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Argosy University Chicago Campus School of Business COURSE SYLLABUS B6201 Investment/Portfolio Theory Spring Term I Students are responsible for checking their email, including Argosy email, and voice messages prior to class for any last-minute changes to the class. Faculty Information Faculty: Name: Dr. Edward N Balli Campus: Chicago Argosy Contact Information: Office: 815-501-0175 Email [email protected] Office Hours: One hour before class 5:00 pm to 6:00pm Friday Short Faculty Bio: I am a partner in Financial and Managerial Solutions in Dekalb, Illinois. I earned my Doctored in Business Administration in Accounting with a minor in MIS from Argosy University in August 2007. My experience is in working with small to medium size private and public firms in the Midwest with accounting and information systems. The recommendations may include a complete audit of the operations to recommendations of proposed application software, telecommunications, and hardware. I have over 25 years of experience. I have taught part time for over 12 years at Aurora University in business courses. I am a member of American Institute of Certified Public Accountants (AICPA); Information Systems Audit and Control Association (ISACA); Certified Internal Auditor (CIA); Special Interest Group on Knowledge Discovery and Data Mining (SIGKDD); and Society for Industrial and Applied Mathematics (SIAM); American Mathematical Society (AMS) and Illinois CPA Society (ICPAS). 1
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Page 1: Argosy Universitydissertation.argosy.edu/chicago/Spring 09/B6201_Sp09Balli... · Web viewChicago Campus School of Business COURSE SYLLABUS B6201 Investment/Portfolio Theory Spring

Argosy UniversityChicago Campus

School of BusinessCOURSE SYLLABUS

B6201Investment/Portfolio Theory

Spring Term I

Students are responsible for checking their email, including Argosy email, and voice messages prior to class for any last-minute changes to the class.

Faculty InformationFaculty: Name: Dr. Edward N BalliCampus: Chicago ArgosyContact Information: Office: 815-501-0175Email [email protected] Hours: One hour before class 5:00 pm to 6:00pm Friday

Short Faculty Bio: I am a partner in Financial and Managerial Solutions in Dekalb, Illinois. I earned my Doctored in Business Administration in Accounting with a minor in MIS from Argosy University in August 2007. My experience is in working with small to medium size private and public firms in the Midwest with accounting and information systems. The recommendations may include a complete audit of the operations to recommendations of proposed application software, telecommunications, and hardware. I have over 25 years of experience. I have taught part time for over 12 years at Aurora University in business courses.

I am a member of American Institute of Certified Public Accountants (AICPA); Information Systems Audit and Control Association (ISACA); Certified Internal Auditor (CIA); Special Interest Group on Knowledge Discovery and Data Mining (SIGKDD); and Society for Industrial and Applied Mathematics (SIAM); American Mathematical Society (AMS) and Illinois CPA Society (ICPAS).

Course Description: This course explores theory and techniques that are basic for the control of investment risks and optimization of investment returns. This course analyzes contemporary theories such as the Random Walk, Market Efficiency, Portfolio Theory, Security Analysis and techniques of security selection and availability to the institutional portfolio manager. Topics include analysis of securities and security market operations, theories of market behavior, and application in selection of personal and corporate investment strategies. Students focus on the role of the modern portfolio manager in achieving diversification along with reviewing and evaluating client investment goals.

Course Pre-requisites: None

Required TextbookBodie, A., Kane, A. & Marcus, A.J. (2008). Essentials of investments, (7th ed.). McGraw-Hill. ISBN: 978-0-07-340517-9

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Suggested Reference BookScott, D.L. (2003). Wall Street words: An A to Z guide for today’s investor, (3rd ed.). Houghton-Mifflin.ISBN: 0618176519

Recommended ReadingsBernstein, P.L. (1998). Against the gods: The remarkable story of risk (new edition). Wiley. ISBN: 0471295639

Bogle, J. (). (2000). Common sense on mutual funds: New imperatives for the intelligent investor. Wiley. ISBN: 0471392286

Bogle, J. (1994). Bogle on mutual funds. New perspectives for the intelligent investor. Dell. ISBN: 0440506824

Bogle. J. (2007). The little book of common sense investing. Wiley. ISBN: 0470102101

Cohen, M. The bond bible. (2000). New York Institute of Finance. ISBN: 0735201382

