General Report
Host institution and exact dates of semester abroad:
Wirtschaft Universität Wien, from the 1st of September till January 31st . The actual semester
started in the beginning of October, but there was a pre-semester language course and a
cultural program in September. I strongly recommend you to participate in this, since you’ll
meet so many fun people during this program. Furthermore it was much fun to have some
tours through museums, public buildings etc. At last, the language course is a great
opportunity to improve your German!
Contact with home faculty, preparation and journey:
The contact with both faculties went pretty smooth. After my admission for the WU, I
received some information from the RUG about the things I had to arrange. Just make sure
that you store the documents you receive from both faculties, so that you can easily obtain
it when needed.
As a preparation I would recommend you to arrange all the documents on time. Things to
think about: Registration at WU after receiving the nomination letter, Erasmus (health
insurances) and Learning agreement, residence and the course registration in August (make
sure you are logged in before the registration opens, otherwise the webpage could be full!!).
Furthermore it might be useful to take a credit card, since you often need this when you are
travelling or booking any stuff.
On the first of September my dad drove me to Vienna, so I could take extra stuff with me.
It’s about 1250 km from Groningen, so that’s a lot more than the ski regions for instance. If
you take a flight there are basically two options: - Fly to Vienna from Rotterdam/The Hague.
Or depart from Eelde and fly to Salzburg. From there you can take a three hour train to
Vienna. If you do this I recommend you to take the Vorteilscard Jugendlich at ÖBB (train
organization) This card costs 19 euro, it’s valid for 1 year and gives you 50% discount on all
domestic train tickets!
Residence abroad
I chose for a residence at the OEAD, which is the main supplier of student residences in
Vienna. Most of the exchange students chose to do this, which means that you will meet a
lot of people at your dorm! It’s also possible to find an accommodation privately via local
websites. The advantage of those residences is that you get more space for the same price.
In general, the rent is a little more expensive than in Groningen. I paid 376 per month for
everything included. My bedroom was 10/11 m2 and there was a common room/kitchen of
12 m2 which you share with 2 other students. Besides, we had 2 bathrooms!
After your arrival in Vienna, you should get your temporary residence permit within three
days after your arrival! The OEAD gives you the information necessary to arrange it when
you arrive, so that you know where to go. If you stay longer than three months, like I did,
you need a confirmation of permanent residence. This has to be done within four months
after your arrival in Austria. Keep in mind that this is a bureaucratic process, which can take
like 5 hours. You need to bring all your documents to the office (Meldenszettel, nomination
letter, Erasmus agreement, Passport, Insurance valid in Europe, Student ID, letter of
acceptance) otherwise they’ll not help you. The fee is about 30 euros.
Grant – Amount – Expenses
The Erasmus grant was €1250 in total (€250 per month). I received €950 in September and I
will receive the remaining amount when I get back in Groningen. Besides I received grant of
€100 per month for not using my public transport card. Living expenses are 10 to 20 percent
higher than in Groningen. Especially in the beginning I had some start-up costs because I
bought the metro semester ticket (€150), Vorteilscard, EBN membership, EBN trips and
deposits, OEAD deposit, etc. So the first month is quite expensive, although you can see it as
costs, not expenses! Do to all my trips to surrounding cities and countries I spent almost
€1000 euro per month, but it is definitely worth it, since you’re having the time of your life!!!
The big advantage of Vienna is its central location in Europe, which makes traveling cheap
and easy! Cities and places I recommend you to visit are Budapest, Prague, Bled (Slovenia),
Hallstatt, Belgrade and the coastline of Croatia! You can easily organize trips with a small
group by renting a car or going by bus. For hostels you should check www.hostelworld.com
or www.airbnb.com. These sites gave us for instance a hostel at the main square in Sarajevo
for €7,50 per night including breakfast!
Study (general)
I took 6 courses in total, which all counted for 6 ETCS. Compared to Groningen, the workload
was quite low. The schedule of the courses differed a lot, so that I never had the same
schedule from one week to the other. The first course that I took, IFM II, was done in two
days, both days from 9 to 6! After that, we had a 2 hour session in which we did a test exam.
The last session was 1 hour in which we took the exam. Another course had 6 sessions
consisting of 4 hours each. The exam was during the end of the last session, which made the
total contact hours 24. This is in general the amount per course. Besides our contact hours, I
didn’t have to do much for homework. Most courses required one small presentation or a
group assignment, which could all be done in a couple of hours. It was relatively easy to
obtain a good grade. Some courses even offered between 10 and 30 percent for an active
posture during the tutorials! Furthermore, the assessment for the presentations were quite
mild. Overall, the workload was ideal to do a lot of fun things during the semester.
