International Financial Accounting Program (IFAP)

Economics Faculty UniversitasAtma Jaya Yogyakarta

SYLLABUS

Course : Theory of Capital Market and Investment

Code : AKT 334
Credit point : 3 CP
Prerequisite Courses : Accounting Theory (AKT432) and Research Methodology (UMU330)
Semester : Second Semester YA 2017/2018
Lecturer : Anggreni Dian Kurniawati, SE., M.Sc., Ak., CA.

Course Description
This course will discuss about issues related to the theory of portfolio and
investment analysis. The discussion includes the characteristics and analysis
of individual securities theoretically and creating a portfolio practically. This
course also discuss about calculate the return and risk for individual and
portfolio. At the end of this course we will be also discuss about three
research models to measure abnormal returns which are commonly used by
financial and capital markets researchers.

Learning Outcomes
After following this course, students have to understand about the
investment definitions, the investment instruments, the investment process,
portfolio theories, and managing portfolio. Investments may include a wide
range of marketable securities, while investment instruments meant are
bonds, stocks, and other assets such as options.

Primary Reference
Jones, C. P. 2010. Investment Analysis and Management, 12th edition, New York: John Wiley and Sons, Inc.
Hartono, J. 2013. TeoriPortofoliodanAnalisisInvestasi, Edisi 8, Yogyakarta: BPFE.

Another References
Other references include Exercises, a reference from the internet, Wiley Plus, national and international
journals, financial books, magazine related to the capital market and investment. This reference can be
obtains by student learning outcomes either independently or derived from the lecturer.

Passing Grade The assessments

85-100 A 55-59,99 C+ Med-Term Exam 25%

80-84,99 A- 40-54,99 C Final Exam 25%
75-79,99 B+ 20-39,99 D Small Test & Quiz 10%
65-74,99 B 0-19,99 E Individual Assignment 15%
60-64,99 B- Group Presentation 20%
Participation 5%

IFAP (B) Monday 3rd session

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 TOPIC DISCUSSIONS FOR OUR COURSE

Week Topic Discussion References

1 Syllabus Explanation and Introduction to Investment Jones Ch. 1-3
Explanation about the course and its plan and topic to discussed, Jogiyanto Ch. 1
class rule, forming groups of presentation and investment Another
overview. Introduction of investment, the types of financial References
investment and capital markets roles.
2 Securities Market Jones Ch. 4-5
Types of the securities market, the initial public offering, the stock Jogiyanto Ch. 2,3
market in Indonesia and other countries.
3 Bond Jones Ch. 17
Various kinds of bonds, the bond market, the value of bonds and Jogiyanto Ch. 6
immunization.
4 Common Stock Valuation and Analysis Jones Ch. 10
Types of stocks, stock valuation and calculate the the value of Jogiyanto Ch. 4,5
stocks.
5 Return and Risk of Individual Asset Jones Ch. 6
The measurement of realized return and the expected return, risk, Jogiyanto Ch. 7
coefficient of variation, semi variance, Mean Absolute Deviation
and the relationship between the expected return and risk.
6 Return and Risk of Portfolio Jones Ch. 7
How to calculate return and risk of Portfolio, the total risk, Jogiyanto Ch. 8
diversification.
7 Selecting the Portfolio Jones Ch. 7
Determining efficient or optimal portfolio. Jogiyanto Ch. 9
Med Term Exam
8 Single Index Model Jogiyanto Ch.10
Components of return and those assumptions, variance and
covariance return of single index model, the Markowitz model
input parameters and portfolio analysis based on a single index.
9 Beta Jogiyanto Ch. 11,12
The definition of beta, estimating beta, the type of beta, adjusting
beta, beta for emerging capital markets.
10 Option Jones Ch. 19
The definition of option, the use of options and option valuation. Jogiyanto Ch. 13
11 Capital Asset Pricing Model (CAPM) Jones Ch. 8, 9
Assumptions of CAPM, the market portfolio and market line, the Jogiyanto Ch. 14
CAPM model and its empirical test.
12 Market Efficiency Jones Ch. 12
The form of market efficiency, the definition of market efficiency, Jogiyanto Ch.15-16
testing of the form of market efficiency.
13 Abnormal Return Models Jogiyanto Ch. 17
The explanation of the abnormal return models, the average
abnormal return, the cumulative abnormal return and abnormal
return test.
14 Portfolio Management and Its Valuation Jones Ch. 21,22
Process, planning, execution of the portfolio, and portfolio Jogiyanto Ch. 18
performance measurement.
Final Exam

IFAP (B) Monday 3rd session

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 CLASS RULES
1. The attendance of students in the lecture maximum 25% (3 times) either with permission or without a
permission. Lecture replacement already scheduled in accordance with the Decision of the Executive
Board of University (marked with **), so the attendance of students in courses taken calculate as a
requirement to follow the final exam (at least 75% attendance).

2. Test can be held at any time and are not held in replacement. There is no follow up tests.

3. All tasks and additional materials will be uploaded to the course site that is in kuliah.uajy.ac.id, so the
students must actively open and study from that course site. Mind map is a task to be done individually
and uploaded to course site 1 (one) day before the lecture schedule.

4. Delay in submitting a mind map will cause a reduction of 10% of mind map mark and if you collecting the
wrong format or material of mind map will cause a reduction of 5% of mind map mark and must collect
the correct mind map as a punishment.

5. The group will be divided randomly. The presentation group divided into two functions: Presenter and
Reviewer. Presenter are required to presented the material, while the reviewer are required to evaluate
the presentations, open the discussion, respond and provide questions to the presenter group
associated with the material, and make conclusion.

6. Students are given the opportunity to follow the remedial program are students who have a final grade
B-, C +, C and D, attending Med Term Exam and Final Exam and collect all of the mind map and
Individual task given by the lecturer.

7. Remedial would be given the highest mark is B which is a combination of the learning process for a
semester and the results of remedial process. Remedial does not guarantee improving the final
value.

8. If students have problems collecting tasks at course site, difficulties in the material presented, difficulties
in learning more about the course, or complain against grades, you should contact the lecturer via
email: anggreni_dian@mail.uajy.ac.id or meet directly in RuangPengelolaJurnal, 1st floor
(near PPEB).

IFAP (B) Monday 3rd session

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