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National College Credit Recommendation Service
LOMA | Evaluated Learning Experience
Financial Services Environment (LOMA 351)
Formerly Financial Services Environment [FLMI 351]; Economics and Investments [FLMI 350]
Independent study and proficiency examination program administered from the central offices of LOMA.
September 1998 - December 2011.*
Instructional delivery format:
Upon successful completion of the course, students will be able to: apply basic microeconomic and macroeconomic concepts to understanding consumer behavior and financial services operations; interpret graphs illustrating demand and supply; distinguish among the major types of money market and capital market instruments used by individuals and businesses; describe the origin, behavior, and structure of interest rates; describe the major types of financial institutions, including the products they offer and typical assets and liabilities of each; comprehend the problem of asymmetric information and describe its impact on the financial services environment; discuss steps that financial institutions can take to manage the risks they face; and describe how financial institutions create money and how central banks control the supply of money in an economy.
Major topics include: economic constraints and production possibilities; market characteristics, structures and institutions; supply, demand and equilibrium; maximizing profit; understanding interest rates; theory of portfolio choice; theory of efficient capital markets; financial innovation; the foreign exchange market; money, capital and mortgage markets; theory of financial structure; commercial banks; savings and loans and credit unions; banking regulation; insurance companies and pension funds; finance companies and financial conglomerates; securities markets and firms; risk management in financial institutions; financial derivatives; introduction to the money supply process; central banks and the conduct of monetary policy.
In the upper division baccalaureate degree category, 3 semester hours in Finance (12/99) (12/04 revalidation). *NOTE: Earlier versions of this course, dating from January 1965 to August 1998, have been recommended for credit. Please refer to Economics and Investments (FLMI 350) under 73 for further information. NOTE: This course is also listed under the 72.