Registry

Module Specifications

Current Academic Year 2012 - 2013
Please note that this information is subject to change.

Module Title	International Corporate Finance
Module Code	EF597
School	DCUBS
Online Module Resources
Module Co-ordinator	Semester 1: Ruchira Sharma Semester 2: Julie Byrne Autumn: Julie Byrne
Module Teacher	Julie Byrne
NFQ level	8	Credit Rating	5
Pre-requisite	None
Co-requisite	None
Compatibles	None
Incompatibles	None

Description

This module examines financial decision-making in an international evironment. This is accomplished by first studying the market for currencies and understand the economic equilibrium relationships that affect the value of the currencies. Students will develop understanding of measuring and managing exchange rate risk faced by companies. Investment appraisal will also be studied from an international perspective in order to develop a framework for decision-making regarding foreign direct investments and international portfolio investments. Raising capital globally also allows firms to lower their cost of capital and students will examine the opportunities and risks associated with international financing.

Learning Outcomes

1. Demonstrate an understanding of currency markets and parity relationships in these markets.
2. Appraise the exchange rate risk faced by a company.
3. Appraise the various exchange rate risk management strategies and identify the benefits and risks of each one.
4. Contrast alternative for raising capital globally.
5. Evaluate international foreign direct investments by projecting expected cash flows and applying valuation techniques.
6. Evaluate international portfolio investments.

Workload	Full-time hours per semester
*Type*	*Hours*	*Description*
Lecture	24	No Description
Independent learning	36	Assigned readings
Independent learning	24	Problem sets
Independent learning	41	Exam preparation
Total Workload: 125

All module information is indicative and subject to change. For further information,students are advised to refer to the University's Marks and Standards and Programme Specific Regulations at: http://www.dcu.ie/registry/examinations/index.shtml

Indicative Content and Learning Activities

Foreign exchange.
Introduction to foreign exchange markets, quotation and parity relationships..

Exchange rate risk.
Measurement and management of exchange rate exposure.Evaluation of both accounting and economic exposure..

International Capital Budgeting.
Cross border cash flow projections, international taxation rules overview, transfer pricing..

International cost of capital.
Raising capital globally to minimize cost of capital or for other strategic reasons; measuring international cost of capital..

International portfolio investments.
Evalaution of portfolio holding international assets, framework for decision making regarding international portfolios..

Assessment Breakdown
Continuous Assessment	100%	Examination Weight	0%

Course Work Breakdown
Type	Description	% of total	Assessment Date

Reassessment Requirement
Resit arrangements are explained by the following categories; 1 = A resit is available for all components of the module 2 = No resit is available for 100% continuous assessment module 3 = No resit is available for the continuous assessment component
This module is category 1

Indicative Reading List

Alan Shapiro: 0, Multinational Financial Management, 8th, John Wiley and Sons,
DK Eiteman, AI Stonehill, and MH Moffett: 0, Multinational Business Finance, 12th, Pearson,
Richard Levich: 0, International Financial Markets, 2nd, McGraw-Hill,

Other Resources

None

Array

Programme or List of Programmes

MFCM

MSc in Finance

MIN

MSc International Management

Timetable this semester: Timetable for EF597

Date of Last Revision

04-JUN-10

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