A 12-months full-time program, designed to meet the needs of graduates, with lectures taking place mainly during the morning or in the afternoon:
- Preparatory Course Units – 3 weeks (3 x 4 hours = 12 hours per course unit) – September
Introduction to Finance
This course provides an introduction to the theory of finance with a focus on corporate finance and investments. The main topics include: 1. The financial system, its functional perspective and its markets-institutions, 2. Allocation of resources over time, 3. Risk and economic decision, 4. Financial statements and financial analysis, 5. Capital budgeting techniques, 6. Valuation of common stocks and 7. Valuation of bonds. The course integrates theory with practical applications and provides students with essential knowledge to tackle real problems in finance.
Elements of Mathematics and Economics for Business
In this course, the following elements of mathematics are covered: Functions and their applications, differentiation, optimization, elements of linear algebra, systems of linear equations. Moreover, basic elements of economics are covered, such as: Consumer and producer behavior, consumer choices under income constraints, producer choices under input constraints, supply and demand, the market clearing mechanism, the different types of market organization (perfect competition, monopoly, oligopoly) and their effect on producer and consumer choices.
Statistics for Business
The course provides the necessary background to perform a sound statistical analysis of economic, financial and accounting data. The concepts of probability and probability distributions are discussed, focusing on specific discrete and continuous probability distributions. Estimation techniques for basic parameters (e.g. mean, variance) of commonly used probability distributions are presented, along with steps in making inference about these parameters. The same techniques will be used in evaluating business claims through use of confidence intervals and hypothesis testing. Finally, predictions using simple regression models are discussed.
Ship Technology and Terminology
The course of Ship Technology and Terminology covers an introductory view of ships, the shipping industry, ports, and ship technologies; It also covers and explains frequently used terms and main characteristics with respect to ships and their design/building and operation. Elements of the shipping industry and of the interface between port and ship are addressed and specific examples are presented and discussed. The international legislative regime is explained through references to the work done by the International Maritime Organization (IMO) and to the respective Conventions and Codes, e.g. SOLAS, MARPOL, and ISM. Environmental topics related to ship operation (such as air emissions) are discussed and modern technological/operations solutions are presented and assessed.
- 1st Bimonthly Period (8 weeks x 3 hours = 24 hours per course unit) - October – November
Financial and Management Accounting (5 ECTS)
The course is aiming at facilitating students to understand the principles, role and usefulness of financial and management accounting. The course offers students a comprehensive understanding of how financial and management accounting information is prepared and can be employed for decision making purposes in the context of a modern shipping organization. Upon completion of this course, students will be able to understand the basic concepts of financial and management accounting and be familiar with current trends applied internationally. They will also be in a position to understand the processes through which financial statements are prepared and analyze the financial position and performance of a corporation, and will have acquired the skills that enable one to select and apply the most suitable management accounting method, tool or technique to process accounting information for decision making, planning and control and performance appraisal.
Financial Management (5 ECTS)
The goal of this course is to analyze corporate decisions from a financial perspective. To this end, the course focuses on investment and financing decisions, valuation, and the treatment of risk. Topics to be studied are the net present value rule, capital budgeting techniques and the estimation of the cost of capital. It also studies the valuation of stocks and bonds, the risk-return trade-off, the capital structure and its relationship with the value of the firm as well as the dividend policy of corporations. Finally, it analyzes the management of short-term assets and liabilities.
Maritime Economics and Business (5 ECTS)
This module provides a comprehensive understanding of the economics governing the global shipping markets as well as a thorough exposition of how economic analysis enables effective business decision making in the shipping industry. Specifically, the module covers topics such as: shipping cycles, classification of costs of vessels, cash flows of shipping companies, national and international regulatory framework, shipping freight markets, commodities markets, shipbuilding market, sale and purchase market for second-hand vessels, shipping scrap market.
- 2nd Bimonthly Period (8 weeks x 3 hours = 24 hours per 5 ECTS) - December – February
Corporate Finance (5 ECTS)
The purpose of this course is to cover a series of topics in firm financing, such as: Capital structure, dividend policy, factoring and forfaiting, operating and financial leasing, project finance, venture capital, bonds with option features (callable, puttable, convertible bonds), mergers and acquisitions.
International Economics (2.5 ECTS)
This course examines the functioning of the global economy and of international economic transactions. Among the topics covered are: the benefits of free (international) trade in comparison to situations of restricted trade; trade policy under perfect competition; strategic trade policy; commercial and financial relations between countries; the relationship between current account balances and net foreign assets; exchange rate determination; economic interdependence and monetary and fiscal policy.
International Maritime Commodity Trade (2.5 ECTS)
This module provides a comprehensive understanding of the international maritime commodity trade. It analyzes the main international trade theories and their relationship with the maritime commodities trade. The focus is on the evolution of the international trade patterns, the characteristics of the main commodities carried by sea, and the geography of maritime trade; including main producers, exporting/importing countries and flows, routes, and ports. The module provides an in-depth understanding of the basic resources, agricultural and energy commodities such as crude oil and oil products, iron ore, coal, grains and gas. The module also explores transportation mechanisms along with vessel types employed for different commodities and shipping routes.
