FUNDAMENTALS OF INVESTMENT

Paper Code: 
DFSG 603 B
Credits: 
4
Contact Hours: 
60.00
Max. Marks: 
100.00
Objective: 

Course outcome (COs):

Learning outcome

 (at course level)

Learning and teaching strategies

Assessment Strategies

Upon successful completion of this course, the student will be able to:

CO136 Acquire knowledge about the Concept of Savings and investment, various investment avenues available and Risk and return associated with them.

CO137 Create awareness about Role of SEBI in investor protection.

CO138 Build ability to comprehend various techniques of Fundamental Analysis and Technical Analysis of securities.

CO139 To understand various methods of valuation of securities for effective investment decision making

CO140 Obtain knowledge of portfolio construction and risk diversification in investment.

Approach in teaching: Interactive Lectures, Discussion, Tutorials, Practical cases Demonstration, Power point presentation.    

Learning activities for the students:                              Self learning assignments, Effective questions, Seminar presentation, Live practical problems analysis

Class test, Semester end examinations, Quiz, Solving problems in tutorials, Assignments, Presentation, Individual and group projects

 

12.00
Unit I: 
Investment and Savings

• Concept of Savings and investments, Elements of investments, sources of investment information,
• Types of investments, Investment Avenues, Basic concept of Risk & Return, measurement of risk and return

12.00
Unit II: 
Security markets in India and Investors protection

• Primary and secondary market, Functions of stock exchange on India.
• SEBI: Role of SEBI in investor protection, investor grievances and their redressal system,
• Insider trading, Investor awareness activism

12.00
Unit III: 
Valuation of Shares and Bonds/debentures

• Features of equity shares & Preference shares. Features of debentures & bonds.
• Valuation of equity shares, preference shares, debentures and bonds

12.00
Unit IV: 
Analysis for Investment

• Fundamental Analysis (EIC approach),
• Technical Analysis- (Chart, Pattern and Oscillators) Bar chart, Line Chart Candle chart, Trend Head and Shoulders, support and Resistance, Dow and Elliot wave theory
• Efficient market hypothesis

12.00
Unit V: 
Portfolio Construction and Risk diversification

 Portfolio and diversification meaning, Portfolio risk and return.
 Portfolio construction: Traditional and modern portfolio approaches. Portfolio construction process.

Essential Readings: 

• Bhalla V.K ,Investment Management (Security Analysis and Portfolio Management), S.Chand
• Chandra Prasanna, Investment Analysis and Portfolio Management, TMH.
• Rustogi, R.P. Fundamentals of Investment, Sultan Chand & Sons, New Delhi.
• M.R. Agarwal, Security Analysis and Portfolio Management, Garima Publications.

References: 

• Jones, C.P. Investments Analysis and Management. Wiley.
• P. Pandian,Security Analysis and Portfolio Management, Vikas Publishing house ltd.
• Donald E.F , Ronald J.J, AshwiniP.Security Analysis and Portfolio Management, Pearson.
• Vohra, N.D. and Bagri, Futures and options, Mc Graw hill Publishing.
• RanganathamM.,Security Analysis and Portfolio Management,Pearson.
• Mayo. An Introduction to Investment. Cengage Learning.

Academic Year: 
2023-2024
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