İŞL462

School of Economics and Administrative Sciences \ Business Administration

3

6

Compulsory

English

İŞL361 or İŞL161

Management

This course aims to teach the basic concepts and methods in investment analysis and portfolio management. Topics such as risk and return analysis, modern portfolio theory, capital asset pricing model (CAPM), efficient markets hypothesis, asset classes (bonds, equities, commodities), fundamental and technical analysis, derivatives and portfolio management strategies will be covered.
In addition, current investment instruments and approaches such as exchange-traded funds (ETFs), inflation-indexed bonds, real estate investment trusts (REITs), behavioural finance, ESG investments and artificial intelligence applications in financial services will be discussed.
At the end of this course, students will be able to make more informed investment decisions, analyse different investment alternatives and evaluate the portfolio management process from a strategic perspective.

1. Portfolio Construction, Management&Protection, Robert A. Strong, Thomson South-Western. ISBN-10: 0324315376, ISBN-13: 978-0324315370.

To teach the basic concepts used in investment decision-making processes,
To introduce the functioning of securities markets and investment alternatives,
To gain the ability to analyse the relationship between return and risk,
To gain the ability to apply bond and stock valuation methods,
To be able to make economic and sectoral investment analyses,
To be able to evaluate and interpret current events in financial perspective,
To comprehend fundamental and technical analysis methods and to gain the ability to use them in investment decisions,
To give information about derivative markets and financial instruments
To teach portfolio management and portfolio selection process,
To analyse the functioning of capital markets and its impact on investment decisions,
To comprehend the understanding of sustainable investment and the impact of ESG criteria on investment decisions,
To analyse the impact of behavioural finance on investment decisions,
To teach the usage areas of artificial intelligence in financial services and its impact on investment processes.

1. Explain investment alternatives and the structure of financial markets.
2. Analyse the relationship between return and risk and evaluate investment decisions.
3. Perform investment analyses using bond and stock valuation methods.
4. Formulate investment strategies by making economic and sectoral analyses.
5. To be able to shape investment decisions by evaluating current events from a financial perspective.
6. Make investment decisions by using fundamental and technical analysis methods.
7. Have comprehensive knowledge about derivative markets and financial instruments.
8. Apply portfolio management principles and portfolio selection processes.
9. Analyse the functioning of capital markets and its impact on investment decisions.
10. Understand the concept of sustainable investment and evaluate the impact of ESG criteria on investment decisions.
11. Analyse the impact of behavioural finance on investment decisions.
12. Evaluate the usage areas of artificial intelligence in financial services and its impact on investment processes.

Week 1: Risk and Return, Risk Measures, Modern Portfolio Theory, Capital Asset Pricing Model (CAPM)
Week 2: Efficient Markets Hypothesis
Week 3: Asset Classes and Risk Ratings: Bonds
Week 4: Asset Classes and Risk Ratings: Equities
Week 5: Asset Classes and Risk Ratings: Commodities
Week 6: Fundamental and Technical Analysis
Week 7: Exchange Traded Funds (ETFs)
Week 8: Inflation Indexed Bonds
Week 9: Real Estate Investment Trusts (REITs)
Week 10: Behavioural Finance
Week 11: ESG (Environmental, Social, Governance) Investment Approaches
Week 12: Artificial Intelligence in Financial Services

• Midterm 35 %
• Final 50 %
• Participation 15 %