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IB3K7-15 Financial Markets: Organisations and Technology

Department
Warwick Business School
Level
Undergraduate Level 3
Module leader
Yuval Millo
Credit value
15
Module duration
10 weeks
Assessment
Multiple
Study location
University of Warwick main campus, Coventry

Introductory description

The module aims to expand students' knowledge and understanding about the cross-domain nature of financial institutions. In particular, the module aims to highlight the necessity of understanding the social, technological and political dimensions of financial institutions when analysing and operating in today’s economy.

Module web page

Module aims

The module aims to expand students' knowledge and understanding about the cross-domain nature of financial institutions. In particular, the module aims to highlight the necessity of understanding the social, technological and political dimensions of financial institutions when analysing and operating in today’s economy.

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

The organisation and practices of asset trading.
Analysing the analysts: How financial analysts and financial managers operate.
Ties that matter: Social connections in financial markets and their impact on market behaviour.
Measuring and making things happen: the impact of financial models on market behaviour.
Programmes that run markets: Algorithmic trading.
Making things tradable: Organisational aspects of securitisation.

Learning outcomes

By the end of the module, students should be able to:

  • Describe the process of securitisation and explain its importance.
  • Explain the organisational, social and cognitive environments in which stock analysts operate and how these effect their outputs.
  • Describe how social ties among between investors and between them and other market actors affect decision-making and assess you the characteristics of these patterns of ties contribute to risks.
  • Describe and explain different algorithmic trading strategies, how they interact with one another and with exchanges' matching engines and the impact of these settings on price behaviour.
  • Critically assess theories related to organisational and technological aspects of markets.
  • Explain key theoretical models and reflect critically on the limitations of those models and the assumptions that underpin them.
  • Interpret empirical evidence and offer coherent critique of concepts presented in the literature.
  • Communicate complex ideas effectively, both verbally and in writing.

Indicative reading list

Benner, M. J. (2007). The incumbent discount: Stock market categories and response to radical technological change. Academy of Management Review, 32(3), 703-720.
MacKenzie, D., & Millo, Y. (2003). Constructing a market, performing theory: the historical sociology of a financial derivatives exchange 1. American journal of sociology, 109(1), 107-145.
Pardo-Guerra, Juan Pablo, 'Creating flows of interpersonal bits: the automation of the London Stock Exchange, c. 1955-90', Economy and Society, 39: 1, (2010) , 84 — 109
Scott, S. V, & Zachariadis, M. (2012). Origins and development of SWIFT, 1973-2009. Business History, 54(3), 462–482.
Shipilov, A. V., & Li, S. X. (2008). Can you have your cake and eat it too? Structural holes' influence on status accumulation and market performance in collaborative networks. Administrative Science Quarterly, 53(1), 73-108. White, L. J. (2010). Markets: The credit rating agencies. The Journal of Economic Perspectives, 24(2), 211-226.

Subject specific skills

Write informed critiques of key issues in financial economics and behavioural finance.
Analyse short case studies and construct arguments to support particular analyses.

Transferable skills

Use elements from financial theory and sociological concepts to analyse the process of securitisation and explain its importance.
Analyse, using elements from relevant theoretical approaches the organisational, social and cognitive environments in which stock analysts operate and how these effect their outputs.
Calculate relevant SNA measures that describe how social ties among between investors and between them and other market actors change dynamically and assess, using relevant theories, how such networks of ties affect decision-making and assess you the characteristics of these patterns of ties contribute to risks.
Analyse, using economic and organisational theories the impact of different algorithmic trading strategies on price behaviour.

Study time

Type Required
Lectures 10 sessions of 1 hour (13%)
Seminars 9 sessions of 1 hour (12%)
Online learning (independent) 10 sessions of 1 hour (13%)
Private study 47 hours (62%)
Total 76 hours

Private study description

Private Study.

Costs

No further costs have been identified for this module.

You do not need to pass all assessment components to pass the module.

Assessment group A2
Weighting Study time Eligible for self-certification
Individual Assignment (15 CATS) 90% 65 hours Yes (extension)
Participation 10% 9 hours No
Assessment group R
Weighting Study time Eligible for self-certification
Individual Assignment 100% Yes (extension)
Feedback on assessment

Written feedback will be provided on assignment.

Courses

Course availability information is based on the current academic year, so it may change.

This module is Optional for:

