Students

AFIN8037 – Capital Markets

2020 – AFC term 1, Intensive attendance, North Ryde

Coronavirus (COVID-19) Update

Due to the Coronavirus (COVID-19) pandemic, any references to assessment tasks and on-campus delivery may no longer be up-to-date on this page.

Students should consult iLearn for revised unit information.

Find out more about the Coronavirus (COVID-19) and potential impacts on staff and students

General Information

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Unit convenor and teaching staff Unit convenor and teaching staff
Keith Woodward
Credit points Credit points
10
Prerequisites Prerequisites
(Admission to MAppFin or MAppFin(Adv) or MFin or MActPrac) or (ACST603 or ACST6003 or AFIN858)
Corequisites Corequisites
Co-badged status Co-badged status
Unit description Unit description

This unit provides an overview of the operation of the capital markets with evidence from Australian and international markets. The financial institutions are described and the securities offered by these institutions are reviewed. Emphasis is placed on the financial instruments available to companies and investors from the equity, debt and derivative markets.

Important Academic Dates

Information about important academic dates including deadlines for withdrawing from units are available at https://www.mq.edu.au/study/calendar-of-dates

Learning Outcomes

On successful completion of this unit, you will be able to:

  • ULO2: Identify the factors responsible for trends in regulation, the role of and the growth in the sources and uses of funds of the banking sector and non-bank financial institutions.
  • ULO1: Distinguish between various sectors of the financial market and the nature of financial assets.
  • ULO3: Explain the characteristics of corporate funding sources and the processes involved in raising funds.
  • ULO4: Review the complex interactions between the banks, government and central bank.
  • ULO5: Work productively in a group to undertake financial analysis.

Assessment Tasks

Coronavirus (COVID-19) Update

Assessment details are no longer provided here as a result of changes due to the Coronavirus (COVID-19) pandemic.

Students should consult iLearn for revised unit information.

Find out more about the Coronavirus (COVID-19) and potential impacts on staff and students

General Assessment Information

Consultation: Teacher consultation times will be posted to iLearn.

Questions: Subject-related questions whose answer is useful to everyone should be posted to the iLearn discussion board. Questions of a personal nature can be sent to your teacher. 

Extensions: No extensions will be granted to your assessments. Late tasks will be accepted up to 72 hours after the submission deadline.  There will be a deduction of 20% of the total available marks made from the total awarded mark for each 24 hour period or part thereof that the submission is late (for example, 25 hours late in submission – 40% penalty). This penalty does not apply for cases in which an application for special consideration is made and approved.

Marks in gradebook: It is the responsibility of students to view their marks for each within-session-assessment on iLearn within 20 days of posting. If there are any discrepancies, students must contact the unit convenor immediately. Failure to do so will mean that queries received after the release of final results regarding assessment tasks (not including the final exam mark) will not be addressed.

Delivery and Resources

Coronavirus (COVID-19) Update

Any references to on-campus delivery below may no longer be relevant due to COVID-19.

Please check here for updated delivery information: https://ask.mq.edu.au/account/pub/display/unit_status

Delivery and Resources

Classes

There are twelve lectures and one in-class Mid-Semester test conducted over the thirteen classes.

It is an assessment requirement of this unit that students attend classes.

Recommended text and materials

C. Viney, Financial Institutions, Instruments and Markets, McGraw-Hill, Seventh edition, 2013. The textbook may be purchased from the Macquarie University Co-op Bookshop or any second hand market, and students are advised to buy the book to improve their understanding of the lectures. Older versions will do just fine.

Technology Used and Required

Non-programmable calculators will be allowed in the mid-term test and the final exam. Students are advised to bring their calculators to class. You are expected to show all workings for your calculations. All calculations should be to two decimal places, and rounding should be left till the end. Excessive and premature rounding will be penalised.

Unit web page

The course material is available in http://ilearn.mq.edu.au. Students are advised to check the unit website regularly, and ensure that all material posted on the website can be accessed without difficulties. If you are unable to access any of the material on the website, check with your classmates first before notifying your lecturer of the problem.

