Finance and Insurance
S. Sundaram,
Chairperson The Finance and Insurance Department provides opportunities to pursue two majors as well as five departmental minors. Finance majors may choose any of the following options: business finance, financial planning and investments, and financial analysis. The department offers business majors an option to earn a minor in finance. Non-business majors have an opportunity to earn minors in consumer finance or legal studies in business. Students may also pursue a minor in financial planning or risk management and insurance.
Finance examines the creation and management of wealth. It is especially concerned with the study of raising funds, deploying funds, and managing liquidity in order to achieve a set of objectives for individuals and business.
The finance curriculum is designed to provide the student with an understanding of the mechanisms of financial markets. The student will gain the analytical and quantitative skills necessary to acquire and allocate financial resources and to value financial instruments. Students will be trained to use problem-solving skills in corporate finance, management of financial institutions, managing funds in portfolios, security analysis, and personal financial planning.
Finance majors pursue careers such as financial analysts, investment analysts, bank officers, financial planners, and executives in for-profit and not-for-profit organizations.
The risk management and insurance curriculum is designed to provide the student with an understanding of how risk is managed by individuals and businesses. Students are prepared for careers in insurance and risk management. Career opportunities include underwriters, claim adjusters, agents, and risk managers. Students gain an understanding of life and health insurance, personal insurance, commercial insurance, insurance law, and enterprise risk management.
MAJOR IN FINANCE, 66 hours
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
| Miller College of Business core, 39 hours |
ACC
BL
ECON
FIN
ISOM
MGT
MKG |
201
202
260
201
202
221
300
135
249
351
300
491
300 |
Prin Acct 1
Prin Acct 2
Prin Bus Law
Elem Micro
Elem Macro
Bus Stats
Prin Fin 1
Bus I S
Fnds Bus Com
Op Mgt
Mgt Beh Org
Policy Strat
Prin Market |
3
3
3
3
3
3
3
3
3
3
3
3
3 |
|
|
|
39 hrs |
Finance core (required of all finance majors),
18 hours |
FIN
|
301
310
320
410
420
490 |
Prin Fin 2
Invest 1
Fin Mkt 1
Invest 2
Fin Mkt 2
Fin Decision |
3
3
3
3
3
3 |
Complete one option
Business finance option, 9 hours |
|
FIN
|
352
353
367
369
445
497 |
Global Fin (3)
Shrt Trm Fin (3)
Prac Fin (3)
Fin Intern (3 or 6)
Fin Stmt (3)
Indpen Study (3) |
9
|
|
|
|
66 hrs |
Financial analysis option, 9 hours
ACC courses 300 and above |
6-9
|
FIN |
445 |
Fin Stmt (3) |
0-3 |
|
|
|
66 hrs |
Financial planning and investments option,
9 hours |
ACC
BL
FIN
RMI
|
401
367
367
369
270
330 |
Intro to Tax (3)
Estate Plan (3)
Prac Fin (3)
Fin Intern (3 or 6)
Prin R M I (3)
Emp Benefits (3) |
9
|
|
|
|
66 hrs |
To pursue this program, students must have sufficient mathematical preparation to meet the prerequisite for ECON 221. The prerequisite for ECON 221 is a C or better grade in MATHS 136 or equivalent; sophomore standing;
demonstrated proficiency in computer skills. MATHS 136 simultaneously substitutes for the University Core Curriculum math requirement. Proficiency in computer skills may be demonstrated by examination, or credit in ISOM 125 or CS 104 or its equivalent. The prerequisite for ISOM 135 is proficiency test required or ISOM 125. |
MAJOR IN RISK MANAGEMENT AND INSURANCE,
66 hours
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
| Miller College of Business core, 39 hours |
ACC
BL
ECON
FIN
ISOM
MGT
MKG |
201
202
260
201
202
221
300
135
249
351
300
491
300 |
Prin Acct 1
Prin Acct 2
Prin Bus Law
Elem Micro
Elem Macro
Bus Stats
Prin Fin 1
Bus I S
Fnds Bus Com
Op Mgt
Mgt Beh Org
Policy Strat
Prin Market |
3
3
3
3
3
3
3
3
3
3
3
3
3 |
|
|
|
39 hrs |
RMI
|
270
371
377
or
330
378
474 |
Prin R M I
Life/Health
Oper Ins Ent (3)
Emp Benefits (3)
Commercial
Seminar RMI |
3
3
3
3
3 |
| 12 hours from |
|
|
RMI
ACC
BL
ECON
FIN
MKG
MGT
ISOM |
330
369
