Finance (FIN)

This one-credit course, to be held during the extended winter break, will offer students of any major and class year the opportunity to participate in case studies and interactive live sessions with leading investment management firms. Students will be assigned weekly investment opportunities that they must analyze for both quantitative and qualitative merit. A 1-2 page written summary and relevant analysis must be submitted in advance of each case discussion. A different industry practitioner will lead each live session to explain the methodology, reasoning, and perspective that informed his or her professional opinion. Students will be required to complete approximately 6-7 hours of asynchronous content on the Wall Street Prep platform, which will be administered and funded by the Notre Dame Institute for Global Investing. The learning objectives of the course include gaining a real-world perspective on investment management, thereby bridging the gap between theory and practice, and advancing the process of career discernment in the field of investing.

The course provides an in-depth and quantitative examination of the principles of financial decision-making. Students learn the concept of value maximization, mathematics of finance, valuation of financial securities, capital investment evaluation, the estimation of required rates of return, and the theory of capital structure. Students with a major in finance must earn a grade of "C" or higher to continue in the major. This course cannot be taken Pass/Fail.

This course builds explicitly on prerequisite coursework in Accountancy but takes the perspective of a financial decision maker rather than a producer of financial statements. Students will gain the knowledge and skills required by a financial analyst charged with assessing a variety of corporate situations including business combinations, joint ventures, credit analysis, inventory analysis, and long term liabilities. Key ratios utilized in credit analysis will be covered as well as peer company analyses. <i>(Note: Finance majors wishing to sit for the CPA exam, pursue a Master's degree in Accountancy, or take additional upper level Accountancy courses must enroll in ACCT 30110 and ACCT 30120 instead of either ACCT 30100 or FIN 30100.)</i>

This course unfolds in two interrelated parts: sustainability accounting and reporting and impact investing. Sustainability accounting and reporting is an emerging field of accounting that provides a framework for developing corporate environmental, social, and governance (ESG) performance metrics, assessing their reliability, reporting to external stakeholders, evaluating and compensating managers and executives, and assisting managers in strategic and operational decisions that affect environmental costs and risks. The first half of the course provides a comprehensive overview of existing multidisciplinary knowledge and current practices in standard-setting and corporate sustainability accounting and reporting frameworks, for both mandatory (e.g., SEC and EPA filings) and voluntary disclosures (e.g., free-standing sustainability or integrated reports). Impact Investing is a discipline which seeks to generate social benefits as well as financial returns. Learn how capital markets and investment strategies can deliver societal and environmental impact and generate market returns. From boutique beginnings, impact investing has surged into the mainstream of global money management, capital markets and philanthropy now affecting trillions of dollars of assets under management. The greatest demand is for strategies and products that promote social good while having expected returns competitive with non-impact options. Impact investing also permeates the agendas of policymakers, wealthy and public-spirited individuals, academia, philanthropic foundations and institution asset owners. This part of the course provides a conceptual understanding of impact investing and how it manifests in real-world settings. Toward that end, not only will we review a number of dominant "classical" models in investments across asset classes, but we will also examine and analyze how impact investing exists (or does not exist) within those contexts and how proponents and critics have responded. This course will focus on the real world via case studies, live examples, and guest speakers. Students will organize into groups to discover, research, analyze and present team research projects, some or all of which may be published.

This course provides a coordination of economic theory and managerial practice. Topics covered include: consumer demand, production functions, cost behavior, output determination, and pricing within various market structures.

This section is an honors section and satisfies requirements in the Business Honors Program. The course gives a broad overview of the theory of microeconomics with the objective to develop students' ability to apply economic principles to decision making in a corporate environment. The course introduces concepts and topics related to market structures, behavioral economics, game theory, dynamic pricing and strategic pricing. The course starts from where ECON 10011 (Principles of Economics) left off without much review. The accelerated nature of the course allows one to introduce further advanced topics such as network effects, auctions, and possibly others, time permitting. The course identifies and examines the issues faced by corporations in greater depth by presenting empirical research results and real case discussions. If you felt comfortable with the material covered in Principles of Economics, are curious about how corporations use microeconomics to make decisions, and are ready to move at a faster pace, this may be the course for you. It will help you develop the necessary skills to pursue more advanced business courses and become a successful business professional and leader.

The course addresses topics including the goals of economic policy, national income accounting, theory of income determination and the determination and behavior of economic aggregates, such as total output and the price level.

