QUANTITATIVE METHODS FOR MANAGEMENT
Prof. ssa TIBILETTI
This course provides an introduction to fundamental concepts in Financial Mathematics. The course is intended to equip the students with some basic mathematical tools that can be usefully applied both in financial theory and in corporate finance.
- Financial calculus
- Common financial laws.
- One-variable and two-variable financial laws.
- Term structure of interest rates.
- Annuities and amortization plans.
- Financial decisions
- Financial objectives.
- The Net Present Value and the IRR criteria.
- Applications to the management of fixed income portfolios: immunization, duration and convexity.
- “Legal” indexes of profitability: TAN and TAEG, usury interest rate.
- The use of Excel for financial calculus
- E. CASTAGNOLI, L. PECCATI, Financial Calculus with Applications, Milano, EGEA, 2002.
- L. PECCATI, Complementary Notes for the Course of Financial Mathematics, Clea-Business Degree, Milano, EGEA, 2004.
- Class notes will be provided by the instructor.
The exam consists of a final written test. The students will be allowed to undergo an oral interview to improve their written score.
Students are assumed to be familiar with elementary Calculus and Algebra.