Downes, J. (2006). Dictionary of finance and investment terms, (7th ed.). Barron’s Educational SeriesISBN: 0764134167

Ferri, R.A. (2005). All about asset allocation. McGraw-Hill. ISBN: 0071429581

Ferri, R. A. (2007). The ETF book: All you need to know about exchange-traded funds. Wiley. ISBN: 0470130636

Graham, B. (2003). Intelligent investor: A book of practical counsel (rev. ed.). Harper Collins Trade Division.ISBN: 0060555661

Hazlitt, H. (1988). Economics in on lesson: The shortest and surest way to understand basic economics. Three Rivers Press.ISBN: 0517548232

Scott, D. L. (2004). David Scott’s guide to investing in bonds. Houghton Mifflin. ISBN: 0618353275

Scott, D.L. (2004). David L. Scott’s guide to investing in mutual funds. Houghton Mifflin. ISBN: 0618353283

Scott, D.L. (2005). David L. Scott’s guide to managing credit and debit. Houghton Mifflin. ISBN: 0618458700

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Swedroe, L.E. (2002). Rational investing in irrational times: How to avoid the costly mistakes even smart peoplemake today. ISBN: 0312291302

Swedroe, L. E. (2004). The only guide to a winning investment strategy you’ll ever need: The way smart money preserves wealth today, (rev. and updated ed.). St. Martin’s Press. ISBN: 0312339879

Swedroe, L. E. (2004). What Wall Street doesn’t want you to know: How you can build real wealth investing in index funds. St Martin’s Griffin. ISBN: 0312335725

Swedroe, L.E. & Hempen, J.H. (2006). The only guide to a winning bond strategy you’ll ever need: The way smart money preserves wealth today. Truman Talley Books. ISBN: 0312353634

Malkiel, B.G. (2003). A random walk down Wall Street: Completely revised and updated edition (rev.). W.W. Norton & Company.ISBN: 0393325350

Malkiel, B.G. (2007). A random walk down Wall Street: The time-tested strategy for successful investing, (9th ed.).ISBN: 0393330338

Technology: Pentium III CPU/ Windows 98; 128MB RAM printer; Microsoft Office; Acrobat (full version); Microsoft Internet Explorer 5.5 (PC), 5.0 (MAC), or Netscape Navigator 4.08; Norton Antivirus.

Course length: 7.5 Weeks

COURSE INFORMATIONSpring 2 2008Jan 10th to March 2th

Course Credit: 3 hoursMeeting Time: Friday 6PM to 10PM

In Class MeetingsSession DATES TIMESSession 1 01/16 6 PM to 10 PM

01/086 PM to 10PM

Session 2 01/23 6 PM to 10PM Session 3 01/30 6 PM to 10PMSession 4 02/06 6 PM to 10PM

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Session 5 02/13 6 PM to 10PMSession 6 02/20 6 PM to 10PMSession 7 02/27 6 PM to 10PM

Contact Hours: 45 Hours

Credit Value: 3.0

Program Outcomes1. Communication

1.1. Oral/Written – Present business information orally and in writing using appropriate technology that is concise, clear, organized, supported, and persuasive in a professional manner appropriate to the business context

2. Critical Thinking/Problem Solving2.1. Critical Thinking – Incorporate and synthesize information, theory, and practice

in order to implement appropriate business actions2.2. Problem Solving/Decision Making – Given a business situation, diagnose the

underlying causes of the situation, evaluate possible solutions, and determine and defend appropriate course of action

2.3. Information Literacy – Access information from a variety of sources, evaluate the credibility of the sources, and apply that information to solve business problems

3. Team3.1. Leadership – Describe the requirements of team members and leaders to work

effectively and creatively in achieving team goals3.2. Collaboration – Collect, categorize, and consider the views of all stakeholders

4. Ethics4.1. Ethics – Identify the ethical principles related to personal and corporate behavior

in specific business situations and explains the potential consequences5. Diversity

5.1. Diversity – Identify the impact of both cultural and economic factors on the modern enterprise and explain the potential consequences

6. Analysis/Application 6.1. Applied Technology – Select and defend business technology solutions to typical

business problems6.2. Integration – Describe the interrelationship of the functional business areas of

statistics, accounting, finance, marketing, operations, and strategy within the context of specific organizational goals

Course Objectives1. Formulate the differences in financial and real assets and identify the major

components of the investment process. 2. Describe a derivative security and apply them to the markets. 3. Assess the various financial instruments available to potential investors. 