This course provides a sound conceptual framework within which a wide variety of corporate financial decisions can be evaluated. The course builds upon and extends the topics in FIN 20150. Topics covered include corporate governance, financial statement analysis, security valuation, capital structure theory, dividend policy, security issuance, and capital budgeting.

This section is an honors section and satisfies requirements in the Business Scholars program. The course gives a broad overview of the theory of corporate finance with the objective to develop students' ability to apply financial principles to decision making in a corporate environment. The course introduces several of the firm's financial policy decisions such as optimal capital structure, payout policy, and capital raising and further develops valuation skills to help determine the firm's best investment opportunities in the presence of more realistic market imperfections. The course starts from where FIN 20510 (Fundamentals of Finance) left off without much review. The accelerated nature of the course allows one to introduce further advanced topics such as security design, mergers and acquisitions, and possibly others, time permitting. The course identifies and examines the issues faced by corporations in greater depth by presenting empirical research results and real case discussions. If you felt comfortable with the material covered in FIN 20510 Fundamentals of Finance, are curious about how corporations make decisions, and are ready to move at a faster pace, this may be the course for you. It will help you develop the necessary skills to pursue more advanced finance courses and become a successful finance professional and leader, but also should make you think and realize the complexity and non trivial nature of the corporate financial world. I find the subject useful, fascinating, and thought provoking; I hope you will too.

Using a combination of lectures and guest speakers, this class discusses the key challenges and milestones entrepreneurs have to manage in the start-up phase of a company. We will discuss creating the initial vision, assessing the market opportunity, and how to approach the sale or exit of the company. Guest speakers will discuss how they hired and built teams, built a culture, and managed the growth of their companies. Together we'll discuss financing projects and raising funds while discussing how to deal with adversity, persevering, and pivot strategies. THIS CLASS DOES NOT COUNT AS A FINANCE MAJOR ELECTIVE

This is an advanced course covering investment theory, financial markets, and financial instruments. The topics of security analysis, and options and futures are also introduced.

This is an introduction to the principles and practices of real estate. Topics covered include land use patterns and regulation, real estate finance, valuation, real estate law, brokerage and transfers, urban economics, and real estate development. (Note: This is a required course for the Real Estate Minor. This course does not count as a Finance major elective.) The course cannot be taken Pass/Fail.

(Note: This course does not count as a Finance major elective.) This is a first course in real estate development, designed to expose students to the practice of development from project inception to completion and subsequent real estate asset management. Course objectives include: 1) developing familiarity with institutional features of the real estate industry (legal and regulatory processes, real estate markets, financial markets, etc.); 2) exploring the practical problems of real estate development; and 3) exposing students to professionals from the development industry.

This course prepares students for Biz Quiz, the premier undergraduate Business competition. Students will participate in the competition on November 2 and 3, 2013 at The Ohio State University. From September 16 through October 28, students will read the complete text of every story that begins or is mentioned in any way on the front page of each section of The Wall Street Journal. The reading will take approximately three hours per day, and the class will meet at least twice per week to discuss the reading. At the conclusion of the course, students will be evaluated via a detailed oral exam.

This course is intended to be a more advanced study of the methods of valuation and investment analysis used in residential and commercial real estate, for students that have had an introduction to real estate finance.

(Note: This course does not count as a Finance major elective.) This course introduces students to the basic metrics, analytic tools, and capital sources employed in the evaluation and financing of real estate investments. The course covers basic finance principles including the time value of money and internal rate of return, Other common real estate performance metrics such as net operating income, the cap rate, cash yields, equity multiples, and spread measures will be discussed. Basic pro forma analysis as used to evaluate existing real estate assets and development assets will be covered. Public and private debt and equity markets will be addressed as will private equity deal structures and debt underwriting.

For students interested in the real estate, this course is a great opportunity to advance your understanding of the real estate industry, gain practical experience and collaborate with real estate professionals and like-minded peers. The course is organized around the Harold E. Eisenberg Foundation's Annual Real Estate Challenge (http://eisenbergfoundation.org/real-estate-education/real-estate-challenge/). A team of up to 10 Notre Dame students will compete against the best and brightest from other schools to develop, prepare, and present a business plan for a high-profile development/redevelopment project in the Chicago Metropolitan area. The team's efforts will be guided by a professor and two professional advisors, all Notre Dame alumni, who work day to day in real estate. The course deliverables will be a written report and an oral presentation delivered to a board of judges in Chicago. Students on previous teams found the experience both fun and academically enriching.

