OVERVIEW

AIMS AND CONTENT

LEARNING OUTCOMES

The course introduces to the knowledge of financial investments and the functioning of financial markets. It deals with the evaluation of risk and return of single securities and portfolio. It is aimed at the understanding of portfolio management techniques

AIMS AND LEARNING OUTCOMES

At the end of the teaching unit, students will be able to:
- analyse the risk and return of individual securities and portfolios within the main market
finance models;
- apply portfolio optimisation models to investment choice problems concerning individual
securities and portfolios;
- assess equity, bond, and derivative instruments using the theoretical framework and
analytical tools presented during the teaching unit;
- interpret the main portfolio management and performance measurement techniques in asset
management contexts.

PREREQUISITES

The teaching unit requires quantitative statistical, econometric, and mathematical skills, as
well as knowledge of accounting-related topics.

TEACHING METHODS

Suggerimenti Inglese:
Lectures, case-study analysis, guest talks from practitioners, and tutorials.
AulaWeb: yes.
Attendance: not compulsory.
Students with disabilities, Specific Learning Disorders (SLD), or Special Educational Needs
(SEN) are advised, at the beginning of the teaching unit, to contact the lecturer and the
Department contact person/coordinator in order to agree on appropriate teaching and
examination arrangements, while respecting the learning objectives of the teaching unit.
In order to request exam accommodations, students must first upload their certification on the
University website at servizionline.unige.it, in the “Students” section.
The documentation will be checked by the University Office for Inclusion Services for
Students with Disabilities and SLD.
To request compensatory tools or exemption measures, students with disabilities or SLD
must complete the dedicated webform available at https://unige.it/disabilita-dsa at least 7
working days before the exam.
Students with SEN may instead submit their request by email to the lecturer, copying the
Department contact person, Prof. Elena Lagomarsino (inclusione.economia@unige.it), and
the Inclusion Office: inclusione.studenti@info.unige.it. Requests will be assessed by the
lecturer and may be either approved or not approved.

SYLLABUS/CONTENT

Part I: PORTFOLIO OPTIMISATION LOGICS AND TECHNIQUES
- Investor preferences and utility functions
- Assessment of portfolio return and risk
- Mean-variance optimisation
- The market model and multifactor models
- CAPM
- Markets and efficiency
Part II: EQUITY INVESTMENT VALUATION
- Fundamental analysis models
- Relative analysis: comparables
- Equity portfolio management techniques
Part III: BOND INVESTMENT VALUATION
- Yield curve
- Assessment of interest rate risk in bond investments
- Portfolio immunisation techniques
- Assessment of credit risk in bond investments
- Management of a corporate bond portfolio
- Bond portfolio management techniques
Part IV: PERFORMANCE EVALUATION
- Risk-adjusted evaluation models
- Peer group and style analysis
- Performance attribution techniques

RECOMMENDED READING/BIBLIOGRAPHY

Bodie, Kane, Marcus, “Essentials of investments”  9th ed., McGraw-Hill, selected chapters in CREATE McGraw Hill

TEACHERS AND EXAM BOARD

LESSONS

LESSONS START

II semester

Check data on https://economia.unige.it/orario-lezioni

Class schedule

The timetable for this course is available here: Portale EasyAcademy

EXAMS

EXAM DESCRIPTION

Written examination, in English.

Students who fail the exam, can repeat it with no limitations. Students who fail to show up at the exma and do not inform the instructor at least one day in advance will not be allowed to seat the exam in the following date

ASSESSMENT METHODS

Written examination, in English. The examination assesses the ability to analyse the risk and
return of individual securities and portfolios, apply the main investment valuation and
optimisation models, and interpret portfolio management and performance measurement
techniques.

Students who fail the exam, can repeat it with no limitations

FURTHER INFORMATION