Annexure ‘CD – 01’

FORMAT FOR COURSE CURRICULUM

L T P/S SW/FW No. of TOTAL

PSDA CREDIT
Course Title: Investment Management Credit Units: 4 UNITS
4 0 0 - 4
Course Level:PG Course Code: ACCT717

Course Objectives: This course aims at developing an understanding of the changing domestic and global investment scenario in general and Indian capital market in
particular with reference to availability of various financial products and operations of stock exchanges. It aims at providing an in-depth knowledge of the theory and practice
of portfolio management. Important theories, techniques, regulations and certain advancements in theory of investment will be covered with an aim of helping the participants
make sound investment decisions in the context of portfolio investment. It also aims at giving an insight about derivatives market.

Pre-requisites: The student must have the understanding of financial management

Course Contents/Syllabus:
Weightage (%)
Module I Introduction to Investment Management 20%
Descriptors/Topics
Investment environment: various asset classes, financial instruments, market participants, benchmark indices and their
computation., introduction to other indices like sectoral indices, commodity indices (MCX)
Security Ex-post and ex-ante return-risk analysis. Impact of taxes and inflation on risk-return. Types and sources of risks. Risk
Aversion. Diversification and Hedging.

Portfolio Management Process, Investment objectives, constraints and investment strategies- value investing, momentum and
contrarian strategies.
Module II Analysing Fixed Income Securities 15%
Descriptors/Topics
Bond fundamentals; Types of bonds; valuation of bonds; bond yields; bond price- yield relationship; analysis of risks in bonds-
duration and convexity. Bond portfolio management- passive bond management and active bond management

Module III Equity Analysis 20%

Descriptors/Topics
Fundamental Analysis
Economy, Industry, Company Analysis
 Equity Valuation Models (DDM, Relative Valuation Techniques)

Technical Analysis
Candle Stick Charting (including chart patterns) – Technical Indicators –Resistance and support Lines – Dow Jones Theory, Elliot
Wave Theory

Random Walk and Efficient market hypothesis.

Tests of market efficiency and empirical evidence, stock market anomalies (Size effect, Value effect, Seasonality effect,
Overreaction effect and others)
Module IV Portfolio Management 25%
Descriptors/Topics
Portfolio Risk - Return measurement.
Efficient Frontier, Optimal portfolio, Risk aversion/risk tolerance and allocation to risky assets and risk-free asset. Markowitz
portfolio selection model.
Sharpe’s single Index Model
Capital Asset Pricing Model (CAPM), Arbitrage Pricing Theory and Multifactor Asset Pricing Models. Active and Passive
portfolio management.
Portfolio performance evaluation (Sharpe index, Treynor Index, Jensen’s alpha, Information ratio, Fama’s decomposition
measure).Portfolio revision.

Module V Latest Developments, Trends and Practices 20%

Descriptors/Topics
Derivatives for hedging risk in Portfolio: Futures-types and payoffs. Pricing of financial futures and commodity futures.
Options- types, brief introduction of option valuation using Black and Scholes Model and Max Pain model. Put call parity. Options
trading strategies.
Contemporary issues in investment management- Socially responsible investing (SRI), Green stock exchange), investment in
international securities

List of Experiments (if any): NA

Course Learning Outcomes (CLO):

On the successful completion of this course the student will be able to:
 Remember the concepts of different types of securities and financial markets
 Understand the various alternatives available for investment.
 Apply the tools and techniques of investment management in practical scenario
 Analyse risk and return of various investment options
 Evaluate equities and bonds.
 Create investment strategies for decision making in financial markets including derivatives.
Mapping of Course learning outcomes (CLOs) with Graduate Attributes (GA).

Course Learning Outcomes CLO1 CLO2 CLO3 CLO4 CLO5 CLO6

Graduate Attributes

Knowledge and Expertise of Business Environment and Management

Self-directed and Active learning

Research and Enquiry

Information & Communication Technology Skills

Critical thinking and Problem-Solving Abilities

Effective Business Communication

Creativity, Innovation & Reflective Thinking

Analytical & Decision-Making Ability

Leadership & Behavioural Skills

Multicultural Understanding & Global Outlook

Integrity and Ethics

Social Networking Skills & Emotional intelligence

Employability, Enterprise & Entrepreneurship

Lifelong Learning

Environment and sustainability

Pedagogy for Course Delivery:

Tutorials, Interactive sessions, Stock Simulation Games, Case studies, Field visits, Management games, Extensive research projects, Seminars,
Weekend experience in companies - the course is covered by adopting a combination of lecture methods, class presentation by groups of students, self study
sessions. Each student is required to do the back ground reading from the specified chapters of the prescribed book before coming to class. Cases are also to be
analyzed, discussed in groups (teams) outside the class as preparatory work.

List of Professional Skill Development Activities (PSDA):

Virtual trading / mock trading, analyzing technical charts, construction of portfolio (equity and bond) etc.

Lab/Practicals details, if applicable: NA

Assessment/ Examination Scheme:

Theory L/T (%) Lab/Practical/Studio End Term

(%) Examination

40% NA 60%

Theory Assessment (L&T):

Continuous Assessment/Internal Assessment
End Term
Componen Examinati
ts (Drop on
down) Mid- Project/ Viva/ Attendan
Ter Home Class ce
m Assignme Presentati
Exa nt on
m

Weightage
(%)
 15% 15% 5% 5% 60%

Mapping Continuous Evaluation components/PSDA with CLOs

Bloom’s Level Remembering Understanding Applying Analysing Evaluating Creating

Course Learning Outcomes CLO1: CLO2: CLO3: CLO4: CLO5: CLO 6:

Assessment type/PSDA

Mid-Term Exam ✓ ✓ ✓

Project ✓ ✓ ✓ ✓ ✓ ✓

Home Assignment ✓ ✓ ✓ ✓ ✓ ✓

Attendance

EE ✓ ✓ ✓ ✓ ✓ ✓
Text Reading:
 Bodie, Zvi., Kane Alex and Alan J. Marcus, Investments, McGraw Hill.
 Chandra, P., Security Analysis and Portfolio Management, Tata McGraw Hill.

References:
 Reilly, Frank K, and Brown, Keith C., Investment Analysis and Portfolio Management, Cengage Learning.
 Vishwanath, R and Krishna Murthi C., Investment Management, Springer
 Fischer, Donald E. and Ronald J. Jordan, Security Analysis and Portfolio Management, PHI Learning.
 Elton, E. and Gruber, M, Modern Portfolio Theory and Investment Analysis, John Wiley and Sons.
 Damodaran, A., Investment Valuation, John Wiley & Sons.
 Sharpe William F, and Bailey Jeffery V, Alexander Gordon J, Investments, PHI Learning.
 Hull, J.C., Options, Futures and Other Derivatives, Prentice Hall.
 Bhalla, V. K., Investment Management, S. Chand & Company Ltd

Additional Reading:

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Any other Study Material:

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