Situated at the crossroads between Economics and Finance, this programme is dedicated to aspiring leaders in the ﬁnancial industry. Programme graduates are able to apply methods of mathematical statistics and econometric models to the analysis of corporate ﬁnance, portfolio management, ﬁnancial markets and institutions, ﬁnancial engineering across local and international, public and private institutions.
“My job is to bring together different kinds of lecturers- practicioners, academics from all around the world. I want to open the door of world-wide experiences to Master students, introduce them to global practice and broaden their horizons.”
Financial Economics Programme director
Doctor in Financial Geography at the University of Oxford
higher salary compared to graduates from other LT universities
Government strategic analysis center, Economics, Finance, Business and Management fields, 2015-2018
average salary after tax, 2 years after graduation
ISM alumni survey, 2019
Master graduates would recommend studies
graduates work in their degree field
lecturers from abroad
owns a business
“I received career advice from Career center during my Bachelor’s studies, which helped me kick start my career in finance and macroeconomics. Master’s studies expanded the knowledge needed to analyze macroeconomics and set the stage for further research. The overall flexibility of ISM studies and the adaptation to the working person’s schedule have made life much easier.“
Senior economist at Swedbank
Admission – until 12th of August
ISM alumni work at these national and international companies
“In BITĖ many people successfully continue their careers after an internship, and some BITĖ managers have graduated or are currently studying in one of many ISM study programmes. We appreciate the quality of studies and that many of the lecturers are experienced practitioners.”
Executive Director at Bitė Lietuva
“ISM students and alumni are highly valued by us and our clients. They have the necessary competencies and personal qualities, such as understanding the basics of business, positive attitude, excellent English, and the ability to deal with different situations.”
Partner at Alliance for Recruitment
“The best talents are the trump card of our company. Without a strong team, it would be hard to be where we are now. The partnership with ISM is an important step in sharing both our experience in raising professionals and their subsequent integration into the labour market and becoming our colleagues.”
One of the founders of Tesonet
“We value the professional training and versatility of ISM students and graduates – their knowledge is relevant, based on the latest international practices and easily adaptable to real business problems. We are glad that we attract energetic people, whose desire to improve and achieve the best results allows us to implement the most ambitious business ideas.”
Head of Talent Acquisition and Employer Brand at Ignitis Group
“Initiative, critical thinking, and the ability to adapt to rapidly changing environment – these qualities are necessary for our organization, and I think that all people studying at ISM acquire them.”
Head of the Talent Management Department at Lithuanian Railways, ISM alumnus
“ISM students have the necessary qualities: they can analyse problems, express ideas, know how to work with numbers, learn quickly, communicate well are proactively, are not afraid of responsibility. We have many examples of ISM students who grow from young analysts into experienced experts at Civitta. Their analyses and advice are appreciated by the management of organizations.”
Managing Partner at Civitta
1.5 years + Master thesis
Business days 5:45 – 9:00 PM
Master of Social Sciences
Additional opportunity – double degree at BI Norwegian Business School, which is among 1% of Business Schools in the world to hold the Triple Crown accreditations (AMBA, EQUIS & AACSB)
During your second years of studies you can study in Norway
Accelerate your career with ISM Master studies – explore our guide
Course Syllabus: GRAE021 Asset Pricing
This course focuses on asset pricing and financial markets. The prerequisites for this course will have prepared you with an understanding of the theoretical foundations of the investment topics to be discussed. These same topics will be considered here from a more applied perspective. Course discussions will cover the following topics: risk, diversification, interest rates, valuation theories, derivative securities (futures, forwards, and options), risk management, efficient markets, and portfolio management.
At the end of this course, students should be able to:
• Analyze and evaluate financial data. Recommend and justify decisions, including decisions arising from ambiguous or unfamiliar information, or arising from ambiguous or incomplete directions.
• Illustrate the understanding of the relationship between tools and theories. In particular, demonstrate modern portfolio theory, characterize asset valuation models, demonstrate the CAPM, outline the Fama-French 3-Factor Model, and outline the Arbitrage Pricing Theory.