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4. Interpret, compose, and calculate processes involved in the various market indexes.

5. Evaluate options and futures contracts. 6. Identify the mechanics, risk, and calculations involved in both margin and short

trading.  7. Assess the implications, ambiguities, and complexities of insider trading and the

regulations concerning these issues. 8. Identify key differences between open-end and closed-end investment

companies.  9. Describe the expenses associated with investment in mutual funds and identify the

major types of investment policies of mutual funds.  10. Describe services provided by mutual funds and be able to identify sources of

information on investment companies. 11. Calculate risk and return statistical measures, such as holding period returns,

average returns, expected returns, and standard deviations, ex post and ex ante. 12. Construct portfolios of different risk levels, given information about risk free rates

and returns on risky assets.  13. Calculate the expected return and standard deviation of these portfolios. 14. Calculate standard deviation and return for two security portfolios and be able to

find the minimum variance combinations of two securities.  15. Assess systematic and firm-specific risk, and identify how one can reduce the

amount of firm-specific risk in the portfolio by combining securities with differing patterns of returns.

16. Characterize the development and the theory of capital asset pricing model (CAPM), and construct and use the security market line. 

17. Identify the components of arbitrage pricing theory (APT) and use the theory to identify mispriced securities. 

18. Assess the concept of market efficiency and apply the concept to make rational investment decisions based upon the existence of market efficiency. 

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Assignment Table

Module Module Topics Readings Assignments1

1/16/09 Investments:

Background and Issues

Asset Classes Financial Instruments

Chapter 1Chapter 2

Discussion Questions:1. Is it possible for investors to determine whether the financial statements provided by the companies are reliable? If not, what other data can investors use to evaluate company performance?2. What are the possible reasons for inaccurate financial reporting? Do you feel this is deliberate?3. Discuss the impact of major accounting scandals on investors’ asset preferences.

Textbook ProblemsWrite your answers to all questions in a two-page double-spaced Word document formatted in APA style, 5th edition. Due Week 1 at class time.

Complete the following problems in your textbook:

Chapter 1: InvestmentsProblem 6Chapter 2: Asset ClassesProblems 3, 10, 12Due Week 1 at class time.

Present equations, all steps of calculations, and the answers in a Word document formatted in APA style 5th edition.Course Project Task 1

In this course project, you will create a portfolio and track and analyze its performance throughout the course.

However, before this, you need to analyze the market over the week and consider what was driving the market. Focus your analysis on the Dow Jones Industrial Average and its component stocks. (You may find the component

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stocks from Yahoo Finance. Click on Dow and you will see the 30 component stocks.) What do you think caused the changes in the market and the Dow? What has happened over the week that was consistent with what you have learned about security investments in this course? Did the stock price react quickly to news?

Prepare a 3-4 slide PowerPoint presentation with your analysis of the market.

Name your document as: LastnameFirstInitial_M1_A4_1.doc. For example, if your name is John Smith, your document will be named SmithJ_M1_A4_1.doc.Due Week 1 at class time.

Create your portfolio. First, set out your investment objectives and decide how much risk you are willing to take. You may invest for yourself or for an imaginary client. If it is an imaginary client, you need to write the instructions he or she has given you with regard to the investment objectives and the risk tolerance level.

Construct a portfolio with a fictitious $1,000,000 using Yahoo finance. Click My Portfolios and use the drop down menu to choose New Portfolios. Select 10 stocks that you think meet your investment objectives and decide how much to invest in each stock. The total should not exceed $1,000,000. You are to use the previous business day’s closing price as your purchase price.

Submit the investment objectives and the composition of the portfolio with a brief explanation of your selection of stocks.

Keep track of the portfolio throughout the course. You are not to change the composition of the portfolio once it is constructed. This is not an investment

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competition. Rather, it is a vehicle for stock analysis. You will not be evaluated on the returns but on your analysis of the portfolio performance and the overall market.

In your market and portfolio analysis each week, include:1. Summary of portfolio performance.2. Analysis of firm- and industry-specific causes of portfolio performance.3. Summary and analysis of market changes and their causes.4. Effect of market changes on the portfolio.

Write your market and portfolio analysis as a 2-page double-spaced report in a Word document formatted in APA style.Due Week 1 at class time.