377
473
497
306
401
367
348
301
310
320
352
353
367
369
410
420
445
490
325
425
429
301
341
341 |
Emp Benefits (3)
Intern R M I (3-6)
Oper Ins Ent (3)
Ins Law (3)
Indpen Study (1-6)
Int Mgt Acct (3)
Intro to Tax (3)
Estate Plan (3)
Health Econ (3)
Prin Fin 2 (3)
Invest 1 (3)
Fin Mkt 1 (3)
Global Fin (3)
Shrt Trm Fin (3)
Prac Fin (3)
Fin Intern (3 or 6)
Invest 2 (3)
Fin Mkt 2 (3)
Fin Stmt (3)
Fin Decision (3)
Prof Selling (3)
Adv Selling (3)
Sales Tech (3)
Intrnatl Mgt (3)
Intro Entr (3)
Bus Mgl Comm (3) |
12
|
|
|
|
66 hrs |
To pursue this program, students must have sufficient mathematical preparation to meet the prerequisite for ECON 221. The prerequisite for ECON 221 is a C or better grade in MATHS 136 or the equivalent; sophomore standing;
demonstrated proficiency in computer skills. MATHS 136 simultaneously substitutes for the University Core Curriculum math requirement. Proficiency in computer skills may be demonstrated by examination, or credit in ISOM 125 or CS 104 or its equivalent. The prerequisite for ISOM 135 is proficiency test required or ISOM 125. |
MINOR IN CONSUMER FINANCE, 15 hours
No two minors can be used in combination to fulfill any degree requirements outside the Miller College of Business (except Economics). |
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
FIN
RE
RMI
BL |
110
255
230
270
160 |
Pers Finance
Intro Fin In
Real Estate
Prin R M I
Consumer Law |
3
3
3
3
3 |
|
|
|
15 hrs |
MINOR IN FINANCE, 15 hours
Open only to Miller College of Business majors except those majoring in finance. |
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
FIN
|
301
310
320 |
Prin Fin 2
Invest 1
Fin Mkt 1 |
3
3
3 |
| 6 hours from |
FIN
|
352
353
369
410
420
445
490 |
Global Fin (3)
Shrt Trm Fin (3)
Fin Intern (3)
Invest 2 (3)
Fin Mkt 2 (3)
Fin Stmt (3)
Fin Decision (3) |
6
|
|
|
|
15 hrs |
MINOR IN FINANCIAL PLANNING, 15 hours
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
FIN
BL
RMI
ACC |
310
367
270
330
401 |
Invest 1
Estate Plan
Prin R M I
Emp Benefits
Intro to Tax |
3
3
3
3
3 |
|
|
|
15 hrs |
MINOR IN LEGAL STUDIES IN BUSINESS, 18 hours
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
BL
RMI |
260
363
270 |
Prin Bus Law
Uni Code Law
Prin R M I |
3
3
3 |
| 9 hours from |
|
BL
ECON
POLS
RE
RMI |
362
367
346
347
230
332
473 |
Lw Bus Assoc (3)
Estate Plan (3)
Law Econ (3)
Env Law Poly (3)
Real Estate (3)
Legal Asp RE (3)
Ins Law (3) |
9
|
|
|
|
18 hrs |
Open to both business and non-business majors except those minoring in business information technology, consumer finance, entrepreneurship, foundations of business, foundations of management, marketing, professional selling, or risk management and insurance. |
MINOR IN RISK MANAGEMENT AND INSURANCE,
15 hours
Open only to non-business majors and Miller College of Business majors except those majoring in risk management and insurance. |
| PREFIX |
NO |
SHORT TITLE |
CR HRS |
| 15 hours from |
|
RMI
FIN
BL |
270
330
369
371
377
378
473
497
110
or
255
or
310
or
260 |
Prin R M I (3)
Emp Benefits (3)
Intern R M I (3)
Life/Health (3)
Oper Ins Ent (3)
Commercial (3)
Ins Law (3)
Indpen Study (3)
Pers Finance (3)
Intro Fin In (3)
Invest 1 (3)
Prin Bus Law (3) |
15
|
|
|
|
15 hrs |
BUSINESS LAW (BL)
160 Law of Personal Finance. (3)
Examines the law affecting a person’s everyday financial dealings and legal disputes, including topics such as consumer rights, legal liability, employee rights, personal bankruptcy, debtor-creditor rights, basis of property ownership, and landlord-tenant disputes.
260 Principles of Business Law. (3)
The nature, role, structure, and historical development of the legal system. The essential elements of legal liability, contracts, and government regulation of business. Law, ethics, and commercial relations that constitute the legal environment of business.
362 The Law of Business Associations. (3)
The principles of business law applicable to agencies including employer and employee rights and obligations, partnerships including limited partnership, corporations including fiduciary obligations of directors, security regulations, bankruptcy, and corporate reorganization in bankruptcy.
Prerequisite: BL 260.
