Course detail

International Finance

FP-ifPAcad. year: 2022/2023

Introduction to International Finance, International Monetary System, Balance of Payments, Exchange Rate Mechanisms, the European Monetary Union, International Financial Institutions, Financial Management in Multinational Corporations, Terms of Payment and Financing Business Internationally, Export Credit Agencies, Foreign Direct Investments, International Mergers and Aquisitions, Project Finance, Risk and International Trade.

Language of instruction

English

Number of ECTS credits

Mode of study

Not applicable.

Guarantor

prof. Ing. Mária Režňáková, CSc.

Department

Institute of Finances (ÚF)

Offered to foreign students

Of all faculties

Learning outcomes of the course unit

Students will be able to identify individual needs according to the area of company international activities, they will be aware of the financial backing of these needs, they will be able to define and apply external resources for export financing, as well as methods of hedging.

Prerequisites

Knowledge of corporate finance, knowledge of statement and accounting procedures for entrepreneurs, knowledge of international business.

Co-requisites

Not applicable.

Planned learning activities and teaching methods

The course contains lectures that explain basic principles, problems and methodology of the discipline, and exercises that promote the practical knowledge of the subject presented in the lectures.

Assesment methods and criteria linked to learning outcomes

The credits are granted on the following conditions:

  • active participation in seminars,
  • presentations of the seminar paper in a predetermined time. The essay rating affects the final assessment of weight 30%.

Examination requirements: knowledge of subject and its practical applications.

Form of examination is combined: written test and if necessary oral examination. The test is classified according to ECTS.

Completion of the course: credit - elaboration and presentation of seminar paper; exam - written test.

Completion of the course for students with individual studying plan: credit - elaboration of seminar paper; exam - written test in an individual term

Completion of the course in distance form (applied only when objective external circumstances do not allow the implementation of the study program in accordance with the granted accreditation): credit - elaboration of a seminar paper; exam - online exam (oral or written)

Course curriculum

  1. Introduction to international finance
  2. The history and the evolution of the international monetary system
  3. Exchange rate regimes
  4. Balance of Payments
  5. The European Monetary Union
  6. Financial Aspects in Business, Project and International Contract Management
  7. Strategic decision making in the field of internationalization
  8. Payment methods in international trade
  9. International trade financing
  10. Foreign direct investments and investment strategy of multinational corpoarations
  11. Portfolio investments and project finance
  12. Capital structure and capital budgeting in multinational corporations
  13. Risk Management in multinational corporations
  14. International financial institutions

Work placements

Not applicable.

Aims

The goal is to get to know and understand:

  • Framework conditions for the management of corporate finance in international area;
  • Payment conditions in export contracts, taking into account the potential risks;
  • Information sources for assessing the business and financial solvency of foreign business partners or other parties;
  • Disposable Payment and Paying-hedging instruments in foreign trade, which may be different variations of smooth payments or documentary payments;
  • Short-and medium-and long-term refinancing instruments, such as bank loans (eg, state-supported by the Czech Export Bank), factoring, forfeiting, export leasing, etc.;
  • Various forms of security tools, contracts providing exchange rate risk, credit risk by providing export credit insurance and various forms of bank or government guarantees.

Specification of controlled education, way of implementation and compensation for absences

Attendance at lectures is not compulsory, but is recommended. Attendance at seminars is checked by the tutor. Lessons are composed on the basis of weekly schedules. Way of substituting missed lessons is fully in competence of a teacher.

Recommended optional programme components

Not applicable.

Prerequisites and corequisites

Not applicable.

Basic literature

JACQUE, Laurent L. International corporate finance: value creation with currency derivatives in global capital markets. Hoboken: Wiley, 2014. ISBN 978-1-118-78186-9. (EN)
KRUGMAN, Paul R., Maurice OBSTFELD a Marc J MELITZ. International economics: theory and policy. Tenth edition, global edition. Boston; Harlow: Pearson Education, 2015. ISBN 978-1-292-01955-0. (EN)
MADURA, J. International financial management. 12th ed. Stamford, CT: Cengage Learning, 2015. ISBN 978-1-133-94783-7. (EN)
MISHKIN, Frederic S. Economics of Money, Banking and Financial Markets, Global Edition. Pearson Education UK, 2015. EISBN: 978129209419. (EN)
SHENKAR, Oded, Yadong LUO a Tailan CHI. International business. 4th edition. New York ; London: Routledge, 2022. ISBN 978-0-367-47237-5. (EN)

Recommended reading

BALDWIN, R. – WYPLOSZ, CH. The economics of European integration. 4th ed. McGraw-Hill Education - Europe, 2012. ISBN 978-0077131722. (EN)
MORRISON, J. The international business environment: global and local marketplaces in a changing world. Houndmills, Basingstoke, Hampshire, New York: Palgrave Macmillan, 2006. ISBN 978-1-4039-3691-2. (EN)
STIGLITZ, Joseph E. a Miguel d'Escoto BROCKMANN. The Stiglitz report: reforming the international monetary and financial systems in the wake of the global crisis. New York, N.Y: The new press, 2010. ISBN 978-1-59558-520-2. (EN)

Elearning

eLearning: currently opened course

Classification of course in study plans

  • Programme MGR-IBM Master's 1 year of study, winter semester, compulsory
  • Programme MGR-MEO Master's 2 year of study, winter semester, compulsory-optional
  • Programme MGR-UFRP Master's 2 year of study, winter semester, compulsory

  • Programme MGR-Z Master's

    branch MGR-Z , 1 year of study, winter semester, elective

Type of course unit

 

Lecture

26 hod., optionally

Teacher / Lecturer

Ing. Kristína Sághy Estélyi, Ph.D.

Syllabus

  1. Introduction to international finance
  2. The history and the evolution of the international monetary system
  3. Exchange rate regimes
  4. Balance of Payments
  5. The European Monetary Union
  6. Financial Aspects in Business, Project and International Contract Management
  7. Strategic decision making in the field of internationalization
  8. Payment methods in international trade
  9. International trade financing
  10. Foreign direct investments and investment strategy of multinational corpoarations
  11. Portfolio investments and project finance
  12. Capital structure and capital budgeting in multinational corporations
  13. Risk Management in multinational corporations
  14. International financial institutions

Exercise

13 hod., optionally

Teacher / Lecturer

Ing. Kristína Sághy Estélyi, Ph.D.

Syllabus

Active disscussion on topics of lectures, case studies, presentations of seminar papers.

E-learning texts

BOP_1993_2015
BOP_2011_2014_aj.xlsx 0.01 MB
Inflation report_III_2016
Inflation report_CNB_III2016.pdf 3.33 MB
IF_1_lecture
BOP_1_přednáška.ppt 0.49 MB
BOP_2011_2015
BOP_2011_2014_aj.xlsx 0.01 MB

Elearning

eLearning: currently opened course