EC372-7-SP-CO:
Economics of Financial Markets and Intermediation
2026/27
Economics
Colchester Campus
Spring
Postgraduate: Level 7
Current
Monday 18 January 2027
Thursday 25 March 2027
20
20 March 2026
Requisites for this module
(none)
(none)
(none)
(none)
(none)
The objective of this module is to study the workings of the financial system, as constituted by the financial contracts and securities that are traded in markets, devoting special attention to financial intermediaries. We will analyse the reasons why and how money and credit flows from savers to entrepreneurs to create value.
By developing a critical understanding of the fundamentals of the micro-structure of credit flows, students should get a detailed grasp of the macroeconomic consequences of regulation, monetary, and central bank balance sheet policies. The approach relies on a detailed and formal discussion of empirical evidence together with the analysis of formal models.
The aims of this module are:
- To study in detail the workings of the financial system, as constituted by financial contracts, securities traded in markets, the role of financial intermediaries.
- To critically analyse the reasons why and how money and credit flows from savers to entrepreneurs to create value.
- Develop a good formal understanding of the micro-structure of credit flows, to get a detailed grasp of the macroeconomic consequences of regulation, monetary, and central bank balance sheet policies. The approach is resolutely analytical and formal mathematical models and analysis will be used.
By the end of this module, students will be expected to be able to:
- Develop an in-depth big picture of financial markets, which party does what and how different parts fit together.
- Develop in-depth knowledge of corporate finance and investment banking.
- Obtain practical knowledge on trading strategies.
- Obtain analytical skills required in jobs in corporate finance and investment banking.
Transferable Skills
This module incorporates literacy, numeracy and ICT skills, as well as research, information and communication skills which will be needed for continuing professional development. It will equip the student with detailed critical understanding of the decision-making in and complex operation of financial markets in advanced economies, that are crucial to obtaining and adapting to employment in or involving financial sector and related organisations.
- Clear, concise and well organised answers to assigned questions including those involving complex decisions;
- Personal initiative and responsibility in relation to time management, target-setting to achieve the timely completion of module problem sets and other reading assignments.
Syllabus information
- Part 1: The big picture of financial markets.
- Part 2: Investors.
- Part 3 Corporate Finance.
- Part 4: Investment banks.
This module will be delivered via:
- Lectures and classes typically comprising 2 hours of lecture weekly and 1 hour of class in the following week.
Assessment items, weightings and deadlines
| Coursework / exam |
Description |
Deadline |
Coursework weighting |
| Exam |
Main exam: In-Person, Open Book (Restricted), 120 minutes during Summer (Main Period)
|
| Exam |
Reassessment Main exam: In-Person, Open Book (Restricted), 120 minutes during September (Reassessment Period)
|
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
No
No
Yes
No external examiner information available for this module.
Available via Moodle
No lecture recording information available for this module.
Economics
* Please note: due to differing publication schedules, items marked with an asterisk (*) base their information upon the previous academic year.
Disclaimer: The University makes every effort to ensure that this information on its Module Directory is accurate and up-to-date. Exceptionally it can
be necessary to make changes, for example to programmes, modules, facilities or fees. Examples of such reasons might include a change of law or regulatory requirements,
industrial action, lack of demand, departure of key personnel, change in government policy, or withdrawal/reduction of funding. Changes to modules may for example consist
of variations to the content and method of delivery or assessment of modules and other services, to discontinue modules and other services and to merge or combine modules.
The University will endeavour to keep such changes to a minimum, and will also keep students informed appropriately by updating our programme specifications and module directory.
The full Procedures, Rules and Regulations of the University governing how it operates are set out in the Charter, Statutes and Ordinances and in the University Regulations, Policy and Procedures.