Personal Finance

The course covers fundamental financial calculations needed for personal finance decisions. Students learn about risk-return relationships of different asset classes and practical aspects of investing through ETFs. The course addresses key financial decisions about housing (renting vs. mortgage) and student loans. Students learn how to develop long-term financial plans and understand how behavioral biases affect financial decision-making. Through a group project, students apply their knowledge by developing financial recommendations for hypothetical clients.

NB! This course will take place in autumn semester 2025/2026 which starts on 1st of September and ends on 25th of January (you can find that information under Start date section). TalTech's timetables for Autumn semester 2025 will be published at the end of June via tunniplaan.taltech.ee. Switch the page to English and use "Search" and "Open detailed search" to find your course. NB! Some courses are taught by several lecturers during the same semester. Make sure that the course name and lecturer/teacher infromation of your course match with the information given in the Course Catalogue.

After completing the course, a student:

• can perform essential financial calculations including compound interest, present/future value, and investment returns;
• understands the risk-return relationship and can evaluate different investment options, particularly ETFs;
• can evaluate housing finance options (renting vs. mortgage) and analyze student loan decisions;
• can develop a long-term financial plan that aligns financial goals with appropriate investment and borrowing strategies;
• understands how behavioral biases affect financial decisions and can identify strategies to overcome them.

Final assessment can consist of one test/assignment or several smaller assignments completed during the whole course. After declaring a course the student can re-sit the exam/assessment once. Assessment can be graded or non-graded. For specific information about the assessment process please get in touch with the contact person of this course. For specific information about grade transfer please contact your home university

Prerequisites (but not strict): Basic Finance

• The course does not follow a textbook. Study materials are provided in Moodle

lectures, exercises