OVERVIEW

The teaching unit covers the study of financial transactions under conditions of certainty, with some reference to situations of uncertainty. Within the overall curriculum, this subject serves as a foundation for the analysis and evaluation of cash flows and financial operations.

AIMS AND CONTENT

LEARNING OUTCOMES

The course aims to provide formalization and mathematical modeling of financial transactions, that is, exchange transactions involving amounts of monetary amounts due at different maturities.

AIMS AND LEARNING OUTCOMES

At the end of the teaching unit, the student will be able to:
- Apply mathematical tools to solve standard financial problems (e.g., cash flow evaluation) using the skills acquired in General Mathematics.
- Analyze and understand financial problems, identifying the most appropriate mathematical tools for their solution, in contexts of certainty and with reference to uncertainty.
- Independently evaluate proposed solutions to financial problems, justifying the choices made both conceptually and operationally.
- Communicate clearly and precisely, using the technical language of the discipline, the results of financial analyses to both specialist and non-specialist audiences.
- Continue to deepen their knowledge of the subject autonomously, including in professional contexts.

PREREQUISITES

To address the contents of the teaching unit, students must possess all the knowledge provided by the General Mathematics teaching unit.

TEACHING METHODS

The teaching unit is delivered through lectures and exercises. Attendance is not compulsory.
Students who have valid certification of physical or learning disabilities or special educational needs should contact both the instructor and the Department’s disability liaison to agree on teaching and exam arrangements. Classes material is available on Aulaweb.

SYLLABUS/CONTENT

Theory of financial laws. Financial laws and interest rates. Capitalization regimes. Discount rates, present values and discounted values. Certain annuities and their evaluation. Loan amortization: amortization payments, principal and interest components. Coupon and zero-coupon bonds. Term structure of interest rates.

RECOMMENDED READING/BIBLIOGRAPHY

Specific information on the reference bibliography will be provided by the instructor at the beginning of the lessons and published on Aulaweb.

TEACHERS AND EXAM BOARD

LESSONS

LESSONS START

First Semester (from September, 2025).

Class schedule

FINANCIAL MATHEMATICS

EXAMS

EXAM DESCRIPTION

Student preparation is assessed through a final exam, consisting of one or more exercises and a set of theoretical questions (definitions, statements, applications, etc.). Further details on the exam procedures will be communicated and published on Aulaweb at the beginning of
the lessons.

ASSESSMENT METHODS

FURTHER INFORMATION

Prerequisites: to take the Financial Mathematics exam, students must have passed and registered the General Mathematics exam.
Requirements: to take the exam, students must register for the exam through the Online Services within the established deadlines.
Note: the same information applies to non-attending students.