Probability theory deals with models for random experiments, i.e. experiments where it is not possible to predict the outcome even if one has full control of the external circumstances. Many phenomena where random variation is involved can be described in terms of probabilities. Random models are used in finance e.g. for stock prices and option prices. The course is aimed at equipping the students with the skills required for probabilistic modelling of real world situations. The course provides an important theoretical base for further courses in the Analytical Finance program such as Methods of Statistical Inference, Stochastic Processes, Actuarial Mathematics and Econometrics.