In Class: S&P p. 22, Webmaster p. 12, p. 23. Solutions to Concept Checks p. 23.S&P p. 53, Webmaster p. 31, p. 54. Solutions to Concept Checks, p. 54.

21/23/09

Securities Markets

Mutual Funds & Other Investment Companies

Chapter 3Chapter 4

Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. Comment on the differences between the NYSE and the NASDAQ. Does it matter to you, as an investor, on which stock exchange a particular stock is listed? Why or why not?2. What is the difference between the primary and secondary markets? How are the two markets related? 3. What roles do primary and secondary markets play in capital formation and allocation? For optimum allocation of resources, are both equivalent or is one better than the other?

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4. Most mutual funds set out their objectives and investors should check that these objectives align with their own investment objectives. Which mutual fund is most suitable for you in terms of the alignment of objectives?

Write your answers to all the questions in a 2-page double-spaced Word document formatted in APA style 5th edition.Due Week 2 at class time.

Textbook Problems

Complete the following problems in your textbook:o Chapter 3: Problem 1, 2, 3o Chapter 4: Problems 2, 3, 9

Present your equations, all calculations, and the answers in a double-spaced Word document formatted in APA style 5th edition.Due Week 2 at class time.

Essay on Insider Trading

Write an essay on insider trading. How do U.S. laws define insider trading? What are the effects of insider trading? What are the complexities involved in such cases? Read and summarize a real case of insider trading and its resolution.

Present your essay as a 3-page double-spaced Word document formatted in APA style 5th edition.Due Week 2 at class time.

Assignment 4:Course Project Task 2

Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

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Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Write an analysis of the market and of your portfolio as a 3-page double-spaced report in a Word document formatted in APA style 5th edition.Due Week 2 at class time.

In Class: S&P p. 87, Webmaster p. 65, p. 88, Solutions to Concept Checks p. 88, Excel p. 79.Webmaster p. 100, p. 114, Solutions to Concept Checks p. 114.

31/30/09

Risk & Return Efficient

Diversification

Chapter 5Chapter 6

Assignment 1Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. What makes for good diversification in a portfolio investment? How do you achieve diversification?2. To get the benefits of diversification, stocks in a portfolio should not be perfectly positively correlated. What are some examples of stocks that are strongly positively correlated? Why are they positively correlated?3. If you were constructing an efficient portfolio, would you first define an acceptable level of risk and then seek to maximize return? Or would you first define a desired level of return and then seek to minimize risk? Do you think the two methods would lead to similar or significantly different portfolios?4. The disclosure requirements for mutual funds and hedge funds are significantly different. Why do you think this is so?

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Write your answers to all the questions in a 2-page double-spaced Word document formatted in APA style 5th edition.Due Week 3 at class time.

Assignment 2Textbook Problems

Complete the following problems in your textbook:

Chapter 5: Problems 2, 3, 13 Chapter 6: Problems 1, 2

Due Week 3 at class time.

Present equations, all steps of calculations, and the answers in a Word document formatted in APA style.Due Week 3 at class time.

Assignment 3Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Write an analysis of the market and of your portfolio as a 3-4-page double-spaced report in a Word document formatted in APA style 5th edition.Due Week 3 at class time.

In Class: S&P p. 146, Webmaster p. 146, Solutions to Concept Checks p. 117.S&P p. 187, Webmaster p. 160, p. 188, Solutions to Concept Checks pp.

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188-191, Excel pp. 152-154,p. 159, p. 170, p. 190.

402/06/09

Capital Asset Pricing and

Arbitrage Pricing Theory

Chapter 7 Assignment 1Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. Select some stocks and identify the non-systematic or company-specific risks for these stocks. How can you quantify these risks for a comparison with systemic risks?2. What is the most significant difference between Capital Asset Pricing Model (CAPM) and APT? Which model will you use to estimate the required rate of return on a stock and why?3. Comment on the limitations of the CAPM. What is the effect on the model if a particular assumption does not hold true?4. Examine the betas for some companies and try to explain them in terms of company performance. In other words, why does the stock of a company stand in a particular relationship to the overall market?

Write your answers to all the questions in a 2-page double-spaced Word document formatted in APA style 5th edition.Due Week 4 at class time.

