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FIN203 Fundamentals of Equity Markets

This subject focuses on the sharemarket and equity as an asset class, including discussing how shares are traded and examining the sectors of the Australian sharemarket including industrial, resources and mid-small capitalised companies. Students discuss the viability of shares as an investment, including analysing the economic factors that influence equity markets. They also conduct independent sharemarket research to then formulate investment recommendations to buy, hold or sell shares in given case-study companies. In addition, a fundamental overview of other products traded on the Australian Securities Exchange (ASX) and equity derivatives is provided.

For more information, please refer to the subject outline.

For Study Period SP1 2023 onwards, please refer to the subject outline here.

  • Learning outcomes

    • On successful completion of this subject, individuals should be able to:

      1. Explain the structure and operation of the global equity market.
      2. Explain how shares are traded on the Australian Securities Exchange.
      3. Analyse key sectors within the Australian equities market including industrial, resources and mid-small capitalised companies.
      4. Evaluate the economic factors that influence the sharemarket.
      5. Formulate an investment recommendation based on the analysis of a listed company’s operational and financial performance.
      6. Assess sharemarket information including brokers reports, market indices and economic research and integrate into investment decision
      7. Analyse other types of ASX-traded products and equity derivatives.
  • Subject content
    • Topic Title
      Topic 1 Introduction to the sharemarket
      Topic 2 Classifying listed companies and indices
      Topic 3 Commodity companies
      Topic 4 Mid-small cap companies
      Topic 5 Sharemarket trading
      Topic 6 Economic factors influencing sharemarkets
      Topic 7 Investing in shares
      Topic 8 Sharemarket research
      Topic 9 Other securities listed on the Australian Securities Exchange
      Topic 10 Introduction to equity derivatives

  • Duration

    • The duration of this subject is one study period (12 weeks).

  • Assessment
  • Prerequisites

    • There are no prerequisites for this subject. However, individuals should review the ‘Assumed Knowledge’ tab to understand the prior knowledge Kaplan advises they should hold before enrolling in this subject.

  • Assumed knowledge

    • Whilst there are no prerequisites for this subject, Kaplan assumes that individuals have completed FIN201 Quantitative Applications in Finance, or understand the content covered in this subject, prior to undertaking FIN203 Fundamentals of Equity Markets.

  • Course transition subject equivalence

    • Individuals may not be required to complete this subject if they have transitioned from a SIA/Finsia/Kaplan course and have completed the following subjects:

      • there are no equivalences for this subject.
  • Reading list

    • There is no prescribed text for this subject. Individuals are provided with key readings and access to Kaplan’s online databases. Individuals are encouraged to research and read widely on the topic.