Academic Year 2023-2024



Antonino Zanette
Unit Credits
Teaching Period
First Period
Course Type
Prerequisites. The course takes place in the first semester of the second Bachelor degree year.

Mathematics (general) is the bridging course.

Prerequisites are knowledge of elementary functions and their graphical representation, ability in (elementary) limits calculation, knowledge of some notable special limits, knowledge of basic differential and integral calculus.

Teaching Methods. Slides cover the whole program. They are only a part of material, consisting in one recommended text on mathematics for finance and notes by the teacher on probability. Both slides and notes can be found in the Educational material of the course. The teacher suggests additional material that can be found in Internet and reference books for further insights.

There will be theoretical lessons with examples and applications and practice exercises taken from previous exams. Exam texts with solution are also available in the Educational material (e-learning platform).

Verification of Learning. The exam consists of a written test lasting two and a half hours and an oral examination.

The written test is structured as in the examples provided in the study materials. There are also some theoretical questions that require open-ended answers (definitions, theorems, etc.).

If the outcome of the test results in a score between 18/30 and 25/30, on the scheduled date for the oral examination, the candidate will only discuss the written test with the instructor. If the test outcome is insufficient or excellent (i.e., above 25), an oral examination covering the entire exam syllabus will be conducted. Lastly, in the case of a severely unsatisfactory outcome, the candidate will not be admitted to the oral examination and will need to retake the written test.

In grading the mark for the final exam, the teacher complies with the indications approved by the Degree Program Board and available on the degree course website at the following link

More Information. There are no contents/program differences between attending and not attending students. To the last students we suggest to look at the “Educational material” (e-learning platform) and to attend to the tutorial hours (see the timetable on the University web-site) for explanations.

Topics encountered during the course are suitable to Business and Economics bachelor thesis. Thesis will be quantitative and require the adoption of adequate mathematical tools.


The first part of the course provides the fundamentals of financial mathematics under certainty conditions. The second part is devoted to elements of probability theory, revisited from a financial point of view. This will allow students to consider financial mathematics applications in stochastic frameworks (i.e. applications in portfolio theory and in actuarial fields). At the end of the course students will be able to:

• knowing and managing interest, discount, final value, present value, rates, capitalization and discount factors;

• using different accumulation and discount functions;

• linking the properties of financial functions with arbitrage free assumptions under certainty conditions;

• making financial evalutations under no flat yield curves;

• evaluating annuities;

• writing amortization schedules;

• evaluating enterpreneurial projects;

• giving a financial meaning to probabilities and proving the fundamental probability theorems with the no arbitrage assumption;

• knowing the ways to characterize (discrete and continuous) random variables probability distributions;

• knowing the most important synthetic distribution indices and giving them a financial meaning when the random variables are stochastic assets returns;

• applying the financial and probabilistic tools to decisions under uncertainty (in particular to portfolio choices and to evaluation of life insurance premiums).

Soft skills:

• the student should reach a financial literacy level so that he will be able to identifying and analyzing financial information, solving financial problems;

• students should become aware of the importance of risk in financial investing, in financial planning and in stochastic asset pricing;

• topics handled during the course are fundamental for advanced course in quantitative finance;

• both under certainty and uncertainty we give relevance to the no arbitrage condition that is fundamental in stochastic asset pricing in finance.

• Financial Mathematics in a non stochastic framework.

• Elementary probability calculus.

• Applications of Financial Mathematics and probability to portfolio selection and to life insurance policy pricing.

Pressacco F., Stucchi P. (2007) “Elementi di Matematica Finanziaria”, CEDAM

Notes by the teacher on probability.

Further insights:

Cacciafesta F. (last edition) “Lezioni di matematica finanziaria classica e moderna”, Giappichelli

Edited by Miani S. (last edition) “I prodotti assicurativi”, Giappichelli, 2nd chapter by Pressacco F. and Ziani L.