Assignment 2Beta Analysis Discussion Question

Find the betas for two public companies from Yahoo Finance. Analyze why the betas make sense or do not make sense to you. Be specific in your responses. For example, if the betas seem too high, explain why.

Present your analysis as a 3-4 slide PowerPoint presentation.

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Due Week 4 at class time.

Textbook Problems

Complete the following problems in your textbook:

Chapter 7: Problems 2, 4, 5, 22

Present equations, all steps of calculations, and the answers in a double-spaced Word document formatted in APA style.Due Week 4 at class time.Assignment 4

Course Project Task 4

Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Write an analysis of the market and of your portfolio as a 3-4 page double-spaced report in a Word document formatted in APA style.

In Class: S&P pp, 228-230, Webmaster p. 208, p. 229.

502/13/09

Efficient Market Hypothesis

Behavioral Finance and Technical Analysis

Chapter 8Chapter 9

Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. If the market is efficient in the semi-strong form, no one should be able to consistently outperform the market. Why are there so many financial

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analysts? What roles do the analysts play?2. What are the reasons for the inverse relationship between bond prices and the changes in the prevailing market interest rate?3. What are some of the major factors affecting bondholders’ required rate of return?

Write your answers to all the questions as a newspaper feature article, in a 3-page double-spaced Word document formatted in APA style 5th edition.Due Week 5 at class time.

Article Review

Read the following article from the Argosy University online library:

Walker, C. (2007, August). End of the rainbow. Money 93. (AN 26245499)

Write a review of the article by including the following: 1. Introduction2. Your opinion and analysis,

supported by reasons and examples

3. The article’s relevance to investments

4. Summary

Write your review in a 1-2-page double-spaced Word document formatted in APA style 5th edition.Due Week 5 at class time.

Textbook Problems

Complete the following problems in your textbook:o Chapter 8: Problems 10, 12, 13 o Chapter 9: Problems 4, 9Due Week 5 at class time.

Present equations in words, all steps of calculations, and the answers in a Word document formatted in APA

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style.

Course Project Task 5

Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Present an analysis of the market and of your portfolio as a 5–7 slide PowerPoint presentation.Due Week 5 at class time.

In Class: S&P 260, Webmaster p. 247, 261.S&P p. 287, Webmaster p. 275, p. 288, Solutions to Concept Checks p. 288.

62/13/09

Bond Prices and Yields

Managing Bond Portfolios

Chapter 10Chapter 11

Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. What does duration measure and how is the measure used by investors?2. How would you assess interest rate risk when investing in bonds? 3. Discuss two macro variables that affect changes in interest rates. If you watch these variables, could you predict interest rate movements, even if only approximately?

Textbook Problems

Complete the following problems in your textbook:

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Chapter 10: Problems 1, 2, 3 Chapter 11: Problems: 1, 7, 10

Present equations, all steps of calculations, and the answers in a Word document formatted in APA style.Due Week 6 at class time.

Analyze Stocks and Bonds

Compare and contrast stocks and bonds as investment vehicles. Discuss the differences in the levels of risk and expected returns. Explain the reasons for the differences and the implications for investors. Give reasons and examples to support your answers.

Present your analysis as a 3-4-page double-spaced report in a Word document formatted in APA style 5th edition.Due Week 6 at class time.

Course Project Task 6

Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Write an analysis of the market and of your portfolio as a 4-5 page double-spaced report in a Word document formatted in APA style 5th edition.

In Class: Problems p. 327, #18, #19, S&P p. 331, Webmaster p. 319, p. 331,

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Solutions to Concept Checks p. 332, Excel p. 302, p. 305.Problems p. 359, p. 361, # 12, #13, #19, S&P 365-366, Webmaster p. 352, 366, Solutions to Concept Checks pp. 366-367, Excel p. 338, p. 340, p. 349, p. 353.

72/20/09

Equity Valuation

Option Markets

Chapter 13Chapter 15

Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. When would you purchase a put option? When would you purchase a call option? Are the determinants company-specific or are they related to the overall market or the economy?2. A straddle seems to offer returns whether stock prices rise or fall. Why, then, doesn’t everyone use a straddle?3. If Federal Reserve actions become predictable, as in the Greenspan put, investors may anticipate such actions and act in response. Do you think that this could defeat the aims of the Fed actions? What are some examples of how investor anticipation and response could influence the impact of Fed actions?

