Portfolio Management: Concepts| Risk| Performance Evaluation
Build a robust understanding of portfolio management to optimize returns and manage risks effectively.
Portfolio Management: Concepts| Risk| Performance Evaluation free download
Build a robust understanding of portfolio management to optimize returns and manage risks effectively.
Portfolio management is the art and science of making investment decisions to achieve financial goals. This comprehensive course introduces students to foundational concepts, delves into advanced risk-return analysis, and provides actionable insights into constructing and evaluating investment portfolios. Whether you're an aspiring financial professional or a personal investor, this course equips you with the tools to navigate the complexities of portfolio management.
Section 1: Introduction
Start your journey with a clear understanding of portfolio management, its objectives, and its relevance in achieving investment success. This section lays the groundwork for the advanced topics to follow.
Section 2: Portfolio Management Basic Concepts
Explore the basics of portfolio management, focusing on types of investors and their characteristics. Learn the essential steps in portfolio creation, understand mutual funds, and examine examples like bond mutual funds and other pooled investment options to appreciate their role in diversified investment strategies.
Section 3: Portfolio Risk and Return
Learn the critical relationship between risk and return. Topics include the calculation of portfolio risk, money-weighted return, and terminologies used in risk assessment. Gain insights into portfolio expected returns and how they influence decision-making.
Section 4: Concepts Using Examples
Through practical examples, understand how to compute returns and make informed investment decisions. Explore special returns and evaluate how to choose the right portfolio based on individual financial goals and risk profiles.
Section 5: Understanding the Capital Market Line (CML)
Learn the theory behind combining risk-free and risky assets, leading to the concept of the Capital Market Line (CML). Understand how these combinations influence portfolio returns.
Section 6: Leveraged Portfolio
Dive deeper into leveraging techniques, exploring the risk and return dynamics on the CML. Discover how leveraged portfolios can amplify both potential gains and risks.
Section 7: Risk and Return
Distinguish between systematic and unsystematic risks and understand the implications for portfolio management. Learn about return-generating models and the significance of beta in assessing portfolio performance.
Section 8: Security Market Line (SML)
This section introduces the calculation of beta and the Capital Asset Pricing Model (CAPM). Discover the Security Market Line (SML) and its role in determining the expected return of a security relative to its risk.
Section 9: Pricing of Securities Using SML
Learn how to price securities using the SML framework, compare it with the CML, and compute portfolio beta and returns. These concepts help bridge theoretical knowledge with practical application in portfolio analysis.
Section 10: Performance Measures
Understand how to evaluate portfolio performance using different measures. Learn about performance evaluation frameworks, including case studies and metrics, to assess investment success effectively.
Section 11: Basics of Portfolio Planning and Construction
Conclude the course by mastering portfolio planning and construction. Learn the meaning and components of an Investor Policy Statement (IPS), risk objectives, and tolerance. Delve into investment constraints like liquidity and strategic asset allocation, concluding with practical examples and case studies.
Conclusion
This course offers a comprehensive exploration of portfolio management, empowering you to make informed investment decisions. By mastering key concepts like risk-return analysis, portfolio evaluation, and strategic asset allocation, you'll be equipped to build and manage portfolios that align with specific financial goals.
