Programme Outlines and Overviews

Understanding what drives asset prices is fundamental to financial stability, investment strategy, and policy design. This course responds to the growing need for professionals who can interpret market valuation through theory and evidence, integrating quantitative analysis with awareness of sustainability and macroeconomic conditions that influence risk, return, and capital allocation. This course provides you with a rigorous foundation in the theory and empirical methods of asset pricing. You will explore how financial markets value securities, with a focus on the role of risk, time, and information. In equities, your attention is directed to models linking risk factors to expected returns, cross-sectional valuation approaches, and performance diagnostics. In fixed income, you will analyse the evolution of short-term rates, the shape of the yield curve, and the decomposition of yield movements into key components. For commodities and digital assets, you will be presented with frameworks addressing storage, convenience yield, and risk premia. The course integrates mathematical tools and empirical methods to analyse asset returns and test pricing models. Emphasis is placed on both theoretical intuition and practical application, preparing you for a career in finance, research, or further academic study.