1. INTERNATIONAL FINANCIAL MANAGEMENT
Sub Code: 10MBAFM426 IA Marks: 50
10MBABF476
10MBAIB466
No. of Lecture Hrs / Week: 04 Exam Hours: 3 Hours
Total no. of Lecture Hours: 56 Exam Marks: 100
MODULE 1 (4 Hours)
International financial Environment- The Importance, rewards & risk of international
finance- Goals of MNC- International Business methods – Exposure to international risk-
International Monetary system- Multilateral financial institution-Government influence on
exchange rate.
MODULE 2 (4 Hours)
International flow of funds:- Balance of payments(determination of current account, capital
account & ORA)-International Trade flows-International Capital Flows-Agencies that
facilitate International flows – Equilibrium, disequilibrium & adjustment of Balance of
payment & Trade deficits.
MODULE 3 (10 Hours)
International Financial Markets:- Foreign exchange markets-foreign exchange trading-Cash
& Spot exchange markets-foreign exchange rates & quotation- forward markets-Exchange rate
Behavior-Cross Rates-Foreign exchange market participants-arbitrage profit in foreign
exchange markets, Swift Mechanism.
MODULE 4 (10 Hours)
Forecasting foreign Exchange rate:- Measuring exchange rate movements-Exchange rate
equilibrium – Factors effecting foreign exchange rate- forecasting exchange rates-
international parity relationship: interest rate parity, purchasing power parity & fisher effects.
MODULE 5 (8 Hours)
Foreign Exchange exposure:- Management of Transaction exposure- Management of
Translation exposure- Management of Economic exposure- Management of political
Exposure- Management of Interest rate exposure.
MODULE 6 (8 Hours)
Foreign exchange risk Management: Hedging against foreign exchange exposure – Forward
market- Futures Market- options Market- Currency Swaps-Interest rate Swap- Cross currency
Swaps-Hedging through currency of invoicing- Hedging through mixed currency invoicing –
Hedging through selection of supplying country.
Country risk analysis
MODULE 7 (4 Hours)
International Capital Budgeting: Concept, Problems associated, Evaluation of a project,
Factors affecting, Risk Evaluation, Impact on Value.
MODULE 8 (8 Hours)
Long term Asset & Liability management:- Foreign Direct investment – Foreign portfolio
investment- International Financial instruments : International Bond & Equity market.
Short term Asst & liability management:-Working Capital Policy-Cash management –
Receivable Management- Inventory Management- Short term Financing decision –
international Banking and money market.

2. RECOMMENDED BOOKS:
1. Eun & Resnick – International Finance Management ---(Tata McGraw Hill), 4/e
2. Jeff Madura International Finance Management ---(Thomson), 7/e, 2004
3. P.G. Apte-International Finance Management- ( Tata McGraw Hill), 4/e
REFERENCE BOOKS:
1. V. Sharan – International Finance Management- 3/e
2. Madhu Vij- Multinational Financial Management – Excel
3. Jain, Periyad, & Yadav – International Finance Management ---(Mc Millan)
4. P G Apte – International Finance-A Business Pespective – TMH, 1/e
5. V K Bhalla– International Finance Management ---(Anmol)
6. S P Srinivasan & Dr B Janakiram - International Finance Management ---(Biztantra Wiley
Dreamtech, 2005)
7. Exchange Rate & International Finance – Copland – Pearson, PHI.
8. David Eieteman – Multinational Business Finance – Pearson Education, 10/e, 2003
9. Allan C Shapiro – Multinational Financial Management – John Wiley, 2004
10. Buckley – Multinational Finance – Pearson/PHI, 5/e
11. International Financial Markets – Machiraju – New Age International, 2004
12. International Finance – A case book – Desai – Wiley India (P) Ltd.
13. Sathye Rose, Weston - International Financial Management – John wiley – 2006
14. International Corporate Finance, Madhura, Thomson, 8 Ed.

3. RISK MANAGEMENT
Sub Code: 10MBAFM427 IA Marks: 50
No. of Lecture Hrs / Week: 04 Exam Hours: 3 Hours
Total no. of Lecture Hours: 56 Exam Marks: 100
MODULE 1 (4 Hours)
Over view of Risk, Risk identification, Risk, Insurance and Management: Introduction to Risk
and Insurance. Risk identification and Risk Evaluation,
Risk assessment & Management- Risk analysis: Exposure of physical assets, financial assets,
and Human assets, Exposure to legal liability. Risk Management, Risk control.
MODULE 2 (7 Hours)
Risk Management using futures and forwards differences-valuation of futures, valuation of
long and short forward contract. Mechanics of buying &selling futures, Margins, Hedging
using futures -specification of futures -Commodity futures, Index futures interest rate futures-
arbitrage opportunities.
MODULE 3 (8 Hours)
Risk Management using Swaps: Mechanics of interest rate swaps –volatility of interest rate
swaps –currency swaps –valuation of currency swaps.
MODULE 4 (10 Hours)
Risk Management using Options: Types of options, option pricing, factors affecting option
pricing – call and put options on dividend and non-dividend paying stocks put-call parity-
mechanics of options- stock options- options on stock index- options on futures – interest rate
options. Concept of exoctic option.
Hedging & Trading strategies involving options, valuation of option: basic model, one step
binomial model, Black and Scholes analysis, option Greeks. Arbitrage profits in options.
MODULE 5 (7 Hours)
Commodity derivatives: commodity futures market-exchanges for commodity futures in
India, Forward markets, commissions and regulation-commodities traded – trading and
settlements – physical delivery of commodities.
MODULE 6 (7 Hours)
Interest rate markets-Type of rates, Zero rates, Bond pricing, Determining Zero rates,
Farward rules, Farward rate agreements (FRA), Treasury bond
& Treasury note futures, Interest rate derivatives (Black model).
MODULE 7 (5 Hours)
Credit risk-Bond prices and the probability of default, Historical default experience,
Reducing exposure to Credit risk, Credit default swaps, Total return swaps, Credit spread
options, Collateralized debt obligation.
MODULE 8 (8 Hours)
Value at Risk (VAR)-Measure, Historical simulation, Model building approach, linear
approach, Quadratic model, Monte Carlo simulation, stress testing and back testing