The campus is brand new and was opened last year. All the buildings look beautiful and offer
a broad amount of facilities. The printing system is the only thing which didn’t work very
convenient. The library has a great location and also offers some spots to hang out. Basically,
the campus has enough facilities to spent your whole day there, with some restaurants, a
Spar, some bars etc. The best thing is the Glühwein stands on campus which are opened
from mid-November till February!
Summary impression of the study period abroad
The last semester has certainly been the best period of my life! I haven’t regretted going to
Vienna for a single moment, since it was so much fun from the beginning to the end! The city
is beautiful and offers a lot of architecture, cultural activities and a good nightlife. Besides
the location of Vienna is ideally to travel through central- and eastern Europe. Last but not
least, it is all the great people who make the amazing experience! There is a big diversity in
people in the city and among the students, so that you learn a lot about foreign cultures,
habits, food, languages etc. All in all, I strongly recommend future students to spend their
exchange in Vienna!
Specific Report
Corporate finance
1. Lectures and literature
The course dealt with investment project; weather it should be taken or not. We discussed different
techniques to assess this. Furthermore, time value of money problems, equity-debt values, capital
structures, leverage, etc. were involved. There was no textbook required
2. Overview of lecture program
3. Contents
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Day
Date
Time
Goals of corporate finance
Tuesday
10/14/14 01:30 PM - 05:00 PM
Types of financial markets
Time value of money (discounting
and compounding), annuities,
Tuesday
10/21/14 11:00 AM - 02:30 PM
perpetuities
Equity vs. debt finance, capital
Tuesday
10/28/14 01:00 PM - 04:30 PM
structure and financial leverage
Weighted average cost of capital
(WACC)
Tuesday
11/18/14 01:00 PM - 04:30 PM
Equity Finance for quoted and
unquoted firms, preferred stock,
Wednesday 11/19/14 01:00 PM - 04:30 PM
privileged subscription
Bonds and their feature, type of
bonds
Tuesday
12/02/14 01:00 PM - 04:30 PM
Debt finance and substitutes: bank
term loans, trade credits, terms of
Tuesday
12/09/14 01:00 PM - 04:30 PM
payment, stretching accounts
payable, line of credit, factoring
Relationship between risk and
Wednesday 12/10/14 12:00 PM - 02:00 PM
return
Relevant cash flows of investment
projects
Capital budgeting techniques and
investment: payback period, net present value, internal rate of return
Room
TC.3.09
D3.0.222
D4.0.039
D4.0.127
TC.3.10
EA.5.030
D4.0.039
TC.2.02
Ernst &
Young
4. Lecture-related activities
Case study about three different companies would had to take an investment project. The case
studies had to be presented by the groups.
5. Relevance to Groningen study program
This course was quite similar to Asset Pricing and Capital Budgeting in Groningen. Capital Structure
and Financial Planning also gave me a good background knowledge. Therefore, the first part of the
course was a bit straightforward. Fortunately I learned some new insights on the relationship
between risk and return. Besides the case study was very useful and dealt with a broad amount of
‘practical matters’ in which it was not fully clear how to incorporate them in the cash flows. We also
discussed some new capital budgeting techniques.
6. Study load
Case study: 5 hours
Lectures: 24 hours
Preparation midterm & final exam: 10 hours
7. Assessment in Groningen
6 ECTS
Assessment done by Dr. Christian Kreidl
International finance
1. Lectures and literature
The course discussed how financial- and money markets work. How arbitrages could be exploited.
How risk can be diversified or dissolved by options and futures/forwards. All in all a very interesting
course, I gained a lot from it! There was no textbook required, the slides were sufficient
Day
Date
Time
Room
2. Overview of lecture program
3. Contents
The objective of the course is to provide
an understanding of both the key
features of foreign exchange markets
and the actual problems of multinational
corporation within an environment of
free flows of foreign capital and floating
exchange rates. Our attention will be
especially focused on:
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Wednesday 10/22/14 04:30 PM - 08:30 PM D2.0.382
Thursday
10/23/14 02:00 PM - 06:00 PM TC.4.18
Friday
10/24/14 02:30 PM - 06:30 PM TC.2.03
Wednesday 11/26/14 02:00 PM - 06:00 PM TC.3.10
Thursday
11/27/14 02:00 PM - 06:00 PM TC.3.06
the architecture of foreign
exchange markets
Friday
11/28/14 02:00 PM - 06:00 PM TC.3.07
the motivation of participants in
foreign exchange markets
(arbitrage, speculation, hedging)
the role of conventions in exchange rates quotation and trading in foreign
exchange markets
the type of foreign exchange operations (spot, forward, currency swaps, futures
and option)
the factors that influence the price of currency derivatives (forward rate, swap
points, interest rates, futures price, option premium)
the nature of foreign exchange exposure and risk and its management
the relationship between the changes of exchange rates and the dynamics of
fundamental economic factors (balance of payments, inflation, interest rates,
expectations)
the changes of foreign currency regime since the crash of Bretton Woods regime of
fixed exchange rates
the structure of the balance of payments and main relations between economic
transaction in the balance of payments
4. Lecture-related activities
Presentation about a financial related topic, we chose the financial crisis in Southeast Asia
5. Relevance to Groningen study program
I found this course very interesting and highly relevant for my bachelor program. The arbitrages and
how to exploit them were quite new for me, while the foreign exchange operations were partly dealt
with in Capital Structure and Financial Planning in Groningen. The fun thing about this course is that
it has some practical interpretations which will be relevant for my future career. The assessment was
a bit mild I think and the presentations were to heavy weighted since it didn’t cost a lot of effort.