Quantitative Methods for Shipping Data (5 ECTS)
This course will focus on various aspects of analyzing economic, accounting, financial, shipping data and in particular on model building and testing. The core of the course will be regression analysis including estimation and inference of regression parameters. The course will also discuss methods for exploring the adequacy of a model based on measures of fit and residual analysis. The course will conclude with the analysis of dynamic models used in applied research.
- 3rd Bimonthly Period (8 weeks x 3 hours = 24 hours per course unit) - March – April
Management of Maritime Companies (5 ECTS)
The aim of this course is to provide a comprehensive understanding of management concepts and tools that are indispensable in the achievement of competitive advantages in international maritime company market domains. The course introduces students to key general management concepts and theoretical frameworks including familiarization with the environment of maritime companies, decision making, planning, organizing, human resource management, leading and controlling to accomplish organizational goals. The course demonstrates how strategy and strategic goals and performance systems and measures can be developed and implemented in maritime organizations and adopts tools in the development of strategy and the measurement of performance in maritime company management.
Shipping Finance and Investment Decisions (5 ECTS)
The course-unit provides an introduction to shipping finance markets, alternative sources of finance for the shipping industry, capital budgeting and investment appraisal through analysis of the cash flows that ships and shipping companies generate, vessel pricing issues, bank finance for ship purchase, public and private capital markets, risk assessment and management issues in shipping.
Selection of one (1) of the following course units (5 ECTS per course unit):
- Data, Models and Business Decisions in Shipping
This course focuses on the decision-making process of analyzing, formulating and solving a broad number of operational, tactical and strategic business problems in shipping via the design and the development of computational models and strategies. Students will be introduced to the role of mathematical modeling and computational strategies in making optimal or near optimal decisions for complex problems in shipping. The course will cover aspects such as Linear Programming, Integer Programming, Sensitivity Analysis, Decision Trees, Combinatorial Problems in the Shipping Industry, Computational Strategies for solving Strategic, Tactical and Operational Problems in the Shipping Industry.
- Port Economics and Policies
The course “Port Economics and Policies” examines issues dealing with: the characteristics of the demand for port services, the role of ports in the contemporary transport networks and the supply chains, how the supply of port services is organized, the characteristics and the strategies of terminal operators, the different types of port competition, the role of a port authority, the effect of the shipping industry structure in the port industry, the role of the national and European port policy in the organization, the development, the finance and the pricing strategies of ports, the port performance measurement and the peculiarities of the various port markets (cargoes, passenger, cruise etc.).
- Portfolio Analysis and Management
This course examines the most important issues in the theory and practice of modern portfolio management. Topics include efficient capital markets, risk and return, asset pricing models, valuation, equity portfolio management strategies, bond portfolio management strategies, the professional asset management industry, evaluation of portfolio performance, main investment decision biases, investor contrarian and momentum strategies, and herd behavior.
- Accounting for Shipping Business
The course will provide basic elements for the preparation of financial statements for shipping companies. It will cover issues related to classification, initial recognition and subsequent reporting of Assets; It will cover fundamental issues related to Financial Instruments; Accounting treatments of Leases and Revenue recognition. It will further present tax considerations for the shipping industry. It will finally cover accounting and reporting issues of IFRS versus US GAAP in shipping companies. Marine Accounting Information Systems will be analyzed throughout the course.
- Data, Models and Business Decisions in Shipping
- 4th Bimonthly Period (8 weeks x 3 hours = 24 hours per course unit) - May – June
Selection of course units equivalent to a total of 15 ECTS (5 ECTS per course unit):
The aim of this course is to provide in-depth and holistic understanding of charter markets, chartering practice and charter party analysis in the dry cargo and tanker shipping markets. Overall the course provides a comprehensive understanding of the requirements to initiate, negotiate, agree, execute and assess a successful charter party contract in the dry bulk and tanker markets.
- Logistics Management and Liner Shipping
The objective of Logistics Managementcourse unit is to introduce concepts and methods regarding Global Supply Chain Management. The course covers issues related to: Supply chain strategies and operations; Designing Global Supply Chains; planning and coordinating supply chain operations; International Logistics; Distribution and Transportation Systems Decision Making.
The objective of Liner Shippingcourse unit is to introduce concepts, methods and business models regarding Liner Shipping Management and highlight the role of Liner Shipping operations in Global Supply Chain Management. The course covers issues related to: International Logistics and Liner Shipping; Liner Shipping Operations and Characteristics; Decision Making in Liner Shipping; Liner Shipping Economics and Management.
- Maritime Insurance
The course unit is structured in such a way so as to provide students with a comprehensive analysis of the law and the principles of marine insurance. Through the study of each separate topic students will be able to fully grasp the nature and formation of the marine insurance contract, the basic legal principles and the complex legal concepts involved in the construction of the policy, the duties as to disclosures & representations and warranties.