363 Uniform Commercial Code Law. (3)
Principal articles of the code including sales, commercial paper, and security interests, in addition to creditors’ rights and property law. Includes state and federal consumer protection laws as they affect commercial law.
Prerequisite: BL 260.
367 Estate Planning and Administration. (3)
An introduction to problems associated with planning of financial resources during working life, retirement, and after the death of the principal income producer. Included are techniques for fact gathering, tax principles, use of trusts, and will drafting.
Prerequisite: BL 260.
497 Independent Study in Business Law. (1-6)
An opportunity for students with superior scholastic records to study some special phase of business law. The topic selected, methods of study, and credit hours allowed must be approved by the department chairperson.
Prerequisite: permission of the department chairperson.
A total of 6 hours of credit may be earned.
FINANCE (FIN)
101 Personal Finance for Fiscal Wellness. (1)
A structured collection of personal finance topics relevant to the needs of young adults: personal budgets and financial plans, services available for saving, borrowing, and insurance, and taxes. The importance of being fiscally informed in the transition from college to the workplace and planning for future financial goals are emphasized.
Not open to students who have credit in FIN 110.
110 Personal Finance. (3)
The fundamental principles of general business and related economic concepts are considered from the consumer’s point of view. Some of the topics studied are consumer buying and the use of credit, banking, insurance, investment, budgeting, and taxation.
243 Finance for New Ventures. (3)
Examines financing constraints faced by new ventures, financing options available, financial principles for managing new ventures including capital budgeting and working capital; and exit strategies.
Prerequisite: ECON 116 or 201; MGT 241.
Open only to non-business majors.
255 Introduction to Financial Investments. (3)
Topics include financial markets and investment alternatives such as stocks, bonds, convertible securities, mutual funds, options, and futures. Market indexes (Dow Jones, etc.), market practices and timing, sources of financial data, and investing in an international environment will be discussed.
Not open to juniors and seniors majoring in business.
299X Experimental/Developmental Topics. (1-6)
Topics relevant to the discipline. Course titles will be announced before each semester.
A total of 6 hours of credit may be earned.
300 Principles of Finance 1. (3)
Students will study the principles of financial management. Decisions to invest (capital budgeting), finance (cost of capital), manage on a daily basis (working capital management), and long-term planning will be the focus. Ethical, global, and technological issues, together with functional integration in business decisions will be discussed where appropriate.
Prerequisite: ECON 116 or 201, ACC 201; junior standing.
301 Principles of Finance 2. (3)
Designed to provide the foundations for advanced courses in finance. Topics include the nature and methodology of finance, risk and return, portfolio theory, investment decisions, capital structure, dividend policy, and long-term financing decisions.
Prerequisite: FIN 300.
310 Principles of Investments 1. (3)
Introduces financial investments such as stocks, bonds, and mutual funds, and their markets. The principles of diversification and trade-offs between risk and expected return are introduced. The efficient market hypothesis, portfolio theory and performance evaluation are examined.
Prerequisite or parallel: FIN 300.
320 Financial Markets 1. (3)
Examine the role of financial markets and institutions in the U.S. financial system. Emphasizes interest rates, monetary policy, the functioning of debt, equity and derivative security markets, and discusses the impact of technology, regulation, globalization, and product innovation.
Prerequisite or parallel: FIN 300.
352 Global Finance. (3)
Financial problems and opportunities that confront the management of global firms. Sources and instruments of global finance, import and export financing, interrelationship of governmental and global agencies, and the current status of some.
Prerequisite: FIN 300.
353 Short-Term Financial Management. (3)
Surveys short-term asset and liability management topics covered on the Certified Treasury Professional exam: managing the operating cycle, collections, disbursements, borrowing, investing, cash management, and back relationship management.
Prerequisite: FIN 300.
367 Practicum in Finance. (3)
A unique and practical educational experience designed for students with interests in investment management. Students will manage a portfolio and will be responsible for security selection, risk management, and designing the strategy that will drive the fund’s performance. A maximum of 3 credit hours will count as elective credit on the finance major.
Prerequisite: a grade-point average of 3.0; FIN 300; permission of the instructor.
A total of 6 hours of credit may be earned, but no more than 3 in any one semester or term.
369 Internship in Finance. (3 or 6)
Professional practice during a summer or semester as an intern in an approved program with a banking institution, business firm, or government agency for pay under the supervision of the finance department. Requires periodic written reports of job experience.
Prerequisite: FIN 300; second-semester junior or senior standing; permission of the department chairperson.
A total of 6 hours of credit may be earned.
410 Principles of Investments 2. (3)
Advanced topics in investments include stock and bond security analysis and portfolio management techniques; valuation and use of forward, futures and option contracts.
Prerequisite: FIN 300, 310.