Write your answers to all the questions in a 2-page double-spaced Word document formatted in APA style 5th edition.

Due Week 7 at class time.Assignment 2Role of Securitization

Write an analytical article on securitization. Clearly explain what securitization is and its advantages. Give examples. Also, explain how securitization exacerbates the sub-prime mortgage problem.

Write your article in a 2-page double-spaced Word document formatted in APA style 5th edition.

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Due Week 7 at class time.

Textbook Problems

Complete the following problems in your textbook: Chapter 13: Problems 1, 2, 12 Chapter 15, Problems 1, 3, 16Due Week 7 at class time.Present equations in words, all steps of calculations, and the answers in a Word document formatted in APA style.

Course Project Task 7

Analyze the market over the week. What was driving the market? What do you think caused the changes in the market and the Dow Jones? Did the market react quickly to news?

Continue to track your portfolio. What was the return on the portfolio and how did it compare with the market? Which stocks in your portfolio went up and which went down, and why? How were the stocks in your portfolio affected by the changes in the market, and by events in the companies or industries?

Write an analysis of the market and of your portfolio as a 3-page double-spaced report in a Word document formatted in APA style 5th edition.

In class: S&P p. 440, Webmaster p. 423, p. 441, Solutions to Concept Checks p. 441, Excel p. 417,p. 428.S&P p. 513, Webmaster p. 498, p. 514, pp. 514-516, Excel p. 491, p. 497.

82/27/09

Performance Evaluation and Active Portfolio Management

Globalization and

Chapter 18

Chapter 19

Chapter 20

Discussion Questions

Respond to all questions. Give real-world examples to support all your answers.

1. Compare and contrast the two

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International Investing

Taxes, Inflation, and Investment Strategy

major market indicators of the Dow Jones Industrial Average and the SP 500 Index.2. Some people believe that the stock market is a giant casino. Do you agree or disagree? Why?

Write your answers to all the questions in a 2-page double-spaced Word document formatted in APA style.Due Week 8 at class time.

Course Project Final Submission

Submit a report based on your market and portfolio analyses in this course. Include:

1. Review of the portfolio: The composition, the rationale for the selections of stocks, and how the weights of the individual stocks in the portfolio have changed over the course of the last 7 weeks.

2. Evaluation of the performance of the portfolio against certain benchmarks, such as S&P 500 and NASDAQ 100. Explain your choice of the benchmark.

3. Discussion of whether the portfolio has helped reduce risks.

4. Analysis of what went well and what did not go well. If you were to do it again, what would you do differently?

Write a 3-5-page double-spaced report in a Word document formatted in APA style 5th edition.Due Week 8 at class time.

In Class Webmaster p. 596, p. 619, Solutions to Concept Checks p. 619, Excel p. 596, p. 606.Webmaster p. 631, p. 656, Solutions to Concept Checks p. 656, Excel p. 652.Excel p. 660, p. 666, p. 667,Webmaster p. 679, Excelp. 659, p. 660, pp. 662-663, pp. 665-

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667, p. 670, p. 675.

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Grading Criteria

Grading Scale Grading Requirements

Grading Criteria

Grade CriteriaA Surpasses ExpectationsB Exceeds ExpectationsC Meets ExpectationsD Misses ExpectationsF Requirements Not Met

Retain this syllabus for future reference.Professor reserves the right to make changes to this syllabus.

A 100 – 93A- 92 – 90B+ 89 – 88B 87 – 83B- 82 – 80C+ 79 – 78C 77 – 73C- 72 – 70F 69 and below

Attendance/participation 15%Weekly Assignments 70%Final paper 20%Total 100%

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Mission StatementCollege of Business 2006-2008Argosy University College of Business is dedicated to providing practical, evidence-based, high-quality, solutions-focused business programs at the undergraduate and graduate levels, as well as continuing business education and specified certificate training to business practitioners in public private, and non-profit, sectors across industries. All undergraduate and graduate programs of the College of Business are designed for the business practitioner, to instill excellence of execution in knowledge, skills, and ethical values of the business professional and business educator. The inherent goal of these academic programs is to foster values of social responsibility in a supportive, learner-centered environment of mutual respect and professional excellence.

