ECO-30045 - Applied Financial Analysis
Coordinator: Ghulam Sorwar
Lecture Time: See Timetable...
Level: Level 6
Credits: 15
Study Hours: 150
School Office: 01782 733094

Programme/Approved Electives for 2020/21


Available as a Free Standing Elective





Completion of Eco-20042 Introduction to Econometrics

Barred Combinations


Description for 2020/21

This module is designed to familiarize students with the main techniques for modelling financial data. The module builds upon the core theory modules in finance developed at level 5 by examining statistical applications involving CAPM, APT and market efficiency. It also develops univariate and multivariate regression techniques, and models of volatility in the process. Diagnostic tests widely used in empirical models of finance are described and interpreted. The module has a distinct hands-on flavour with computer lab classes offering the opportunity for students to explore key elements of financial modelling.

To familiarise students with the econometric techniques commonly used in applied finance

Intended Learning Outcomes

Formulate data-analysis problems in a statistical framework, choose appropriate models to analyse financial data, and evaluate their key elements and properties: 2
Describe and critically evaluate alternative empirical methodologies in applied finance: 2
Utilise industry standard software to estimate empirical models in applied finance: 2
Critically apply statistical models and methods to solve practical problems in finance; evaluate statistical evidence; interpret the results of a statistical analysis critically on choices of model; and analyse results produced: 1

Study hours

20 hours lectures
4 hours tutorial
123 hours self study including preparation for lectures, tutorials and assessments
3 hours exam

School Rules


Description of Module Assessment

1: Open Book Examination weighted 70%
Take away exam available on Blackboard. Students will have 24 hours to complete and post the exam
A take-away exam which will be available on KLE for 24-hours to answer and submit their answers via Turnitin. Although students have been given significant time to complete this exam script, we expect most students to spend no more than 3 hours to complete and submit their answers via Turnitin (with a maximum of 2500 words). Answers should be as accurate and concise as possible. This Take-away Final exam includes five questions. Students are required to answer all five questions. The questions may involve descriptive /numerical or both.

2: Portfolio weighted 30%
8 page group report
Portfolio detailing estimates and interpretation of specified models. Students will collaborate to compile the portfolio in groups of approximately four.