Author
Robert A. Strong, the University of Maine
Description
This applications-oriented text transitions from theory to practice in a clear, straightforward manner. An ideal text for schools that do not have a "pure" portfolio course, it accomplishes the objectives of both a traditional investments course and a portfolio theory course. The book balances coverage of both the small and large investor, and offers unique coverage of topics not found in other texts, such as fiduciary duty and investment policy. Numerous references and questions from the CFA exam are also included.
Table of Contents
PART I: BACKGROUND, BASIC PRINCIPLES, AND INVESTMENT POLICY.
1. The Process of Portfolio Management.
2. Valuation, Risk, Return, and Uncertainty
3. Setting Portfolio Objectives.
4. Investment Policy.
PART II: PORTFOLIO CONSTRUCTION.
5. The Mathematics of Diversification.
6. Why Diversification is a Good Idea.
7. International Investment and Diversification.
8. The Capital Markets and Market Efficiency.
9. Picking the Equity Players.
10. Security Screening.
11. Bond Pricing and Selection.
12. The Role of Real Assets.
PART III: PORTFOLIO MANAGEMENT.
13. Revision of the Equity Portfolio.
14. Revision of the Fixed Income Portfolio.
15. Principles of Options and Option Pricing.
16. Option Overwriting.
17. Performance Evaluation.
18. Fiduciary Duties and Responsibilities.
PART IV: PORTFOLIO PROTECTION AND EMERGING TOPICS.
19. Principles of the Futures Market.
20. Benching the Equity Players.
21. Removing Interest Rate Risk.
22. Integrating Derivative Assets and Portfolio Management.
23. Contemporary Issues in Portfolio Management.
