Key Finance Equations and their salient intuitions

1. Bond pricing

1. Bond pricing intuition: Inflation risk and bond risk


2. mortgage pricing


3. long- vs short-maturity bond pricing


4. annuity pricing
   
   2. Real Estate pricing

1. Inflation protection bond


2. inflation adjustment for real assets


3. Understanding real estate prices in Asian economies
   
   3. Equity pricing

1. Gordon Growth Model


2. Plowback and optimal investment


3. Corporate overinvestment and underinvestment
   
    
   
   Practical Application of the Foundational Equations
   
   4. Understanding Major Macro Events

1. interest rate policy and the yield curve


2. understanding inflation 


3. understanding business cycle


4. central bank behavior and monetary policy and exchange rate policy


5. understanding the European Debt Crisis


6. understanding the Global Financial Crisis


7. Exchange rate manipulation and trade war 


8. Market efficiency and what it means for society


9. The importance of financial market efficiency


10. Examples of market bubbles and the cost of inefficiency
    
     
    
    5. Understanding Global Financial Markets

1. Understanding Global Investment Ecosystem

1. Global Pension crisis


2. Understanding the demographics problem and its impact on pension fundedness and interest rate
   
    
   
   6. Understanding Global Capitalism (Trade and Financial Market Integration) on social welfare
   
   1) Wealth inequality and the capital market
   
   2) Understanding the tradeoffs between socialism vs. capitalism and central planning vs. free market
   
   3) Understanding consumption allocation in a world with resource scarcity vs. abundance

Alex Chen陳鵬宇

 based on HW and final projects