SOUTHEAST MISSOURI STATE UNIVERSITY
Department of Economics and Finance
Course No. FI475
Title of Course: Futures Seminar Revision: Spring 2001
I. Catalog Description and Credit Hours of Course:
Fundamentals, strategies and applications of agricultural and financial futures contracts and markets. (3 hours)
Senior standing and one of the following: (1) AG447 or FI368 with a minimum grade of "C"; (2) honors students; or (3) consent of department chairperson
III. Purposes or Objectives of Course:
A. To study the principles and applications of futures contracts. (Demonstrate capabilities for critical thinking, reasoning and analyzing.)
B. To study the development of agricultural and financial futures contracts for risk management. (Demonstrate an understanding of human experiences and the ability to relate them to the present.)
C. To study the various types of futures contracts and exchanges in the U.S. and other countries. (Demonstrate an understanding of various cultures and their interrelationships.)
D. To study the behavior of futures prices and their use for hedging and speculating purposes. (Demonstrate the ability to locate and gather information. Demonstrate the ability to make informed, intelligent value decisions. Demonstrate the ability to make informed, sensitive aesthetic responses.)
IV. Expectations of Students:
A. Students will be expected to study all assigned material in the textbook and/or other sources and be prepared to discuss them in class.
B. Students will be expected to participate in all assigned activities, written, oral, in or outside class during the semester.
C. Student will be expected to be able to solve finance problems on microcomputers.
D. Subject to funds availability, students enrolled in the course will be eligible for a trip to the Chicago Board of Trade at 141 W. Jackson, Chicago, Illinois, and the selection of students will be based on cumulative academic criteria.
V. Course Content or Outline:
Suggested Time In
50 Minute Periods
A. Development of Futures Trading and Commodity Exchanges 3
B. Futures Contract Specifications 3
C. Futures Exchanges 3
D. Clearing Operations 3
E. Trading Regulations 3
F. Price Forecasting 5
G. Hedging and Futures Markets 5
H. Speculating and Futures Markets 5
I. Interest Rate Futures 5
J. Stock Index Futures 5
K. Foreign Currency Futures 5
VI. Text (s) or Other Required Materials or Equipment:
Textbook: Kolb, Robert W., Futures, Options, and Swaps, 3rd Edition. Malden, MA: Blackwell Publishers, 2000.
VII. Basis for Student Evaluation:
Level of performance on examinations, computer assignments and other assigned activities.