(Syllabus)

FINA 4315: Security Analysis and Portfolio Management

Section 101 and 102

Semester: Spring 2020-21

Instructor: Dr. Shah Saeed H Chowdhury

CONTACT INFORMATION
Phone: 849-9332
Email: schowdhury@pmu.edu.sa
Class Time: 11.00 – 12.15 MW, Location: Male Campus G-30 (Online until further notice)
12.00 – 12.50 TRU (Sec 102)
Office: F 075 (Men’s campus), College of Business
Office Hours: 3.00 PM -5.00 PM, Sunday and Tuesday
Other: By appointment only
 A. Course Identification
1. Credit Hours: 3 (3, 0)
Course type/level:
a. University ☐ College ☐ Department ☒
b. Required ☒ Elective ☐

2. Level/year at which this course is offered: Senior

3. Pre-requisites for this course (if any):
MATH 1313 – Statistical Methods
FINA 3311 – Financial Management Principles
FINA 4313 – Investment
4. Co-requisites for this course (if any):
None

5. Course Components:

Laboratory/ Others
Lecture Tutorial Practical (including Total
Studio self-study)
Credit 3 0 0 0 0 3
Contact Hours/week 45 0 0 0 0 45

B. Course Objectives and Learning Outcomes

1. Course Description
(General description in the form used in bulletin or handbook)

This course is a study of the institutions and relationships of the international financial system as
they relate to balance of payments, foreign exchange risk, arbitrage and the Eurocurrency market.
The emphasis is on methods of arbitrage, forecasting exchange rates, and hedging against foreign
exchange risk. Additionally, the course addresses different financial management topics (such as
capital structure and cost of capital, short term and long-term financing) as they apply to the
international environment. It considers differences in accounting procedures, governmental
regulations, political risk, and exchange rates. Ethics in international transactions are addressed.

2. Course Objectives
The main objectives of the course

 To recognize the asset allocation decision.

 To construct and manage bond and equity portfolios
 To evaluate portfolio performance.
 To evaluate and interpret company and industry analysis.
 To describe and explain the efficient market hypothesis.

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3. Course Learning Outcomes
Aligned Program Learning
Outcomes (PLO’s)
Level of
PLO’s Code
Instruction
Knowledge:
1.1 Recognize the asset allocation decision. FINA 1
1.2 Describe theories of investment. FINA 2
1.3 Describe and explain derivative securities. FINA 3
1.4 Describe and explain the efficient market hypothesis. FINA 2
Skills:
2.1 Analyze individual securities. FINA 6
2.2 State and use the asset-pricing model. FINA 2
2.3 Evaluate portfolio performance. FINA 2
2.4 Evaluate and interpret company and industry analysis. FINA 6
Competencies:
3.1
*level of instruction (I = Introduced, P = Practiced, M = Mastery, and A = Assessed)

C. Course Content
Topics to be covered
List the main topics of the course in relation to the course learning outcomes.
Contact Related
List of Topics
Hours CLOs
The asset allocation decision 3
Security market indexes 3
Efficient capital markets 3
Portfolio management 3
Asset pricing models 5
Multifactor models of risk and return 3
Macro-analysis and micro-valuation of the stock market 4
Equity portfolio management strategies 3
Bond portfolio management strategies 6
Derivative markets, securities, and contracts 4
Professional money management and industry ethics 4
Evaluation of portfolio performance 4
Total 45

D. Teaching and Assessment

1. Mode of Instruction
(Mark all that apply)
# Mode of Instruction Contact Hours Percentage
1 Traditional classroom 45 100%
2 Blended (traditional and online) 0 %

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 3 E-learning 0 %
4 Correspondence 0 %
5 Other 0 %

2. Alignment of Course Learning Outcomes with Teaching Strategy and

Assessment Methods
# Course Learning Outcomes Teaching Strategies Assessment Methods
1.0 Knowledge:
1.1 Recognize the asset allocation decision. Lectures Exams
1.2 Describe theories of investment. Lectures Exams
Describe and explain derivative
1.3 Lectures Exams
securities.
Describe and explain the efficient
1.4 Lectures Exams
market hypothesis.
2.0 Skills:
Exams
2.1 Analyze individual securities. Lectures
Assignments
Exams
2.2 State and use the asset-pricing model. Lectures
Assignments
Exams
2.3 Evaluate portfolio performance. Lectures
Assignments
Evaluate and interpret company and Exams
2.4 Lectures
industry analysis. Assignments
3.0 Competencies:
3.1

3. Assessment Tasks for Students during the Course

Proportion of Total
# Assessment Task* Week Due
Assessment
1 Exam 1 6 20%
2 Assignments 1 - 14 10%
3 Case Preparation 1 - 15 30%
4 Exam 2 12 20%
5 Final Exam 16 20%
Assessment task (i.e., essay, test, quizzes, group project, evaluation, speech, oral presentation, etc.)

