FIN4021S Investment Management

Academic Year 2023/2024

"Investment Management provides an introduction to the investment markets and the analysis of securities, including the construction of optimal portfolios of securities. The course provides a mixture of both theory and practise. The main investment asset classes, namely stocks, bonds and derivatives, are examined and the analysis and management of portfolios of these assets is considered. The investment process and the return and risk of the different asset classes are covered in the introduction. Then risk and return are examined in more detail focusing on their application to portfolio theory. Asset allocation is examined in the context of what we have learned up this point. Asset pricing models are then covered in detail. Other issues include portfolio performance evaluation and market efficiency. The fixed income and derivatives markets are the next asset classes to be covered. Pricing issues and risk measurement and management techniques are covered. In the case of derivatives securities, the types of securities, such as options, forwards and futures are covered in detail. The use of these securities by investors is dependant on the objectives of the investor and the situations the investor faces.