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UNIVERSITY OF CALOOCAN CITY

COLLEGE OF BUSINESS and ACCOUNTANCY

COURSE GUIDE

I. COURSE TITLE : International Finance w/ Electronic Banking


II. PROGRAM : Bachelor of Science in Business Administration – Financial Management
III. SUBJECT : Global Finance with Electronics
COURSE CODE : FMT 415
PREREQUISITE :
UNITS : 3 Units

IV. COURSE DESCRIPTION


Businesses are operating in an increasingly interconnected global environment. Most businesses today are either directly or indirectly exposed to
international competition. Managing such businesses requires understanding of currency risks and global financial environment. The objective of
this course is to provide students with an in-depth knowledge of these issues. The main topics covered in this course are forex markets,
international Parity conditions, forex risks, currency derivatives and hedging issues, issues with currency investment strategies, issues with cross
border financing decisions and cross border investment decisions

V. COURSE EXPECTED OUTCOME


After completing this course, learners should be able to:
1. Demonstrate basic understanding of foreign exchange market and exchange rates
2. Demonstrate basic understanding of how to use foreign exchange derivatives and other techniques to manage foreign exchange exposures of
firms.
3. Demonstrate basic understanding of the issues pertaining to multinational financing and investment decisions.
4. Demonstrate critical and analytical skills wherein they should be able to make sense out of a mass of information to address relevant issues
pertaining to international finance theory.

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY

VI. COURSE PROGRAM

METHODOLOGY/
ACTIVITIES SUGGESTED EVALUATION
WEEK
LESSON/ TOPIC LEARNING OBJECTIVES (Learning Platform) READINGS & STUDENT OUTPUT TOOL
(Synchronous/ REFERENCES
Asynchronous)

Fundamentals of International
Finance  Learn the foundation  Module / power  Reading Material:
1.1 Meaning and Introduction of of IF and the main point presentation http://bit.ly/Fund  Essay: The effect
International Finance purpose in Global amentalsofIF  Quiz
 Video Presentation of COVID-19 to
1.2 Importance of International Economy
– The 2008 Video: global economy
Finance   Homework
1 Financial Crisis and
1.3 Scope of International Finance  Determine the http://bit.ly/Chap
1.4 Globalization of the World challenges in ter1InternationalF international  Recitation
 Online Discussion trading.
Economy International Finance inance
using google meet
1.5 Goals of International Finance Market
1.6 Emerging Challenges in the
International Finance
2 Balance of Payments  Learn the foundation  Module / power  Reading Material:  Essay: Explain  Quiz
2.1 Introduction to Balance of of Balance of point presentation http://bit.ly/Bala the current
Payments Payment nceoftradeandpay balance trade  Homework
2.2 Balance of Trade and Balance of  Video Presentation ment and payments of
 The International – The Balance of  Recitation
Payments the country.
2.3 Nature of Balance of Payments Flow of funds Trade and  Video:
Accounting Payments http://bit.ly/Bala
2.4 Components of Balance of  How the nceOfPayment
Payments International Trading  Online Discussion
works using google meet

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY

The international credit markets


3.1 The essence of the international
credit market
3.1.1. The place of the international
credit market on international debt
 The Policies
market
3.1.2. The forms of international governing the
international  Reading Material:
lending  Module / power
Financial Transaction http://bit.ly/Inter  Essay: The
3.2. The monetary and financial point presentation  Quiz
nationalMonetary International
conditions of the international
 Learn how the Euro System Monetary
credit  Video Presentation –  Homework
3 Credit Market works System: Facing
3.3. The Euro credit market
 Video: the Challenge of
3.4. The international official  Online Discussion  Recitation
 Basic understanding http://bit.ly/Over Globalization
assistance to developing countries using google meet
of International Debt viewofFXmarket
– non-market mechanism of the
and the cause and
redistribution of financial
concept of it
resources
3.5. International debt
3.5.1. The causes of international
debt
3.5.2. The concept of external debt
and its restructuring
4 Introduction to Exchange Rates  Learned how to  Module / power  Reading Material:  Create a dummy  Quiz
4.1 Introduction to Commercial Trade Foreign point presentation http://bit.ly/Intro account to
Rates of Exchange Exchange toFX MetaTrader 4  Homework
4.2 Currency Rate/Indirect Rate  Video Presentation –
 Learned how to Currency Exchange  Video:  Essay: The  Recitation
Quotation
4.3 Direct Rate Quotation compute the direct Rates – How to http://bit.ly/FXM Effects of
4.4 Exchange Rate Maxims and indirect Convert Currency arket Changes in
4.5 Cross Rates quotation of actual Foreign

