MATH 440 - Mathematical Theory of Financial Economics

Description:
Concepts, principles, and techniques needed for the professional actuarial SOA/CAS Exam MFE are covered in this course. Topics to explore include interest rate models, bond price models, rational valuation of derivative securities, and delta-hedging as risk management techniques.

Prerequisites:
Prerequisites: MATH 411B and MATH 418C.

Credits: (5)

Learner Outcomes:
Upon successful completion of this course, the student will be able to:

Become familiar with notations and terminology used in derivatives markets
Can comprehend and construct interate rate models
Become familiar with techniques for risk management
Be capable of rational valuation of derivative securities
Can comprehend and construct bond price models

Learner Outcomes Approval Date:
2/02/12

Anticipated Course Offering Terms and Locations: