Risk Strategies

Subject FNCE40005 (2016)

Note: This is an archived Handbook entry from 2016.

Credit Points: 12.5
Level: 4 (Undergraduate)
Dates & Locations:

This subject has the following teaching availabilities in 2016:

Semester 2, Parkville - Taught on campus.
Pre-teaching Period Start not applicable
Teaching Period 25-Jul-2016 to 23-Oct-2016
Assessment Period End 18-Nov-2016
Last date to Self-Enrol 05-Aug-2016
Census Date 31-Aug-2016
Last date to Withdraw without fail 23-Sep-2016


Timetable can be viewed here. For information about these dates, click here.
Time Commitment: Contact Hours: 1 x 3 hour lecture
Total Time Commitment:

170 hours
Prerequisites:

Admission into BH-COM and

Subject
Study Period Commencement:
Credit Points:
Semester 1, Semester 2
12.50
Corequisites:

None
Recommended Background Knowledge:

Please refer to Prerequisites and Corequisites.
Non Allowed Subjects:

None
Core Participation Requirements:

For the purposes of considering request for Reasonable Adjustments under the Disability Standards for Education (Cwth 2005), and Student Support and Engagement Policy, academic requirements for this subject are articulated in the Subject Overview, Learning Outcomes, Assessment and Generic Skills sections of this entry.

It is University policy to take all reasonable steps to minimise the impact of disability upon academic study, and reasonable adjustments will be made to enhance a student's participation in the University's programs. Students who feel their disability may impact on meeting the requirements of this subject are encouraged to discuss this matter with a Faculty Student Adviser and Student Equity and Disability Support: http://services.unimelb.edu.au/disability

Coordinator

Dr Les Coleman

Contact

les.coleman@unimelb.edu.au

Subject Overview:

This subject applies modern financial techniques to the management of diversifiable risks. These techniques include hedging, real options, portfolio design, swaps and leverage; and are combined with concepts such as corporate behavioural finance and utility functions. This enables students to develop quantitative measures of diversifiable, or business, risks and manage them effectively. The aim is to provide a comprehensive theoretical understanding of the nature and sources of diversifiable risks - financial risk strategy - so that these risks can be leveraged strategically.
Learning Outcomes:
  • Understand factors that predispose organisations to operational and financial risks and hazards
  • Recognise and identify business risks
  • Apply modern techniques to the management of business risks
  • Successfully develop and apply risk management tools and solutions
  • Explain linkages between organisation risk propensity and financial outcomes.
Assessment:
  • One 15 minute individual presentation scheduled across weeks 2 to 12 (10%)
  • Individual assignment totalling 1000 words, or equivalent, due in weeks 8 to 10 (20%)
  • A three-hour end-of-semester examination (70%)
Prescribed Texts:

You will be advised of prescribed texts by your lecturer.
Breadth Options:

This subject is not available as a breadth subject.
Fees Information: Subject EFTSL, Level, Discipline & Census Date
Generic Skills:

  • High level of development: oral communication; written communication; collaborative learning; application of theory to practice; critical thinking; receptiveness to alternative ideas.

  • Moderate level of development: problem solving; team work; interpretation and analysis; synthesis of data and other information.

  • Some level of development: statistical reasoning; evaluation of data and other information; use of computer software; accessing data and other information from a range of sources.

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