4. RECOMMENDED BOOKS:
1. Options Futures & Other Derivatives- John C.Hull - (Pearson Education), 6/e
2. Options & Futures- Vohra & Bagri - (TMH), 2/e
3. Derivatives- Valuation & Risk Management-Dubofsky & Miller - (Oxford University
Press), 2004/05
REFERENCE BOOKS:
1. Risk Management & Insurance – Harrington & Niehaus – TMH, 2/e
2. Risk Management & Derivative – Shulz – Thomson / Cengage Learning.
3. Principles of Risk Mgmt. & Insurance – Rejda – Pearson Education/PHI, 8/e, 2003
4. Introduction to Derivatives and Risk Management – Chance – Thomson Learning, 6/e, 2004
5. Introduction to Risk Management & Insurance – Dorfman – Pearson/PHI, 2004
6. International Risk & Insurance –Skipper - (TMH)
7. Options & Futures –Edwards & Ma - (MacGraw Hill), 1/e
8. Derivatives & Financial Innovations – Bansal - TMH.
9. Credit Risk Management – Anderw Fight –Elvis.
10. Financial Derivatives – S.S.S. Kumar PHI 2007.
11. Risk Management – Koteshwar HPH.
12. Futures, Options and Swaps – Robert W Kolb – Blackwell Publishing.
13. Risk Management and Insurance, Treishumann: Thomson, 12 Ed.

5. ENTREPRENEURSHIP DEVELOPMENT
Sub Code: 10MBA42 IA Marks: 50
No. of Lecture Hours / Week: 04 Exam Hours: 3 Hours
Total no. of Lecture Hrs: 56 Exam Marks: 100
MODULE 1 (8 Hours)
Entrepreneur: Meaning of Entrepreneur; Evolution of the Concept; Functions of an
Entrepreneur, Types of entrepreneur, Intrapreneur – an emerging class, Concept of
Entrepreneurship-Evolution of Entrepreneurship; Development of Entrepreneurship; The
entrepreneurial Culture; Stages in entrepreneurial process.
MODULE 2 (6 Hours)
Creativity and Innovation: Creativity, Exercises on Creativity, Source of New Idea, Ideas into
Opportunities.
Creative problem solving: Heuristics, Brainstorming, Synectics, Value Analysis
Innovation and Entrepreneurship: Profits and Innovation, Globalization, Modules of
Innovation, Sources and Transfer of Innovation, Why Innovate, What Innovation, How to
Innovate, Who Innovates.
MODULE 3 (14 Hours)
Business Planning Process
Meaning of business plan, Business plan process, Advantages of business planning, Marketing
plan, Production/operations plan, Organizational plan, financial plan, Final project report with
feasibility study, preparing a model project report for starting a new venture.
MODULE 4 (6 Hours)
Institutions supporting entrepreneurs
Small industry financing developing countries, A brief overview of financial institutions in
India, Central level and state level institutions, SIDBI, NABARD, IDBI, SIDO, Indian Institute
of Entrepreneurship, DIC, Single window, Latest Industrial policy of Government of India
MODULE 5 (6 Hours)
Family Business
Importance of family business, Types, History, Responsibilities and rights of shareholders of a
family business, Succession in family business, Pitfalls of the family business, strategies for
improving the capability of family business, Improving family business performance.
MODULE 6 (8 Hours)
International Entrepreneurship Opportunities: The nature of international entrepreneurship,
Importance of international business to the firm, International versus domestic entrepreneurship,
Stages of economic development, Entrepreneurship entry into international business, exporting,
Direct foreign investment, barriers to international trade.
MODULE 7 (4 Hours)
Informal risk capital and venture capital: Informal risk capital market, venture capital, nature
and overview, venture capital process, locating venture capitalists, approaching venture
capitalists.
MODULE 8 (4 Hours)
Managing growth: Using external parties to help grow a business, franchising, advantages and
limitations, investing in a franchise, joint ventures- types, Acquisitions and mergers

6. RECOMMENDED BOOKS:
1. Poornima Charantimath, Entrepreneurship Development-Small Business Enterprise, Pearson
Education, 2007
2. Robert D Hisrich, Michael P Peters, Dean A Shepherd, Entrepreneurship, 6th Edition, The
McGraw-Hill Companies, 2007
REFERENCE BOOKS:
1. Dr. Mathew J. Manimala, Entrepreneurship theory at crossroads, Biztantra, 2007
2. Vasant Desai, Entrepreneurial Development and Management, Himalaya Publishing House,
2007
3. Maddhurima Lall, Shikha Sahai, Entrepreneurship, Excel Books, 2006
4. Kurakto, Entrepreneurship-Principles and practices, 7th Edition, 2007, Thomson publication