  • UIBA-N20B BSc in Management
    • Year 3 of N20B Management
    • Year 3 of N20B Management
    • Year 3 of N23K Management with Accounting
    • Year 3 of N234 Management with Digital Business
    • Year 3 of N235 Management with Entrepreneurship
    • Year 3 of N232 Management with Finance
    • Year 3 of N252 Management with Marketing
    • Year 3 of N23L Management with Strategy and Organisation
  • Year 3 of UIBA-N400 Undergraduate Accounting and Finance
  • UIBA-N404 Undergraduate Accounting and Finance (with Foundation Year and Placement/Undergraduate Partnership Programme)
    • Year 5 of N4N7 Accounting and Finance (Foundation Year and Intercalated)
    • Year 5 of N404 Accounting and Finance (Foundation Year and Placement)
    • Year 5 of N405 Accounting and Finance (Foundation Year and UPP)
    • Year 5 of N403 Accounting and Finance (with Foundation Year)
  • Year 4 of UIBA-N403 Undergraduate Accounting and Finance (with Foundation Year)
  • UIBA-N401 Undergraduate Accounting and Finance (with Placement Year/Undergraduate Partnership Programme)
    • Year 4 of N401 Accounting and Finance (Placement)
    • Year 4 of N402 Accounting and Finance (Undergraduate Partnership Programme)
  • Year 3 of UCSA-I1N1 Undergraduate Computer Science with Business Studies
  • Year 4 of UCSA-I1NA Undergraduate Computer Science with Business Studies (with Intercalated Year)
  • Year 1 of UIOA-VEU Undergraduate EU Visiting
  • Year 3 of UECA-L1N2 Undergraduate Economics and Management
  • Year 4 of UECA-L1N3 Undergraduate Economics and Management (with Intercalated Year)
  • Year 4 of UGEA-RN21 Undergraduate German and Business Studies
  • Year 3 of UIPA-L8N1 Undergraduate Global Sustainable Development and Business
  • Year 4 of UIPA-L8N2 Undergraduate Global Sustainable Development and Business Studies (with Intercalated Year)
  • UIBA-N20F Undergraduate International Management
    • Year 4 of N20F International Management
    • Year 4 of N20F International Management
    • Year 4 of N20S International Management (with Accounting)
    • Year 4 of N20T International Management (with Chinese)
    • Year 4 of N20P International Management (with Entrepreneurship)
    • Year 4 of N20M International Management (with Finance)
    • Year 4 of N20U International Management (with French)
    • Year 4 of N20L International Management (with Marketing)
    • Year 4 of N20V International Management (with Spanish)
    • Year 4 of N20W International Management (with Strategy and Organisation)
    • Year 4 of N20N International Management with Digital Business
    • Year 4 of N20E Management (with Foundation Year)
    • Year 4 of N234 Management with Digital Business
  • UIBA-N220 Undergraduate International Management (with Foundation Year)
    • Year 5 of N220 International Management (with Foundation Year)
    • Year 5 of N221 International Management with Accounting (with Foundation Year)
    • Year 5 of N226 International Management with Chinese (with Foundation Year)
    • Year 5 of N223 International Management with Digital Business (with Foundation Year)
    • Year 5 of N224 International Management with Entrepreneurship (with Foundation Year)
    • Year 5 of N222 International Management with Finance (with Foundation Year)
    • Year 5 of N227 International Management with French (with Foundation Year)
    • Year 5 of N225 International Management with Marketing (with Foundation Year)
    • Year 5 of N228 International Management with Spanish (with Foundation Year)
    • Year 5 of N229 International Management with Strategy and Organisation (with Foundation Year)
  • UIBA-N20G Undergraduate Management (with Foundation Year and Intercalated Year/Undergraduate Partnership Programme)
    • Year 5 of N20G Management (Foundation Year and Intercalated)
    • Year 5 of N20H Management (Foundation Year and UPP)
    • Year 5 of N23B Management with Finance (with Foundation Year and Intercalated Year)
    • Year 5 of N23C Management with Finance (with Foundation Year and Undergraduate Partnership Programme)
    • Year 5 of N25B Management with Marketing (with Foundation Year and Intercalated Year)
    • Year 5 of N25C Management with Marketing (with Foundation Year and Undergraduate Partnership Programme)
  • UIBA-N20E Undergraduate Management (with Foundation Year)
    • Year 4 of N20E Management (with Foundation Year)
    • Year 4 of N23N Management with Accounting (with Foundation Year and Placement Year)
    • Year 4 of N23M Management with Accounting (with Foundation Year)
    • Year 4 of N23E Management with Digital Business (with Foundation Year)
    • Year 4 of N23F Management with Entrepreneurship (with Foundation Year)
    • Year 4 of N23D Management with Finance (with Foundation Year)
    • Year 4 of N252 Management with Marketing
    • Year 4 of N254 Management with Marketing (with Foundation Year)
    • Year 4 of N23P Management with Strategy and Organisation (with Foundation Year)
  • UIBA-N20C Undergraduate Management (with Placement Year/Undergraduate Partnership Programme)
    • Year 4 of N20M International Management (with Finance)
    • Year 4 of N20B Management
    • Year 4 of N20D Management (Undergraduate Partnership Programme)
    • Year 4 of N20C Management (with Placement Year)
    • Year 4 of N20Q Management with Accounting (with Placement Year)
    • Year 4 of N236 Management with Digital Business (with Placement Year)
    • Year 4 of N237 Management with Entrepreneurship (with Placement Year)
    • Year 4 of N232 Management with Finance
    • Year 4 of N233 Management with Finance (with Placement Year)
    • Year 4 of N253 Management with Marketing (with Placement Year)
    • Year 4 of N23L Management with Strategy and Organisation
    • Year 4 of N20R Management with Strategy and Organisation (with Placement Year)
  • Year 3 of UMAA-G1NC Undergraduate Mathematics and Business Studies
  • Year 4 of UMAA-G1N2 Undergraduate Mathematics and Business Studies (with Intercalated Year)
  • UIOA-VOS Undergraduate Overseas Visiting
    • Year 1 of UVOS Undergraduate Overseas Visiting
    • Year 1 of UVOS Undergraduate Overseas Visiting
  • Year 4 of UPXA-F3ND Undergraduate Physics and Business Studies (with Intercalated Year)
  • Year 3 of UPXA-F3N2 Undergraduate Physics with Business Studies
  • Open to all courses external to WBS