Course Syllabus
International Investment and Portfolio Management |
| Semester & Location: |
Spring 2024 - DIS Stockholm |
| Type & Credits: |
Elective Course - 3 credits |
| Major Disciplines: |
Business, Economics, Finance |
| Faculty Member: |
Greger Wahlstedt (current students please use the Canvas Inbox) |
| Academic support: | |
| Time & Place: |
Tuesdays & Fridays, 10:05 - 11:25 Room: 1E-508 |
Course Description
This course focuses on the fundamental concepts in investment and portfolio management: risk-return trade-off, portfolio optimization, and diversification. The objective of the course is to develop a thorough understanding of the key principles of portfolio management and asset pricing theory and to learn how to apply them in practice. We are going to put theory into hands-on practice when doing Portfolio Theory simulations in Excel. We will also compare the European markets with the US markets - are they just a copy or are there differences? Your teacher in this course has over 35 years of experience working in the financial markets in Stockholm, London, and Luxemburg.
Experiential learning
When we start the course, all of you will put together simulated portfolios of different, real-life securities. We will then follow their performance throughout the semester. In this way, you will be trained to explain the market's reaction to what is happening in the global economy.
In particular, you will have an opportunity to develop your skills in learning collaboratively as well as developing your ability to present complex information professionally.
Learning Objectives
By the end of this course you will be able to:
- calculate the price for bonds and equities
- calculate the risks on various instruments and asset portfolios
- evaluate the performance of an active portfolio management
- understand Modern Portfolio Theory
- calculate in Black-Litterman and Treynor-Black models
Faculty
Greger Wahlstedt received an MBA in Finance from Manchester Business School and a CEFA (Certified European Financial Analyst) from the Stockholm School of Economics. Greger has been working for more than 35 years in the financial markets. He has a solid experience as head of large asset management units; 14 years as head of Handelsbanken's fixed income fund management and asset allocation, as well as heading the investment division at the Swedish central bank (Riksbanken) in charge of the management of the gold and foreign exchange reserves. Originally, an economist, he has also worked as a quant analyst as well as senior sales in structured derivatives and Private Banking at Handelsbanken. He is an appreciated teacher in economics, finance, bond markets, and interest rate products, among other things. Since 2010 he has also educated Investment advisors in finance, financial markets, and portfolio theory. Member of Swedish House of Finance at the Stockholm School of Economics and The Swedish Society of Financial Analysts (SFF). With DIS since 2017.
Prerequisite
One course in microeconomics or macroeconomics at the university level.
Readings
Investments, 12th edition, by Zvi Bodie, Alex Kane, and Alan J. Markus; McGraw-Hill.
Additional custom readings, articles, and cases for each class will be available on the DIS Canvas system.
Field Studies
(Subject to change)
Visiting Nasdaq OMX Stockholm and a trading floor at one of the largest Swedish banks.
Guest Lecturers
Thomas Orbert
Former Portfolio Manager at one of the first hedge funds in Sweden. More than 30 years of experience in the financial markets. Now starting a new fund company with a very special investment philosophy.
Nadine Viel Lamare
Senior Advisor Climate and Finance, Swedish Environmental Protection Agency, Member of the Platform on Sustainable Finance at European Commission (Sherpa). Unique insight and knowledge about institutional investors', asset managers’, corporations’, and different industries’ integration of sustainability into business strategies as well as hands-on experience regarding sustainability issues thanks to her role as an analyst and corporate governance officer at AP1.
Torbjörn Iwarson
Commodity market specialist. Former Bond Option Trader, risk analyst, Head of derivatives and equity trading, Head of Commodities at Handelsbanken, Head of Commodities at SEB, Head of ETP and Commodity strategist at Carnegie Investment Bank, Portfolio manager at Skandia Investment Management.
Approach to Teaching
We will approach the topic in a very open and exploratory way. Reflection and critical thinking is a key part of the teaching.
Expectations of the Students
Readings and/or YouTube videos should be read/looked at before each lecture and key points noted by the student. During most lectures, various groups will be assigned to do a presentation on a topic. All students are expected to engage actively in discussions and analyses. It is the focus that students show the ability to apply the financial tools to the analysis as opposed to mere statements of points of view.
The course involves some calculations, but nothing that should scare you. It's just addition, subtraction, and division! We take it at a leisurely pace so everyone keeps up.
Evaluation
Students should show the ability to use financial tools to analyze topics, both in discussions and in their presentations in class. Students should also show openness and curiosity as to understand and reflect on Portfolio Management and Asset Allocation.
Grading
| Assignment |
Percent |
| Engaged participation |
40% |
|
Presentations in class |
20% |
|
Assessments - Quiz and Final Paper |
40% |
Other info
A general policy is that late papers will not be accepted. Use of laptops or phones in class is allowed if you do not disturb anyone.
Academic Regulations
Please make sure to read the Academic Regulations on the DIS website. There you will find regulations on:
DIS - Study Abroad in Scandinavia - www.DISabroad.org
Course Summary/ Schedule:
The schedule is subject to change if necessary with as much notice as possible.
Course Summary:
| Date | Details | Due |
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