• Develop an ability to suggest solutions in corporate finance. In particular, demonstrate fixed-income security analysis for the development and monitoring of fixed-income portfolios. Additionally, demonstrate equity security analysis for the development and monitoring of equity portfolios. Furthermore, characterize derivative securities in portfolio management, particularly for the purpose of risk management.
Course Syllabus: GRAE012 Monetary Policy
Objective of the course
This course aims to encourage both theoretical inquiry and practical questioning and understanding. Emphasis is placed on interpreting theoretical models of how monetary policy is formulated and implemented and placing those models in the context of real-world economic systems and practical policy-making. In addition to learning from lectures and reading, students will learn how to use a simple method to diagram monetary theories and how to use simulation models to deepen understanding of the macroeconomic dynamics of monetary policy. The students will also gain practical experience in team-structured research and organizing and delivering professional presentations.
Aims of the course
This course offers an overview of important results in the field of behavioural finance and the implications of these results for the traditional finance theory and practice. Using textbook readings, academic papers, classroom experiments, and case studies, the course introduces and explores the main concepts, research tools and methodologies of behavioural finance on the individual, corporate and financial market level. The course will also introduce some influential critiques of the field and explore the implication of behavioural findings for contemporary financial economics issues in the world.
On completion of this course successful students will be able to:
Course Syllabus: GRAE020 Financial Intermediation
Aim of the course
This course is advanced course on Financial Intermediation institutions. The aim of this course is to develop understanding of the theories of financial intermediation and provide insights into the best practices of risk management processes and techniques used by banks and other financial intermediaries. Recent developments in regulatory framework and crisis prevention and management techniques will also be discussed.
Course Syllabus: GRAE029 Development Economics
The Development Economics course will be taught with an emphasis on finance and development. The course begins by assessing various problems in international development, how these problems are measured and which goals have been set to promote the development agenda. We then explore how development can be financed by looking at Overseas Development Assistance (ODA), examining theoretical arguments for ODA, innovative financing instruments and the incentive effects on Governments. The second part of the course delves into national Governments’ responsibility in the development process as it relates to revenue mobilisation, debt financing and public financial management reform. Finally, the course concludes by studying financial systems in developing countries, issues of financial inclusion, and the role of financial sector development in poverty reduction. The course will be taught using a mix of chapters from textbooks, journal articles, and policy documents from international development organisation. Classes will be a mix of lectures and tutorials.
Course Syllabus: GRAE001 Research Methodology
The course provides an advanced introduction to research methodology and techniques in applied economics and finance. It covers an introduction to research and science; main issues related to research design; quantitative and qualitative research approaches and related methods; selected number of research techniques in finance, integrated with appropriate financial theory and evidence. The course is designed to provide students a solid foundation for designing and conducting their own research and to enable them to become knowledgeable consumers of prior academic research results.
On completion of this course successful students will:
Course Syllabus: GRAE030 Research Project
This course guides students to prepare for their thesis writing process by surveying various topics in the field of Financial Economics. The three main foci are: literature review, research methodology, and hypotheses. First, by systematically highlighting the differences between the annotated bibliography and the literature review, we emphasise the link between the existing literature and the research questions at hand. Second, by skimming through the preliminary data, we check the data availability and the feasibility of the chosen research method. Third, by articulating the hypotheses, we evaluate the proposed research design. The course lasts throughout the semester and concludes with the thesis proposal defence.
Upon successful completion of this course, students will be able to:
Course Syllabus: GRAE025 Applied Business Ethics
The course will deal with the question of who is responsible for the ethical behavior in business. The dominance of US based literature, has suggested the concept of Corporate Social Responsibility as the main doctrine. However, considering the historical, economical and political context – the situation in Europe is fundamentally different. Unlike in the United States, the question of philanthropy plays only a minor role in Europe. On the other hand, the question of social, legal, environmental, and economic responsibility – within the context of a welfare state – dominates daily business life.
This course will be taught within the MSc in Financial Economics – however deals by nature more with philosophical issues. The first lectures will therefore deal with basic theories of Ethics and Capitalism. The second part deals with Corporate Social Responsibility, Stakeholder Theory and the Creating Shared Value Theory – which became important issues in the Financial Industry. Last but not least, the course will cover various issues related to ethical issues in finance. In order to add more applied content – the seminars are covering various cases studies which are relevant in the world of finance.