- Maritime Law
Within the compass of this subject the material law provisions are taught for everyone involved in the maritime business, such as owners, charterers, financiers, operators and carriers of goods by sea. The basic principles of English maritime law as this is applied judicially and through arbitration are also explained. The basic principles regarding ships sale and purchase and ships mortgages and liens are also explained. The law of charterparties and bills of lading, general average and salvage is also covered. Limitation of liability for maritime claims and vessels pollution regimes are also taught.
- Shipping Business Risk Management
The course unit introduces students to the area of risk analysis and management in the maritime sector, through both traditional methods and modern financial instruments. Risks involved in the management of maritime businesses are identified, traditional methods of dealing with them are explored. Futures, forwards, options and swaps are analyzed for hedging, investment and arbitrage purposes. Their applications and specifics into shipping business are outlined through examples, while strategies are developed to deal with the risks in the sector. Modern decision-making tools, such as Value at Risk (VaR), are also explored in this course unit.
The course aims to provide an in-depth understanding of modern banking theory and practice. The course will place emphasis on the fundamental financial risks banks face and the methods they apply to measure them. The course will also devote substantial time to the contemporary regulatory framework and its implications for banking operations.
- Financial Analysis and Company Valuation
The course aims to provide a thorough understanding of the valuation practices of equity research analysts. Various key performance indicators, accounting adjustments, financial ratios, and equity valuation frameworks are examined. Several examples of equity research reports from prestigious international investment brokerage houses for shipping companies will be provided. Preparation and presentation of a comprehensive equity research report by the students is part of the course. For the purposes of the group project, the students have the option to focus on the fundamental analysis and valuation of a US-listed firm operating in the global shipping sector.
- Risk Management
The course unit aims to provide an introduction to techniques of identification, measurement and management of risk. Emphasis is given to financial risks; however, the course touches upon the decision analysis framework and risk management techniques outside the financial sector. Participants should be familiar with the basic financial securities and derivatives and have some knowledge of differential calculus and linear algebra (matrix operations). However, all mathematical background is reviewed in class as necessary.
- International Taxation of Capital and Investment Decisions
This course introduces the fundamental tax concepts that are necessary for global investment decisions. The evaluation of alternative tax jurisdictions adopts a full-cost approach where both explicit and implicit taxes are considered. Specific tax issues that influence investment decisions are covered, such as: sources of taxable income, residency, permanent establishment, tax treaties, credit system of tax relief, transfer pricing, tax heavens, tax loopholes, controlled entities, and dividends from subsidiaries.
- Wealth Management
This course addresses investment and financial issues arising from personal wealth management activities. The course starts with an introduction of the financial planning industry and the regulatory framework, and it then deals with topics required for the construction of a comprehensive financial plan, including identification of client financial status and goals, asset allocation, securities trading, managed funds, risk management and insurance, superannuation, estate planning and social security.
- Human Resource Management (Managing People in Shipping)
People management deals with the study of psychological and behavioral principles and their application to individuals and groups within organizations. Because work within organizations is accomplished by and through people, we will focus on analyzing and understanding factors that impact the behavior of individuals and groups, and on applications that develop your personal effectiveness. The course also aims at familiarizing students with the wider context of Human Resource Management (HRM) and Organizational Behaviour (OB) in the shipping industry. The subjects covered throughout the lectures will introduce students to the current way of managing employees in shipping, aiming at applying HR and Ob principles in this particular sector.
- Operations Management
This course unit introduces students to the design, analysis, optimization and functional control of operations -production or service provisioning systems- in both industrial and service companies. It highlights the intense need for effective management of the constrained resources of these systems. Through the course, the student will understand the organizational structure and the various components, sub-systems and functions of a production or service provisioning system. They will gain knowledge about the problems arising during their design and operation, and how these can be addressed through strategic choices, specific methods and analytical techniques.
- Strategic Business Decisions in Shipping
The Strategic Business Decisions in Shipping (SBDS) course addresses aspects related to the shipping companies, the challenges they face and the opportunities they pursue through the implementation of appropriate strategies and allows drawing integrated conclusions for the sources of successes of, the problems involved with, and the pressures exercised on them. More specifically, the SBDS course aims to facilitate the learning and understanding of the fascinating world of the shipping sector. It covers the key elements of the international business environment, and the strategic decision-making inside the shipping companies with specific reference to strategic management theories and frameworks.
Dissertation takes place between June/July and October (15 ECTS)
Terms of Study
Class attendance in course units is compulsory. Students who are absent for more than 1/3 of the contact hours in a course unit will fail it and must attend it the next time it is offered.
Course units are assessed through written and/or oral examinations and/or assignments. For a course unit to be examined through an oral examination and/or assignment only it requires approval by the Special Interdepartmental Committee.
The final mark of each course unit is determined by its instructor, and may include individual and/or team assignments.
Students that fail in more than two course units per semester are considered to have failed overall and are required to leave the Program.
The submission deadline for the MSc Theses is October 31st of the academic year following the initial registration.
See the current Academic Calendar here
Lectures take place at AUEB’s Centre for Research and Postgraduate Studies and the new state-of-the-art AUEB premises inaugurated in May 2017 by the President of the Hellenic Republic.
Laboratory classes take place at the ISFM Lab.