LEARNING OUTCOMES
By the end of the course, students should be able to
- Demonstrate a familiarity with portfolio theory and equilibrium-based asset pricing models such as the CAPM.
- Evaluate the performance of an investment portfolio and understand the role that skill and luck play in observed investment outcomes.
- Demonstrate a familiarity with the theories and empirical studies of efficiency in major financial markets.
- Understand the role of systematic factors in the behavior of asset returns.
- Identify the behaviour of individual investors and systematic trading biases, as well as the implications on capital market efficiency.
Credits: 6
Schedule: 21.10.2024 - 03.12.2024
Teacher in charge (valid for whole curriculum period):
Teacher in charge (applies in this implementation): Peter Nyberg
Contact information for the course (applies in this implementation):
CEFR level (valid for whole curriculum period):
Language of instruction and studies (applies in this implementation):
Teaching language: English. Languages of study attainment: English
CONTENT, ASSESSMENT AND WORKLOAD
Content
valid for whole curriculum period:
Portfolio theory, asset pricing models, market efficiency, portfolio management, factor investing, investor behavior, sustainable investing.
Assessment Methods and Criteria
valid for whole curriculum period:
Assignments (25%)
Final Exam (75%)
Workload
valid for whole curriculum period:
Lecture hours 24 h
Exercise hours 12 h
Class preparation 22 h
Exercise preparation 50 h
Exam preparation 50 h
Exam 3 h
DETAILS
Study Material
valid for whole curriculum period:
Bodie, Kane & Marcus (2014, 10th edition). Investments. Earlier editions can also be used.
Luenberger (1997, 2013, 1st or 2nd edition). Investment Science. Selected parts.
Substitutes for Courses
valid for whole curriculum period:
Prerequisites
valid for whole curriculum period:
SDG: Sustainable Development Goals
8 Decent Work and Economic Growth
9 Industry, Innovation and Infrastructure
FURTHER INFORMATION
Further Information
valid for whole curriculum period:
Teaching Language: English
Teaching Period: 2024-2025 Autumn II
2025-2026 Autumn IIRegistration:
This course is offered to BIZ finance bachelor major students only. A maximum of 75 students can be accepted to the course. Fnance BSc major students will be guaranteed a seat on the course. Students re-taking the course (grade already registered) will not be prioritized and can participate only if there are places remaining. Other BIZ, Aalto, and exchange students students can register for the course FIN-A0104 Fundamentals of Investments.