Educational aims
The scope of the knowledge, skills, and applications covered in this qualification aims to provide you with a postgraduate-level educational experience in the specialist area of finance.
The key objectives of the qualification are to enable you to:
- develop an up-to-date perspective on both theory and practice in national and international contexts
- strengthen your ability to keep pace with future developments in financial management including knowledge of markets, players and instruments
- learn and apply the tools used for financial analysis and decision support in corporations, financial institutions and other organisations
- develop appropriate information search, retrieval and analytical skills in digital environment.
Learning outcomes
The qualification provides opportunities for you to develop and demonstrate knowledge and understanding, qualities, skills, and other attributes in the following areas:
Knowledge and understanding
On completion of this qualification, you will be able to demonstrate knowledge and understanding of the:
- scope of financial knowledge and its application within a wide range of national and multinational organisations
- fundamentals of financial analysis and corporate finance theory
- organisational performance in terms of return on investment, investment risk, and capital structure management.
- implications of corporate governance, agency theory and the related role of stakeholders
- the concept of business and why ethics matter
- links between corporate finance theories underpinning the cost of capital, dividend policy, and efficient markets
- practical applications of quantitative finance to project appraisal, company valuation, mergers and acquisitions, risk management, the history of investment, and investment management
- core features and instruments of Islamic finance
- various financial risks faced by corporations and financial institutions and ways to manage those risks
- the trends in finance theory and its applications
- concept of diversification through a portfolio of assets, asset allocation in the international context, investment objectives, and management of the portfolio and its performance.
Cognitive skills
On completion of this qualification, you will be able to:
- critically assess alternative methods for valuing companies, prepare and evaluate financial projections of projects, and carry out sensitivity analysis
- calculate the cost of capital using different methods, evaluate capital structures that may be applied by companies, and assess the implications of these structures for the cost of capital and valuation
- construct a portfolio of assets comprising financial securities and manage portfolio risk
- value various types of derivative securities, use financial risk management techniques, and hedge risks
- select, access, and evaluate relevant published research and information across a range of areas relevant to finance theory and its application, accessed digitally through the OU library and other web-based resources.
Practical and/or professional skills
On completion of this qualification, you will be able to:
- demonstrate a sound understanding of financial theory and its application in strategic decision-making
- appreciate the governance and ethical issues encountered in the finance profession
- identify the financial data and present it in an analytical manner, prepare financial appraisal of projects, and provide commentary and advise on the mergers and acquisitions valuation
- devise risk management strategies
- construct portfolios and manage portfolio risk
- use Excel to solve problems related to investing and financial analysis, conduct data visualisation, perform statistical tests, and carry out basic regression analysis
- practise conducting data visualisation, statistical tests, and regression analysis in R.
Key skills
On completion of this qualification, you will be able to:
- carry out financial calculations for use in corporate finance decisions (e.g. investment analysis), including the use of computer spreadsheets, and perfom risk and return calculations for individual securities and portfolios of securities
- analyse and interpret financial statements, and carry out company valuations
- conduct statistical and econometrical analysis of financial problems
- show evidence of digital scholarship by finding, using, managing, and sharing information and literature through digital resources.
Teaching, learning and assessment methods
The qualification offers an integrated learning experience using a wide range of teaching and learning resources and assessment approaches.
This will include study materials supplied by the OU, online tuition provided by a dedicated subject tutor, activities including practical exercises, critiquing and collaborating with other students and, finally, assignments and end-of-module assessments.
The study materials will include a comprehensive range of specially written module materials, case studies, original texts, video, audio, and interactive software.
The tutor is your first point of contact throughout your studies. They will answer questions on materials, mark assignments, and run online tutorials. You will be part of an online tutor group, with whom you will undertake learning activities and explore topics as you study them.
You will be expected to engage in a range of activities, including reading texts, solving numerical problems and scenarios, researching and using relevant literature on contemporary issues in finance, and applying theories to practical situations. Cognitive and practical skills are developed through a range of activities within the modules, including prompted and guided search and retrieval of information, literature, and databases.
The materials and tutor support will help you develop your skills in managing workloads. You will spend a large percentage of your time working under your own direction and initiative. Your progress and learning are measured by tutor-marked assignments and examinations. Assignments and examinations will demonstrate your understanding of principles and relevant theories, as well as their application to problem-solving situations. In addition, these will showcase your ability to critically read and comment on academic literature in related areas. They will also require evidence of practical and professional skills, as well as demonstrated knowledge and understanding.