Finance

The Master of Science in Finance prepares students for success in the financial professions. Students elect either the Corporate Finance or the Investments concentration. The program is open to students with strong quantitative and analytical skills, regardless of their undergraduate major.

Students may enroll on a full- or part-time basis, but course availability is greatest during the fall and winter semesters. The program usually can be completed within 12-16 months of full-time study. Admission is rolling, and students may begin the program in September or January. May admission is also usually possible for part-time students.

University of Michigan-Dearborn students who have been admitted to the MS-Finance may take up to 6 graduate credits during the final semester of their undergraduate program.  Students must successfully complete their undergraduate degree before taking any additional graduate-level courses.

MS in Finance Program Goals and Objectives

Goal 1:  Students will demonstrate analytical skills in solving problems.

Objectives of the Corporate Finance concentration:  MS in Finance students will have the ability to:

  • Analyze and manage risk in a global setting.
  • Estimate the value of real assets.
  • Evaluate managerial decisions concerning financial policy.​

Objectives of the Investments concentration:  MS in Finance students will have the ability to:

  • Analyze and manage risk in a global setting.
  • Estimate the value of financial assets.
  • Apply portfolio theory concepts to construct optimal risky assets portfolios that meet the objectives and constraints of their clients.

Goal 2:  Students will be persuasive and/or informative communicators.

Objective 1:  MS in Finance students will be able to convey finance knowledge through effective communication.

MS in Finance Admission Prerequisites

  • Mathematics admission prerequisite. Calculus is not required for admission to the MS in Finance.  However, applicants who wish to pursue careers in investments or risk management, as well as those who wish to earn Chartered Financial Analysts (CFA) credentials, are strongly recommended to satisfy the Mathematics admission requirement with a college level Calculus course. Also, Calculus is a course prerequisite to FIN 656, an optional course in the Investments concentration.  Students who wish to take this course must first complete a college level Calculus course with a grade of “C” or better.
  • GMAT/GRE admission prerequisite, unless applicant qualifies for the exemption

MS in Finance Curriculum

Foundation Courses 1
Required:
ACC 505Devel & Interp Financial Info3
BE 530Econ Analysis: Firm & Consumer3
DS 520Applied Statistical Modeling3
FIN 531Fin Fundament & Value Creation3
Concentration
Select one of the following concentrations:21-30
Total Credit Hours30-33

General MSF Requirements

  • Complete at least 15 BE and FIN credits, excluding BE 530 and FIN 531.
  • Complete at least 30 credits in the degree program.

At most 3 courses/9 credits of the 4 required foundations courses may count toward the 30-credit degree requirement. Previous undergraduate or graduate coursework deemed substantially similar to ACC 505, BE 530, DS 520 or FIN 531 may qualify to exempt students from those courses. Exempt courses must be replaced with elective courses within the degree program.

In addition, up to 6 transfer credits for previous equivalent graduate coursework can be applied to the degree if those credits have not been counted toward a degree.  

Exemptions and transfer credit are granted at the discretion of the program faculty.

Concentrations

Corporate Finance

Required:
Topics in Corporate Finance
Corporate Valuation & Strategy
Derivatives & Risk Management
Accounting Electives:6
Select two of the following: 2
Financial Reporting
Advanced Accounting
Cost Management
Intro Federal Income Taxation
Information Tech Auditing
Controllership
Financial Statement Analysis
Advanced Federal Income Tax
General Electives:6-15
Global Econ: Crisis & Growth
Invstmnt Proc, Analysis & Mgmt
Financial Intermediation
International Financial Mgt
Investment Fund Management
Graduate Research
Business Internship
At most one of the following:
Applied Forecasting
Decision Analysis
System Simulation

 

Investments

Required:
Financial Statement Analysis
Invstmnt Proc, Analysis & Mgmt
Derivatives & Risk Management
Topics/Investments & Cap Mkts
Electives:9-18
Global Econ: Crisis & Growth
Topics in Corporate Finance
Financial Intermediation
International Financial Mgt
Fixed Income Securities
Investment Fund Management
Graduate Research
Business Internship
At most one of the following:
Applied Forecasting
Decision Analysis
System Simulation

Learning Goals

Goal 1: Students will demonstrate analytical skills in solving problems.

  • analyze and manage risk in a global setting.
  • estimate the value of real assets.
  • estimate the value of financial assets.
  • evaluate managerial decisions concerning financial policy.
  • apply portfolio theory concepts to construct optimal risky assets portfolios that meet the objectives and constraints of their clients.

Goal 2: Students will be persuasive and/or informative communicators.

  • Our students will be able to convey finance knowledge through effective communication.

FIN 531     Fin Fundament & Value Creation     3 Credit Hours

This course provides the fundamentals of the finance discipline with an emphasis of value creation as the primary objective of a corporation. Capital budgeting analysis and techniques are extensively discussed. Valuation of securities is presented along with an introduction to modern portfolio theory and market efficiency. Issues related to international financial management are also introduced.

Prerequisite(s): (Mathematics Placement with a score of 105 or MATH 104 or MATH 105 or MATH 113 or MATH 115) and (DS 520* or IMSE 510* or IMSE 514*) and ACC 505

Restriction(s):
Can enroll if Class is Graduate

FIN 581     Topics in Corporate Finance     3 Credit Hours

This course integrates theory and practice for major topics such as capital structure and dividend policy. Additional topics include leasing, corporate governance, mergers and acquisitions, short-term financial management, and risk management. These topics are examined from the perspective of the corporate financial manager.

