FE 334: FINANCIAL MARKETS
& INSTITUTIONS
PROFESSOR: LCDR Nicholas Sougiannis
DETAILS: Offered Fall 2025, MWF, no textbook required.
PREREQUISITE: FE210 Principles of Economics or SE201 Intro to Microeconomics
DESCRIPTION: This course provides students with the ability to value a portfolio of financial instruments, understand the institutions that issue securities and the markets in which they trade, and understand government roles and regulations.
1&2. Principles of Accounting & Principals of Finance: (WEEKS 1-5)
A) Working knowledge of the accounting equation, the stock and flow of money and value, debits and credits, and earnings analysis. B) Financial Statement Literacy. C) Time value of money concepts, definitions, and applications; Cash flow analysis including discounted cash flows, net present value, and internal rate of return calculations.
3&4. Debt Instruments, Markets & Securities: (WEEKS 6-8)
Corporate, government, & retail (personal) debt concepts and applications. Applied learning to prices & yields, principal & interest, and money & capital market debt instruments; accrued interest and invoice prices. Duration & convexity calculations and management.
5&6. Equity & Derivative Markets & Securities: (WEEK 9-10)
Private & public primary equity financing concepts & attributes, dividends and distributions, and secondary market stock trading. Conceptual introduction to derivatives.
7&8. Portfolio Theory & Management: (WEEKS 11-13)
Measuring portfolio risk and return, efficient portfolios and optimum portfolios, and introduction to modern portfolio theory. This segment utilizes the Thrift Saving Plan (TSP) portfolio as the primary training tool.
9&10. Banking & Financial Institutions: (WEEKS 14-15)
Bank operations and profitability, Fintech and associated financial services, Capital adequacy & risk-weighted assets; Basel Accords & government insurance, Sovereign financial institutions.
Case Studies in Financial Markets & Institutions: (WEEK 16-17)
Applied studies in economic datasets, debt financing, sovereign and corporate default, and applied portfolio management.