Shipping, Trade and Finance – (M.Sc.)

Contents

We review all our courses regularly to keep them up-to-date on issues of both theory and practice. Consequently, there may be some change to the detailed content of the modules, and occasionally to module titles.

To satisfy the requirements of the degree programme students must complete:

• ten core courses

and

• five electives

or

• one elective and a Business Research Project

These Masters programmes all start with two compulsory induction weeks, focused mainly on:

• An introduction to the Cass Careers offering with a focus on key skills and attributes that employers are looking for. The annual MSc Careers Fair at this time also provides the opportunity to meet over 60 companies who are recruiting across many sectors including finance, energy, insurance, real estate, shipping, strategic management and internal auditing.
• a refresher course of basic financial mathematics, statistics, computing and electronic databases.

Five core modules (30 hours each)

International Economics (For STF and SCTF students only)

Explores the economic relationships between nations; international trade relations and benefits; the effects of barriers to trade and income distribution; trade policy; and international monetary relations. The significance of external influences on fiscal and monetary policy, the balance of payments and the theory and evidence of exchange rate determination all form part of this module, which also looks at the response of the exchange rate to monetary and other shocks, and examines the case for fixed exchange rates.

Energy Economics (For ETF students only)

This module provides the fundamental knowledge of energy market economics, upon which the rest of the degree is built. The aim is to provide the student with an energy-specific toolkit, which will allow him/her to understand the broader economic concepts and issues in this sector, before dealing with the detailed business and finance issues which are covered in the other three energy-specific modules.
Topics covered include: hydrocarbon supply and demand; microeconomic organisation of oil, natural gas, coal and electricity markets; renewable energy; climate change and other energy policy issues.

Managerial Accounting

Introduces the principles of accounting and finance in business and the main techniques in management accounting, planning and control. Covers the interpretation and use of annual reports and accounts, financial and ratio analysis, and their use for managerial decision-making, and budgetary control systems.

Principles of Finance

As a first course in finance, addresses the key issues involved in valuing assets and liabilities on the basis of their future earning power. Students are introduced to the problems involved in specifying risky future earnings and the appropriate rate at which to capitalise them. Payoff asymmetry is examined, and options are valued with the help of both the binomial and Black-Scholes models.

Quantitative Methods

Following the induction course, it covers descriptive and inferential statistics, as well as regression analysis techniques. Develops skills that are essential for other modules and the dissertation and is designed to ensure relevance to everyday business problems.

Shipping Economics* (For STF students only)

Focuses on the operational environment of the bulk-shipping sector. Subsequently discusses extensively the microeconomic structure of the four main markets (freight, second-hand, shipbuilding and demolition) in dry bulk and tanker shipping, together with the operational characteristics, international regulations and policies which affect these highly competitive, volatile, but nevertheless exciting industries. Continues with an introduction to liner and container shipping economics and concludes with a discussion of the principles of modern supply chain logistics, of which bulk shipping forms an integral part.

Supply Chain Economics (For SCTF students only)

Sets the foundations for understanding the industry by outlining its basic economic structure and organisation in a series of lectures. Topics for discussion include the significance and role of transportation in society; transport demand parameters; |the regulatory framework and transport policies; transport geography and physical location; and the issues raised by vehicle and infrastructure provision. In the spirit of the international scope of this course, examples will be drawn from several regions around the world, with particular emphasis on Britain, Europe and developing countries. Concludes with a series of lectures introducing the concepts of logistics and supply chain management.

Oil & Energy Transportation & Logistics (For ETF students only)

This module will equip students with the tools necessary to think skilfully and maturely, but also independently on matters relating to the oil and energy transportation business and industry. Students will develop an understanding of the economic structure of the tanker shipping industry, LNG and LPG shipping, and pipeline and land transportation networks. Students will also develop an understanding of the industry's cost structure and how prices are set and revenue is earned by tanker, LNG, LPG and pipeline companies.

Five core modules (30 hours each)

Advanced Quantitative Methods

Builds on the knowledge acquired in Quantitative Methods in Part one and focuses on skills required for advanced analysis in areas such as risk management and forecasting.

Corporate Finance

Builds on the subject matter learned in Principles of Finance in Part one and focuses on the decisions undertaken by the modern industrial corporation, with respect to such areas as expansion, restructuring, capital formation and acquisitions. Applying theoretical concepts to case studies, the student will extend his or her ability to formalise, structure and analyse capital expenditures and investments, including how they are financed and how the risks thereby arising are managed. Topics include mergers and acquisitions; restructuring; investment banking; cost of capital; and the use of futures and options to manage risk.

