INVESTMENT ANALYSIS AND PORTFOLIO MANAGEMENT
Unit I : Introduction
- Meaning of Investment – Investment alternatives, Investment Avenues
- Meaning of Portfolio – What is Portfolio Management – Objectives, Principles of Portfolio Construction.
- Investment Alternatives
- Non Marketable Financial Assets – Bonds or fixed Income securities – Equity shares – Mutual Funds – Schemes of mutual funds (only concept of equity scheme, Hybrid Scheme, Debt Scheme) Calculation of “Net Assets Value” (Only Basic Problem)
- Evaluation of portfolio performances
- Securities Market
- Primary Equity Market, IPO<, Book Building Process, Redherring Prospectus. Secondary Market – Stock Markets, Trading & Settlement – Debt Market
- Role of SBI
Unit II : Time Value of Money
- Present Value
- Future Value
- Present Value of Annuity
- Future Value of Annuity
- (compounding & discounting factors concepts and simple problems based on it)
Unit III : Risk & Return
- Meaning and Types of Returns
- Holding Period return – Expected return – Annualized return – Measurement of return Risk – Types of Risk – Measurement of Risk. Fundamental and technical analysis
Unit IV : Equity & Debenture Valuation
- Equity : Balance Sheet Valuation – Dividend Discount Model – zero growth – constant growth – multiple growth model – price earnings ratio model
- Debentures : Debt Instruments – Bond valuation & Pricing – Yield to maturity (YTM), Interest Rate Risk – Determinants of Interest Rate Risk.
Recommended books :
- Security Analysis and Portfolio Management, Prasanna Chandra, Tata McGraw Hill
- Financial Management, Prasanna handra, Tata McGraw Hill
- Security Analysis and Portfolio Management, Ravi Kishor, Taxman Publishers
- Financial Management, Khan & Jain, Tata McGraw Hill
- Fundamentals of Investment Management, Hirt and Block, Tata McGraw Hill. Ed 2009.
- Portfolio Management Handbook, Robert A. Strong, Jaico Publishing House, Mumbai
Can you tell me which subjects are theory based and which are practical for tybms sem 6