IF440 - Capital Markets and Uncertainty


Examination arrangement

Examination arrangement: School exam
Grade: Letters

Evaluation Weighting Duration Grade deviation Examination aids
School exam 100/100 4 hours D

Course content

  • Investment decisions
  • Expected utility and risk aversion
  • State preference theory and complete markets
  • Stochastic discount factor
  • Optimal portfolio choice under uncertainty
  • Market equilibrium: CAPM and APT
  • Pricing of contingent claims
  • Efficient markets: Theory and evidence

Learning outcome



  • Know of various models for capital markets and pricing under uncertainty
  • Know of central questions and related research



  • Are able to analyze portfolio choice and pricing within different models
  • Are able to analyze economic relationships wherein explicit assumptions on uncertainty in the capital markets matters

General competences


  • Are able to make judgements on the influence of risk and uncertainty

Learning methods and activities

Lectures, problem solving, assignments

Compulsory assignments

  • 3 obligatoriske innleveringer

Further on evaluation

Supporting material allowed on exams: Approved calculator regarding NTNUs support material code B-D "specific basic calculator". Other calculators that are allowed in the course are: Casio FC-100V and Texas Instruments - BAII Plus. Admission to study programme is required, see "special conditions".

Required previous knowledge


Course materials

Textbook and readings will be announced when semester starts

Credit reductions

Course code Reduction From To
BA440 7.5 SPRING 2008
More on the course



Version: A
Credits:  7.5 SP
Study level: Second degree level


Term no.: 1
Teaching semester:  SPRING 2022

Language of instruction: English

Location: Trondheim

Subject area(s)
  • Economics and Administration
Contact information
Course coordinator:

Department with academic responsibility
NTNU Business School


Examination arrangement: School exam

Term Status code Evaluation Weighting Examination aids Date Time Examination system Room *
Spring ORD School exam 100/100 D 2022-06-10 09:00 INSPERA
Room Building Number of candidates
  • * The location (room) for a written examination is published 3 days before examination date. If more than one room is listed, you will find your room at Studentweb.

For more information regarding registration for examination and examination procedures, see "Innsida - Exams"

More on examinations at NTNU