# 2018/2019  KAN-CFIVO1001U  Quantitative Methods

 English Title Quantitative Methods

# Course information

Language English
Course ECTS 7.5 ECTS
Type Mandatory
Level Full Degree Master
Duration One Semester
Start time of the course Autumn
Timetable Course schedule will be posted at calendar.cbs.dk
Study board
Course coordinator
• Claus Munk - Department of Finance (FI)
• Finance
• Mathematics
• Statistics and quantitative methods
Teaching methods
• Face-to-face teaching
Last updated on 20-06-2018

Learning objectives
The student should be able to solve quantitative problems similar to those dealt with in the course using appropriate mathematical and statistical concepts and methods as well as relevant IT tools.
Examination
Course content and structure

The course provides the quantitative tools necessary for successfully following courses like Investments, Empirical Finance, and Derivatives and Fixed Income.

The topics covered include:

Analysis: Functions and their properties, Differentiation and Taylor series approximations, Equation solving, Optimization without or with constraints, Integration

Linear Algebra: Vector and matrix algebra, Linear equation systems

Statistics: Random variables and probability distributions, Inference, Hypothesis testing, Regression models, Basic Time Series models, Monte Carlo methods

Examples from finance and economics are given throughout.

The couse also introduces students to how IT tools (e.g. Excel, VBA, Python or similar) can be used for solving quantitative problems in finance.

Description of the teaching methods
Lectures and exercises
Feedback during the teaching period
The students will be offered to hand in answers to a voluntary assignment similar to an exam problem set and obtain feedback from the teacher or teaching assistant
 Lectures 33 hours Exercises 14 hours Preparation for lectures 66 hours Preparation for exercise classes 70 hours Exam 4 hours Final preparation for exam 19 hours
Expected literature

Mandatory literature

• Sydsæter, Hammond, Strøm and Carvajal: Essential Mathematics for Economic Analysis; 5rd ed., 2016, Pearson (or similar).
• David Skovmand: Supplementary Notes on: Linear Algebra, Probability and Statistics for Empirical Finance, 2013, downloadable (or similar).

Supplementary literature could include:

• Robert L. McDonald: An Introduction to VBA in Excel, 2000, downloadable
• Reference books on Excel and VBA. Popular bestsellers like 'Excel 2013 Bible' and 'Excel 2013 Power Programming with VBA' by John Walkenbach are each very extensive (>1000 pages) and available on-line at CBS for free.
Last updated on 20-06-2018