Finance: Description

The Finance option in the MBA program provides students with the theoretical basis and practical skills to maximize value in the areas of investment securities and portfolio management, financial risk management, international finance and corporate financial management. In recent years the importance and complexity of the financial manager’s duties have increased with the proliferation of new securities and new global markets resulting from the deregulation of the financial markets and the expanding global economy.

One of the most exciting career paths in the field of finance is the investment analysis profession. Whether an individual is a security analyst, portfolio manager or in other related investment positions, this career path can be elating and, at times, frustrating but seldom boring and commonplace. Top analysts and portfolio managers are awarded six-figure salaries plus bonuses. Nowadays, individuals who are interested in pursuing careers in money management are encouraged to possess a Chartered Financial Analyst (CFA) in addition to their MBA degrees.

In the personal financial services field growth is projected to increase by 15% annually for the next ten years creating a large demand for well-trained knowledgeable financial advisors. Individuals in this field design and deliver advice and financial products to public and private sector employees primarily for retirement and estate planning purposes. Advisors with a large client base can earn $150,000 and above while managers of state pension funds and bank trust departments receive from $60,000 to $150,000 per year. Salaries in private funds are again commensurate with performance and can rise into the million dollar range. Professional accreditation as a Certified Financial Planner (CFP) is recommended and the Finance program in the Craig School of Business is recognized by the CFP authorizing body as a designated program.

In the commercial and investment banking areas the growing global economy opens up new markets and job opportunities for executives with an understanding of international finance and investment strategies. Investment bankers are involved with corporate mergers and acquisitions, security analysis, and security trading and portfolio management at the institutional level. Salaries for rookie investment bankers start in the low six-figures and may increase to the million dollar range commensurate with job performance and experience.

Domestically, the removal of the barriers between financial institutions has produced new challenges in the banking and insurance industries as companies create new products and services to satisfy customer needs. Salaries for top executives in these industries vary with the size of the firm. In California base salaries for CEOs of commercial banks averaged $150,000 to $250,000 in 1999 while CFOs averaged $105,000 to $150,000. Senior loan officers averaged $100,000 to $120,000. Like investment bankers performance bonuses and stock options for these executives can increase their overall compensation considerably.

Corporate financial officers are responsible for actively managing the finances of a business from budgeting and control within the firm to raising funds from external sources. Salaries of top financial managers vary depending on the size of the firm. Base pay for chief financial officers in large firms averaged over $200,000 in 1999 while those in small firms averaged $80,000 to $120,000 per year. Divisional financial officers earned from $40,000 to $80,000 per year. As with other financial positions performance bonuses and stock options can increase the overall compensation for such positions.

top

Finance: Elective Courses

MBA 230. Seminar in Advanced Financial Management (3). (Required). Prerequisites: MBA 212. An applied case-method analysis of theories, concepts, and analytical techniques of financial management, financial analysis and planning, capital budgeting, leasing, refunding, mergers and acquisitions, corporate restructuring, financial engineering, derivative securities. Lecture and cases. Fall semester.

MBA 231. Seminar in International Finance (3) Prerequisite: MBA 212. An advanced study of theories and techniques in global finance and investment. The international financial system; currency markets; risks and exposure management; balance of payments; political risks; international banking and capital markets; Euro currencies; portfolio and foreign direct investment. Spring semester.

MBA 232. Seminar in Investments and Portfolio Management (3) Prerequisites: MBA 212. Advanced analysis of equity and fixed-income securities and mutual funds; operation of financial markets and investment environment; contemporary theories and techniques of security selection and management available to the institutional portfolio manager; and portfolio performance evaluations. Lecture and cases. Fall semester.

MBA 233. Seminar in Management of Financial Institutions (3) Prerequisites: MBA 212. Comprehensive analysis of the role of financial institutions and markets in allocating capital. Application of economic and financial analytical techniques to the managerial problems of financial institutions. Lecture and cases. Spring semester.

MBA 234. Seminar in Options, Futures, and Other Derivatives (3). Introduction to the use and pricing of derivative assets such as options, futures, swaps, and option-like features embedded in corporate securities. It covers mathematical concepts underlying derivative markets and contracts and basic pricing models. The use of derivatives for speculative purposes, hedging purposes, arbitrage will be discussed. Lecture and cases. Spring semester.

MBA 289T. Seminar in Business Topics (3) Prerequisite: completion of 9 units of 200-level courses and permission of Graduate Director. Theory and developments in business. Irregular offerings.

MBA 290. Independent Study (3-6) Prerequisite: Advancement to candidacy; permission of Graduate Director and Faculty Advisor. Approved for SP grading. Fall or Spring semester.

MBA 292. Readings in Business (3) Prerequisite: Advancement to candidacy; permission of Graduate Director and Faculty Advisor. Approved for SP grading. Fall or Spring semester.

top

Finance: Contact

Dr. KC Chen (Ph.D, Ohio State University)
Chair – Department of Finance and Business Law
E-mail: kchen@csufresno.edu
Phone: (559) 278-5646
Fax: (559) 278-4911

top