Course Aims and Objectives
The aim of the course is to raise awareness for the participants that corporations have a responsibility towards all stakeholders – not just towards increasing shareholder value. Moreover, it will deal with the question to what extent selfregulation and corporate responsibility can satisfy the idea of a more sustainable economy.
Course Syllabus: GRAE027 Applied Valuation
Applied valuation course builds on advanced corporate finance, and offers in-depth treatment of business valuation issues. It explores the main concepts, methodologies and tools of valuation through main theories, academic papers and case studies. The aim is to provide students with up-to-date knowledge of fundamental valuation techniques and its applications.
Course Syllabus: GRAE003 Microeconomic Analysis
The course explores determinants of industrial competitiveness and successful economic development viewed from a bottom-up, microeconomic perspective. While sound macroeconomic policies and stable legal and political institutions create potential for industrial competitiveness, wealth is actually created at the microeconomic and firm levels. The sophistication and productivity of firms, the vitality of industrial clusters, and the quality of the business environment are the ultimate determinants of the productivity and innovation capacity of nations, regions and industries.
This course examines both advanced and developing economies and addresses competitiveness at multiple levels – nations, subnational units such as states or provinces, particular clusters, and neighbouring countries. The course is concerned not only with government policy but also with the roles that firms, industry associations, universities, and other institutions play in competitiveness. In modern competition, each of these institutions has an important and evolving role in economic development.
The course explores not only theory and policy but also the organizational structures, institutional structures, and change processes required for sustained improvements in competitiveness.
This is a distinctive graduate course offered in cooperation with prof. M. Porter and a team of his colleagues at Harvard Business School (HBS). It is designed to be taught to second year MBA students at HBS and affiliates of the Institute for Strategy and Competitiveness at Harvard Business School (http://www.isc.hbs.edu/moc.htm).
The main aim of the course is to enable the students to integrate and activate general knowledge on competitiveness in order to make analytical managerial decisions. The course focuses on the environment in which global strategy is developed at the corporate, business and operational levels. Particular attention is paid to the processes, competencies and vision of top management, competitive positioning, understanding comparative costs.
Part of the purpose of the course is to expose students to some of the most successful countries and regions. In addition to cases, there are readings, a series of lectures, and videotaped appearances by guests who are national, regional, or business leaders involved in the cases studied or experts on the issues discussed in class.
Learning Outcomes of the Course
On completion of this course successful students will enhance their skills for formulating strategy by developing an understanding of a firm’s operative environment. They will master a range of analytical tools and demonstrate the ability to take an integrative point of view in using these tools to perform in depth analyses of industries and competitors, predict competitive behaviour, analyse how firms develop and sustain competitive advantage over time.
Course Syllabus: GRAE017 Mathematical Finance
This introductory course surveys various mathematical concepts utilised in financial economics. Together with Financial Econometrics, it constitutes the foundation of the ‘research’ pillar in MSc Financial Economics at ISM. As such, some of the topics will be ‘repeated’, but more in depth, in other courses. As clients’ profiles and objectives have become increasingly global and complex over the past few decades, financial institutions have come up with more sophisticated and more structured products, alternatives, and approaches, some of which are reviewed in this course from a pricing and mathematical perspective. Given the current political environments (e.g. Brexit, transpacific trade war), we pay significant attention to the assumptions behind formulae and models, while we practice not only calculations but also explanations to prepare ourselves for the contemporary regulatory environment, most notably characterised by the MiFID II.
Course Syllabus: GRAE007 Advanced Macroeconomics
This is applied course in advanced macroeconomics, which aims to analyze and develop the models describing macroeconomic dynamics, explain economic growth, fluctuations, and relationship between economic policies, macroeconomic variables and financial markets. Biggest part of the course will be based on comparative analysis of different macroeconomic aspects. Discussions and analysis will focus on contemporary issues in the global economy.
The Master’s Thesis is a culminating experience in graduate level education for the degree candidates. It is an individual endeavour of analytical nature, which contains elements of originality and is performed in conformity with general requirements of academic papers and scholarly projects. For the students, the Master’s thesis should be a learning activity that is stimulating and engenders a sense of pride and accomplishment.
