Calcutta Business School

Course Name and Subject Code: Security Analysis & Portfolio Management (SAPM) FME 705 TERM IV Academic Year: 2014Course Instructors Name and Designation: TAMAL DATTA CHAUDHURI; PRINCIPALBackground of the Course: The course is aimed at students who are specializing in the area of Finance and would like to take up a job in the financial sector after completion of their studies. This is a basic course in finance which requires a Course on Financial Management as a pre-requisite. It is a hands-on course where students will be continuously working with real time data and their analysis for profit maximization for a given value of risk or risk minimization for a given level of revenue. Course Description:The course will introduce students to the various financial assets that are available in the market, their valuation, their interrelationships and acquisition strategies. Financial goal setting, portfolio diversification, asset selection and market timing will be dealt with in this course. The students will learn the trade-off between risk and return and also valuation techniques. Course Objectives:

The objective of this course is to familiarize students with the concepts used in the financial sector, the various calculations that are involved, the role of statistics and econometric techniques in forecasting and develop a feel about the market. It will enable a student to understand how much to save, where to save, why save, the difference between investment and speculation and the meaning of financial discipline.On Successful Completion of this Course Students will be able to:

a. Calculate risk and return from an asset and also from a portfolio;b. Value stocks and bonds;

c. Calculate the various rates of return including current yield, dividend yield, yield to maturity, holding period yield etc.;

d. Understand the macroeconomics of Finance;

e. Understand the channels of influence of global factors on domestic financial markets;

f. Understand how to create a portfolio;g. Understand various types of mutual funds and their NAV calculation.

Study Materials and Resources

1.Security Analysis & Portfolio Management by Donald E Fischer and Ronald Jordan.

2.Indian Financial System by M Y Khan.

3.The Indian Financial System Markets, Institutions and Services by Bharti V Pathak.

4.Investment Analysis & Portfolio Management by Prasanna Chandra.

5.Security Analysis by Benjamin Graham & David Dodd.6. Various Issues of ET Wealth Plus

7. Financial dailies like Economic Times and Business Standard

8. www.rbi.org, www.nic.in, www.moneycontrol.com, www.bseindia.com, www.nseindia.com, www.amfiindia.com Teaching and Learning StrategySERIAL NO.TOPIC FOR DISCUSSIONNO. OF SESSIONS

1FINANCIAL SECTOR ENVIRONMENT

THE MACROECONIMICS OF FINANCE3

2SECURITIES MARKETS, PLAYERS, INSTRUMENTS2

3SOURCES OF FINANCIAL INFORMATION2

4RISK AND RETURN4

5VALUATION OF EQUITY3

6VALUATION OF DEBT3

7ECONOMIC, INDUSTRY & COMPANY ANALYSIS3

8TECHNICAL ANALYSIS4

9EFFICIENT MARKET HYPOTHESIS2

10FUTURES & OPTIONS2

11MUTUAL FUNDS1

12PORTFOLIO SELECTION AND ANALYSIS2

13MEASURING PORTFOLIO PERFORMANCE2

14TOTAL33

The Evaluation Scheme

S. No.ParticularsPercentage

1Case Study Analysis10

2Midterm Examination30

3Term Paper20

4End Term Examination40

Total100