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This unit information may be updated and amended immediately prior to semester. To ensure you have the correct outline, please check it again at the beginning of semester.
This unit examines the fundamental principles of investment analysis and the management of alternative investments available in the financial markets. Students will learn how to construct an optimal portfolio that achieves efficient diversification across asset classes and to invest in traded securities on the Australian Securities Exchange. The capital asset pricing model and arbitrage pricing theory as well as the index and multi-factor models are introduced to measure the acceptable rate of return for an investment. Other related topics include the micro and macro approaches to security analysis; the implications of market efficiency and behavioural finance on investment strategies; and portfolio performance evaluation using various risk-adjusted measures. Finally, the use of derivatives to control risk and the valuation of options are also examined.
Students must pass 3 units from ECF6110, ECF6115, ECF6130
On completion of this unit students should be able to:
Students attend a two hour lecture and a one hour tutorial on campus each week. Lectures are used to introduce the central concepts and literature on investments and portfolio management. Tutorials provide students the opportunity to discuss key aspects of the content in greater detail and, in the process, to further develop their communication skills and their ability to analyse problems. The assessment tasks allow students to work in teams to research and formulate a trading strategy to invest in shares traded on the Australian Securities Exchange. At the end of the trading period, each team prepares a report that critically appraises the performance of their portfolio. In addition, students have to construct an efficient set of portfolios and perform investment analysis using the financial data of their traded companies. These assessments allow students to demonstrate their content knowledge and critical thinking and to develop their written communication and teamwork skills.
GS1 GRADING SCHEMA 1 Used for standard coursework units
Students please note: The marks and grades received by students on assessments may be subject to further moderation. All marks and grades are to be considered provisional until endorsed by the relevant Board of Examiners.
| Type | Description | Value |
|---|---|---|
| Assignment | Assignment 1 | 15% |
| Assignment | Assignment 2 | 25% |
| Examination | Final Exam | 60% |
^ Mandatory reference
For the purposes of considering a request for Reasonable Adjustments under the Disability Standards for Education (Commonwealth 2005), inherent requirements for this subject are articulated in the Unit Description, Learning Outcomes and Assessment Requirements of this entry. The University is dedicated to provide support to those with special requirements. Further details on the support for students with disabilities or medical conditions can be found at the Access and Inclusion website.
Edith Cowan University has firm rules governing academic misconduct and there are substantial penalties that can be applied to students who are found in breach of these rules. Academic misconduct includes, but is not limited to:
Additionally, any material submitted for assessment purposes must be work that has not been submitted previously, by any person, for any other unit at ECU or elsewhere.
The ECU rules and policies governing all academic activities, including misconduct, can be accessed through the ECU website.
ECF6135|1|1
This unit information may be updated and amended immediately prior to semester. To ensure you have the correct outline, please check it again at the beginning of semester.
This unit examines the fundamental principles of investment analysis and the management of alternative investments available in the financial markets. Students will learn how to construct an optimal portfolio that achieves efficient diversification across asset classes and to invest in traded securities on the Australian Securities Exchange. The capital asset pricing model and arbitrage pricing theory as well as the single-index and multi-factor models are introduced to measure the required rate of return for an investment. Other related topics include bonds and security analysis; the use of options to manage risk; portfolio management and performance evaluation using various risk-adjusted measures. Finally, the implications of market efficiency and behavioural finance on investment strategies are also examined.
Students must pass ECF6110
On completion of this unit students should be able to:
Students attend a two hour lecture and a one hour tutorial on campus each week. Lectures are used to introduce the central concepts and literature on investments and portfolio management. Tutorials provide students the opportunity to discuss key aspects of the content in greater detail and, in the process, to further develop their communication skills and their ability to analyse problems. The assessment tasks allow students to work in teams to research and formulate a trading strategy to invest in shares traded on the Australian Securities Exchange. At the end of the trading period, each team prepares a report that critically appraises the performance of their portfolio. In addition, students have to construct an efficient set of portfolios and perform investment analysis using the financial data of their traded companies. These assessments allow students to demonstrate their content knowledge and critical thinking and to develop their written communication and teamwork skills.
GS1 GRADING SCHEMA 1 Used for standard coursework units
Students please note: The marks and grades received by students on assessments may be subject to further moderation. All marks and grades are to be considered provisional until endorsed by the relevant Board of Examiners.
| Type | Description | Value |
|---|---|---|
| Exercise | Exercises | 15% |
| Assignment | Assignment | 25% |
| Examination ^ | Final Exam | 60% |
^ Mandatory to Pass
^ Mandatory reference
For the purposes of considering a request for Reasonable Adjustments under the Disability Standards for Education (Commonwealth 2005), inherent requirements for this subject are articulated in the Unit Description, Learning Outcomes and Assessment Requirements of this entry. The University is dedicated to provide support to those with special requirements. Further details on the support for students with disabilities or medical conditions can be found at the Access and Inclusion website.
Edith Cowan University has firm rules governing academic misconduct and there are substantial penalties that can be applied to students who are found in breach of these rules. Academic misconduct includes, but is not limited to:
Additionally, any material submitted for assessment purposes must be work that has not been submitted previously, by any person, for any other unit at ECU or elsewhere.
The ECU rules and policies governing all academic activities, including misconduct, can be accessed through the ECU website.
ECF6135|1|2