This course provides an advanced exploration of global financial markets, blending rigorous theoretical frameworks with practical investment management. Students will master the principles of portfolio theory, security valuation, and derivative mechanics while navigating the complexities of international diversification.

8 x 2 hour practical classes and workshops

4 x 1 hour tutorials

None

None

1. Written assignment, including essay; groupwork; 1950 words; 25%; ILOs 1-3, 5.

2. Degree exam: on campus, Individual; 120 minutes; 75%; ILOs 1-2, 4.

The aim of this course is to:

■ Provide a rigorous framework that bridges neoclassical investment theory with the practical complexities of managing a global investment mandate.

■ Equip students with the quantitative and analytical tools necessary to determine the intrinsic value of diverse financial instruments, including equities, fixed-income, and derivatives.

■ Develop a sophisticated understanding of international capital markets, focusing on the unique risk-return trade-offs of cross-border diversification and alternative asset classes.

By the end of this course, students should be able to:

1. Demonstrate a critical approach that bridges theory and practice in the construction of investment portfolios.

2. Appraise the valuation models used by academics and practitioners to price stocks, bonds, and options.

3. Apply advanced portfolio management techniques and modern portfolio theory to the systematic construction, rebalancing, and monitoring of an international investment fund.

4. Critically evaluate the benefits and risks associated with international investing and alternative investments.

5. Work collaboratively in a group to produce a combined output, by liaising with other class members, allocating tasks and co-ordinating group meetings.