FINANCE 3033
Fall 2005
Instructor:Keith Wm. Fairchild
Office:BB 4.01.12C (1604 campus)
BV 4.322 (office hours)
Tues/Thurs 11:30 – 12:30pm
and by appointment
phone: 458-5307
458-2509 (office hours)
e-mail:
website: faculty.business.utsa.edu/kfairchild
Objectives:The course focuses on an understanding of the markets for financial assets, including the principles of valuing stocks, bonds and derivatives. The characteristics of financial assets and the relationships between their risks and returns will be discussed, including investment decision-making and market efficiency.
Text: Essentials of Investments, 5th ed., Bodie, Kane and Marcus
Prerequisite:Finance 3013
DateTopic Reading Due
Aug 25IntroductionCh. 1
30Financial MarketsCh. 2
Sep1Financial MarketsCh. 3
6No Class
8Financial MarketsCh. 4
13Risk and ReturnCh. 5
15DiversificationCh. 6
20Capital Asset Pricing ModelCh. 7
22Market EfficiencyCh. 8
27Catch-up/Review
29EXAM I
Oct 4Review Exam
6The MacroeconomyCh. 11
11BondsCh. 9
13No Class
18Bonds/StocksCh. 10
20StocksCh. 12
25Financial Statement AnalysisCh. 13
27Financial Statement Analysis
Nov 1OptionsCh. 14
3Options
8Option ValuationCh. 15
10FuturesCh. 16
15Catch-up Review
DateTopic Reading Due
17EXAM II
22Review Exam
24No Class
29International InvestingCh. 21
Dec 1Course Review
Dec 7FINAL EXAM (comprehensive) 10:30 AM
Grading:Exam I 100 points
Exam II 100 points
Homework 50 points
Company Report 50 points
Final Exam 100 points
TOTAL 400 points
The exams consist of a mix of multiple choice questions (30%), problem applications (50-60%), and essay questions (10-20%). Homework problems and a homework syllabus are posted on my website. The Company Report should be written up as a formal report, including exhibits at the end. Each student will select a company and do a research report on it. This should include a general overview of the industry and the major competitors, as well as a financial analysis of the company. It is strongly recommended that you select a company that operates within a single industry. This makes the analysis of the company much, much easier. All company choices must be approved by the instructor. Writing hints are also posted on my website under Miscellaneous.
Students will be allowed to bring in a single page (8½" by 11") with equations. There should be no notes or examples on the sheet. Both sides may be used. Equation sheets will be turned in with examinations.
All students are expected to abide by the UTSA Honor Pledge:
"On my honor, as a student of The University of Texas at San Antonio, I will uphold the highest standards of academic integrity and personal accountability for the advancement of the dignity and the reputation of our university and myself."