Date
|
Lectures
|
Homework
|
| March 28,30 |
Lecture 1: Probability spaces. Conditional probabilities and Bayes' rule |
HW1 due April 6 |
| April 4 |
Lecture 2: Random variables. Expected value, variance, moments |
-- |
| April 6 |
Lecture 3: Continuous random variables |
HW2, due April 13 |
| April 11 |
Lecture 4: Expected utility. Risk aversion and certainty equivalent |
-- |
| April 13 |
Lecture 5: Insurance decisions |
-- |
| April 18 |
Lecture 6: Static portfolio choice |
HW3 due April 25 |
| April 20 |
Midterm review session |
-- |
| April 25 |
MIDTERM |
-- |
| April 27 |
Lecture 7: Markowitz portfolio selection theory |
-- |
| May 2 |
NO CLASS |
-- |
| May 4 |
Lecture 7: Markowitz portfolio selection theory-continued |
HW4, due May 11 |
| May 9 |
Lecture 8: The Capital Asset Pricing Model |
-- |
| May 11 |
Lecture 9: Empirical tests of CAPM. Systematic versus idiosyncratic risk |
-- |
| May 16 |
Lecture 10: Efficient market hypothesis. Arbitrage pricing |
-- |
| May 18 |
Lecture 11: Interest rates. Bond pricing. Forward rates |
HW5, due May 25 |
| May 23 |
Lecture 12: Discounted cash flow model. Pricing stocks |
-- |
| May 25 |
Lecture 13: Introduction to options. Put-call parity. Binomial model for pricing options |
-- |
| May 30 |
Lecture 14: The Black-Scholes model |
HW6, due June 5 |
| June 1 |
Final review session |
-- |