金融学基础 What is Finance.pptVIP

FINANCE Zvi Bodie Robert C. Merton About the instructors About the TA About the course About the requirements 20% assignment class performance 15% mid-term test 65% final test About the book and authors Chapter 1:  What is Finance? Chapter 1 Contents Defining Finance Why Study Finance Household Finance Financial Decisions-Firms Forms of Business Organization Separation of Ownership and Management The Goal of management Market Discipline-Takeovers Role of the Financial Specialists in a Corporation Defining Finance What do you know about ‘Finance’? Analytical “Pillars” to Finance Optimization over time Asset valuation Risk management Finance Theory consists of a set of concepts that help to organize one’s thinking about how to allocate resources over time, a set of quantitative models to help one evaluate alternatives, make decisions, and implement them. Financial System The financial system is defined as the set of markets and other institutions used for financial contracting and the exchange of assets and risks. The ultimate function of the system is to satisfy people’s consumption preferences. Why Study Finance? Why Study Finance? Why Study Finance? Why Study Finance? To manage your personal resources To deal with the world of business To pursue interesting and rewarding career opportunities To make informed public choices as a citizen To expand your mind Harry M. Markowitz (1927~) Awarded to the 1990 Nobel Prize Main Contribution: The father of modern portfolio theory William F. Sharpe (1934~) Merton H. Miller (1923~2000) Awarded to the 1990 Nobel Prize Main Contribution: The MM (Modigliani-Miller) Theorem Robert C. Merton (1944~) Awarded to the 1997 Nobel Prize Main Contribution: The pricing of options and other derivatives Myron S. Scholes (1941~) Financial Decisions of Households Consumption and saving decisions Investment decisions Financing decisions Risk-management decisions Important Terms Assets Personal investing Asset allocation Liability, Debt Ne