2018/2019 KANCOECO1050U Asset Pricing
English Title  
Asset Pricing 
Course information 

Language  English 
Course ECTS  7.5 ECTS 
Type  Mandatory offered as elective 
Level  Full Degree Master 
Duration  One Semester 
Start time of the course  Autumn 
Timetable  Course schedule will be posted at calendar.cbs.dk 
Max. participants  50 
Study board 
Study Board for MSc in Advanced Economics and
Finance

Course coordinator  


Main academic disciplines  


Teaching methods  


Last updated on 31052018 
Relevant links 
Learning objectives  


Course prerequisites  
This is a mandatory course for the MSc in
Advanced Economics and Finance. It is assumed that students have
knowledge similar to the entry requirements for this programme. The
course has 45 confrontation hours and there is a high level of
interaction betw. lecturer and students, and in general a high work
load.
The course assumes mathematical knowledge up to advanced college level or 1st year undergraduate level. This means basic analysis, univariate calculus, linear algebra, and probability. To sign up send a 1page motivational letter, a 1page CV, and a grade transcript to oecon.eco@cbs.dk no later than 24 April 2018. Please also remember to sign up through the online registration 

Examination  
The exam in the subject consists of two parts:


Course content and structure  
Asset pricing theory is the subject of uncertain cash flow
valuation in terms of risk adjustments. Empirical work typically
infers these risk adjustments, imbedded in low average prices, from
high average returns. For example, the equity risk premium
This course provides a first principles account of discrete time
asset pricing theory.
The syllabus is both exciting and extensive covering:
• Choice Under Uncertainty, Utility Functions,
and Risk Aversion
• Consumption Based Models


Description of the teaching methods  
• 9 lectures
• 4 problem classes • 1 summary / revision class 

Feedback during the teaching period  
Exercises Classes
Course works Forum 

Student workload  


Further Information  
PhD students taking the CBS PhD course in Asset Pricing are following a large part of this course and may be present during the lecture sessions. 

Expected literature  
Indicative: • ‘Finance Decisions and Markets: A Course in
Asset Pricing’, John Campbell
