MOUNT SAINT MARY’S UNIVERSITY
Investments
Business
403
Essentials of Investments, 7/e, Zvi Bodie, Boston University, Alex Kane, University of California, San Diego, and Alan J. Marcus, Boston College, ISBN: 0073405175, Copyright year: 2008 New York: McGraw-Hill Irwin Publishing.
Subscription
to IW Financial Corporate Practices and Governance Financial Advisor Software
($50). Details will be provided in class.
Subscription
to www.stocktrak.com ($25.95). Details will be provided in class.
The Wall Street Journal
Office: 317 AC
Telephone: (301) 447-5396 x4068
Email: einolf@msmary.edu
Click
link for Office
Hours
This
course will introduce students to the major issues of concern to all investors.
It will give students the skills to conduct a sophisticated assessment of
current issues and debates covered by both the popular media and more
specialized finance journals. Whether students plan to become an investment
professional, or simply a sophisticated individual investor, students will find
these skills essential. Students will
understand types of investments, valuation methods, portfolio management,
investment opportunities, and policies of institutional investors.
This
course will satisfy the following objectives of the Undergraduate Program:
Student
Students will complete an undergraduate major (this course is an elective within the Finance concentration for the Business Major)
Student
To view the Goals and Objectives of the Undergraduate Program click here (and scroll down the page)
This course will also satisfy the learning objectives of the Business Major
To view the Learning Objectives of the Business Major click here
Course Requirements and
Grades
An individual semester-long $50 subscription to IW Financial Corporate Practices and Governance Financial Advisor Software and www.stocktrak.com is an absolute requirement for this course. The software is needed for success in the course, and the software cannot be shared for legal reasons. I will collect payment from students (checks payable to Mount St. Mary's University) during the first two weeks of class. If a student does not pay, the student will be forced to withdraw from the course or receive an "F" for the semester.
Two
(2) Midterm Exams
October 1st 15%
November 24th 15%
Final Exam 20%
Friday, December 19th at Noon
Investment
Portfolio Monthly Prospectus
Due
October 6th 10%
Due
November 10th 10%
Due
December 15th 10%
Team
Financial Analysis Presentation
Due on Presentation Day 10%
December 8, 10, or 12
Homework
Homework will be due throughout the semester 5%
Class Participation and Attendance 5%
Grading
Scale:
93-100 A 73-76.9 C
90-93
A- 70-72.9 C-
87-90
B+ 67-69.9 D+
83-87
B 63-66.9 D
80-83
B- 60-62.9 D-
80-84
77-79.9 C+ 0-59.9 F
Click here to view the University's Policy on Academic Integrity
To help students understand how I apply the University's policy on academic integrity, I provide the following:
Exams will be completed in a timed class session. The exams will be proctored. Students are expected to complete their own work without any outside assistance (no consulting other students, books, notes, cell phones, computers, etc.).
Homework is to be written individually. Consultation and discussion between students is permitted and encouraged, but each student must complete their own writing and analysis! Be very careful when consulting with other students. If your work (sentence structure, charts, tables, etc.) looks similar to the work of another student – even if your intent was not to copy – you both will fail the assignment.
Click here to view the Business Department’s Code of Student Conduct
The grading o
·
Recognition
- understanding of th
·
Application
- ability to apply the material to solve problems simila
·
Reflection, Integration and Extension
– ability to transcend the problem solving used in the course to new and
broader problems not discussed in class.
An
“A” grade will reflect EXCELLENT recognition, application, reflection,
integration, and extension of the course material.
A
“B” grade will reflect GOOD recognition, application, reflection, integration,
and extension of the course material.
A
“C” grade will reflect SATISFA
A
“D” grade will reflect POOR recognition, application, reflection, integration,
and extension of the course material.
An
“F” grade will reflect INADEQUATE recognition, application, reflection,
integration, and extension of the course material.
Two (2) Midterm Exams and
a Final Exam
Each of the three midterm exams will cover the material presented to that point in the course with emphasis on the latest chapters. The final exam will be cumulative. Absolutely no exams at alternative times will be given. You have the exam schedule at the start of the semester. You are responsible to be at the exams.
If you have a valid excuse to not be in class the day of the exam, then you will receive a score on the exam equal to the average score of all the exams you took in the class (including the final). There are only three valid excuses to miss an exam: 1) You are in the hospital; 2) A family member passed away recently; or 3) You must participate in a recognized NCAA sporting event.
If you miss an exam for an invalid reason (not one of the three reasons described above), you will receive a zero on the exam.
If you are an athlete and you must miss more than one exam due to your game schedule, I suggest that you do not take this course at this time.
TeamFinancial Analysis Presentation
The class will break up into small groups to form teams. Each team will critically examine two companies within an industry and make a comparison based on financial characteristics. Teams, presentation times, and further instructions will be provided in class. Each team will be responsible for completing an approximately 15-20 page paper and a precisely 20 minute presentation. The presentations will be held in class on December . The team's type-written paper is due on the date of their presentation and will be submitted via turn-it-in on Blackboard. (Late work will not be accepted.) Each member of a team will receive the same grade on the assignment.
ClassParticipation and Attendance
Perfect attendance and enthusiastic participation are expected!
You must come prepared for class by reading the chapters and completing assigned problems.
If you have to miss class for a valid reason - you are in the hospital, a family member passed away, or you must participate in an NCAA sporting event - then please let me know. You will not be penalized.
If you choose to miss class for any other reason, I do not need to know why. You are an adult, and I realize that you may have other priorities and commitments outside of our class. However, as an adult, you realize that if you are not in class, your class participation and attendance score will be adjusted accordingly. You will also find that if you miss class, you may have trouble with the exams. When you miss class, it is your responsibility to keep up with the reading and to get class notes from another student.
Outline
Part 1: Elements of Investments
1-
Investments: Background and Issues
2-
Asset Classes and Financial Instruments
3-
Securities Markets
4-
Mutual Funds and Other Investment Companies
Part 2: Portfolio Theory
5-
Risk and Return: Past and Prologue
6-
Efficient Diversification
7-
Capital Asset Pricing and Arbitrage Pricing Theory
8-
The Efficient Market Hypothesis
9-
Behavioral Finance and Technical Analysis
Part 3: Debt Securities
10-
Bond Prices and Yields
11-
Managing Bond Portfolios
Part 4: Security Analysis
12-
Macroeconomic and Industry Analysis
13-
Equity Valuation
14-
Financial Statement Analysis
Part 5: Derivative Markets
15-
Options Markets
16-
Option Valuation
17-
Futures Markets and Risk Management
Part 6: Active Investment Management
18-
Performance Evaluation and Active Portfolio Management
19-
Globalization and International Investing
20-
Taxes, Inflation, and Investment Strategy
21-
Investors and the Investment Process