- Familiarity with range of theories on law and finance. Develop analytical skills to critically review then and their application in regulatory practice
Section 001, Fall 2018
Law and Finance in Theory and Practice is a seminar designed to introduce students to understanding and analyzing the relation between law and finance in theory and in practice. Informed by the legal theories of finance (LTF), the seminar is based on the premise that a deep understanding of the legal institutions that code finance is indispensable for comprehending and regulating contemporary financial systems in domestic or global context.
The history of the securitization of mortgages in the United States and the spread of asset-backed securities around the globe serve as a case study for investigating the co-evolution of law and financial markets over the preceding half century. The materials will include legal documentation for securitization, derivatives, statutory and case law, as well as secondary literature. A careful “institutional autopsy” of these materials is meant to sharpen our view in differentiating between benign and malign developments post crisis.
There are no formal prerequisites for this seminar, but students should have some basic understanding of financial markets. Readings will be made available on the course web site.
Students are required to write 4 critiques of the assigned readings with a length of 5 pages. The critiques should demonstrate an understanding of the problems the readings pose, explain what assumptions influence the analysis and respond to the questions posed for each session. The memos will count for 2/3 of the grade, participation in the discussions for 1/3. Memos are always due on Mondays at 12.00 noon preceding the Tuesday seminar. There are no memos for the first session. A sign-up sheet for memos will be circulated at the first session.
This year, we are also offering an “LTF Lab” for students who wish to obtain an additional (1) credit of experiential learning. In the LTF Lab students will have more time analyzing documents, even designing their own, and engaging with practitioners in law and finance. We will schedule several sessions throughout the term in a two-hour time slot immediately following our regular seminar. Students wishing to obtain credits for the LTF Lab will sign up for an independent experiential learning unit. All other students who are enrolled in the seminar are welcome to attend LTF Labs of their choice.
T 4:20-8:10 pm
Method of Evaluation
J.D. Writing Credit
Minor (upon consultation), Major (only upon consultation)
There are no formal prerequisites for this seminar, but students should have some basic understanding of financial markets.