E. Student Academic Counseling and Support

Arrangements for availability of faculty and teaching staff for individual student
consultations and academic advice:
- Advisors are assigned in Banner Student System for individual student consultations and
academic advice.
- Tutoring services are offered by the different department.
- At-risk students are monitored and help is provided for them.
- At-risk students will be mandatorily enrolled in developmental classes.

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 F. Learning Resources and Facilities
1. Learning Resources
Item Resources
Reilly, Frank K., and Brown, Keith C., Investment
Analysis and Portfolio Management, Thomson South-
Required Textbooks
Western, 7th (or latest) Edition, 2003. ISBN: 0-324-17173-
0
The Wall Street Journal or equivalent. The Wall Street
Essential Reference Materials
Journal may be accessed at WSJ.com/students.
Course home page in Blackboard contain the following:
 Course syllabus
 Course assignments
Electronic Materials  Course material ( PPT format)
(Websites, Facebook, Twitter, etc.)  Course calendar (an active utility)
 Course e-mail (an active utility)
 Course discussion list (an active utility) Student
course performance (an active utility)
Other Learning Material
(Computer-based programs/CD,
MS Excel
professional standards or regulations
and software)

2. Facilities Required
Item Resources
Accommodation
(Classrooms, laboratories, Classrooms
demonstration rooms/labs, etc.)
Technology Resources
(AV, data show, Smart Board, Smart Board
software, etc.)
Other Resources
(Specify, e.g., if specific laboratory
Yahoo.finance.com
equipment is required, list
requirements of attach list)

G.Course Quality Management

1. Course Management Structure
(including Coordinator, committees, units, boards, …)
- Course Coordinator
- College/Department Quality Committee Quality
- Department Chair

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2. Course Evaluation
Describe the strategies used for obtaining assessments of the overall quality of the course
and achievement of its intended learning outcomes.
Evaluation Areas/Issues Evaluators Evaluation Methods
Independent reviewers by
Effectiveness of Teaching and Course Survey through online
Program leaders and Deanship
Assessment Course Evaluation System
of Quality and Accreditation
Independent reviewers/peer Independent Evaluation of
Effectiveness of Assessment
review Assessment Forms
Achievement of Course
Faculty Exam Questions, Rubrics
Learning Outcomes
Learning Resources Annual
Learning Resources Student
Survey
Evaluation areas (e.g., Effectiveness of Teaching and Assessment, Achievement of Course Learning Outcomes
and Learning Resources, etc.)

Evaluators (Students, faculty, Program leaders, peer review, Independent reviewers, other (specify).)

Some Course Policies

 No makeup examination will be given except for eligible reasons (mainly,
protracted illness as per PMU policy). The submission of certificates and all approvals
must be completed within one week of the date of the original examination. After one
week of the original examination date, makeup examination approval may be
denied. Moreover, makeup exams could be more difficult than regular exams because
I have to find new and suitable questions. Hence, I urge you to take your exam on the
exam date.
 There will be two midterm exams and one final exam. Every exam will carry 20
points. In the exams, approximately 40% of the total points will be multiple-choice
and remaining 60% will be short-answer and problem solving questions.
 There are two homework assignments/quizzes. Each homework/quiz worth 3 points.
Class participation is encouraged and there are four points for this.
 Students are required to write a term paper (or solve cases), which carries 30 points.
These are group works. I will allow students to make their own groups. Each group
consists of maximum of four students (no exception). If any student does not find a
group, he/she should let me know as early as possible. You should form the group no
later than first midterm I. Each student should present his paper/case.
 Any late submission is subject to penalty of 1 point per day. After two days, I will not
accept any late work.
 I will not accept any kind of plagiarism. A student may get zero for this.
 No mobile phone use is allowed in the class room. If students really need (in case of
emergency) to use it, they must go out of the class to do it and comeback to class
immediately. Too much use of mobile phone will result in deduction of class
participation points.

Grades*
Letter Grade Range GPA
A+ 96 – 100 4
A 90 – 95 3.75
B+ 86 – 89 3.5

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 B 80 – 85 3
C+ 76 – 79 2.5
C 70 – 75 2
D+ 66 – 69 1.5
D 60 – 65 1
F 59 & below 0
*Grading system may change due to MOE or PMU policy updates.

Attendance Policy

I will take attendance regularly. If it is a 50-minute class, a student is counted absent if

he/she is late by 15 minutes. If it is a 75-minute class, a student is counted absent if
he/she is late by 20 minutes. For a 3-hour long class (such as summer), a student is
late up to 30 minutes from the beginning of the class. However, any late student is
allowed to sit in the class for the rest of the class period. Leaving early is also treated as
absent. When a student is absent 5% of the classes, his/her name will be reported to the
registrar and a warning letter will be issued. If absence reaches 15%, that student will be
withdrawn from the course. Attendance may be excused in case of real emergencies such
as health problems. I will accept medical certificates provided by well-recognized
clinics. If it is not recognized or I am not sure, I will refer the case to the registrar’s
office. Regardless of excuses, a student will be withdrawn if absence goes over 30%.

Contents of this syllabus may change during the semester due to any
unforeseen situations (such as coronavirus pandemic).