ICM133-Financial Markets and Instruments for Regulators

Module Provider: ICMA Centre
Number of credits: 20 [10 ECTS credits]
Level:7
Terms in which taught: Spring term module
Pre-requisites:
Non-modular pre-requisites:
Co-requisites:
Modules excluded:
Module version for: 2017/8

Module Convenor: Dr Alfonso Dufour

Email: a.dufour@icmacentre.ac.uk

Summary module description:

This module seeks to expose regulators to scholarly thought underpinning the varied topics within the broader heading of financial markets and financial instruments. The module will also aim to develop a deep appreciation of established and more current practices in the operation of markets and instruments, so that regulators are able to critically evaluate and challenge these where required.


Aims:
This module seeks to expose regulators to scholarly thought underpinning the varied topics within the broader heading of financial markets and financial instruments. The module will also aim to develop a deep appreciation of established and more current practices in the operation of markets and instruments, so that regulators are able to critically evaluate and challenge these where required

Assessable learning outcomes:

Additional outcomes:

Outline content:
The module begins by covering the concepts required for looking at the motives, expected conduct and desired outcomes in orderly, efficient, stable markets. Anomalies, recent advances and the methods used to obtain competitive advantage are then examined so as to reflect upon the challenges of disorder, inefficiencies, extreme circumstances, excessive volatility and instability. This builds upon consideration of the primary and secondary markets, the main market participants and the key instruments that are traded in the markets. This will be presented and discussed in the framework of defining the different types of markets in which financial instruments are traded including listed stock, bond and derivative markets and will also include study of the OTC markets. Policy responses to the challenges that regulators can reasonably expect firms and market participants to avoid or prevent will be discussed. Through various lenses including that of forensic analysis, students will also explore how and when regulators themselves should or can prevent, detect and address such problems and when they can rely on others including third parties and the lines of defence within market participants. A recognition of the circumstances unworthy of, or beyond regulatory / participant control will be discussed alongside a debate of the nature and value of different types of market activities. This builds to a discussion of systemic risks and regulatory responses. We will also examine allied topics such as trends in sustainable and responsible investment, complex instruments, and the operation of global financial markets.

Brief description of teaching and learning methods:

Contact hours:
  Autumn Spring Summer
Lectures 20
Seminars 8
Guided independent study 172
       
Total hours by term 200.00
       
Total hours for module 200.00

Summative Assessment Methods:
Method Percentage
Written exam 60
Written assignment including essay 40

Other information on summative assessment:

Formative assessment methods:

Penalties for late submission:
Penalties for late submission on this module are in accordance with the University policy. Please refer to page 5 of the Postgraduate Guide to Assessment for further information: http://www.reading.ac.uk/internal/exams/student/exa-guidePG.aspx

Length of examination:
2 hours closed book written examination

Requirements for a pass:
50% weighted average mark

Reassessment arrangements:
By written examination only, as part of the overall examination arrangements for the MSc programme.

Additional Costs (specified where applicable):

Last updated: 31 March 2017

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