Economics of Financial Markets

Course objectives

The course aims to provide students with the basic knowledge and skills on the functioning of the financial system. In particular, the course aims to analyze the essential elements of the financial system, namely: financial intermediaries, financial instruments and markets, the regulatory and supervisory system. Knowledge and understanding: students will acquire the basic knowledge on the elements of the financial system and will be able to understand the fundamental mechanisms of its functioning. Specifically, students will develop knowledge and skills in relation to financial intermediation in terms of instruments, markets, intermediaries, rules and supervisory authorities that constitute the fundamental elements of the financial system. Applying knowledge and understanding: Students will be able to apply the concepts learned to real situations and specific cases concerning the main technical-economic aspects of credit and financial transactions. Making judgement: The teaching methodology is based on active discussion of official documentation (eg. The Bank of Italy Annual Report) or specialized press, that gives students the opportunity to assume positions argued with reference to the issues of the course. Communication skills: At the end of the course students will be able to express the main topics with argumentative coherence, systematic rigor and ownership of economic-financial language. Learning skills: Students will be able to reconstruct both general and institutional topics, and more specifically themes focused on particular aspects of the financial system and financial intermediaries.

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VALERIO PESIC Lecturers' profile

Program - Frequency - Exams

Course program
1. The functions of the financial system 2. The financial structure of the economy 3. Regulatory and institutional profiles of banking, finance and insurance 4. The transfer of financial resources, the objectives of the subjects and financial instruments 5. The financial markets 6. Financial intermediation processes 7. Fundamentals of banks management 8. Fundamentals of securities and insurance intermediaries management 9. The European Central Bank and monetary policy 10. Regulation and supervision 11. The income, financial and capital balance of financial intermediaries 12 The characteristic income risks of credit intermediation and their management 13. Group work
Prerequisites
Economia aziendale
Books
Forestieri G., Mottura P., Il sistema finanziario, Egea, Milano, Settima Edizione. Additional handouts are provided by the lecturer during the course and, together with all teaching materials, are made available on Sapienza’s e-learning platform (Moodle 2). Throughout the semester, detailed references linking the topics covered in class to the study materials are progressively published. Access to the course site requires an enrollment key, which is communicated during classes; non-attending students may request it from the instructor by e-mail at any time.
Frequency
Attendance not mandatory, but recommended
Exam mode
Written exam (duration: 1 h) * + Group work** (attending students) / Individual assignment (non-attending students) * Written exam (3 parts): 1 problem/exercise (chosen from those available on the e-learning platform); 1 open-ended question; 4 multiple-choice questions (score: 8+8+8) ** Group work (assigned during classes) / Individual assignment (assigned individually by the instructor) (maximum score: 8)
Lesson mode
Lectures and practical sessions, including group work (for attending students) and an individual assignment (for non-attending students)
  • Lesson code1013711
  • Academic year2025/2026
  • CourseManagement and corporate law
  • CurriculumSingle curriculum
  • Year2nd year
  • Semester2nd semester
  • SSDSECS-P/11
  • CFU9