International Corporate Finance

Faculty

Faculty of Business Management and Social Sciences

Version

Version 1 of 25.11.2024.

Module identifier

22M0484

Module level

Master

Language of instruction

English

ECTS credit points and grading

5.0

Module frequency

only summerterm

Duration

1 semester

 

 

Teaching and learning outcomes

Part 1: THE INTERNATIONAL FINANCIAL ENVIRONMENT. 1. Multinational Financial Management: An Overview. 2. International Financial Markets.

Part 2: EXCHANGE RATE BEHAVIOR. 3. Government Influence on Exchange Rates. 4. International Arbitrage and Interest Rate Parity. 5. Relationships among Inflation, Interest Rates, and Exchange Rates.

Part 3: EXCHANGE RATE RISK MANAGEMENT. 6. Forecasting Exchange Rates. 7. Measuring Exposure to Exchange Rate Fluctuations. 8. Managing Transaction Exposure. 9. Managing Economic Exposure and Translation Exposure.

Part 4: LONG-TERM ASSET AND LIABILITY MANAGEMENT. 10. Direct Foreign Investment. 11. Multinational Capital Budgeting. 12. Multinational Cost of Capital and Capital Structure.

Overall workload

The total workload for the module is 150 hours (see also "ECTS credit points and grading").

Teaching and learning methods
Lecturer based learning
Hours of workloadType of teachingMedia implementationConcretization
45LecturePresence-
Lecturer independent learning
Hours of workloadType of teachingMedia implementationConcretization
80Preparation/follow-up for course work-
25Exam preparation-
Graded examination
  • Written examination or
  • Portfolio exam
Remark on the assessment methods

The portfolio exam covers 100 points and consists of a one-hour written examination (K1) and a report (R). Each element is weighted by 50 points.

Exam duration and scope

Written examinations: in accordance with the valid study regulations

Report of the portfolio exam: Presentation: approx. 20-30 minutes and a written report: approx. 5-8 pages

The requirements are specified in the respective lectures.

Recommended prior knowledge

Fundamental principles of financial management (Bachelor) Basic mathematics (intermediate secondary school level

Knowledge Broadening

Students who successfully complete this module are are familiarizes with the international financial environment, exchange rate behavior and exchange rate risk management.

Literature

Eiteman, D. K. / Stonehill, A. I. / Moffett, M. H., 2004, Multinational Business Finance, 10th Ed., Reading et. al.

Gandolfo, G., International Finance and Open-Economy Macroeconomics, Springer, 2. Aufage, 2002.

Melvin, M., International Money and Finance, Addison Weslay, 7. Auflage, 2003.

Butler, Kirt Charles: Multinational finance, 3. ed. - Mason, Ohio [u.a.]: Thomson/South-Western, 2004.

Brealey/Myers: Principles of Corporate Finance, 7. Aufl., New York 2003.

Fabozzi, Frank J./ Modigliani, Franco: Capital Markets, Institutions and Instruments, 3. int. Aufl., New Jersey: Prentice Hall, 2003.

Linkage to other modules

International Economics and Business

Applicability in study programs

  • International Business and Management (Master)
    • International Business and Management, M.A. (01.09.2024)

    Person responsible for the module
    • Seppelfricke, Peter
    Teachers
    • Seppelfricke, Peter