This course provides a deeper look into the behavior of firms and consumers within a variety of market structures. Students will apply the tools of economics to analyze consumer behavior, firm pricing and output decisions, sophisticated pricing techniques, strategic competition, risk, asymmetric information, auctions, and other topics. Projects will involve the application of topics to real world data to evaluate business and financial problems.

This course is intended to provide Finance majors with a working knowledge of the open source programming language Python. The course will teach the essential aspects of coding in Python and then apply the tool to financial applications involving analytics, large datasets, and unstructured data. The objective of the course is to provide students with a better understanding of how computers can be used to solve business problems. Students will be required to bring their own computer to class.

With increased data availability and complexity comes the need for finance professionals who are not only able to work with data, but can separate signals from noise. This honors course introduces students to data science for financial applications using the Python programming language and its ecosystem of packages—most notably numpy, pandas, and scikit-learn (sklearn)—while emphasizing not only how to use these tools, but also when and why they work. The course is designed to cultivate a deep understanding of the theoretical foundations, limitations, and empirical relevance of key methods, fostering the critical thinking and applied skills required to succeed in modern finance. Relative to FIN 40260, this honors section places greater emphasis on intellectual rigor—specifically, understanding the underlying assumptions that determine when and why particular data science tools and empirical techniques are expected to perform well in financial settings. Key features that distinguish this honors section include: - Critical engagement with cutting-edge academic and practitioner research, with selected readings from top journals used to deepen conceptual understanding, assess methodological choices, and bridge the gap between research and real-world applications; - Additional homework tailored to honors students. These include extended empirical exercises involving statistical and econometric modeling, as well as exposure to advanced topics in machine learning such as shrinkage methods (e.g., Ridge, Lasso) and an introduction to the use of nonlinear methods like Neural Network and Trees in finance; - An individual research project requiring students to formulate a well-defined financial question, apply appropriate empirical methods, and communicate data-driven insights effectively. Projects simulate real-world industry challenges and are expected to demonstrate both analytical rigor and thoughtful interpretation of results. Throughout the course, we emphasize how big data and analytics shape contemporary finance by focusing on timely problems currently confronting finance professionals. As practical applications, students will use Python to characterize movements in security prices, construct and evaluate investment portfolios, assess mutual fund performance, test asset pricing models, and relate asset price behavior to firm fundamentals. This course is designed to prepare students not only to use data science tools, but also to understand their theoretical foundations and limitations—developing the critical thinking and applied skills needed to succeed in modern finance.

This course examines the theory and practice of financial firms and the markets in which they operate. It analyzes the role of various financial intermediaries in the transfer of funds between economic units. Management issues and problem-solving techniques are emphasized through the use of case studies.

This course examines the theory and practice of financial firms and the markets in which they operate. It analyzes the role of various financial intermediaries in the transfer of funds between economic units. Management issues and problem-solving techniques are emphasized through the use of case studies. In this honors section, students will engage in academic readings and discussions regarding the beneficial and detrimental effects of financial institutions for the society.

This course explores the intersection of finance, technology, and innovation, focusing on the rapidly evolving fields of financial technology (FinTech) and cryptocurrency. Students will gain an understanding of key concepts such as digital payments, blockchain technology, decentralized finance (DeFi), and the role of cryptocurrencies in modern financial systems. The course covers the fundamentals of financial technologies, their impact on traditional financial services, and the regulatory challenges they present.

The objective of this course is to understand various aspects of the corporate acquisition market, including sources of acquisition synergies, valuation and pricing of acquisition targets, takeover defenses, the roles of management incentives and compensation, financing methods, the roles of insider and institutional shareholders, and regulations and taxes.

This course examines why risk management is important for non-financial firms, how they can measure their risk exposures, and alternative approaches for hedging or insuring against identified risks. It provides an in-depth analysis of strategies and financial instruments available for managing commodity price risk, currency risk, interest rate risk, and credit risk.

This course emphasizes the set of decisions and problems that financial and operating managers face in determining short-term financial policy, setting terms when structuring contracts and deals, and managing business processes of the company. Major topics include identifying working capital elements and their relationships to company operations, financial analysis, cash forecasting, banking relations, cash-flow systems, and short-term investment and borrowing strategies.

