FINC 442 - Investment Management

Credit(s): 3
3 hours lecture, 3 hours contact
Prerequisite(s): FINC 235
This course introduces students to the fundamental principles of investment finance, providing a comprehensive framework for analyzing, selecting, and managing investments. Students will explore how individuals and institutions invest funds across a wide array of financial instruments, with a primary focus on stocks, bonds, and portfolio construction.

Key topics include risk and return trade-offs, portfolio diversification, asset pricing models (such as the Capital Asset Pricing Model), efficient market theory, stock and bond valuation, and modern portfolio theory. The course also introduces behavioral finance concepts, highlighting the psychological factors that influence investor decisions and how these differ from traditional financial models.

Students will gain practical knowledge of the investment process, including how securities are bought, sold, and evaluated in real-world financial markets. They will also examine how investment bankers, fund managers, and individual investors make portfolio decisions using both qualitative insights and quantitative tools.

Through lectures, real-world case studies, and online components, students will develop the ability to assess investment performance using risk-adjusted return measures and apply theoretical models to current financial data. A blended learning format may be used, combining classroom sessions with interactive online instruction.