Slide 1 Slide 2 Money, Banking & Finance Lecture 3 Risk, Return and Portfolio Theory Slide 3 Aims Explain the principles of portfolio diversification Demonstrate the…

Slide 1LECTURE 3 : VALUATION MODELS : EQUITIES AND BONDS (Asset Pricing and Portfolio Theory) Slide 2 Contents Market price and fair value price Market price and fair value…

Slide 1 Energy & Environment Research Fraser of Allander Institute Department of Economics University of Strathclyde January 2011 Slide 2 Summary of Energy & Environment…

Slide 1 LECTURE 5 : PORTFOLIO THEORY (Asset Pricing and Portfolio Theory) Slide 2 Contents Principal of diversification Principal of diversification Introduction to portfolio…

Slide 1 LECTURE 6 : INTERNATIONAL PORTFOLIO DIVERSIFICATION / PRACTICAL ISSUES (Asset Pricing and Portfolio Theory) Slide 2 Contents International Investment International…

Slide 1 Portfolio Analysis and Theory Slide 2 Portfolio Analysis Slide 3 Definitions A portfolio is the collection of securities an investor holds A portfolio weight is the…

Slide 1 LECTURE 2 : UTILITY AND RISK AVERSION (Asset Pricing and Portfolio Theory) Slide 2 Contents Introduction to utility theory Introduction to utility theory Relative…

Slide 1 Moden Portfolio Theory Dan Thaler Slide 2 Definition Proposes how rational investors will use diversification to optimize their portfolios MPT models an asset’s…

Slide 1 LECTURE 7 : THE CAPM (Asset Pricing and Portfolio Theory) Slide 2 THE CAPM Quantitative Asset Pricing Dirk Nitzsche (E-mail : [email protected]) Slide 3 Contents…