Full Time MBA Program - Finance Specialization
The Finance specialization is concerned with collecting and analyzing financial information, evaluating alternative courses of action, developing well-supported recommendations, and clearly communicating those recommendations both orally and in writing.
The two analyses emphasized are the financing decision and the investing decision. The financing decision involves choosing the optimal sources and mix of different types of external and internal capital in order to minimize cost subject to risk constraints. The Finance specialization requires a total of four courses, which provide different but related perspectives on the financing function, thus promoting a complete understanding of the financing alternatives available to a firm. The investment decision involves the allocation of capital within a firm to maximize shareholder wealth. Taken together, the four required courses develop a thorough picture of how firms make allocation decisions, from banks deciding which loans to make, to manufacturing firms deciding which plants to build, to investment managers evaluating the attractiveness of securities or projects. The two-course elective option provides students some flexibility within the Finance specialization.
The following prerequisite course is required for the Finance specialization:
Addresses the acquisition and allocation of funds for non-financial firms. Topics include financial tools, valuation, risk and return, cost of capital and capital budgeting, long and short-term fund sources, capital structure and dividend policy, working capital management, and mergers and acquisitions. Executive view stressed. Includes use of cases. Prerequisite: MBA students only or consent of Graduate and Executive Programs in Business.
The following two courses are required for the Finance specialization:
Appraisal of investment risks of specific securities; valuation and suitability of specific securities for investment. Management of fixed-income and equity portfolios emphasizing the role that options and futures play in managing securities portfolios. Not open to students with credit for FIN 4350.
Development of spreadsheet applications and use of the case method to apply decision-making procedures to realistic problems in finance. Not open to students with credit for FIN 4550.
Students must also choose two additional courses from the following:
Extends financial management to the international arena with emphasis on the financial strategies of multinational corporations. Topics include foreign exchange markets, currency futures and options markets, swaps, international securities markets, managing and hedging security risk, multinational financing strategies and capital budgeting, and international portfolio management. Not open to students with credit for FIN 4100.
Management of commercial banks, investment banks, investment companies, and other financial institutions. Emphasis on services and functions of financial institutions and management of risk in providing those services including lending, underwriting, deposit services, merger and acquisition assistance, and intermediation. Not open to students with credit for FIN 4450.
Methods and alternatives for managing real risk exposures with a major focus on personal risks. Topics include identifying risk exposures, legal aspects of insurance, life insurance needs analysis and policies, medical and disability insurance, Social Security benefits, long-term care insurance, homeowners and auto insurance, and property and liability insurance.
Essentials of personal retirement and pension planning and employee benefit planning. Retirement resource needs analysis. Qualified and non-qualified retirement plans. IRAs, Social Security and Medicare benefits, and other employee benefit pension plans. Plan eligibility and plan distribution options. Tax and government regulations affecting retirement plans. Group like insurance, disability, medical insurance, and other employee benefits.
Development of a client's comprehensive financial plan from the perspective of a pre-professional financial planner. Review and integration of the five practical areas of financial planning including investment, insurance, tax, retirement, and estate planning.
Extended discussion of application of equity and fixed-income securities analysis and valuation, financial derivatives analysis, and portfolio management. Coverage may include the management of BGSU Student Managed Investment Fund.