This programme focuses on Investment Management, and is aimed towards acquiring the International CFA® (Chartered Financial Analyst) qualification.
Investment Management consists of the following modules:
- Portfolio theory
- International financial markets
- Share analysis
- Fixed interest securities
- Derivative financial instruments
- Property investment and financing
- Portfolio management
- Stock broker
- Investment manager
- Investment analyst
Undergraduate subjects offered in Investment Management:
The Investment Decision 142
The investment cycle; the role and functioning of the JSE Securities Exchange SA; investment risks; factors that influence share prices; fundamental and technical analysis of companies.
Introduction to Investment Theory 254
Portfolio theory and portfolio management; the relationship between risk and return; the efficient market hypothesis; valuation and risk of fixed income securities; evaluation of share investments; properties of derivative instruments; derivative strategies; valuation of options and futures; measurement and evaluation of portfolio returns.
Equity Analysis and Portfolio Management 314
Theory of valuation; valuation models and techniques; practical implementation of valuation models; valuation variables; stock market analysis; industry analysis; company analysis and stock selection; technical analysis; equity portfolio management strategies.
Fixed Income Securities 324
Trading of fixed income securities; price sensitivity; fixed income securities in structured portfolios; indexing; liability funding; credit risk in corporate bonds; credit risk in international sovereign bonds; embedded options in bonds; secuitisation; mortgage pre-payment; active portfolio management; economic analysis and management of bond portfolios.
Derived Financial Instruments and Alternative Investments 344
Exposure to and handling of financial risk; the risk management process, the hedging concept; the functions of the treasury and the management of negotiable value; characteristics of derived financial instruments; strategies for the use of derived financial instruments; valuation of options and futures contracts; basic arbitrage strategies with options and futures contracts; swaps and forward rate agreements; alternative investments.
Real Estate Investment and Financing 348
Introduction to the nature and scope of real estate; real estate markets and trends; legal aspects; financial and investment analysis in respect of the acquisition, ownership and sale of real estate; the role and impact of capital gains tax; market valuation approaches; types of real estate investment and financing instruments in the real estate market.
Portfolio Management 354
This module focuses on two themes. The first part comprises an understanding and application of the Ethical Code and Standards of Professional Conduct of the CFA institute, a discussion of marker efficiency, and the effect of behavioural finance in investment decisions and investment practice.
The second part’s focus is on the practical considerations of portfolio management (asset allocation, investment in less conventional asset classes such as emerging markets and alternative investments, and the evaluation of portfolio performance) and in South African portfolio management environment (product offering, asset classes, risk-and-return dynamics).
For Investment Management subjects in the Honours course, please refer to the Honours page.