(MISC186) -  STAYROS TSOLAKIS

Περιγραφή Μαθήματος

ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS

 

MSc in International Shipping, Finance and Management

 

International Maritime Commodity Trade

 

Instructor       Name Prof.  Dr. Stavros Tsolakis

                        Email:  stsolakis@smu.edu.sg

Educational Aim and Course Overview

 

This course aims to provide students with an overview of the commodity markets. We introduce commodities as an asset class and present key concepts for commodity trading and investing businesses. We focus on physical trading and investing in real assets as opposed to trading commodities in the financial markets/on screens.

 

The first part of the course develops the classical and modern theories of the determination of the pattern of commodity trade between nations. The second part of the course covers trade policy and the role of institutions and commodity firms in managing world trade.

 

Educational Objectives

 

By the end of this course you should be able to:

 

• Understand and appreciate the key differences between commodities and other asset classes
• Identify main risk parameters in commodity trading and commodity investing
• Identify the key drivers of the current commodity super cycle
• Appreciate the role and emergence of commodity trading houses over the past century
• Appreciate significant risks and complexities in running a global business exposed to the commodity cycles

 

Lecture Contents

 

Lecture 1:

Introduction to International Trade Theory and Physical Commodity Trading.

Revisiting from Maritime Economics and Business the major commodities transported by sea and their main characteristics.

 

Lecture 2: Natural Resources: A Bless or a curse?

Case Study: Petrobras rise and fall and its effect on Shipping and Offshore

 

Lecture 3: Trading Physical Commodities and their carriage by sea: The Role of Bill of Lading, Incoterms and the Letter of Credit

 

Lecture 4: The Economics of Multinational Trading Companies

Thematic Areas:

• International Trade Theory

 

 

 

 

 

 

 

 

• Commodity Trading Basics
  • What is a Commodity?
  • Commodity Attributes
  • Commodity, Quality, Measurement and Standardization
  • Commodity Markets and trading Instruments
    • “Spot” contracts
    • “Cash market” contracts
    • Forward contracts
    • Futures contracts
    • Options
    • Contango/Backwardation
  • Cash Settlement v Delivery Settlement
  • Price Discovery
  • Risk Transfer

 

• The Role of the Bill of Lading and Letters of Credit in International Trade

 

 

 

 

 

 

 

• The geography of maritime trade of these commodities and as a consequence the types of ships that engage in their trading

 

• The Economics of Commodity Firms

 

 

 

 

 

 

 

 

 

 

 

 

 

 

IV  COMMODITY FIRM FINANCING, CAPITAL STRUCTURE, AND OWNERSHIP

 

 

 

 

V  COMMODITY FIRM ASSET OWNERSHIP AND VERTICAL INTEGRATION

 

 

 

 

 

 

 

Class Sessions

 

Class sessions are 3-hour duration each per week. Each session will involve a lecture and a discussion of assignments and readings. 

 

Assessment

 

20% Class Participation

20% Class Assignment

60% Exam  

 

Reading Material/Textbooks

 

Prerequisite: Lecture 1 Maritime Economics and Business 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Ημερομηνία δημιουργίας

Πέμπτη, 1 Οκτωβρίου 2015