Subject: Financial Markets

Scientific Area:



64 Hours

Number of ECTS:




Overall objectives:

1 - The Financial Markets subject has as objective to provide students with the analysis of both theoretical issues and practical information in the area of markets and financial instruments that enable them to acquire the following knowledge and skills: i) Undertake economic and financial analysis of the company; ii) Knowing the markets and financial instruments in terms of their functions and main characteristics; iii) Dominate the principles of decision and financial evaluation and learn to implement them; iv) To know the theories behind the great choices in terms of risk/return, and to implement them in decision-making strategies; v) To know the main derivative instruments and their evaluation methods.


1 - Part I - Portfolio Management 1. Profitability and Risk 2. Efficient Frontier 3. Tobin Model 4. Financial Assets Balance Model Part II - Valuation of Fixed Income and Variable Securities 5. Bonds 6. Companies Evaluation (shares) Part III - Derivatives 7. Fowards and Futures 8. Financial Options 9. Swaps: Brief Introduction


António Mota, Clementina Barroso, João Nunes e Miguel Ferreira , 2010 , Finanças Empresariais - Teoria e Prática , Edições Sílabo
Carlos Pinho e Isabel Soares , 2008 , Finanças, Mercados e Instrumentos , Edições Sílabo
António Mota, e outros , 2009 , Investimentos Financeiros - Teoria e Prática , Edição Sílabo
John Hull , 2011 , Options, Futures and Other Derivatives , Pearson
Berk, J. B., P. M. DeMarzo , 2016 , Corporate Finance , Person
Richard A. Brealey, Stewart C. Myers, Franklin Allen , 2014 , Principles of corporate finance , McGraw-Hill/Irwin

Assesssment methods and criteria:

Classification Type: Quantitativa (0-20)

Evaluation Methodology:
- Exposure of subjects / syllabus; - Use of practical examples for application of the topics covered; - Resolution of cases proposed. Evaluation based on two tests with equal weighting. The student must do two written tests, weighing 50% each. Time of resource / improvement: If the student is not approved in the normal time or intends to improve his / her evaluation, he / she should take an overall examination with the weight of 100%