FIN201 Quantitative Applications in Finance

This subject explores the underpinning quantitative skills required in today’s financial markets. Using key data analysis and modelling techniques, you will interpret various types of financial information from the finance and investment industry, including treasury, investment management, corporate finance and investment analysis, in order to develop practical quantitative strategies. To achieve this, students will be required to read and critique articles published in key financial journals and validate the methodologies used and the conclusions reached. On completion of this subject, students will be equipped with a toolkit of statistical and quantitative techniques that can be used to interpret and forecast financial data.

For more information, please refer to the subject outline.

  • Learning outcomes
    • On successful completion of this subject you should be able to:

      1. Examine the various quantitative techniques used to describe, estimate and evaluate data
      2. Evaluate the strengths and limitations of statistical analysis techniques in finance
      3. Apply quantitative techniques to describe financial data and test claims of performance
      4. Analyse the factors that influence the risk and return of asset classes and financial securities
      5. Assess statistical models used in estimating the value of financial assets and constructing efficient portfolios
  • Subject content
    • Topic Title
      Topic 1 Fundamentals of quantitative analysis
      Topic 2 Probability distributions
      Topic 3 Sampling and estimation
      Topic 4 Hypothesis testing
      Topic 5 Correlation, covariance and causation
      Topic 6 Regression
      Topic 7 Time-series analysis
      Topic 8 Risk and return
      Topic 9 Asset pricing models
      Topic 10 Optimisation and portfolio construction

  • Duration
    • 12 weeks.

  • Assessment
  • Prerequisites
    • There are no prerequisites for this subject. However please review the Assumed Knowledge tab to understand the prior knowledge Kaplan advises you should hold before enrolling in this subject.

  • Assumed knowledge
    • Whilst there are no prerequisites for this subject, Kaplan assumes that individuals have completed FIN101 Financial Markets and Economic Principles,  FIN102 Regulation Ethics and Risk Management, and FIN103 Financial Analysis and Valuation,  or understand the content covered in those subjects, prior to undertaking FIN201 Quantitative Applications in Finance.

  • Course transition subject equivalence
    • Individuals are not required to complete this subject if they have transitioned from a SIA/Finsia/Kaplan course and have completed the following subjects within the course completion timeframe:

      • FIN236 Quantitative Applications in Finance
      • M01 Quantitative Applications in Finance
  • Reading list
    • Prescribed text

      • Berenson, ML, Levine, DM, Szabat, K, Stephan, DF, O’Brien, M, Watson, J & Jayne, N 2016, Basic business statistics, 4th edn, Pearson Australia, Frenchs Forest, NSW.

      Retailers of educational books include Co-op Bookshop and Boffins Bookshop. Texts can also be borrowed from the Kaplan library or other libraries. Details of required and further reading are provided in the subject room.  Purchase of any text other than a prescribed text is not required.