Security Analysis & Portfolio Management ((4 Credits))

Catalog description

This course examines various concurrent theories of investment portfolio management. Among topics to be covered are types of investments and securities, markets, key concepts such as net present value and basic discounted cash flow calculations, elements of asset valuation, portfolio theory and derivatives. The course will also cover the development of modern portfolio theory and newer thinking on the theoretical foundations of investment. Prerequisite (must complete before registering): Macroeconomics (ECON_2015), Introductory Accounting I (ACCT_2005), Mathematics for Business (MATH_1050), Corporate Finance (FSMA_3010) or Investment Management (FSMA_3045), or equivalents Corequisite: Statistics (MATH_1065) Notes: Courses in accounting will lay the foundations for financial statement analysis that are a key part of understanding the process of valuing financial securities. Whilst not an essential prerequisite for this course, a knowledge of accounting would provide a helpful background. Moreover, courses in introductory finance and / or corporate finance would provide a useful grounding in the working of the finance function within corporations. Whilst courses such as International Economics or International Finance touch on global capital markets, this course goes into much greater operational detail and the courses complement each other rather than serving as substitutes. This course was previously BME-214334 Security Analysis and Portfolio Management.