BE352-7-AU-CO:
Asset Pricing
2025/26
Essex Business School
Colchester Campus
Autumn
Postgraduate: Level 7
Current
Thursday 02 October 2025
Friday 12 December 2025
20
24 February 2025
Requisites for this module
(none)
(none)
(none)
(none)
(none)
MRESN30012 Finance,
MSC N30012 Finance,
MSC N30024 Finance,
MSC N34212 Financial Engineering and Risk Management,
MSC N34224 Financial Engineering and Risk Management,
MPHDN30048 Finance,
MPHDN30084 Finance,
PHD N30048 Finance,
PHD N30084 Finance
The module has two parts, theoretical and empirical. It will first review the fundamental theoretical concepts, such as expected utility and risk aversion, portfolio choice, pricing kernel, risk-neutral valuation, and consumption-based asset pricing. The second part of the module will focus on empirical issues of asset pricing including the cross-section of stock returns, factor pricing models, estimation methods in asset pricing, and time series predictability.
The aims of this module are:
- To provide a formal introduction to asset pricing theories.
- To help the students understand the assumptions and limitations of asset pricing models.
- To explain the practical application of asset pricing models and demonstrate their role in real investment practice.
By the end of this module, students will be expected to be able to:
- Demonstrate a solid understanding of important topics such as expected utility, portfolio analysis, and asset pricing.
- Explain and solve problems related to state price representations, pricing kernels, and risk-neutral valuation.
- Understand the assumptions of asset pricing models, such as the CAPM and the Fama-French factor models, and learn how to implement them in practice.
- Perform data manipulation and estimation of asset pricing models using state-of-the-art software.
- Learn how asset pricing models are used in real investment.
Skills for Your Professional Life (Transferable Skills)
The module will help you with the following transferable skills:
- Financial data analysis
- Ability to estimate asset pricing models and evaluate the results
- Literacy and numeracy skills
- Personal time management in the context of coursework and exam
Lecture Content
- Expected utility and risk aversion
- Portfolio choice and state prices (1)
- Portfolio choice and state prices (2)
- Linear pricing and arbitrage
- Capital Asset Pricing Model (CAPM)
- Empirical Methods in Asset Pricing
- Cross-section of stock returns
- Asset Pricing Anomalies
- Factor Models
- Time Series Predictability
This module will be delivered via:
- Two-hour lecture each week
- One-hour class or lab each week.
This module does not appear to have a published bibliography for this year.
Assessment items, weightings and deadlines
| Coursework / exam |
Description |
Deadline |
Coursework weighting |
| Coursework |
2,000 word essay |
|
50% |
| Practical |
In-class Test |
|
50% |
Exam format definitions
- Remote, open book: Your exam will take place remotely via an online learning platform. You may refer to any physical or electronic materials during the exam.
- In-person, open book: Your exam will take place on campus under invigilation. You may refer to any physical materials such as paper study notes or a textbook during the exam. Electronic devices may not be used in the exam.
- In-person, open book (restricted): The exam will take place on campus under invigilation. You may refer only to specific physical materials such as a named textbook during the exam. Permitted materials will be specified by your department. Electronic devices may not be used in the exam.
- In-person, closed book: The exam will take place on campus under invigilation. You may not refer to any physical materials or electronic devices during the exam. There may be times when a paper dictionary,
for example, may be permitted in an otherwise closed book exam. Any exceptions will be specified by your department.
Your department will provide further guidance before your exams.
Overall assessment
Reassessment
Module supervisor and teaching staff
Dr Lazaros Symeonidis, email: l.symeonidis@essex.ac.uk.
Dr Liya Shen & Dr Lazaros Symeonidis
ebspgtad@essex.ac.uk
Yes
No
Yes
Dr Nikolaos Voukelatos
University of Kent
Senior Lecturer in Finance
Available via Moodle
Of 376 hours, 0 (0%) hours available to students:
376 hours not recorded due to service coverage or fault;
0 hours not recorded due to opt-out by lecturer(s).
* Please note: due to differing publication schedules, items marked with an asterisk (*) base their information upon the previous academic year.
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