Portfolio Management and Asset Allocation
This module takes the perspective of portfolio management and aims to develop skills based on formal modeling of asset price procedures and empirical research findings particularly in an international setting and also aims to take a wider view considering ethical issues facing managers.
All of the resources for this module are available on the ELE (Exeter Learning Environment).
Previously, we had the manager of the company RBC give a session on his own experience in fund management and answered questions posed by the students concerning their practical projects.
In this module, students learn how to work with portfolios, using data from Bloomberg and Datastream, which is highly valued by employers in the finance industry. Students also develop their presentation and team working skills.
At the end of this module, students take the Level2 CFA exam.
Full module specification
|Module title:||Portfolio Management and Asset Allocation|
|Duration of module:||
Duration (weeks) - term 2: |
This module takes the perspective of portfolio management and aims to develop in students skills based on formal modelling of asset price procedures and empirical research findings particularly in an international setting. It also aims to take a wider view considering ethical issues facing managers. It expands economic analysis to take in issues arising in foreign exchange, international finance and financial economics.
ILO: Module-specific skills
- 1. be able to resolve critically general problems in selecting investments in a global market
- 2. be able to formulate critically asset allocation models and decisions
- 3. be able to use different asset pricing models in portfolio formation
- 4. understand and be able to appraise issues arising in code of ethics and standards of professional conduct
- 5. be able to resolve some practical problems arising in complex 'real' environments
ILO: Discipline-specific skills
- 6. develop rigorous theoretical arguments based on mathematical and analytical reasoning
- 7. rigorously analyse problems in finance
- 8. interpret financial data and problems in the light of established theories
- 9. access a wide body of empirical research literature and critically appraise it
- 10. use relevant databases, existing research literature and techniques to conduct a detailed investigation of problems arising in financial markets and models
- 11. develop presentational skills.
ILO: Personal and key skills
- 12. plan and manage his/her own study both individually and within a group
- 13. make appropriate use of learning resources, including sophisticated computer datasets
- 14. analyse critically problems arising in both academic and practical contexts
- 15. present effectively results and achievements of individual and collaborative projects as developed through the mode of instruction using both individual and group assignments.
Learning activities and teaching methods (given in hours of study time)
|Scheduled Learning and Teaching Activities||Guided independent study||Placement / study abroad|
Details of learning activities and teaching methods
|Category||Hours of study time||Description|
|Form of assessment||Size of the assessment (eg length / duration)||ILOs assessed||Feedback method|
|Homework||Assigned in lectures and discussed in tutorials||1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 12, 13, 14||Written/Oral|
Summative assessment (% of credit)
|Coursework||Written exams||Practical exams|
Details of summative assessment
|Form of assessment||% of credit||Size of the assessment (eg length / duration)||ILOs assessed||Feedback method|
|Coursework||30||Group project assessed by a 15-minute presentation and a group report (maximum length 1,500 words)||1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 11, 12, 13, 14, 15||Written/Oral|
|Written exam||70||1.5 hours||1, 2, 3, 4, 5, 6, 7, 8, 9, 10, 12, 14||Written/Oral|
Details of re-assessment (where required by referral or deferral)
|Original form of assessment||Form of re-assessment||ILOs re-assessed||Timescale for re-assessment|
|Coursework & Exam||Examination (100%) 1.5 hours||1-15||Aug/Sep|
• Introduction: Portfolio Management Process
• Asset Pricing Models in Portfolio Management
• International Aspects- Currencies and International Asset Pricing
• International Equity Investing – Top/Down Asset Allocation, International Ratio Comparison, Value
and Momentum Strategies, Tactical Asset Allocation, Timing Value/Growth Styles
• Code of Ethics
• Standards of Professional Conduct
• Soft Dollar Standards and Research Objectivity Standards
• Module Review and Revision
Indicative learning resources - Basic reading
CFA ® Level II Curriculum set
Module has an active ELE page?
Indicative learning resources - Other resources
Solnik, B. and McLeavey, D. (2004) International Investments, 5th ed., AIMR, UK: Addison Wesley
Reilly, F.K. and Brown, K.C, (2006) Investment Analysis and Portfolio Management, 8th ed., UK: Thomson South-Western.
Last revision date