4.0

credits

Average Course Rating

This course is designed to familiarize students with the theory and practice of investments. The goal is to provide not only “what” investments are but also “how” and “why” they perform, or sometimes do not perform, as expected. We will introduce what constitutes an investment and the different asset classes from which investment returns are derived and the financial ecosystem in which they operate. We will delve into most of the major assets classes in detail: equities, fixed income, derivatives and commodities—their characteristics, pricing /valuation, historical performance and application in a portfolio. We will then look at the dynamic tension between investment return and risk, also in theory and with relevant real-world examples. We will discuss the theory of modern portfolio management and create a model portfolio and measure its return over time. That portfolio knowledge will inform the different investment strategies utilized by asset managers today. We will examine the field of behavioral finance and the impact it has on biases and decision making. That will lead us into a deeper examination of investment management from a practitioner point of view and including periods of time when both theory and practice were exposed to crisis conditions. In addition, prominent subject matter experts from their respective specialties will address class either in-person or on Zoom. (Six guest lecturers over the 13 classes for roughly 30 minutes per class as well as additional time for Q and A).