Financial Markets

Covers the global economic and financial environment within which business corporations operate. Globalisation and integration of markets for debt, equity and risk management have created new opportunities in the capital formation process, but pose great difficulties in navigating successfully. Where should capital be raised? How does one manage the risks from certain currencies and certain sovereign regions? In the context of the globalisation of capital markets, considers the structure, functions and performance of financial markets on an international basis and how they facilitate real economic activity; and the role of institutions operating as global intermediaries within these same markets.

International Commodity Trade (for STF & SCTF students only)

Discusses the theory and practice behind the development of modern patterns of trade, focusing on the world's major bulk commodities, such as grains, petroleum, and ferrous and non-ferrous ores. Considers in depth the distinctive microeconomic characteristics of key commodities, such as storability, perishability and seasonalities; pricing mechanisms and methods of adjustment; the role of key producers and key markets in shaping market conditions.

Global Supply Chain Management (for SCTF students only)

Building on the knowledge gained in Supply Chain Economics, this module studies the process of planning, implementing and controlling the efficient, effective flow and storage of goods from point of origin to point of consumption.Using, inter alia, computer-based simulation exercises, discusses such topics as supply chain management, inventory control, multimodal transport management, global distribution, and quality and value in logistics. Case studies are used throughout to illustrate the planning of integrated transport systems, and also to strengthen an appreciation of logistics as a strategic tool. Visits by industry leaders illustrate best practice, affording the opportunity for discussion of timely issues.

Shipping Investment and Finance* (for STF students only)

The skills developed in both Principles of Finance and Corporate Finance are applied to the shipping industry while introducing several new and important concepts to develop the ability and the analytical tools to make rational shipping investment and finance decisions. Making extensive use of case studies, areas covered include the fundamental principles of shipping investment and finance; vessel investment and disposal markets; investment feasibility studies; bank credit policy, bank credit analysis and proposals; other sources of shipping finance such as shipyards and capital markets; and risk management in shipping.

Oil & Energy Trading and Economics (for ETF students only)

This module prepares you for a career in the oil and energy industries. It consists of a combination of the following key aspects of the energy industry. Petroleum - Exploration, production history and cost; Basic hydrocarbon chemistry; Refining economics; Effect of product quality and the environmental issues. Energy - Geopolitcal role of oil, gas and coal; Supply and trading patterns and economics; Demand structure and inter relationship of the energy markets; The role of finance, Price risk management and controls.You will progress from an understanding of the exploration and development of oilfields to the economic exploitation of the energy markets through refining, gas distribution and power generation, to marketing and trading and the role of finance throughout the supply chain. The integration with the other aspects of the course will lead to an understanding of short term trading, project financing, shipping economics and the use of systems and instruments to risk manage the process both in the short and long term context

Power Markets (for ETF students only)

This module covers in some detail the power generation sector and supplements (and expands) the material covered in the Oil & Energy Trading module. The aim is to provide the student with a deeper understanding of the power markets, from generation, to pricing and all other pertinent issues. It also aims to put renewables in context, as their output feeds directly into these markets and supplements (or perhaps competes with) conventional hydrocarbons.Topics covered include: power generation from exhaustible and renewable sources; transmission, distribution, metering; regulation, liberalisation and climate change issues; market structures for electricity; pricing, risks and their management.

Five electives (18 hours each)

OR

One elective and a BusinesWQs Research Project

Electives

You may choose from a wide variety of electives. For example:

• 6 Sigma for Managers
• Air Transport
• Commodity Risk Management*
• Container and Intermodal Transport
• Crude Oil Supply and Economics
• Dry Cargo Chartering
• E-commerce and IT
• Empirical Finance
• Equity Investment Management
• Finance in Emerging Markets
• Fixed Income Analysis
• Forecasting Investment Markets
• Futures
• International Banking
• Marine Insurance
• Mergers, Acquisitions and Divestments
• Options
• Project Finance
• Retail Supply Chain Management
• Risk Management
• Shipping Innovation**
• Shipping Law
• Shipping Risk Management*
• Supply Chain Finance
• Supply Chain Modelling
• Tanker Chartering*

*Indicates compulsory modules for Energy, Trade and Finance students only.

**Module sponsored by the American Bureau of Shipping (ABS)

Research Methods module

This compulsory module trains students to undertake independent research either in the context of a single organisation or by using third-party sources. It provides the necessary tools and skills to initiate, research and write up a business project and includes training in research methodology, availability of data sources, project writing, time-management and presentation skills. These skills will be invaluable to students in their future career whether or not they choose to complete a project.

Accreditation

MSc in Shipping, Trade and Finance

The MSc in Shipping, Trade and Finance is validated by the Institute of Chartered Shipbrokers consequently, students successful in the courses of:

• International Commodity Trade
• Shipping Economics and Policies
• Shipping Law
• Marine Insurance

will be granted exemption from the following examinations of the Institute:

• Economics of Sea Transport and International Trade
• Introduction to Shipping
• Law of Carriage of Goods by Sea
• Marine Insurance.