In this course, we will critically consider, in light of Catholic Social Teaching, three normative questions regarding the purpose, priorities, and practices of corporations. First, what does the dignity of the human person, as made in the image and likeness of God, mean for people working in business? Second, what do businesses owe to their own workers and the society writ-large, and how do we foster solidarity among those working in business? Third, how can businesses promote authentic human flourishing and integral human development? To answer these questions, we explore certain foundational concepts of Catholic Social Teaching - the dignity of the human person, solidarity and subsidiarity, the virtues of charity and justice, and the common good - and ask how these concepts can be integrated into business practices and corporate governance. To accomplish this end, student wills engage in a close reading of selections from central papal encyclicals on the "social question," including Rerum Novarum, Quadragesimo Anno, Laborem Exercens, Centesimus Annus, Caritas in Veritate, and Laudato Si', as well as contemporary scholarship in business ethics that discusses different models of corporate governance.

Discussion section that accompanies the FIN 40470 lecture section. Students taking this discussion section must concurrently enroll in the main FIN 40470 lecture section.

This course is an overview of the issues that corporations and financial institutions face when operating in international markets. It addresses the international financial environment and examines several factors that influence the determination of exchange rates. It defines the foreign exchange risk exposure that corporations may face and examines possible risk management solutions, with a focus on the use of derivative markets such as options, swaps, and futures. Finally, it examines investment related issues within an international setting. Case studies may be used to emphasize issues and problemsolving techniques.

The Art of Investing is an advanced, capstone course aimed at weaving together insights from senior members of the Notre Dame Investment Office, CEOs, Investors, and other leaders from various fields. The objective of the course is to present a broad perspective on security analysis that goes beyond valuation and models. The focus will be analyzing investments from a more well-rounded perspective, incorporating aspects of sustainability, capital allocation, firm culture, and leadership into security analysis. Thus, the students will come from various backgrounds and majors and be expected to bring their insights to bear on case studies and readings for each class session. An important feature of this course is the willingness to participate in discussions and the ability to manage both detailed and broad discussion topics regarding specific companies, broader markets, and human behavior.

The objective of this course is to develop a detailed understanding of the tools used by market professionals and corporate managers to analyze the value of companies and stocks. The central theme of the course will be the pricing of equity securities using discounted cash flow and relative valuation techniques. After completing this course, students should be able to identify and interpret the key value drivers for a firm or industry, develop quantitative models for firm and equity valuation based on DCF and multiples, and present firm and equity valuation analyses in a professional manner.

This course studies the relationships between asset prices and macroeconomic conditions and how to utilize those relationships to construct a macro-based investment portfolio. That is, to exploit the fact that asset prices are ultimately driven by macroeconomic fundamentals. Through the use of macroeconomic indicators, students will learn how to take the macroeconomic cycle into consideration (by reallocating asset classes accordingly) to produce higher returns and lower portfolio variability than classical approaches to asset allocation.

This course examines the general nature of organized trading by examining how bid and offer prices are determined, how market rules evolve, and what markets should be built. While markets for products and services are discussed, the focus is on the trading of financial securities. Existing centralized equity exchanges face competition from new alternative trading systems made possible by today's information technology. This course also examines the impact and implications of this dynamic.

This course examines various options and futures markets, providing rigorous training to prepare students for employment with firms where derivatives are either of primary importance (e.g., banks, trading firms) or secondary importance (e.g., corporations having interest rate or foreign exchange exposure that requires hedging.) Topics include fundamental pricing relations and models, trading strategies, and risk management. The emphasis is on financial derivatives for which the underlying assets are stocks, bonds, or foreign exchange.

This course will provide an opportunity for students to blend the theory of investments with the practical demands of investment management. The course objectives include an understanding of the process of establishing a portfolio, gaining knowledge of the mechanics of trading, current theories of market microstructure, principles of equity, bond valuation and technical analysis, and the role of derivatives. Student will actively manage this portfolio throughout the semester.

This is a MANDATORY Co-Req for FIN 40640. You will be enrolled in both FIN 40640 and FIN 40641.

This course explores the intricate world of fixed income securities, a sector at the heart of the global financial system. The unprecedented market dynamics during the global financial crisis and COVID-19 pandemic, and rising national debt levels underscore the enduring importance and increasing complexity of this sector. This course studies the U.S. and global bond markets. We begin with core concepts, including fixed income valuation, the term structure of interest rates, and principles of hedging and arbitrage. Building on this foundation, the course delves into timely topics, such as the Federal Reserve’s impact on markets, fiscal capacity and Treasury supply, and new opportunities in areas like distressed investing. Throughout the course, we emphasize connecting theory with real-world applications, preparing students to navigate modern fixed income markets effectively.

