CMG354 Financial Analytics Syllabus:

CMG354 Financial Analytics Syllabus – Anna University Regulation 2021

COURSE OBJECTIVE:

 This course introduces a core set of modern analytical tools that specifically target finance applications.

UNIT I CORPORATE FINANCE ANALYSIS

Basic corporate financial predictive modelling- Project analysis- cash flow analysis- cost of capital, Financial Break even modelling, Capital Budget model-Payback, NPV, IRR.

UNIT II FINANCIAL MARKET ANALYSIS

Estimation and prediction of risk and return ( bond investment and stock investment) –Time seriesexamining nature of data, Value at risk, ARMA, ARCH and GARCH.

UNIT III PORTFOLIO ANALYSIS

Portfolio Analysis – capital asset pricing model, Sharpe ratio, Option pricing models- binomial model for options, Black Scholes model and Option implied volatility.

UNIT IV TECHNICAL ANALYSIS

Prediction using charts and fundamentals – RSI, ROC, MACD, moving average and candle charts, simulating trading strategies. Prediction of share prices.

UNIT V CREDIT RISK ANALYSIS

Credit Risk analysis- Data processing, Decision trees, logistic regression and evaluating credit risk model.

TOTAL: 45 PERIODS
COURSE OUTCOME

CO1 The learners should be able to perform financial analysis for decision making using excel, Python and R.

REFERENCES:

1. Financial analytics with R by Mark J. Bennett, Dirk L. Hugen, Cambridge university press.
2. Haskell Financial Data Modeling and Predictive Analytics Paperback – Import, 25 Oct 2013 by Pavel Ryzhov.
3. Quantitative Financial Analytics: The Path To Investment Profits Paperback – Import, 11 Sep 2017 by Edward E Williams (Author), John A Dobelman.
4. Python for Finance – Paperback – Import, 30 Jun 2017 by Yuxing Yan (Author).
5. Mastering Python for Finance Paperback – Import, 29 Apr 2015 by James Ma Weiming.