Course description



In this course you will be introduced to major issues currently of concern to all investors. It will give you the skills to conduct a sophisticated assessment of current issues debates covererd by both the popular media as well as more specialized finance journals.

Course content

The course will be organized as follows:

  • • Asset classes: markets, pricing and historical record
    • Equity markets and historical record
    • Fixed Income Securities: pricing, markets and historical record
    • Alternative investments: real estate, commodities, venture, etc
  • • Fixed Income
    • Bond pricing
    • The term structure of interest rate
    • Bond portfolio management
  • • Equity valuation
    • The price to earnings ratio
    • Macroeconomic and industry analysis
  • • The portfolio management process
    • Mean-Variance theory and the CAPM
    • Efficient markets and portfolio management
    • Active portfolio management strategies
    • Optimal portfolio rebalancing
  • • Measuring portfolio performance
  • • Hedge funds, mutual funds and exchange traded funds
  • • Investment policy and the framework of the CFA institute

Learning outcome knowledge

Provide students with a fundamental understanding of the investment process.
Review the different financial assets available to the portfolio manager, the markets in which they trade, their risk return characteristics and how they are priced. Discusses the basic techniques of portfolio management, risk control and performance evaluation. Briefly introduces the international dimension of the investment process.

Exam organisation

  • Class participation: 5%
  • Written assignment: 20%
  • Written exam: 75%