Information related to the final exam

As this is the first time this course is offered, I give you some information about the structure of the final written exam, so you know what to expect. 

The exam will consist of 4 problems and you will have 4 hours to solve them.

Problem 1: It will contain 3 sections, 10 points each. This problem will cover time value of money, futures, forwards and options. Check the exercises and basic definitions about these topics 

Problem 2: It will contain 3 sections, 10 points each. This problem will cover single period markets. Make sure you know how to state basic definitions and main results.

The first two problems will be similar to the problem in the compulsory assignment, see here. 

Problem 3: It will contain 2 sections, 10 points and 20 points. This problem will cover multiple period markets. Make sure you know how to compute a replicating trading strategy for a contingent claim and/or an optimal attainable wealth, see here.

Problem 4: It will contain 2 sections, 10 points each. This problem will cover the review on probability theory. Make sure you know how to work with the conditional expectation, its properties and how to prove them. Check the solutions to the problems in the fourth list, here.

The material in the slides, which I gave the last week, will not be part of the exam.

I feel that the exam is not difficult but, on the other hand, I will ask about almost all the topics covered. This means that the exam may be a bit long. Hence, be sure you master all the basic techniques covered during the course.

I wish you the best of all lucks!!!