420 Financial Markets 2. (3)
Detailed study of institutions operating in the U.S. financial system. Focuses on the operation, regulation, performance, and management of bank-type institutions.
Prerequisite: FIN 300, 320.
445 Financial Statement Analysis. (3)
Provides a conceptual framework for interpreting and analyzing financial statements by integrating accounting and financial concepts, and using this information to analyze and value businesses.
Prerequisite: FIN 300.
490 Decision Making in Finance. (3)
Capstone course for finance majors focusing on decision making in different types of organizations. An integration of financial principles, techniques and strategic issues.
Prerequisite: FIN 301, 410, 420, or permission of the department chairperson.
497 Independent Study in Finance. (3)
Designed for academically qualified students who want to study some phase of finance. An intensive individualized program of reading, researching, or analyzing various finance topics under the guidance of a faculty member.
Prerequisite: FIN 301, 410, 420; senior standing; permission of the department chairperson.
REAL ESTATE (RE)
230 Real Estate Principles. (3)
Economic import of real estate, real estate characteristics, land-use and environmental controls, legal concerns of real estate, methods of valuation, mortgage credit sources, secondary mortgage markets and financing techniques, investment analysis, land development, and real estate operations.
Prerequisite: completion of general studies math requirement or permission of the instructor.
331 Real Estate Construction Law and Finance. (3)
The financial and legal implication of the contracts used in real estate construction and development. Examines contracts, techniques, and strategies in the construction and financing of real estate development projects; and the role of banks, bonding, and mortgage markets. Gives students an introduction to real estate law and finance important to real estate construction and development projects.
Not open to students who have credit in ITCST 420.
332 Legal Aspects of Real Estate. (3)
Elementary concepts of real estate law and practice, particularly in the state of Indiana. Other topics include estates, property, leaseholds and ownerships, easements, transfers, escrows, contracts, zoning, brokers’ regulations, license law, and title insurance.
369 Internship in Real Estate. (1-6)
Professional practice during a summer or semester as an intern in an approved program in the real estate industry or government agency for pay under the supervision of the finance department. Requires periodic written reports of job experience.
Prerequisite: permission of the department chairperson.
A total of 6 hours of credit may be earned.
497 Independent Study in Real Estate. (3)
Designed for the academically qualified who wish to study some phase of real estate. Intensive individualized program of reading, research, or analysis of various real estate topics under the guidance of a faculty member.
Prerequisite: permission of the department chairperson.
RISK MANAGEMENT AND INSURANCE (RMI)
270 Principles of Risk Management and Insurance. (3)
An analysis of the risk management process, individual and business property and liability loss exposures, social insurance programs, and effective use of financial planning products such as pension plans and life, health, and disability insurance.
330 Employee Benefits and Retirement Planning. (3)
The design, management, and financing of employee benefit plans. Topics include group life, group health, group disability, Social Security, and retirement plans. The implications for employers and employees, public and private approach to providing benefits, and regulatory and tax issues will be examined.
369 Internship in Risk Management and Insurance. (3-6)
Professional practice during the summer or semester as an intern in an approved program in risk management or insurance under the supervision of the risk management and insurance faculty.
Prerequisite: permission of the risk management and insurance faculty.
A total of 6 hours of credit may be earned.
371 Life and Health Insurance. (3)
A study of important methods of handling loss of income risks affecting individuals. Life and health insurance, disability income, and annuities will be examined. Business uses of life and health insurance and disability income insurance will also be analyzed.
Prerequisite recommended: RMI 270.
377 Operations of Insurance Enterprises. (3)
The study of the decision making of insurers and consulting firms in areas such as pricing, underwriting, reinsurance, distribution, and loss control.
Prerequisite recommended: RMI 270.
378 Commercial Risk Management and Insurance. (3)
A study of appropriate risk control techniques, noninsurance risk transfer techniques, and insurance as tools of risk management for commercial property, liability, marine, auto, and workers compensation exposures.
Prerequisite recommended: RMI 270.
473 Insurance Law. (3)
The law as it is applied to the insurance industry emphasizing the law of torts as the foundation of the insurer’s liability, the law of contracts and agency as applied to the policy, and government regulation of insurance.
Prerequisite: RMI 270; BL 260.
474 Seminar in Risk Management and Insurance. (3)
Designed to meet the needs of the advanced student for study of current topics and problems in any risk management or insurance area.
Prerequisite: RMI 270, 378.
497 Independent Study in Risk Management and Insurance. (1-6)
Designed for academically qualified students who want to study some phase of risk management and insurance. An individualized program of reading, research, or analyzing various risk management and insurance topics under the guidance of a faculty member.
Prerequisite: permission of the RMI faculty.
A total of 6 hours of credit may be earned.