Security Analysis And Portfolio Management pune mba Third Semester

Syllabus

Course Code: SE-FIN-03

Securities Analysis & Portfolio Management

Unit 1: Introduction & Concepts: Investment

Meaning, Nature & Objectives, Investments Vs. Speculation & Gambling, Investment Process, Investment Environment, Investment Avenues: Marketable & Non Marketable Financial Assets. Portfolio Management: Meaning, Attributes, Significance and Process of Portfolio Management, Portfolio Manager and his Role.                                (3+2)

Unit 2: Risk & Return Analysis

Risk & Return: Meaning and Elements of Risk & Return, Measurements of Risk & Return, Relationship between Risk and Return. Fundamental Analysis: Economy Analysis, Industry Analysis and Company Analysis, Weaknesses of Fundamental Analysis. Technical Analysis: Meaning, Tools of Technical Analysis, Technical Analysis vs. Fundamental Analysis. Efficient Market Theory: Meaning. Forms of Market Efficiency, Efficient Market Hypothesis vs. Fundamental & Technical Analysis.             (8+2)

Unit 3: Valuation of Bonds and Shares

Bond Valuation: Meaning, Types, Bond Prices, Bond Return, Risks in Bonds. Equity Valuation: Meaning, Concept of Present Value, Share Valuation Models, Multiplier Approach to Share Valuation.                          (8+2)

Unit 4: Portfolio Analysis & Selection

Concept of Portfolio and Portfolio Management: Meaning, Types of Portfolio Risks, Diversification of Risks, Selection of Optimal Portfolio. Markowitz Portfolio Selection Model: Efficient set of Portfolios, Optimal Portfolio Selection, Limitations of the Model. Capital Asset Pricing Model (CAPM): Meaning, Assumptions & Limitations of CAPM. Sharpe-The Single Index Model: Measuring Security Risk & Return, Measuring Portfolio Risk & Return. Factor Models and Arbitrage Pricing Theory: Arbitrage Pricing Theory and its principles, Comparison of Arbitrage Pricing Theory with the Capital Asset Pricing Model.   (8+2)

Unit 5: Portfolio Revision & Evaluation

Portfolio Revision: Meaning and Need of Portfolio Revision, Constraints in Portfolio Revision, Revision Strategies, Portfolio Evaluation: Meaning and need of Portfolio Evaluation, Evaluation Perspectives, Measuring Portfolio Returns & Risk Adjusted Returns.   (8+2)