The intent of the thesis is to provide an opportunity for the Master’s degree candidates to refine, in some cases acquire, a range of skills at an appropriate level to conduct a competent research project. A successful thesis is an evidence that the candidate has acquired the minimum level of research skills required and can therefore be accredited a Master’s degree. Skills required of thesis writers are those associated with research design, data collection, information management, analysis of data, synthesis of data with existing knowledge, and critical evaluation of the writer’s own ideas and those presented in the literature reviewed. The thesis should be written in English within a given period of time and comply with commonly accepted principles of academic ethics.
Course Syllabus: GRAE019 Advanced Corporate Finance
The course builds on introductory corporate finance courses and provides a more in-depth treatment of several more advanced topics. The main topics covered are basic portfolio choice and asset pricing models, derivatives and the investment and financing decisions of the firm. The aim is to provide students with a good understanding of investment choices, the cost of capital, risk management strategies and the effect of financing on the value of the firm.
Course Syllabus: GRAE018 Financial Econometrics
The goal of the course is to provide students with basic econometric tools for the analysis of time series data for Finance, including models for stationary and non-stationary data, univariate and multivariate analysis. The course aims to improve students understanding of the main principles and concepts of applied time series analysis, selection of adequate modelling technique for a problem at hand, estimation of the model and its application for the problems in Finance: predicting returns on risky assets, forecasting volatility of bond returns, modelling exchange rates and commodity prices, testing the models in real-time and many other problems.
This course involves students studying how and why to invest in derivatives and other alternative investments, as well as how to manage risk by using alternative investments as a part of portfolio. Since risk management is a broad topic, course intention is to give students knowledge and understanding at the level they can further explore issues by themselves. It will cover the most interesting and most common used methods and instruments in contemporary financial risk management focusing on students being able to use them at their work/personal finance.
Objectives and learning outcomes
The core of the program consists of graduates of such famous higher education institutions as Oxford and Harvard universities, as well as world-renowned Lithuanian economics and political specialists.
Semester fee for ISM graduates
Semester fee for employees ISM social partners
Semester fee for the best applicants
ISM Achievement scholarship
One-time scholarships to high achievers
ISM Scholarships for International Applicants
Covering 30% of tuition fee
State scholarships for International students
A monthly scholarship
Discounts for employees of ISM social partners
ISM main admission:
Admission is underway
2020-07-22 – 2020-08-12
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Research Proposal (GRAV032)
Integrated Marketing Communications (GRAV033)
Corporate Responsibility and Sustainability (GRAV034)
Customer Value Analytics (GRAV031)
Research Methodology (GRAV001)
International Consumer Behaviour (GRAV010)
Advanced Topics in International Management (GRAV028)
Marketing Research (GRAV029)
Digital and Social Media Marketing (GRAV030)
Brand Management (GRAV022)
Services Marketing (GRAV020)
New Product Development and Service Innovation (GRAV025)
Master Thesis (GRAV016)
Microeconomics of Competitiveness (GRAV027)
Advanced Corporate Finance (GRAV012)
Multivariate Statistics (GRAV007)
Innovation Project Management (GRAI024)
Process Innovation Management (GRAI021)
Technology and Innovation Management (GRAI022)
Research Project in Innovation & Technology Management (GRAI023)
Business Strategy (GRAI012)
Business Finance (GRAI009)
Innovation and Technology Management Seminar (GRAI016)
New Product Development (GRAI014)
Master Thesis (GRAI011)
Artificial Intelligence Principles and Applications (GRAI019)
Sustainable Development of Emerging Technologies (GRAI018)
Behavioral Economics (GRAE031)
Development Economics (GRAE029)
Research Methodology (GRAE001)
Research Project (GRAE030)
Ethics and Economics (GRAE032)
Applied Valuation (GRAE027)
Monetary Policy (GRAE012)
Microeconomic Analysis (GRAE003)
Mathematical Finance (GRAE017)
Advanced Macroeconomics (GRAE007)
Master Thesis (GRAE016)
Advanced Corporate Finance (GRAE019)
Financial Econometrics (GRAE018)
Financial Intermediation (GRAE020)
Alternative Investments and Derivatives (GRAE033)
Asset Pricing (GRAE021)
Alternatyvios investicijos ir rizikos valdymas (GRAE023)