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
currency exchange
4.6 Method of Expressing Rates of
Exchange  Basic Forward Exchange Rates
 Online Discussion
4.7 Forward Exchange in this time of
Exchange contract using google meet
4.8 Factors Affecting Forward Rates Pandemic
and factors affecting
4.9 Factors Affecting Exchange
its changes
Rates

 Basic understanding
on how FX market  Start FX trading,
works  Reading Material: monitor and
Foreign Exchange Market  Module / power http://bit.ly/Intro create FX
5.1 Introduction  The foundation of point presentation  Quiz
5.2 Definitions and Exchange Rate Foreign exchange toFX Analysis on the
Quotations market  Video Presentation current market  Homework
5  Video: trends
5.3 Structure of Foreign Exchange
 The application of  Online Discussion http://bit.ly/FXM  Recitation
Markets
arket  Update on their
5.4 Participants actual FX trading and using google meet
5.5 Market Practices — Value Dates factors that needs to FX trading
consider in trading account.
FX in a market

6 International Parity Relationships  Examine several key  Module / power  Reading Material:  Essay: Analysis  Quiz
and FEX Rate international parity point presentation http://finance.wh on Interest Rate
6,1 Interest Rate Parity relationships, such as arton.upenn.edu/ Parity  Homework
6.2 Purchasing Power Parity interest rate parity  Video Presentation: ~bodnarg/course Relationship
 Recitation
6.3 The Fischer Effect and purchasing s/nbae/IFM/Chap between
6.4 International Fisher Effect  Online Discussion
power parity. ter6.pdf Philippines and
6.5 Global Financial Markets using google meet
US, Philippines
6.6 Offshore Market  Understand the  Video: and China
6.7 Interbank Market, LIBID and concept of the http://bit.ly/Inter
LIBOR Rates International Parity estRateParityRela

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
 Explain the
purchasing
Relationships and power parity,
how foreign both the
exchange are tionship absolute and
6.8 Money Market Instruments determined and how relative versions.
the rate being What causes the
forecasted deviations from
the purchasing
power parity?

 Understand the
Currency and Interest Rate features and pricing
Futures/Forwards of currency and
 Reading Material:
7.1 Introduction to Currency interest rate futures
 Module / power https://www.inve
Options as compared with
point presentation stopedia.com/ter Essay: Explain the  Quiz
7.2 Currency Futures Markets forward contracts.
7.3 Currency Futures as a Hedging ms/c/currencyfut difference
Video Presentation between FX Homework
7 Tool  Understand the basic  ure.asp 
Market and Equity
7.4 Forward Rate Agreements reason why forward  Online Discussion  Recitation
 http://bit.ly/ Market.
7.5 Interest Futures and futures contracts using google meet ForwardfutureCo
7.6 LIBOR Futures Contract as derivatives or
7.7 Option Contracts ntracts
redundant securities
7.8 Spot Exchange Rates exist is reduced
7.9 Forward Exchange Rates transaction costs

8 Euro Currency Bond Markets  Understand the  Module / power  Reading Material: Essay: explain the  Quiz
8.0 Euro Currency Bond Markets — concept of Euro point presentation https://www.inve fluctuations in the
Introduction Currency Bond stopedia.com/ter rate of exchange  Homework
8.1 Meaning and Scope Market  Video Presentation ms/e/eurocurren and interest rate.

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
8.2 Important Features of the
cymarket.asp 2. evaluate the
Market
 Online Discussion developments in
8.3 Origin of Euro Currency  Recitation
using google meet  http://bit.ly/ international
8.4 Types of Bonds
EUROBOND financial markets.
8.5 Bond Issue Drill — Regulations
of Bond Market
9 Midterm Examination
 Understand the
purpose of Equity
International Equity Markets and
Investments markets, domestic and
10 10.1 Introduction international.
10.2 Internationalization of Stock  Reading Material:
 Explore the major
Markets https://www.theb Essay:
components of the  Module / power
10.3 Reference Rates/Benchmark alance.com/what- 1. Explain the
Rates international capital point presentation difference  Quiz
are-international-
10.4 Some Changes in Non- markets. between FX
 Video Presentation equity-funds- Homework
deliverable Forward or Swap 2894410 Market and Equity 
 Explore the major
10.5 Risk and Returns from Foreign  Online Discussion Market.  Recitation
components of the
Equity Investments  http://bit.ly/ 2. What Are
international capital using google meet
10.6 Equity Financing in the EquityMarketInve International
11 International Market markets. Equity Markets?
stment
10.7 Global Depository Receipt
 Understand the Risk
(GDR)
and Returns from
10.8 International Depository
Foreign Equity
Receipts
Investments

