This course covers “security investments”, a main subject of finance courses in business school in the US and Europe as well as “corporate finance”. “Security Investment I” mainly discusses various types of asset valuation models.
This course aims that students will be able to understand the nature behind price movements and events in the financial markets by gaining solid understandings of financial systems, asset classes, asset valuation theories and portfolio theory.
Students will learn the following skills from taking this course.
1) Be able to explain financial system, asset classes
2) Be able to explain basic theory of asset valuation and models
3) Be able to explain the idea of efficient market hypothesis
4) Be able to consider the nature behind price movements and events in the financial markets by themselves
|✔ Applicable||How instructors' work experience benefits the course|
|An instructor with work experiences in the asset management industry will provide hands-on education in finance theory, based on practice in the field that features the practical application of the theories.|
Asymmetric information, Portfolio, Risk, Risk Premium, Diversification, Arbitrage, Efficient Market Hypothesis
|✔ Specialist skills||✔ Intercultural skills||Communication skills||Critical thinking skills||✔ Practical and/or problem-solving skills|
Lecture style with some class interactions with quiz and financial news. Students are encouraged to participate actively. Welcome questions in class
|Course schedule||Required learning|
|Class 1||Financial markets and playes||To understand financial system|
|Class 2||Risk and investors’ preference||To understand risk and expected utility|
|Class 3||Portfolio theory1||To understand portfolio theory by Markowitz|
|Class 4||Portfolio theory2||ditto|
|Class 5||The Capital Asset Pricing Model||To understand CAPM|
|Class 6||Multi-factor models and Arbitrage pricing theory||To understand arbitrage pricing theory|
|Class 7||Risk neutral pricing||To understand more general pricing theory|
To enhance effective learning, students are encouraged to spend approximately 100 minutes preparing for class and another 100 minutes reviewing class content afterwards (including assignments) for each class.
They should do so by referring to textbooks and other course material.
No text book is set.
Investments/Zvi Bodi et al.
Shin-Shouken Touhiron I/ Takao Kobayashi and Toshio Serizawa
Shin-Shouken Touhiron II/ Keisuke Ito et al.
Report and quiz: 100% Active class participation can be plus