6. Study load
Presentation: 8 hours
Lectures: 24 hours
Preparation exam: 10 hours
7. Assessment in Groningen
6 ECTS
Assessment done by Josef Tauser P.h.D.
International financial management I
1. Lectures and literature
The course was based on financial markets, stock portfolios, risk diversification, covariances,
investment projects, Beta’s, NPV, etc. I found it very interesting, since you can imagine the practical
value from studying these topics.
Day
Date
Time
Room
2. Overview of lecture program
3. Contents
Wednesday 10/08/14 02:00 PM - 06:00
Basic Concepts (Cost of Capital,
Valuation and Valuation Shortcuts, YTM
of Bonds, EXCEL Solver, Basic Concepts
Wednesday 10/15/14 02:00 PM - 06:00
of Uncertainty)
Expected Portfolio Return and Portfolio
Wednesday 10/22/14 02:00 PM - 06:00
Risk
Implementation in Practice (Scenariobased implementation, Implementation
Wednesday 10/29/14 02:00 PM - 06:00
based on historical data)
Market Risk, Unique Risk and
Wednesday 11/05/14 02:00 PM - 06:00
Diversification Beta Efficient Portfolios
Portfolio Management without Risk-Free
Borrowing/Lending
Wednesday 11/12/14 02:00 PM - 06:00
Portfolio Management with Risk-Free
Borrowing/Lending Sharpe Ratio
Wednesday 11/19/14 02:00 PM - 06:00
Capital Asset Pricing Model (CAPM) Deriving the Cost of Capital from a RiskThursday
12/04/14 05:00 PM - 07:00
Return Relationship (Capital Market
Line, Security Market Line,
Implementation in Practice)
Capital Structure and Cost of Capital
Weighted Average Cost of Capital
Use of Cost of Capital (Stock Valuation, Capital Budgeting, Business Valuation))
PM TC.3.05
PM TC.3.05
PM TC.3.05
PM TC.3.05
PM TC.3.05
PM TC.3.05
PM TC.3.05
PM TC.0.10
Audimax
4. Lecture-related activities
Four homework documents which were graded
Case study
5. Relevance to Groningen study program
The practical value of the course was valuable. The professor still works part time in the banking
sector, so he focusses on the topics which are actually useful in real life. We learned how to diversify
the risk of a portfolio by means of covariances. Besides, the process of unlevering Betas to a levered
Beta by working with a benchmark firm was new for me. This was the hardest course I took.
6. Study load
Homework exercises: 8 hours
Case study: 10 hours
Lectures: 24 hours
Preparation exam: 10 hours
Day
Date
Time
Room
7. Assessment in Groningen
6 ECTS – Assessment done by Dr. Manuel
Friday
10/03/14 09:00 AM - 07:00 PM D4.0.127
Lingo.
International Financial Management II
1. Lectures and literature
This course dealt with money- and financial
market.
Besides it discusses currency forwards,
futures, options and how to price them.
2. Overview of lecture program
Saturday 10/04/14 08:00 AM - 05:30 PM D4.0.133
Friday
10/31/14 09:00 AM - 11:00 AM TC.5.01
Friday
11/14/14 11:00 AM - 01:00 PM TC.1.01
OeNB
3. Contents
 International Finance: why do you need to understand international finance?
 Spot markets for foreign exchange
 Understanding forward rates for foreign exchanges
 Using forward rates
 The market for currency futures
 Currency options
4. Lecture-related activities
A homework document consisting of 10 open questions. It counted for 20 percent of the grade.
Besides there was a quiz at the end of every tutorial for 10 percent of the grade.
