AEM 4670 - Investments

Fall, spring. 3 credits. Letter grades only (no audit).

Prerequisite: AEM 2240.

Fall, S. Watugala; spring, S. Yonker.

This course is designed to further the understanding of institutional investment management. The course covers key concepts in risk return trade-offs and asset allocation. Students are expected to implement various techniques using real world data. The course also covers select topics in portfolio risk management and current regulatory adjustments.

Outcome 1: Course will deepen the students’ understanding of the core principles behind investment and Portfolio Management.

Outcome 2: Offers focus on the theoretical foundations of asset prices, with particular focus on the largest asset classes: Bonds, Equities, and Derivatives (Options).

Outcome 3: Students will be able to manage portfolios across asset classes, and learn how assets are priced either through no arbitrage arguments or general equilibrium price theory.

Outcome 4: Students will learn how these concepts are extended in an international framework, and how macroeconomic and global factors can affect investment decisions and asset prices.