This course aims to assist the student to understand the role of financial institutions and markets play in the business environment and also to develop a series of applications of principles from finance and economics. The main subjects will include interest rates, stocks, principals of derivatives, and currencies as well as commercial banks, investment banks, insurance companies, mutual funds, the Federal Reserve Systems. The course also will cover Models for portfolio decisions by investors and the pricing of securities in capital markets, theory of choice under uncertainty, stochastic properties of security prices, portfolio theory, asset pricing models, term structure models and pricing of derivative securities