Mission StatementArgosy University Academic Catalog 2007-2008, p. 2Argosy University is a private institution of higher education dedicated to providing high quality professional educational programs at the doctoral, master’s, bachelor’s, and associate’s degree levels, as well as continuing education to individuals who seek to advance their professional personal lives. Argosy University emphasizes programs in the behavioral sciences, business, education and the health care professions. A limited number of pre-professional programs and general education offerings are provided to permit students to prepare for entry into those professional fields. The programs of Argosy University are designed to instill the knowledge, skills, and ethical values of professional practice and to foster values of social responsibility in a supportive learner-centered environment of mutual respect and professional excellence.

LibraryAll resources in Argosy University’s online collection are available through the Internet. The campus librarian will provide students with links, user IDs, and passwords.

Library Resources: Argosy University’s core online collection features nearly 21,000 full-text journals and 23,000 electronic books and other content covering all academic subject areas including Business & Economics, Career & General Education, Computers, Engineering & Applied Science, Humanities, Science, Medicine & Allied Health, and Social & Behavior Sciences.  Many titles are directly accessible through the Online Public Access Catalog at http://library.argosy.edu.  Detailed descriptions of online resources are located at http://library.argosy.edu/misc/onlinedblist.html.

In addition to online resources, Argosy University’s onsite collections contain a wealth of subject-specific research materials searchable in the Online Public Access Catalog.  Catalog searching is easily limited to individual campus collections.  Alternatively, students can search combined collections of all Argosy University Libraries.  Students are encouraged to seek research and reference assistance from campus librarians.

Information Literacy: Argosy University’s Information Literacy Tutorial was developed to teach students fundamental and transferable research skills. The tutorial consists of five modules where students learn to select sources appropriate for academic-level research, search periodical indexes and search engines, and evaluate and cite information.

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In the tutorial, students study concepts and practice them through interactions. At the conclusion of each module, they can test their comprehension and receive immediate feedback. Each module takes less than 20 minutes to complete. Please view the tutorial at http://library.argosyu.edu/infolit/

Academic PoliciesAcademic Dishonesty/Plagiarism: In an effort to foster a spirit of honesty and integrity during the learning process, Argosy University requires that the submission of all course assignments represent the original work produced by that student. All sources must be documented through normal scholarly references/citations and all work must be submitted using the Publication Manual of the American Psychological Association, 5th Edition (2001). Washington DC: American Psychological Association (APA) format. Please refer to Appendix A in the Publication Manual of the American Psychological Association, 5th Edition for thesis and paper format. Students are encouraged to purchase this manual (required in some courses) and become familiar with its content as well as consult the Argosy University catalog for further information regarding academic dishonesty and plagiarism.

Scholarly writing: The faculty at Argosy University is dedicated to providing a learning environment that supports scholarly and ethical writing, free from academic dishonesty and plagiarism. This includes the proper and appropriate referencing of all sources. You may be asked to submit your course assignments through “Turnitin®,” (www.turnitin.com), an online resource established to help educators develop writing/research skills and detect potential cases of academic dishonesty. Turnitin® compares submitted papers to billions of pages of content and provides a comparison report to your instructor. This comparison detects papers that share common information and duplicative language.

Americans with Disabilities Act PolicyIt is the policy of Argosy University to make reasonable accommodations for qualified students with disabilities, in accordance with the Americans with Disabilities Act (ADA). If a student with disabilities needs accommodations, the student must notify the Director of Student Services. Procedures for documenting student disability and the development of reasonable accommodations will be provided to the student upon request.

Students will be notified by the Director of Student Services when each request for accommodation is approved or denied in writing via a designated form.  To receive accommodation in class, it is the student’s responsibility to present the form (at his or her discretion) to the instructor.  In an effort to protect student privacy, the Department of Student Services will not discuss the accommodation needs of any student with instructors. Faculty may not make accommodations for individuals who have not been approved in this manner.

The Argosy University Statement Regarding DiversityThe Argosy University provides equitable access through its services and programs to students of any social, geographic and cultural background, regardless of gender, and strives to prepare all candidates to work with and provide services to diverse populations.  Argosy demonstrates its commitment to diversity through the development and support of a diverse educational community.

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Acknowledgement of Syllabus Content

I read and understand the course syllabus for B6201 at Argosy University, Chicago, which is being taught by Dr. Balli. I agree to the terms stated in its syllabus.

Signature Date

Read, sign, and date this form. Return to your professor at the first classroom meeting.

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