pages before the main text (small or capital) Roman numbers (e.g., i, ii, iii, ...) should be used. The cover page is to be counted, but not numbered. The pages of the main text are to be numbered with Arabic numbers beginning with 1.
The headlines of the main text should be structured according to the following pattern:
1 ... 2 ...
2.1 ...
2.1.1 ... 2.1.2 ...
2.2 ... 3 ...
An arrangement depth going beyond three levels should be avoided. Each level must have at least two entries. The table of contents is to be made according to the structure of the paper/thesis with specification of the page numbers.
The annex should only contain information which is not necessary for the immediate understanding of the text. Tables and figures which are important for the understanding belong into the main text, whereas in the case of an empirical study the statistical data and
2
their further explanation may be put into the annex. Derivations of formulas or analytical proofs may be put into the annex, too. The annex’ size has to be in a reasonable relation to that of the main text. A footnote has to be always used to refer to a certain annex.
1.3 Quotations, Footnotes, and Bibliography
First of all, only sources which are publicly accessible can be quoted, which implies that neither lecture notes nor other theses can be used as a source of quotation. Secondly, statements that have been taken from another text directly or in a general manner are to be marked as such:
. 1) Direct (literal) quotations are to be set in quotation marks. The reference is to be mentioned in a footnote immediately after the quotation:
'An option is a security giving the right to buy or sell an asset, subject to certain conditions, within a specified period of time.'2
. 2) Quotations of a general kind which can be found e.g. in textbooks require the spec- ification of the source (only) in a footnote:
The security market line (SML) specifies the relationship between expected rate of return and beta coefficient.3
. 3) Concerning quotations referring to the thoughts/ideas of a particular author, the specification of the source can be given in the text, too:
Sharpe (1977) shows that the beta coefficient of a stock with respect to the market portfolio can be understood as a weighted sum of beta coefficients with respect to portfolios which sum up to the market portfolio.4
. 4) The reference for all kinds of quotations should be made to the original publication. Only if the original source is not available at all it is to be quoted by means of ’as quoted by ...’:
2Black/Scholes (1973), p. 637.
3See Ross/Westerfield/Jaffe (2005), pp. 304–307. 4See Sharpe (1977), pp. 129–134.
3
Stein’s lemma gives a formula to compute the covariance of a random variable with a function of another random variable.5
Quotations are to be provided with corresponding page numbers except quotations of wordings of laws. (Example of a quotation from the German Commercial Code (GCC): § 242 para. 1 phrase 1 GCC rules that a merchant must prepare financial statements (open- ing balance sheet, balance sheet) showing his assets and liabilities upon the establishment of his business and at the close of every fiscal year.)
Footnotes are to be numbered continuously in the entire paper/thesis.
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