Some Notes (FINA 4360)

During the Fall 2002 semester, a student, Eric Huang, took notes in class with a laptop. Unfortunately, Eric started taking notes in a systematic way only in October. Eric, however, has generously made his notes available to me and to all students. I went over the notes, added some paragraphs, graphs, some appendices and bonus material, but overall the notes are in the same format as Eric took them. In the Fall 2004 semester, some students and myself added the missing, early chapters, but we kept Eric's concise writing style. Over time, I updated and corrected the notes. Each Fall, I re-revise the notes and add new material. I usually update data & references, add more graphs & stats, and expand on some topics (mainily, on the more technical points).


The notes are available as is. If you find any mistakes, let me know, so I can correct them. These class notes are in no way a substitute for attending class or reading the textbook.

  • Intro (pdf format)
  • Chapter 3 (pdf format)
            - FX-Intro slides (pdf format)
  • Chapter 4 (pdf format)
            - FX Determination slides (pdf format)
  • Chapter 5-a (pdf format)
            - FX Futures slides (pdf format)
  • Chapter 5-b (pdf format)
            - FX Options slides (pdf format)
  • Chapter 6 (pdf format)
            - FX Rate Systems slides (pdf format)
  • Chapter 7 (pdf format)
            - Arbitrage in FX Mkts (pdf format)
  • Chapter 8-a (pdf format) - PPP Test: Regression worksheet (xls format)
            - PPP slides (pdf format)
  • Chapter 8-b (pdf format) - IFE Test: Regression worksheet (xls format)
            - IFE, EH & RW slides (pdf format)
  • Chapter 9 (pdf format)
            - FX Forecasting slides (pdf format)
  • Chapter 10-a (pdf format) - Updated Example of Simulation for TE (CHF) (xls format)
            - Measuring FX Exposure slides (pdf format)
  • Chapter 10-b (pdf format) - EE Regression worksheet (xls format)
            - Measuring TE - Portflio Approach slides (pdf format)
  • Chapter 10-c (pdf format)
            - Measuring Economic Exposure slides (pdf format)
  • Chapter 11-a (pdf format)
            - Managing TE slides (pdf format)
  • Chapter 11-b (pdf format)
            - Managing TE with FX Options slides (pdf format)
  • Chapter 12 (pdf format) - EE worksheet (xls format)
            - Managing EE slides (pdf format)
  • Chapter 13 (pdf format)
            - DFI slides (pdf format)
  • Chapter 14 (pdf format) - NPV worksheet (xls format)
            - MNC Budgeting slides (pdf format)
  • Chapter 16 (pdf format)
            - CR slides (pdf format)
  • Chapter 17 (pdf format)
            - Cost of Capital slides (pdf format)
  • Chapter 18-a (pdf format)
            - International Bond Mkts slides (pdf format)
  • Chapter 18-b (pdf format)
            - Swaps slides (pdf format)
  • Chapter 18-c (pdf format)
            - Swaps 2 slides (pdf format)
  • Chapter 20 (pdf format)
  • Chapter 21 (pdf format)

  • Download all Lecture Notes together (version 2022) (pdf format)


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