SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT

Paper Code: 
DFSG 611 B
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course outcome (COs):

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

Upon successful completion of this course, the student will be able to:

CO181 Acquire knowledge about the Concept of Savings and investment, various investment avenues available and Risk and return associated with them.

CO182 Measure risk and return associated with securities and Portfolio.

CO183 Build ability to comprehend various techniques of Fundamental Analysis and Technical Analysis of securities.

CO184 Develop the ability to use diversification strategy and CAPM to reduce risk in Investment

CO185 Develop skills to evaluate and measure Portfolio performance using various parameters.

Approach in teaching:

Interactive Lectures, Discussion, Tutorials, demonstrations, Team teaching.

 

 

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

12.00

Basics of stock markets

  • Itroduction to Indian Stock Markets, Stock Market Indices,
  • lMeaning of Investment Objective of Investment,Sources of investment information and uses of data , Types of investments, Investment Avenues- Securities and Non Securities form of Investment Avenues,
  • Investment versus Speculation
  • Approaches to investment decisions

Introduction to Security Analysis 

  •  Concepts of security analysis, Usefulness, An overview of securities market

 portfolio management process

12.00

Risk and Return on investments-                                                                            

  • Measures of Returns and Risk - Single asset
  • Measures of Returns and Risk - Portfolio
  • Relationship risk and return,
  • Classification of risks: Systematic & Unsystematic Risk
  • Concept of Beta.

 

12.00
Unit III: 
Security Analysis Approaches

                                                                      

Fundamental Analysis-

  • Need for Fundamental analysis Theoretical Framework of Economic analysis ,Industry Analysis and Company Analysis.

 

Technical analysis

  • Introduction Assumptions of the theory – The Dow theory, Elliot Wave theory
  • Charts – Line charts , Bar Charts , Candle Stick Chart,
  •  Patterns -Head and Shoulders, trend line, double top and double bottom, Resistance and support level
  • Oscillators Moving average, ROC

 

12.00

Portfolio Construction and Capital Market Theory Portfolio management-          .                       

  • Meaning of portfolio,
  • portfolio management process,
  • objective of Portfolio management,

Types of portfolio management

  • Active portfolio management, Passive Portfolio Management, Defensive Portfolio management, Aggressive Portfolio Management, Income portfolio Management;

Approaches to Portfolio Construction

  • Traditional Method and Modern Approach. Markowitz Portfolio Model – Concept. Markowitz Efficient Frontier.
  • Capital Asset Pricing Theory,Assumptions –Capital market line –The security market line- Capital market line VS Security market line
  • Arbitrage Pricing Theory

 

12.00

Evaluation and Revision of  of Portfolio Performance

  • Measures of portfolio performance
  • Rewards to variability and rewards to volatility Sharpe’s performance index
  •  Treynor’s performance index
  • Jenson’s performance index-problems
  • Determinants of Portfolio Performance

Portfolio Revision

  • Need of Revision
  • Portfolio Revision Strategies

 

Essential Readings: 

SUGGESTED TEXT BOOKS :
• Bhalla V.K ,Investment Management (Security Analysis and Portfolio Management), S.Chand
• Chandra Prasanna, Investment Analysis and Portfolio Management, TMH.
• Rustogi, R.P. Fundamentals of Investment, Sultan Chand & Sons, New Delhi.
• M.R. Agarwal, Security Analysis and Portfolio Management, Garima Publications.

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

E-RESOURCES:
• Online Financial Investment Resources: https://study.com/academy/lesson/online-financial-investment-resources.html
• EBSCO-BSE

REFERENCE JOURNALS :
• Journal of Emerging Market Finance : http:// sagepub.com
• International Journal of Financial Management:http://publishingindia.com

Academic Year: 
2023-2024
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