Portfolio Management

No prerequisite

The course will focus on the application of financial theory to the issues and problems of investment management. Topics will include portfolio optimization and asset allocation, the basics of bond pricing and debt portfolio management, the theory of asset pricing models and their implications for investment as well as techniques for evaluating investment management performance. The course will build upon the analytical skills developed in prior courses.

The course will focus on the application of financial theory to the issues and problems of investment management. Topics will include portfolio optimization and asset allocation, the basics of bond pricing and debt portfolio management, the theory of asset pricing models and their implications for investment as well as techniques for evaluating investment management performance. The course will build upon the analytical skills developed in prior courses.

COURSE OBJECTIVES

Students will learn to design and implement an investment policy statement for an individual or institutional investor that establishes their financial objectives, risk tolerances, constraints, and investment and monitoring policies.

Unit 1: Securities markets and Investment Vehicles

• Asset classes
• Role of global security exchanges
• Market regulation
• Utility and Risk aversion

Unit 2: Portfolio theory and quantitative tools

• Risk and return features
• Sharpe ratio and portfolio efficiency
• CAPM and Markowitz optimization

Unit 3: Models with Multiple sources of risk

• APT: Theory
• APT: Estimation

Unit 4: Investment Management

• Active vs. passive management
• Liquidity
• International Diversification
• Risk Management
• Ethical considerations

Upon completing this course, students will be able to:

• Construct a policy statement reflecting the objectives and risk tolerances of various types of individual and institutional investors.
• Formulate a personal code of ethics based on industry standards and fiduciary duties.
• Evaluate the effect of risk on investment decisions.
• Justify their view on market efficiency using both theoretical and empirical arguments.
• Analyze the gains from diversification and asset allocation
• Develop an integrated portfolio management plan including equities, fixed income assets and alternative investments reflecting the goals, risk tolerance, and circumstances of individual and institutional investors.
• Appraise portfolio performance using appropriate methodologies.
• Assess various monitoring and rebalancing strategies.

The online delivery blends synchronous and asynchronous components. Students complete self-directed assignments hosted on the course platform. Weekly Forums support a required active, rubric-based student contributions that foster collaboration.

Exams may include essays, short answers, or MCQs. Formats include open/closed book. Time zones are considered. Assessments are formative and summative. Students have 2 weeks to review grades and must follow the appeal process in the Student Handbook.

Certificate

Please note that there are three semesters as admission periods as noted on the academic calendar.
Scholarship Awarded (Total Fee: €100)

Registration is done online.