FIN 471: International Finance

Textbook Information

ISBN10: 1264413092 | ISBN13: 9781264413096 – Eun, Resnick, and Chuluun. “International Financial Management,” 10th ed., 2024, McGraw Hill

Published Remarks

  • None

Hardware Requirements

  • Financial calculator: You may need a financial calculator to solve quiz and exam problems. I recommend that you use Texas Instrument BAII plus. Homework and exercises can be done by Excel spreadsheet.

Software Requirements

  • None

Proctored Exams

  • None

Course Description

Financial decision making in an international environment. Emphasis on topics relevant to small businesses and entrepreneurs. FIN 471 International Finance (3)This course provides an understanding of the basic terminology, structure, and importance of international finance for corporations. It will also help enhance analytical and critical thinking skills. Topics of study include foreign exchange (FX), FX markets, FX instruments, FX risk, hedging of these risks, international debt and equity markets, etc

This course aims to provide an understanding of the basic terminology, structure, and importance of international finance for corporations. It will also help enhance analytical and critical thinking skills. Topics of study include foreign exchange (FX), FX markets, FX instruments, FX risk, hedging of these risks, international debt and equity markets, etc.

Course Objectives

Upon completing this course, you should:

  • Understand foreign exchange markets;
  • Understand the types of currency systems;
  • Have a clear understanding of FX, what drives FX rates, and the potential impact of FX rate changes on the firm;
  • Be able to evaluate and manage FX risk using futures, options, swaps, etc.;
  • Be familiar with the international money, debt and capital markets.

Course Structure

The course will be structured along the following Modules.

  • Module 01: Globalization and MNC
  • Module 02: International Monetary System
  • Module 03: The Market for Foreign Exchange
  • Exam 1
  • Final Project Launch
  • Module 04: International Parity Relationships
  • Module 05: Futures and Options on FX
  • Exam 2
  • Module 06: Management of Transaction Exposure
  • Module 07: Management of Economic Exposure
  • Exam 3

Grading Criteria

Tests, quizzes, and project submission based on the following percentages:

Assignment Breakdown Points
Exam 1 100
Exam 2 100
Exam 3 100
Self-Introduction Video 5
Orientation Quiz 5
Quizzes (10 points each) 140
FX Trading Game and Report (Team Project) 50
Foreign Currency Research (Team Project) 50
Discussion Forums 50
Total 600

Exams: All exams are given in Canvas. They will be due on Sunday in the week labeled for the exam (unless otherwise indicated) and you will have a 120-minute window of time in which to take the exam. You can choose when you want your 120-minute window of time anytime during exam week, and the exam must be completed in one sitting. Once the 120-minute window begins, the timer cannot be stopped. Also, you must begin the exam before 10:00 PM EST on Sunday because all exams will be automatically submitted at 11:55 PM EST on the listed due date on the course schedule. Alternate windows of time are available only if a documented work conflict exists. It is the student’s responsibility to alert the instructor about the work-related conflict 1 week in advance or no alternate times will be made available. Exam 1 will cover Modules 1-3, exam 2 will cover Modules 4-5 and exam 3 will cover Modules 6-7.

Quizzes: There will be 15 quizzes (excluding the orientation quiz). Each quiz is worth 10 points. Only the top 14 will count. No make-up quizzes will be given for any reason. The purpose of these quizzes is to test your understanding of the subject matter. The quizzes are timed (typically you have to finish and submit the quiz 60 minutes after you open the quiz). You will only be able to take each quiz once (except the orientation quiz). After the due date, you will be able to use the quiz as a review tool for the exam. Due to the limitation of Canvas quiz setup, your answers will be counted wrong if you do not strictly follow the format requirements when you enter your answers. See grading rubrics for quizzes for details.

Homework and Review Questions: End-of-chapter problems will be assigned for each chapter but not collected or graded. There are review questions in each chapter for the quizzes. You are strongly encouraged to review these questions before opening each quiz.

The FX Trading Game and Report: This is a team project. The student will play a FX trading game on a team account (practice account). Oanda is a separate website which your team will need to register and create a practice account for foreign currency trading game. More information about the trading game will be provided in week 7 (final project launch week). Each team will submit a weekly trading report and make a presentation at the end of the semester.

Foreign Currency Research Project: This is a team project. Student teams will choose one foreign currency and do research on foreign currency. Each team will submit a write-up and make a presentation at the end of the semester.

Discussion forums: There are six week-based discussion forums (top five grades will be counted) listed under the course schedule. The grading rubric for these forums is posted in the Course Orientation and in each forum. You should review this rubric before participating in the discussions. The purpose of these forums is for you to have a chance to discuss topics related to the lesson during a given week. I want you to draw from your own experiences and personal research on these topics. Each student will be required to post 4-5 responses throughout the week. You may answer the questions in the post or you may respond to another student’s comment, but all of your responses must be professional in nature. You must stay on topic and not stray from the subject being discussed. In any discussion forums, please feel free to post any topic that interests you and is related to the course materials. I may participate in these forums by making comments when it appears appropriate. ​

Grade A A- B+ B B- C+ C D F
Score 100-93 >90 >87.5 >82.5 >80 >77.5 >70 >60 <60