Portfolio Management and Asset Allocation
This module takes the perspective of portfolio management and aims to develop skills based on formal modelling of asset price procedures and empirical research findings particularly in an international setting.
All of the resources for this module are available on the ELE (Exeter Learning Environment).
Previously, we had a manager from investment funds give a session on his own experience in fund management, who answered questions posed by students concerning their practical projects.
In this module, students learn how to work with portfolios. The module covers 70% CFA CBOK syllabus on the topic of the Portfolio Management and prepares students well for the CFA Level 2 exam on this topic
Full module specification
|Module title:||Portfolio Management and Asset Allocation|
|Duration of module:||
Duration (weeks) - term 2: |
This module studies portfolio management, developing student skills in the formal modelling of asset price procedures and empirical research findings, particularly in an international setting. The module expands economic analysis to take in issues arising in foreign exchange, international finance and financial economics
ILO: Module-specific skills
- 1. critically resolve general problems in selecting investments in a global market;
- 2. critically formulate asset allocation models and decisions, using different asset pricing models in portfolio formations;
- 3. demonstrate an understanding of the theories of international finance and monetary issues and apply them to real world situations; be able to resolve some practical problems arising in complex real environments
ILO: Discipline-specific skills
- 4. develop rigorous theoretical arguments based on mathematical and analytical reasoning, interpret financial data and rigorously analyse problems in the light of established theories;
- 5. access and critically appraise a wide body of empirical research literature;
- 6. use relevant databases, existing research literature and techniques to conduct a detailed investigation of problems arising in financial markets and models.
ILO: Personal and key skills
- 7. plan and manage your own study, both individually and in a group, making appropriate use of learning resources, including sophisticated computer datasets
- 8. critically analyse problems arising in both academic and practical context;
- 9. effectively present 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|
|Scheduled Learning and Teaching Activity||20||10 x 2-hour Lectures|
|Scheduled Learning and Teaching Activity||10||10 x 1-hour Tutorials|
|Guided Independent Study||120||Reading, research and reflection; Preparation for coursework, exams and tutorials.|
|Form of assessment||Size of the assessment (eg length / duration)||ILOs assessed||Feedback method|
|Tutorial questions (Assigned in lectures and discussed in tutorials)||Up to 10 questions||1-8||Written and verbal feedback|
|Group Presentation||15 minutes||1-9||Written and verbal feedback|
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|
|Group Report Coursework||20||1500 words (maximum)||1-9||Written and verbal feedback|
|Written exam||80||2 hours||1-8||Written and verbal feedback|
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|
|Group Report||Individual Report (1500 words), 20%||1-9||Referral/Deferral Period|
|Written Exam||Written Exam (2 hours), 80%||1-8||Referral/Deferral Period|
- Introduction: Portfolio Management Process
- Asset Pricing Models in Portfolio Management
- Measuring and managing market risk
- Asset valuation and asset allocation
- Active portfolio management, Fintech and algorithmic trading
- International portfolio diversification
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. ,Brown, K.C, and Leeds, S.J. (2019) Investment Analysis and Portfolio Management, 11th ed., Cengage Learning.
Last revision date