Integrated University

Level: M                                   UIT credit rating: 3

Module type: Standard

Valid from: March 2003

Contributes towards: MBA (see notes)

Pre-requisites: None

Co-requisites: None

Excluded combinations: None

Learning outcomes:

On completion of this module successful participants should be able to:

a)         Knowledge and Understanding
understand the complexity and changing environment of financial investment understand different decision modes that are available to investors to make rationale choices appreciate the application of quantitative approaches to portfolio optimisation and identification of investment opportunities.

b)         Subject-specific Skills
appreciate managerial tasks to select the best possible returns across all classes of securities such as equities, fixed-income instruments, derivatives, etc. Demonstrate awareness of the asset allocation managerial decision-making and the corresponding risk and return, characteristics of a portfolio investment.

c)         Cognitive Skills
diagnose the full scope and implications of the investment horizon within various security options including domestic and foreign markets evaluate published information on security options and their corresponding returns, applying relevant models of asset price determinations demonstrate efficiency and professionalism in giving accurate description of the key concepts and language of the subject within different business settings.

d)         Transferable Skills
apply dynamic strategies to evaluate and control risks to achieve investment goals incorporate and implement the most recent practice within the respective markets and industries. analyse investment capabilities of a firm and recommend routes to improve possible shortfalls manage portfolio investment of a firm with confidence and self determination.

Syllabus Outline:

●  Introduction and background information
●  The process of portfolio management in a global market
●  Security analysis and portfolio theory
●  Analysis of Financial statement
●  Asset allocation decision
●  Asset pricing models
●  Equity portfolio management strategy
●  Analysis and management of bonds
●  Derivative markets and securities
●  Evaluating portfolio performance
●  The role of capital market
●  Contemporary issues in portfolio management

Teaching and Learning Approaches:

The module will be based on a series of lectures and workshops studying and applying relevant concepts, tools and techniques in the financial decision making processes of businesses. The lectures will cover the contemporary development of managing and analysing different types of portfolio investment, while the workshops will focus on applying and relating these to real case examples.  You will be guided to use your private study time towards the completion of the required assignment for the module.

Indicative Readings:

Allen, M. (2000). Business Portfolio Management: Valuation, Risk Assessment and EVATM Strategies, Wiley.

Elton, E.J. and et al (2002). Modern Portfolio Theory and Investment Analysis, 6^th edition, Wiley.

Goodall, T. (2002). Adequate Decision Rules for Portfolio Choice Problems, Palgrave.

Raasmussen, M. (2003). Quantitative Portfolio Optimisation, Asset Allocation and Risk Management, Palgrave.

Reilly, F.K. and Brown, K.C. (2003). Investment Analysis and Portfolio Management, 7^th Edition, Thomson Learning.

Stulz, R.M. (2003). Risk Management and Derivatives, Soth-Western.

Smithson, C.W. (2003). Credit Portfolio Manement, Wiley.

Strong, R.A. (2003). Portfolio Construction, Management and Protection, 3^rd Edition, Soth-Western.

Assessment

Weighting: Components A = 100%
ATTEMPT 1

 First Assessment Opportunity
Component A
Description of each element                                                                             Element weighting
1. Supervised mini-project (3,000 words)                                                                          1

Second Assessment Opportunity (further participation is not required)
Component A
Description of each element
1. Supervised mini-project (3,000 words)                                                                         1

Specification confirmed by……………………………………Date……………………..
Faculty Dean/Programme Manager