Prerequisite(s): FIN 531 and BE 530* and ACC 505 and (DS 520 or IMSE 510 or IMSE 514) and (Mathematics Placement with a score of 105 or MATH 104 or MATH 105 or MATH 113 or MATH 115)

FIN 650     Corporate Valuation & Strategy     3 Credit Hours

This course examines a variety of financial management topics, such as project and enterprise valuation and risk analysis, corporate restructuring, dividend policy, corporate governance, and current asset management using case studies and readings.

Prerequisite(s): FIN 581 and BE 530

FIN 651     Invstmnt Proc, Analysis & Mgmt     3 Credit Hours

This course provides an examination of the process of investment analysis and management. Topics include: analysis of fixed income securities, stock valuation, and introduction to derivative securities; discussion of portfolio theory and management; and an overview of investment environment. Wherever it is appropriate, the above topics will also be discussed in a global context.

Prerequisite(s): ACC 505 and FIN 531 and (DS 520* or IMSE 510* or IMSE 514*) and (Mathematics Placement with a score of 105 or MATH 104 or MATH 105 or MATH 113 or MATH 115)

Restriction(s):
Can enroll if Class is Graduate

FIN 652     Derivatives & Risk Management     3 Credit Hours

The focus of this course is on understanding the derivative securities and their use in risk management. This course provides an in-depth introduction to options and option pricing as well as an extensive overview of forward, future and swap contracts. This course will draw upon the intuition and analytic tools developed to examine sophisticated financial products or strategies that firms and investors have used in their risk management.

Prerequisite(s): FIN 531 and ACC 505 and (DS 520 or IMSE 510 or IMSE 514) and (Mathematics Placement with a score of 105 or MATH 104 or MATH 105 or MATH 113 or MATH 115)

Restriction(s):
Can enroll if Class is Graduate

FIN 653     Topics/Investments & Cap Mkts     3 Credit Hours

This course prepares students for career development and advancement in the challenging investment profession. The course provides an in-depth study of advanced contemporary topics in global investments and capital markets that are selected from the common body of knowledge of the Chartered Financial Analysts (CFA) program. Topics may include a subset of: advanced investment theory and valuation techniques, asset allocation, behavioral finance, hedge fund, emerging markets and global investing, ethics for investment professionals, financial statements and security analysis, market efficiency, market microstructure, portfolio management and performance evaluation, etc. The format and the topics may vary in each offering.

Prerequisite(s): FIN 651 and (DS 520 or IMSE 510 or IMSE 514)

Restriction(s):
Can enroll if Class is Graduate

FIN 654     Banking, Insurance, and Fintech     3 Credit Hours

Financial intermediaries provide services to borrowers and lenders, and investors and businesses. This course will examine the financial intermediation. While commercial banking will be a particular focus, attention will also be paid to firms such as pension funds and insurance companies. The role of risk management, from both a corporate and a regulatory perspective, will be explored. New technologies are affecting banking and other financial intermediaries, and this course will examine the roles of fintech both for financial intermediaries and the economy as a whole.

Prerequisite(s): FIN 531 and ACC 505 and (DS 520 or IMSE 510 or IMSE 514) and (MATH 104 or MATH 105 or MATH 113 or MATH 115)

Restriction(s):
Can enroll if Class is Graduate

FIN 655     International Financial Mgt     3 Credit Hours

This course views international finance at the micro level, but of necessity it will cover some aspects of macro-level international finance as well, such as the international financial system and balance of payments mechanism. The following topics will be covered: the international financial system, balance of payments, foreign exchange, exchange risk management, international financial markets, foreign investment, and foreign trade financing.

Prerequisite(s): FIN 531 and ACC 505 and BE 530 and (DS 520 or IMSE 510 or IMSE 514)

FIN 656     Fixed Income Securities     3 Credit Hours

The fixed income market, accompanied by the introduction of sophisticated financial engineering techniques, has grown enormously over the last two decades. Today, the fixed income market has been a vital segment of the global financial market. This course covers major topics associated with this market, including bond pricing, yields, and volatility; term structure of interest rates and yield curve; market structure and analytical techniques for Treasury, municipal, corporate bonds, mortgage-backed securities, asset-backed securities, and bond with embedded options. The fundamental objective of this course is to help students develop analytical skills for pricing fixed income securities and managing interest rate risk. In addition, materials covered in this course are compatible with the Common Body of Knowledge in Analysis of Debt Investments that is required by the Chartered Financial Analysts (CFA) examination. Students will not receive credit for both FIN 456 and FIN 656.

Prerequisite(s): (MATH 113 or MATH 115 or Mathematics Placement with a score of 116) and FIN 651* and (FIN 581 or FIN 652 or FIN 654 or FIN 655)

Restriction(s):
Can enroll if Class is Graduate

FIN 657     Investment Fund Management     3 Credit Hours

This course introduces finance students to investing approaches and analytical techniques including both Intrinsic and Relativistic analyses used for security analysis employed and implemented by professional money managers. The course is recommended for finance students seeking to develop careers related to money management, investment analysis, financial analysis, portfolio management and related financial services careers. The main focus of the course is to gain the experience and skills of equity securities analyses through the Student Managed Investment Fund. The course requires application of fundamental and intrinsic equity analyses valuation. Graduate students are required to analyze data at a more advanced level than that required of undergraduate students. (F,W,OC) Students cannot receive credit for both FIN 457 and FIN 657

Prerequisite(s): FIN 651

*An asterisk denotes that a course may be taken concurrently.

Frequency of Offering

The following abbreviations are used to denote the frequency of offering: (F) fall term; (W) winter term; (S) summer term; (F, W) fall and winter terms; (YR) once a year; (AY) alternating years; (OC) offered occasionally