Students are expected to have completed core courses in basic finance, statistics and mathematics.

OBIETTIVI FORMATIVI
- to develop an understanding on how to optimally allocate funds across alternative asset classes to form a portfolio,
- to expand the knowledge of CAMP and to use alternative models in determining the expected returns
- to examine market efficiency in practice
- to construct and use alternative methodologies to evaluate portfolio performance; to examine alternative portfolio strategies
RISULTATI ATTESI:
Having successfully completed this module, students will be able to:
- Develop general portfolio construction for a range of practical problems
- Appreciate the power of using mathematical optimization and analytical skills relevant to financial portfolio construction
- Understand various ways in generalizing the basic portfolio optimization models to more complex situations
- Demonstrate knowledge and understanding of basic principals in optimal portfolio constructions
- Demonstrate knowledge and understanding of some of the most common models in con

The course covers both the theoretical and practical side of investments through cases, homeworks and data exercises.
Specifically, the course consists of the following:
- Risk, Return, Portfolio Mathematics and Utility Theory;
- Optimal Portfolio Selection and Optimal Allocation between the Optimal Portfolio and the Risk Free Asset;
- Models of Risk and Expected Returns;
- Global Portfolio Diversification
- Applied Portfolio Strategies and Performance Evaluation.

• 1.  (A) Bodie,Z., Kane, A., Marcus, A< Investments, 12 ed, McGrawHill, NY, 2021 » Pagine/Capitoli: 5,6,7,8,9,10,11,12, 24,25,26,27.

All the materials used during the class will be uploaded on the teacher's personal page.

• - interactive online lectures
  - case studies
  - homework problems and data exercises
  

• The final score will be calculated as follows:
  Homeworks/Data exercises 40%
  Final exam 60%
  
  The final exam is written, and it will include:
  - multiple choice questions, aimed to assess the level of understanding of the theory,
  - open questions, in order to test the ability to discuss issues on portfolio theory and portfolio diversification,
  - numerical problems, aimed to evaluate the individual ability to put in practice theoretical concepts of portfolio theory
  

English

English