UNIVERSITY OF PROFESSIONAL
STUDIES (UPSA)
WEEKEND SCHOOL
SECURITIES
AND PORTFOLIO ANALYSIS
LECTURERS:
DAVID
MENSAH
REBECCA
ATTAH-ANNOR
SAINT
KUTTU
Objective of the Course:
This
course covers the operation of stocks and securities markets and the construction
of investment portfolios. On completion of this course, students will be able
to discuss, explain, and apply modern portfolio theory to a range of practical
situations; understand the implications of capital market efficiency for
security selection styles such as technical and fundamental analysis, evaluate
bonds as an investment strategy; understand the basic characteristics of options
and futures contracts; apply pricing models and appreciate the roles of theses
derivative instruments as risk management tools.
Pre-Requisites:
This
is basically an extension of the knowledge acquired in investment fundamentals
and corporate finance. Students with strong background in these areas should
find this course very interesting.
Assessment and Evaluation Procedure:
The
final assessment shall be on the basis of the continuous assessment (CA)
system. This involves
(i)
Interim
assessment 20%
(ii)
Assignment 10%
(iii)
End
of semester exam 70%
Teaching Methods:
The
primary mode of delivering this course would be through lectures, presentation
and discussions.
Basic Text/Main Text:
(i)
Sam
Mensah (PhD), Securities Markets and Investments
(ii)
Robert A. Strong, Portfolio Construction,
Management, and Protection, 5th
ed
(iii)
Mayo
H. B. Investment: An introduction, 8th ed
(iv)
Reilly
F. K. and Norton E. A, Investment, 5th
ed
How to pass the course:
(i)
Attend
all lectures
(ii)
Focus
on solving problems; working the calculations as well as mastering the theories
(iii)
Re-work
and master all examples done in class
(iv)
Study
(not read) the textbook
(v)
Ask
questions
(vi)
Chat
with the lecturer after class or appropriate times
(vii)
Form
study groups
WEEK
|
BRIEF CONTENT
|
DETAILS
|
One
|
Investment
Process and Financial Markets
|
Financial
markets and instruments: Financial intermediaries, importance of
intermediation, regulatory bodies, the stock exchange, types of securities,
characteristics of investments
|
Two
|
How
Securities Markets are Organized
|
How
companies raise capital, the issuing process, process of trading securities,
stock market indexes an averages, types of orders, trade handling and
settlement, other market institutions
|
Three
|
Legal
and Regulatory Framework
|
Why
securities firms are regulated, relevant legislation: the securities industry
law, (Amendment, (Act), 2000, Act (590)), the Ghana Stock Exchange Rules, Taxation,
Regulation of the Government Securities Markets, Regulation of collective
investment schemes
|
Four
|
Time
Value of Money and the Mathematics of Finance
|
Simple
and compound interest, effect of the frequency of compounding, finding
interest rates and time requirements, annuities, perpetuity, comparing
annuities and perpetuities.
|
Five
|
Risk
and Return Analysis
|
Measuring
investment return, measuring investment risk
|
Six
|
Fixed
Income Securities
|
Discount
and coupon instruments, the primary market for government securities, the
money market instruments, the valuation and quotation of money market
instruments, bond instruments, valuation of a bond, bond returns and risk,
factors to consider in managing a bond portfolio, the risk structure of
interest rates, bond portfolio management strategies
|
INTERIM
ASSESSMENT
|
||
Seven
|
Shares
and Shares Valuation
|
Preference
shares, ordinary shares, rights of shareholders, bonus shares, share
buybacks, valuation of shares
|
Eight
|
Economic,
Industry, and Company Analysis
|
Economic
and industry analysis, relationship between economic variables and shares
prices, industry analysis, Financial statement Analysis and Financial Ratios,
Technical and Fundamentals Analysis
|
Nine
|
Derivatives
|
Futures,
Forwards, and Options
|
Ten
|
Portfolio
Construction
|
Mathematics
of Diversification, Why diversification is a good idea, international
Investment and diversification
|
Eleven
|
Portfolio
Management
|
Equity
portfolio, fixed income portfolio, portfolio management strategies
|
ASSIGNMENT
|
||
Twelve
|
Investment
Funds and Performance Analysis
|
Unit
trusts, mutual funds, operation of investment funds, performance analysis.
|
Thirteen
|
Revision
|
SUBMISSION OF ASSIGNMENT
|
NB:
The assignment in week eleven must be submitted in the revision week
No comments:
Post a Comment