Investments (MSB205)

This is a first course in investments and capital markets. It introduces a number of key building blocks necessary for the analysis and valuation of financial securities, such as portfolio theory,diversification, arbitrage, equilibrium asset pricing models (CAPM), market efficiency, the term structure of interest rates, performance evaluation and analysis of derivative securities (forward and option contracts).


Course description for study year 2023-2024

Facts

Course code

MSB205

Version

1

Credits (ECTS)

10

Semester tution start

Spring

Number of semesters

1

Exam semester

Spring

Language of instruction

English

Content

Key topics include

Trading, Markets, Asset classes

Risk, return, market efficiency

Asset pricing, CAPM, APT, factor models

Equity pricing / Valuation

Performance evaluation

Portfolio Management (indexing, active strategies)

Currency, International Issues

Alternative asset classes

Learning outcome

Knowledge

Upon completion of the course students will gain knowledge of:

- Asset Markets, their instruments and how they are traded.

- Portfolio theory.

- Asset Allocation.

- How ESG considerations affect investment decisions.

- The international nature of financial investments.

Skills

Upon completion of the course, students will be able to

- Evaluate portfolio expected return and risk, using models such as the CAPM.

- Perform portfolio evaluations and evaluate performance of funds.

- Use various methods to price financial assets, such as stocks and bonds.

- Use software tools like R and Excel in investment settings.

- Build portfolios (asset allocation) to match the desired goal of an investor.

Required prerequisite knowledge

None

Recommended prerequisites

MSB309 Corporate Finance

Exam

Form of assessment Weight Duration Marks Aid
Written exam 1/1 4 Hours Letter grades Valid calculator

Coursework requirements

Assignments

Further details about course requirements are given in the syllabus available at the beginning of the teaching semester.

Parts of the course requirements is handins to problems/cases that need to be passed before the students can take the exam.

Course teacher(s)

Course coordinator:

Olga Aleksandrovna Rabanal

Study Program Director:

Yuko Onozaka

Method of work

The course is mainly delivered as lectures.

Overlapping courses

Course Reduction (SP)
Investments (MØA205_1) 10

Open for

Admission to Single Courses at UiS Business School
Master of Science in Accounting and Auditing Business Administration - Master of Science Business Administration - Master of Science (5 years)
Exchange programmes at UIS Business School

Course assessment

There must be an early dialogue between the course supervisor, the student union representative and the students. The purpose is feedback from the students for changes and adjustments in the course for the current semester.In addition, a digital subject evaluation must be carried out at least every three years. Its purpose is to gather the students experiences with the course.

Literature

Search for literature in Leganto