International Finance

Indian Institute of Technology Kharagpur

This Subject is designed to familiarize students with international financial transactions and Operational aspects of foreign exchange markets. It focuses on forex market participants, exchange rates determination, international arbitrage, foreign exchange risks and its management and international capital market. It enables students to understand the crux of international financial market.

Course topics:

  1. International Financial Environment
  2. International Financial Transactions
  3. Gold Standards and Paper Currency Standard
  4. Purchasing Power Parity and Paper Currency Standards
  5. Floating Rate System
  6. Currency Basket System
  7. Foreign Exchange Market
  8. Exchange Rate Arithmetics   
  9. Understanding Merchant Rates
  10. Foreign Exchange Forward Contracts
  11. VaR and Foreign Exchange Market
  12. International Parity Conditions  and Movement of Exchange Rate
  13. Exchange Rate Determination and Forecasting
  14. Development of Foreign Exchange Market in India
  15. Foreign Exchange Exposures and Transaction Exposure
  16. Analysis of transaction exposure
  17. Foreign Exchange Futures Market
  18. Currency Options
  19. Interest rate swaps
  20. Currency swaps
  21. Operating Exposure Assessment
  22. Operating Exposure Management
  23. International Capital Structure
  24. International Capital Asset Pricing
  25. International Capital Budgeting and FDI
  26. International Equity  Market - GDR
  27. World Trade Organisation
  28. International Integration of India’s Financial Markets
  29. Forex Reserves Composition and Determinants of Optimum Reserves – A Case for India
  30. Movement of Exchange Rates in India
  31. International Trade Theory
  32. International Bond Market
  33. India’s Foreign Trade – Direction and Composition
  34. Financial Stability
  35. Money and Forex Markets interaction
  36. Characteristics of Indian Foreign Exchange Market
Course Lectures