This specialization is intended for students who want to gain a deep understanding of the functioning of financial markets and the role played by financial intermediaries. Students will analyze the role of liquidity in securities markets, and they will understand how security trading is organized and regulated and how it has been reshaped by algorithmic and high frequency trading, and how the trading process affects the formation of asset prices. They will also learn how to apply basic techniques to price derivatives and use them for hedging or speculative purposes. Finally, they will study how banking crises arise and propagate to the real economy, what regulators can do to prevent them, and how the “Fintech revolution” is shaping the banking industry.

Applied Learning Project

This specialization uses a combination of homework, quizzes and optional exercises to provide learners with a comprehensive understanding of the functioning of financial markets and the role played by financial intermediaries. Through these activities, students will learn how to assess banks’ performance and risk profiles, analyze the impact of FinTech on traditional banking practices, apply numerical methods for option pricing, calculate fixed income product prices, and measure trading costs. Furthermore, learners will gain insights into how order flow impacts market liquidity and price discovery, as well as the purpose and utilization of algorithmic and high-frequency trading. The curriculum equips you with knowledge to make informed financial decisions and evaluations.