Unit Schedule

Coronavirus (COVID-19) Update

The unit schedule/topics and any references to on-campus delivery below may no longer be relevant due to COVID-19. Please consult iLearn for latest details, and check here for updated delivery information: https://ask.mq.edu.au/account/pub/display/unit_status

Lecture

Date & time

Topic

Readings

1

Morning Tue 7 Jan

A modern financial system

Ch.1  and lecture notes

2

Afternoon Tue 7 Jan

Commercial banks

Ch.2 and lecture notes

3

Morning Wed 8 Jan

Non-bank financial institutions. In-class test (5%) covering topics 1 and 2.

Ch.3 and lecture notes

4

Afternoon Wed 8 Jan

The share market and corporations.

Ch.4 and lecture notes

5

Morning Wed 22 Jan

 Issuing new equity & investing in the share market.

Ch.5, Ch.6 sections 1-3 and lecture notes

6

Afternoon Wed 22 Jan

Performance measurement, share pricing & forecasting in the equity market

Ch.6 sections 4-6,Ch.7 and lecture notes

 

7

Morning Thu 23 Jan

Short-term debt.

Ch.9, and lecture notes

8

Afternoon Thu 23 Jan

Medium-to-long term debt. 

Ch.10, and lecture notes

9

Morning Fri 24 Jan

Mid-session test (30%) covering topics 1 to 8, plus questions related to the assignment.

 

10

Afternoon Fri 24 Jan

Futures contracts and forward rate agreements.

Ch.19, and lecture notes

11

Morning Tue 4 Feb

Options.

Ch.20, and lecture notes

12

Afternoon Tue 4 Feb

Government debt, monetary policy, and payments system.

 

Ch.12,and lecture notes

13

Morning Thu 6 Feb

An introduction to interest rate determination and forecasting.

Ch.13, and lecture notes

 

Policies and Procedures

Macquarie University policies and procedures are accessible from Policy Central (https://staff.mq.edu.au/work/strategy-planning-and-governance/university-policies-and-procedures/policy-central). Students should be aware of the following policies in particular with regard to Learning and Teaching:

Students seeking more policy resources can visit the Student Policy Gateway (https://students.mq.edu.au/support/study/student-policy-gateway). It is your one-stop-shop for the key policies you need to know about throughout your undergraduate student journey.

If you would like to see all the policies relevant to Learning and Teaching visit Policy Central (https://staff.mq.edu.au/work/strategy-planning-and-governance/university-policies-and-procedures/policy-central).

Student Code of Conduct

Macquarie University students have a responsibility to be familiar with the Student Code of Conduct: https://students.mq.edu.au/study/getting-started/student-conduct​

Results

Results published on platform other than eStudent, (eg. iLearn, Coursera etc.) or released directly by your Unit Convenor, are not confirmed as they are subject to final approval by the University. Once approved, final results will be sent to your student email address and will be made available in eStudent. For more information visit ask.mq.edu.au or if you are a Global MBA student contact globalmba.support@mq.edu.au

Student Support

Macquarie University provides a range of support services for students. For details, visit http://students.mq.edu.au/support/

Learning Skills

Learning Skills (mq.edu.au/learningskills) provides academic writing resources and study strategies to help you improve your marks and take control of your study.

The Library provides online and face to face support to help you find and use relevant information resources. 

Student Services and Support

Students with a disability are encouraged to contact the Disability Service who can provide appropriate help with any issues that arise during their studies.

Student Enquiries

For all student enquiries, visit Student Connect at ask.mq.edu.au

If you are a Global MBA student contact globalmba.support@mq.edu.au

IT Help

For help with University computer systems and technology, visit http://www.mq.edu.au/about_us/offices_and_units/information_technology/help/

When using the University's IT, you must adhere to the Acceptable Use of IT Resources Policy. The policy applies to all who connect to the MQ network including students.

Changes since First Published

Date Description
25/12/2019 Staff contact updated.