5. Relevance to Groningen study program
This course overlapped a little bit with International finance. Besides, International Economics in
Groningen was useful for understanding this course. I learned a lot about how to exploit different
arbitrages in financial markets by hedging and using the money market. Furthermore I learned how
to value a call/put option based on different models, this was challenging but exciting as well!
6. Study load
Homework exercises: 10 hours
Lectures/tutorials: 24 hours
Exam preparation: 10 hours
7. Assessment in Groningen
6 ECTS
Assessment done by P.h.D. Dr. Margarethe Rammerstorfer
Monetary Policy in the US and the EU – with a special focus on the Financial Crisis and the
Great Recession.
Day
1. Lectures and literature
The course is about the measures taken in
different coutries, e.g. USA, UK, EU and
Japan. Besides we discussed different
regimes, strategies and the development
of central banking through time.
2. Overview of lecture program
3. Contents
Date
Time
Room
Wednesday 01/07/15 02:00 PM - 07:00 PM D3.0.229
Thursday
01/08/15 02:00 PM - 07:00 PM TC.3.07
Friday
01/09/15 02:00 PM - 07:00 PM TC.3.21
Monday
01/12/15 02:30 PM - 07:30 PM TC.4.12
This undergraduate course will
introduce you to the challenges of
central banking during the dramatic
Tuesday
01/13/15 02:15 PM - 07:15 PM TC.3.11
period following the financial crisis
and the “Great Recession.” The
primary emphasis of the course will be on the importance of monetary policy to the
health of the economy. We will examine the role of central bank independence, decision
making, and transparency in the process of making monetary policy. We will focus on the
key roles of the Federal Reserve System and the European Central Bank in their
respective economies, with special emphasis on the their actions during the 2007-2009
financial crisis, the serious recession that followed, and the long and slow economic
recovery.
4. Lecture-related activities
Presentation about the measures being taken by the ECB in 2014.
5. Relevance to Groningen study program
It was a very interesting and relevant course, since it focusses on the practical matters of central
banking, instead of the mathematical mechanisms. The lecturer had over 40 years of working
experience at the FED, San Francisco, so he knew where he was talking about! It helped me a lot to
examine how policies work in real life, because you also discuss the outcome.
6. Study load
Lectures/Tutorials: 24 hours
Case study/presentation: 15 hours
Exam preparation: 10 hours
7. Assessment in Groningen
6 ECTS
Assessment done by
Prof. Gary C. Zimmerman, MA,BA
Wirtschaftskommunikation Deutsch
1.Lectures and literature
Day
Date
Time
Room
Monday
10/06/14 05:00 PM - 08:15 PM D1.1.074
Monday
10/13/14 05:00 PM - 08:15 PM D1.1.074
Monday
10/20/14 05:00 PM - 08:15 PM D1.1.074
Monday
10/27/14 05:00 PM - 08:15 PM D1.1.074
Monday
11/03/14 05:00 PM - 08:15 PM D1.1.074
Monday
11/10/14 05:00 PM - 08:15 PM D1.1.074
Dates
2. Overview of lecture program
3. Contents
Thematisch im Vordergrund stehen
verschiedene wirtschaftliche und
unternehmensrelevante Bereiche wie
Tourismus, Europäische Union,
Bewerbungstraining, Werbung, Neue
Medien, Banken und Finanzen,
Personalmanagement, etc., wobei
Aktualität und Österreich-Bezug
besonderes Augenmerk gilt. By fulfilling
this course, students will have
speaking-communicative competences
at B2 level.
Wednesday 11/12/14 05:00 PM - 08:15 PM D3.0.222
Monday
11/17/14 05:00 PM - 08:15 PM D1.1.074
Monday
11/24/14 05:00 PM - 08:15 PM D1.1.074
Monday
12/01/14 05:00 PM - 08:15 PM D1.1.074
4. Lecture-related activities
Monday
12/15/14 05:00 PM - 08:15 PM D1.1.074
A visitation to the Wirtschaftsmusuem in
Vienna.
A German presentation about an economic related topic.
5. Relevance to Groningen study program
The ability to speak German is not directly applicable for my study program in Groningen, but it will
be useful in the near future. For decennia, Germany has been the most important trading partner for
the Netherlands , so I find relevant to speak/understand and write it. This course enhanced my
Business German abilities a lot, and I am glad that I took it!
6. Study load
Homework exercises: 5 hours
Presentation: 5 hours
Lectures/Tutorials: 35 hours
Preparation exam: 5 hours
7. Assessment in Groningen
6 ECTS
Assessment done by Mag. Kristina Reich