Not available in 2012
Previously offered in 2013
This course begins with an overview of investment environment and products, and then provides students with a solid foundation in modern portfolio theory and demonstrates its applications to portfolio management. Alternative asset allocation models are introduced to equip students in developing and implementing investment strategies, assessing and controlling portfolio risk, and evaluating portfolio performance. The course takes students beyond investment theories and trains them to use widely available technology to perform quantitative modelling using real world data. The course covers ASIC RG146 specialised knowledge requirements in the areas of funds management and managed investments
Upon successful completion of this course you will be able to:
1. Understand the investment environment, institutional investment and empirical evidence on security performance.
2. Develop mean-variance efficient portfolios using appropriate technology.
3. Demonstrate critical thinking, analytical and problem solving skills in the context of portfolio construction and management.
4. Evaluate the performance of a portfolio and evaluate risk exposures.
5. Critically evaluate the advantages and disadvantages of international diversification.
6. Communicate investment portfolio decisions to potential investors.
This course includes but is not limited to the following topics:
1. The investment environment.
2. Risk, return, risk premia and risk aversion.
3. Allocating capital between risky and risk-free assets.
4. Mean-variance efficient portfolios and security analysis.
5. Evaluation of portfolio risk and performance.
6. Funds management.
7. International diversification of portfolios.
ACFI2005 Finance and ACFI2070 Business Finance.
Modes of Delivery
Tutorial: for 1 hour(s) per Week for 12 weeks
Lecture: for 2 hour(s) per Week for Full Term