RISK ANALYSIS AND PORTFOLIO MANAGMENT

Paper Code: 
SBFS 402
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

The course will enable the students to critically evaluate risk analysis techniques and portfolio management strategies, focusing on risk-return trade-offs, diversification, asset allocation, and performance measurement to optimize investment decisions

Course Outcomes: 

 

 

Course

 

 

Learning outcome (at course level)

Learning  and Teaching Strategies

Assessment Strategies

Course Code

 

 

Course Title

 

SBFS402

 

Risk Analysis and Portfolio Management  (Theory)

 

  1. Investigate and analyze the process of management and decision-making in investment.
  2.  Calculate and analyze various types of risks associated with financial assets including mean-variance measures and portfolio diversification.
  3.  Select and compare basic techniques of discounting and compounding necessary for the valuation of assets.
  4.  Assess the basics of portfolio theory and study various methods of modeling the risk associated with stock investment such as the capital asset pricing model.
  5.  Evaluate the relationship between risk and return and how risk should be measured to bring about a return according to the expectations of the investors.
  6. Contribute effectively in course-specific interaction

Approach in teaching: Blended Learning, Collaborative approach, Interactive Lectures, Discussion, Group Projects, PowerPoint presentation.

   

Learning activities for the students:

Self-learning assignments, Seminar presentations, Case Study Analysis, Brainstorming activities,

 

Class tests, CA Test,

Semester end examinations, Quiz,

Evaluation of student Presentations,

 

Evaluation of Individual and group projects,

 

Assessment of Project Reports and viva voce.

 

12.00

Introduction to Investments: (12 Hours)
• Investment-meaning & Definition,
• Process of investing,
• Investment objectives,
• Investment attributes,
• Factor influencing Investment decisions,
• Importance of investment management

12.00

Risk and Return on investments- (12 Hours)
• Measures of Returns and Risk ( Measuring historical risk and return)
• Relationship risk and return,
• Classification of risks: Systematic & Unsystematic Risk

12.00

Investment valuation- (12 Hours)
• Time value of money lines & Notations Present and Future Value of a single amount,
• Present Value and Future value of annuity,
• Techniques of discounting and compounding

12.00

Portfolio Management- (12 Hours)
• Meaning of portfolio,
• portfolio management process,
• objective of Portfolio management,
• Types of portfolio management portfolio management, Passive Portfolio Management, Defensive Portfolio management, Aggressive Portfolio Management, Income portfolio Management; Portfolio construction
• Approaches: An Overview of Capital Market Theory, CAPM, Markowitz Portfolio Selection Model

12.00
Unit V: 
Technical Analysis

Portfolio Analysis: (12 Hours)
• Concept of portfolio analysis and diversification of risk.
• The Benefits of Diversification,
• Diversification and Portfolio Risk,
Portfolio Return and Risk-
• Return of portfolio (Two assets),
• Risk of portfolio ( two assets),
• Risk and Return of Multi Security,
• Concept of Beta.

Essential Readings: 

1. Bhalla V.K , Investment Management (Security Analysis and Portfolio Management), S.Chand
2. Chandra Prasanna, Investment Analysis and Portfolio Management, TMH.
3. Rustogi, R.P. Fundamentals of Investment, Sultan Chand & Sons, New Delhi.
4. M.R. Agarwal, Security Analysis and Portfolio Management, Garima Publications.

References: 

Suggested Readings :
1. Jones, C.P. Investments Analysis and Management. Wiley.
2. P. Pandian,Security Analysis and Portfolio Management, Vikas Publishing house ltd.
3. Donald E.F , Ronald J.J, Ashwini P.Security Analysis and Portfolio Management, Pearson.
4. Vohra, N.D. and Bagri, Futures and options, Mc Graw hill Publishing.
5. Ranganatham M., Security Analysis and Portfolio Management, Pearson.
6. Mayo. An Introduction to Investment. Cengage Learning.
7. Strategic Investment Decision, Laurence Krantz and Ailan Thomason, F.T. Prentice Hall, 2000.
8. Investments: An Introduction, Herbert B. Mayo, South – Western College Publishing, 2005.
9. Investments and Valuation, Aswath Damodaran, John Wiley & Sons Inc., 2001.
10. Security Investments, David L. Scott, Rowman & Littlefield, 1981
11. Quantitative Methods for finance and investments, John L. Teall and Iftekher Hasan, Black Well Publishers, 2

e-Resources:
1. Online Financial Investment Resources: https://study.com/academy/lesson/online-financial-investment-resources.html
2. EBSCO-BSE
3. Journal of Emerging Market Finance : http:// sagepub.com
4. International Journal of Financial Management:http://publishingindia.com

Academic Year: 
2023-2024
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