ECF2721 Trade finance and foreign exchange
Faculty of Business and Economics
ECF2721 Trade finance and foreign exchange is a level 2, 6-credit-point, undergraduate unit from the Faculty of Business and Economics, offered in 2026 in Semester 1 at Caulfield. It needs ECF1100, ECW1101, ECC1000 or ECB1101.
- Credit points
- 6
- Offered in 2026
- Semester 1
- Caulfield
- Assessment
- Exam 40%
- and 2 other tasks
- Workload
- 144 hours
- per semester
This is the 2026 handbook entry. See the 2027 entry.
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Requisites
Before ECF2721
Prohibitions
You can't enrol if you have passed any of these.
Prerequisites
Pass these before you enrol.
After ECF2721
No unit lists ECF2721 as a prerequisite in the 2026 handbook.
Enrolment rules
To be successful in this unit, background knowledge and application of maths is required at the equivalent of VCE Year 12 level. You may have satisfied this by completing relevant prerequisite unit/s, or you have covered relevant topics in your final years of secondary study. You should self-assess your maths competency prior to enrolling in this unit.
Equivalent units
The same content under another code. Only one of them counts.
Overview
This unit focuses on the topics of international finance and trade. This includes the importance of international finance, the determination of exchange rates, foreign investment, parity conditions, hedging and speculation in foreign exchange markets, foreign exchange markets-spot, forward, futures and options markets, the balance of payments accounts and the effect of macroeconomic policies on trade balance.
Offerings in 2026
| Teaching period | Campus | Mode |
|---|---|---|
| First semester | Caulfield | On campus |
Assessment
- Quiz / Test40%
- Written20%
- Examination40%
Assessment details may change. Please refer to the assessment information in Moodle closer to the start of the teaching period.
Learning outcomes
When you finish this unit, you should be able to:
- 1
understand the operation of foreign exchange markets
- 2
understand the key factors that influence international financial markets
- 3
analyse and evaluate the benefits and disadvantages of the various exchange rate systems
- 4
understand the concept of payments among nations and macroeconomic policies
- 5
understand and analyse the interactions among the foreign exchange rate, trades, and macroeconomic policies.
Workload and teaching
- Tutorials12 hours
- Seminars24 hours
- Teaching approachResearch activities
- Teaching approachProblem-based learning
- Teaching approachActive learning
Minimum total expected workload to achieve the learning outcomes for this unit is 144 hours per semester typically comprising a mixture of scheduled learning activities and independent study. Independent study may include associated readings, assessment and preparation for scheduled activities. You are expected to complete all pre-class activities prior to your scheduled class, and post-class activities should be completed after your scheduled class. Learning activities may include a combination of teacher directed, peer directed and online engagement activities.
This unit allows you to develop your research skills by engaging in structured inquiry using a systematic approach and discipline-specific methodologies.
This unit includes problem-based learning approaches, where you engage in research, integrate theory and practice and apply knowledge and skills to develop viable solutions in response to a problem or set of problems.
This unit engages you in actively applying your knowledge, skills and attributes in interactive, collaborative and reflective activities.
Learning resources
Required resources
Feenstra, R. C., and Taylor, A. M. (2020) International Macroeconomics, 5th edition, Worth Publishers.
Where it fits
ECF2721 is part of 3 areas of study in the 2026 handbook.
Contacts
- Chief Examiners
- Associate Professor Horag Choi
Common questions
What are the prerequisites for ECF2721?
You need ECF1100, ECW1101, ECC1000 or ECB1101 before you enrol. Enrolment rules also apply.
When is ECF2721 offered?
In 2026, ECF2721 runs in Semester 1 at Caulfield.
How much work is ECF2721?
The handbook expects about 144 hours of study across the semester. No students have rated its difficulty yet.
Does ECF2721 have an exam?
Yes. The exam is worth 40% of the final mark, alongside 2 other tasks.
Which majors and minors include ECF2721?
ECF2721 is part of Economics and business strategy; and International business.