SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT Karnataka bba 6th Sem

Syllabus

Course Code: FN2

Security Analysis and Portfolio Management

Module I: Introduction to Investments                                        [10 Hours]

Introduction- Investment Process, Criteria for Investment, Types of Investors, Investment, Speculation and Gambling. Elements of Investment, Investment Avenues, Factors Influencing Selection of Investment Alternatives.

Security Market- Introduction, Functions, Secondary Market Operations. Stock Exchanges in India, Security Exchange Board of India, Government Securities Market, Corporate Debt Market and Money Market Instruments.  

Module II: Risk-Return Relationship                                           [05 Hours]

Meaning of Risk, Types off Risk, Measuring Risk, Risk Preference of Investors. Meaning of Return, Measures of Return, Holding Period of Return, Annualized Return, Expected Return, Investors Attitude Towards Risk and Return.

Module III: Fundamental Analysis                                              [10 Hours]

Introduction- Investment Analysis, Fundamental Analysis, Macro Economic Analysis, Industry Analysis, Company Analysis, Trend Analysis, and Ratio Analysis.

Module IV: Technical Analysis                                                    [10 Hours]

Meaning of Technical Analysis, Fundamental vs Technical Analysis, Charting Techniques, Technical Indicators, Testing Technical Trading Rules and Evaluation of Technical Analysis.

Module V: Portfolio Management                                               [10 Hours]

Framework-Portfolio Analysis – Selection and Evaluation – Meaning of Portfolio – Reasons to Hold Portfolio – Diversification Analysis – Markowitz’s Model – Assumptions –Specific model – Risk and Return optimization – Efficient Frontier – Efficient Portfolios –Leveraged Portfolios – Corner Portfolios – Sharpe’s Single Index Model – Portfolio-Evaluation Measures – Sharpe’s Performance Index – Treynor’s Performance Index – Jensen’s Performance Index.

Skill Development

1)      Prepare an imaginary investment portfolio for individual with a salary of 10 lakhs per annum.

2)      List of 10 companies approached SEBI for IPO.

3)      Prepare a technical analysis chart on Blue Chip Companies of BSE.

4)      Collect information regarding GDRs, ADRs, IDRs and various Bonds and make a chart.

5)      Watch market movement for a day and analyze the trend of Nifty-Fifty Index.