This honors course provides an advanced exploration of fixed income markets, emphasizing intellectual rigor and real-world applications. It delves into the intricate world of fixed income securities, a cornerstone of the global financial system. The course begins with core concepts such as fixed income valuation, the term structure of interest rates, and the fundamentals of hedging and arbitrage. Building on this foundation, students engage with advanced and timely topics, including the Federal Reserve’s impact on markets, fiscal capacity and Treasury supply dynamics, and opportunities in areas like distressed investing. Beyond traditional lectures, the course adopts an interactive seminar format. Students participate in accelerated learning modules, critically review cutting-edge academic research, and actively engage in class discussions. Key features include fixed income investment strategy presentations and market updates, where students analyze and present insights on recent market developments. These elements cultivate advanced analytical skills and strategic thinking, preparing students to navigate and excel in the complexities of modern fixed income markets. Minimum grades of B in FIN 20150 and FIN 30600 are required to enroll in Honors Fixed Income Investment Strategies; students not meeting this requirement will be removed from the course.

This course introduces students to advanced topics in investment. The building blocks of the course include portfolio theory and factor models, active quantitative investment strategies based on time-series and cross-sectional return predictability, market frictions (transaction costs, liquidity, short-sale constrainst, tax, etc.) and major institutional players. Special topics change from one year to another to reflect recent trends and practices in the industry.

This course will expose students to investments in privately-held companies that do not trade on organized exchanges, at all stages of a firm's life cycle from venture capital through growth and mezzanine capital and leveraged buyouts. Topics include deal sourcing and structure, contract design, valuation, and returns to holders of private equity securities and publicly traded private equity firms. Recent developments, the impact of private equity on society and ethical issues surrounding each topic will also be discussed.

Applied Private Equity Projects is an advanced course that will provide an opportunity for students to practice private equity in a setting as close to real as possible. The course will combine lectures that introduce core concepts with investment projects that emphasize practical application. Through the project work, students will have the opportunity to work directly with private equity firms on a feasible yet challenging investment assignment. Class sessions will include several guest lecturers that address a variety of PE topics, including but not limited to investing fundamentals, deal sourcing, portfolio company operations, fund raising and monetization, and the importance of private equity in the global economy. The class is designed to allow a more natural business interaction that mimics as closely as possible the partner/associate relationship.

This course provides an understanding of the behavioral biases that individuals exhibit and the effects of these biases on financial markets. Standard finance theory assumes that individuals such as investors or financial managers are rational expected utility maximizers. Behavioral finance argues that some investors are not fully rational and arbitrageurs have limits to how aggressively they can trade. A number of stock market anomalies will be presented and analyzed.

This course aims to provide a comprehensive understanding of the principles of real estate investments and finance, and of how to apply these principles to actual investment decisions. We will cover real estate investment analysis, valuation and financing at the “micro” (individual property) level. As part of this, we will learn the fundamentals of pro-forma construction, including a brief introduction to the software Argus. We will also discuss more advanced topics, such as real options, distress, and portfolio analysis. The course culminates in a hands-on project, in which the students work in groups on the valuation of a real estate listing.

This course analyzes primary and secondary real estate capital markets. Included are fundamental features, investment characteristics, and underwriting of commercial and residential mortgages. The economics and mathematics of alternative loan structures is considered. Additionally, construction debt, sub-debt, alternative lending (land/bridge/hard asset loans), private and public equity markets, and real estate securitization markets are covered. The basic structure and mathematics of private equity funds and joint ventures is addressed.

This course has two objectives. First, students will learn how to read and evaluate academic research in finance and learn how to implement the results of research in practice. Second, students will learn about a few topics in finance in depth. Most classes will consist of student presentations and discussion. The class will cover both "classic" articles and current research. Both theory and empirical work will be covered, but more time will be spent on empirical research. This class will be especially useful for students who are considering getting a PhD or pursuing a career that requires them to keep up on current research.

Discussion section that accompanies the Corporate Governance and Catholic Social Teaching lecture section. Students in this section must concurrently enroll in the main FIN 40470 (or BES 40470 or THEO 40641) lecture section.

The purpose of this module is to enhance students' comprehension of global macro investing topics. The module is intended to provide an introduction to the theoretical framework of finance and macroeconomics, while also emphasizing recent developments in macro investment practices. Upon completing this module successfully, students are expected to possess a greater understanding of subjects such as the business cycle, monetary policy, financial market tail risks, and global capital flow. They will be acquainted with various approaches employed in investment practices, enabling them to develop practical investment expectations and independent investment perspectives. Additionally, they will have a more profound appreciation of how investment and capital flow impact society.