PMBA 6320 Investments
This course begins by introducing students to the investment environment, financial instruments, and how securities are traded. Emphasis will be placed on securities market mechanics including the role of financial intermediaries, ordering processes, trading securities on margin, and short selling. Students will also be exposed to modern portfolio theory, arbitrage pricing theory, the efficient market hypothesis, and the basics of behavioral finance and the psychology of investing. The capital asset pricing model, bond valuation models, equity valuation models, and valuing venture capital and the IPO process will also be covered. Financial statement analysis, macroeconomic analysis, industry analysis, and technical analysis will be used to further assess investment opportunities. Finally, students will be introduced to the markets for derivative securities including swaps, options, futures, warrants, and convertible bonds.