Calcutta Business School

Course Name and Subject Code:

(SAPM) FME 705

Security Analysis & Portfolio Management

TERM IV
Academic Year: 2014

Course Instructors Name and Designation: TAMAL DATTA CHAUDHURI; PRINCIPAL

Background of the Course:
The course is aimed at students who are specializing in the area of Finance and would like to
take up a job in the financial sector after completion of their studies. This is a basic course in
finance which requires a Course on Financial Management as a pre-requisite. It is a hands-on
course where students will be continuously working with real time data and their analysis for
profit maximization for a given value of risk or risk minimization for a given level of
revenue.
Course Description:
The course will introduce students to the various financial assets that are available in the
market, their valuation, their interrelationships and acquisition strategies. Financial goal
setting, portfolio diversification, asset selection and market timing will be dealt with in this
course. The students will learn the trade-off between risk and return and also valuation
techniques.
Course Objectives:
The objective of this course is to familiarize students with the concepts used in the financial
sector, the various calculations that are involved, the role of statistics and econometric
techniques in forecasting and develop a feel about the market. It will enable a student to
understand how much to save, where to save, why save, the difference between investment
and speculation and the meaning of financial discipline.
On Successful Completion of this Course Students will be able to:
a. Calculate risk and return from an asset and also from a portfolio;
b. Value stocks and bonds;
c. Calculate the various rates of return including current yield, dividend yield, yield to
maturity, holding period yield etc.;
d. Understand the macroeconomics of Finance;

e. Understand the channels of influence of global factors on domestic financial markets;

f. Understand how to create a portfolio;
g. Understand various types of mutual funds and their NAV calculation.

Study Materials and Resources

1.
Security Analysis & Portfolio Management by Donald E Fischer and Ronald
Jordan.
2.

Indian Financial System by M Y Khan.

3.
The Indian Financial System Markets, Institutions and Services by Bharti V
Pathak.
4.

Investment Analysis & Portfolio Management by Prasanna Chandra.

5.

Security Analysis by Benjamin Graham & David Dodd.

6.

Various Issues of ET Wealth Plus

7.

Financial dailies like Economic Times and Business Standard

8.
www.rbi.org,
www.nic.in,
www.nseindia.com, www.amfiindia.com

www.moneycontrol.com,

www.bseindia.com,

Teaching and Learning Strategy

SERIAL
NO.
1

TOPIC FOR DISCUSSION

FINANCIAL SECTOR ENVIRONMENT

NO. OF
SESSIONS
3

2
3
4
5
6
7
8
9
10
11
12
13
14

THE MACROECONIMICS OF FINANCE

SECURITIES MARKETS, PLAYERS, INSTRUMENTS
SOURCES OF FINANCIAL INFORMATION
RISK AND RETURN
VALUATION OF EQUITY
VALUATION OF DEBT
ECONOMIC, INDUSTRY & COMPANY ANALYSIS
TECHNICAL ANALYSIS
EFFICIENT MARKET HYPOTHESIS
FUTURES & OPTIONS
MUTUAL FUNDS
PORTFOLIO SELECTION AND ANALYSIS
MEASURING PORTFOLIO PERFORMANCE
TOTAL

2
2
4
3
3
3
4
2
2
1
2
2
33

The Evaluation Scheme

S.
No.

Particulars

1
2
3
4
Total

Case Study Analysis

Midterm Examination
Term Paper
End Term Examination

Percentage
10
30
20
40
100