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
International Foreign Exchange
 Understand the role
Markets
11.1 Definition and its Operations and business purposes  Essay: In your
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11.2 Role of Forex Manager in the of foreign exchange.  Reading Material: own
 Module / power
Indian FX Market point presentation http://bit.ly/Equit understanding,  Quiz
 Describe the functions
11.3 Foreign Direct Investment yMarketInvestme where will you
of the foreign exchange
(FDI)  Video Presentation nt invest your  Homework
market.
11.4 FDI vs. FPI money in the
11.5 Investment Routes of FDI  Online Discussion  Video: The Big future, is it  Recitation
 Understand what
13 11.6 Factors Responsible for using google meet Short Equity Market or
managers do to
Growth of FDI FX Market?
manage exchange rate
11.7 Role of FFDAI in FX Market
risks
11.8 Foreign Exchange
Management Act, 1999
 Understand the
Foreign Exchange Risk and
different risk
Appraisal
14 explaining how
13.1 Foreign Exchange Risk  Explain the
Management — Introduction currency exchange current risk in
13.2 The Trading Book rates are determined your FX trading
 Module / power
13.3 Types — Risks in Risk and their relative  Reading Material: account.
point presentation  Quiz
Management of the Trading Book merits https://www.inve
13.4 Proprietary Trading and  Video Presentation stopedia.com/ter  Explain the  Homework
 Describe the function
Market Making ms/f/foreignexch different risk
13.5 Risk Measurement and process of risk  Online Discussion and how it  Recitation
angerisk.asp
13.6 Value at Risk (VaR) measurement. using google meet affects the
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13.7 Historical Simulation emerging
 Understand the
13.8 Parameter Based Models markets
parameters in
13.9 Arbitrage and Speculation
13.10 Portfolio Management in determining the risk
Foreign Assets level

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
Introduction to Electronic Banking
16.1 What is e-Banking?
16  Reading Material:
16.2 Various form of E-Banking
https://bit.ly/eba
16.3 Other forms of E-Banking  Module / power
 Understand the nkingread
16.4 Benefits of E-Banking point presentation  Quiz
concept, purpose and Essay: Explain the
16.5 E-Banking in Global  https://
process of E-Banking impact of E-
Perspective  Video Presentation  Homework
pocketsense.com/ Banking to the
17.1 Using Online Banking
 Explain various  Online Discussion introduction- traditional  Recitation
Products and Services
17 Benefits of E-Banking electronic- banking Services.
17.2 The Facts About Security and using google meet
banking-
Privacy
17.3 The Banking Revolution Is Just 6531105.html
Beginning

18 Final Term Examination

VII. REQUIREMENTS OF THE COURSE:

Module, internet for online lesson, any gadgets for communication available at home (e.g. laptop, desktop, android phone.)

- Attendance and Participation (Synchronous)


- Compliance to deliverables. (Asynchronous)

1. Academic Requirement
a. Midterm Examination (written)
b. Final term Examination (written)
c. Quizzes
d. Graded Recitation
e. Research Paper Output
f. Homework

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY
2. Institutional (will be included on some examinations)
a. Must be adept in the University, College, and Department
i. vision, mission and objectives
ii. rules and regulations

VIII. Grading System

Class Standing (Quizzes, Assignments, Online works) ...........................................................................50%


Major Examination (Midterm, Final Examination) ....................................................................................50%

Mid Term = Class Standing+Midterm Exam Final Term = Class Standing+Final Exam Final Grade = 1/3 Mid Term + 2/3 Final Term
2 2

IX. References
Recommended readings for students:

 International Finance New Players and Global Markets, Felix I. Lessambo, 2021
 The Economics of Foreign Exchange and Global Finance Third Edition, Springer © 2020
 International Finance: Theory et Policy, Krugman|Paul R.| Melitz|Marc J.| Obstfeld| Maurice 2018
 The Impact of Globalization on International Finance and Accounting, 18 th (ACFA), 2018
 New Challenges in Banking and Finance: 2nd International Conference on Banking and Finance Perspectives, 2018
 International Trade and International Finance: Exploration of Contemporary Issues, 2018

PREPARED BY: REVIEWED BY: APPROVED BY:

MA. DIVINA P. HOSALLA ARNEL DL BASILIO SHIRLY V. SARAGCON, DEM


Faculty, FMGT North Program Head/Coordinator-Financial Management Dean, College of Business and Accountancy

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UNIVERSITY OF CALOOCAN CITY
COLLEGE OF BUSINESS and ACCOUNTANCY

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