Managerial Economics (Intermediate Microeconomics)

This intermediate-level course in microeconomics builds upon the introductory two-semester sequence and, in conjunction with ECN 225, prepares students to upper-level economics.  This course completes the theoretical background on microeconomics and introduces students to more advanced topics, with an emphasis on the practical relevance and application of theory. The essence of the course is, in particular, the study of the interaction between rational individual decision-making (e.g. consumers, firms, the government) and the working of economic institutions like markets, regulation and social rules. Topics covered include an introduction to game theory, strategic behavior and entry deterrence; analysis of technological change; the internal organization of the firm; economic efficiency; public goods, externalities and information; government and business.

Plus two additional courses from ECN 303, ECN 320, ECN 341, ECN 497

Faculty

Professor, Economics and Finance

Ph.D. in Economics, Rutgers University, NJ, USA
M.A. in Economics, Rutgers University, NJ, USA
Laurea magistrale with Honors in Political Economy, Bocconi University, Italy

Office: Lowerre Academic Center, North Campus, Office 2
Phone: +41 91 986 36 32
Email: aterzi@fus.edu

Andrea Terzi

Adjunct Professor, Economics

Ph.D. University of Bielefeld, Germany
M.A. University of Pennsylvania, USA
Dottore in Economia, Università Cattolica, Milan, Italy 

Head of Department of Economics and Finance at the Università Cattolica, Milan, Italy

Office: Kaletsch Campus, Faculty Office 9
Phone: +41 91 985 22 64
Email: lcolombo@fus.edu

Luca Colombo

Associate Professor, Economics and Finance

Ph.D., University of Missouri, Kansas City
M.A., Mumbai University
B.A., St. Xavier’s College, Mumbai

Office: Lowerre Academic Center, North Campus, Office 13
Phone: +41 91 986 36 36
Email: pdasgupta@fus.edu

Poulomi Dasgupta

THIS PROGRAMIS ORGANIZED BY