ECN 365 Investment Analysis I
This course focuses on the basic concepts of value and risk, and explores the principles that guide strategic investment decisions. Major emphasis is placed on the notion of net present value, the evaluation and pricing of bonds and stocks, and the definition and measurement of risk. The concepts of portfolio risk and expected return, as well as the role of portfolio diversification are carefully investigated. Students are then introduced to market efficiency, portfolio theory and the relationship between risk and return in the context of alternative theories, mainly the capital asset pricing model and the arbitrage pricing theory. (Recommended: ECN 225, ECN 256; Strongly Recommended: MAT 200)