| Unit name | Portfolio Management |
|---|---|
| Unit code | ACFI30011 |
| Credit points | 20 |
| Level of study | H/6 |
| Teaching block(s) |
Teaching Block 2 (weeks 13 - 24) |
| Unit director | Dr. Friederich |
| Open unit status | Not open |
| Units you must take before you take this one (pre-requisite units) |
Principles of Finance (ACFI20001) OR Asset Markets (EFIM20043) |
| Units you must take alongside this one (co-requisite units) |
Financial Markets and Corporate Finance (ACFI30012) (not relevant for BSc Finance students) |
| Units you may not take alongside this one |
None |
| School/department | School of Accounting and Finance - Business School |
| Faculty | Faculty of Social Sciences and Law |
Why is this unit important?
This unit is important because it will both develop the knowledge of asset pricing you acquired on earlier finance units and apply it to real-world financial issues. We will develop tools of key importance in professional practice and in academic research. Taking this unit will improve your understanding of the principal approaches to portfolio construction and performance measurement and of the empirical research that assesses the value of active investment strategies in informationally efficient markets.
What you will learn will make you a more efficient investor and will remain with you whether you work in the financial sector or not. For example, it will help you make pension and other investment decisions having far-reaching consequences for the financial well-being of those you care about and your livelihood when you retire, decades down the line.
How does this unit fit into your programme of study?
The unit is not mandatory on any programme, it is offered as an option on several programmes, some containing Finance specialists (e.g. BSc Finance) and others with no mandatory Finance content (e.g. BSc Economics). Its real-world focus makes it relevant to any student focussed on the financial sector.
An overview of content
We will discuss the construction, implementation and evaluation of investment portfolios. An important feature of this topic is that the insights and results we will derive are applicable on any scale. That is, they are equally valid from the perspective of a private investor or that of a multi-billion pound pension or hedge fund manager.
In the light of theoretical and empirical results in asset pricing, we will:
How will students personally be different as a result of the unit?
You will applying the tools and insights provided by the theory of asset pricing and market efficiency to the real-world issues of asset management. You will develop an understanding of the challenges that professional investors face when trying to “beat the market”.
Learning Outcomes
On successful completion of this unit a student will be able to:
Weekly 2-hour lectures. In most weeks there is also a set of additional tutorial or exercise class (in smaller groups). You are given exercises in advance, these are discussed with your peers and your tutor in class.
Your total learning time for this unit is expected to be some 200 hours. This is made up of contact time, directed learning tasks, independent learning and assessment activity.
Tasks which help you learn and prepare you for summative tasks (formative):
Weekly tutorials or exercise classes offer an opportunity to receive feedback from the tutor and from your peers. A trial assignment that is similar in spirit and content to the exam will be handed in before the Easter break and will be given an indicative mark (not counted toward the unit mark).
Tasks which count towards your unit mark (summative):
100% exam. Duration 2.5 hours. Assessing ILO1, ILO2, ILO3, ILO4
When assessment does not go to plan
As this is a final year unit reassessment is not normally permitted, however, where it is permitted it will be an exam in the same format as the main exam.
If this unit has a Resource List, you will normally find a link to it in the Blackboard area for the unit. Sometimes there will be a separate link for each weekly topic.
If you are unable to access a list through Blackboard, you can also find it via the Resource Lists homepage. Search for the list by the unit name or code (e.g. ACFI30011).
How much time the unit requires
Each credit equates to 10 hours of total student input. For example a 20 credit unit will take you 200 hours
of study to complete. Your total learning time is made up of contact time, directed learning tasks,
independent learning and assessment activity.
See the University Workload statement relating to this unit for more information.
Assessment
The Board of Examiners will consider all cases where students have failed or not completed the assessments required for credit.
The Board considers each student's outcomes across all the units which contribute to each year's programme of study. For appropriate assessments, if you have self-certificated your absence, you will normally be required to complete it the next time it runs (for assessments at the end of TB1 and TB2 this is usually in the next re-assessment period).
The Board of Examiners will take into account any exceptional circumstances and operates
within the Regulations and Code of Practice for Taught Programmes.
