mgehd2224  2019-2020  Mons

In view of the health context linked to the spread of the coronavirus, the methods of organisation and evaluation of the learning units could be adapted in different situations; these possible new methods have been - or will be - communicated by the teachers to the students.
See also the list of assessments for the June 2020 session.
6 credits
30.0 h
None (at the master level)

The prerequisite(s) for this Teaching Unit (Unité d’enseignement – UE) for the programmes/courses that offer this Teaching Unit are specified at the end of this sheet.
Main themes
The goal of this course is to teach students the foundations
of portfolio construction and performance measurement.
Key topics include:
- Return and risk measurement (for equity, fixed-income,
and derivative portfolios)
- Portfolio construction and management techniques
- Performance attribution
- The principles of private wealth management (Wealth
Allocation Framework)

At the end of this learning unit, the student is able to :


At the end of this course, students will be able to:
- calculate the risk and return of financial assets using a
calculator and a spreadsheet;
- select the most apporpriate return and risk computation
methods when evaluatinfg the portfolio management
strategy followed by investor risk;
- analyze the composition of the portfolio held by wealthy
individuals when making any necessary recommendation
for change;
- assess the strengths and weaknesses of active and
passive management strategies;
- construct and evaluate one's portfolio by selecting and
combining several securities.


The contribution of this Teaching Unit to the development and command of the skills and learning outcomes of the programme(s) can be accessed at the end of this sheet, in the section entitled “Programmes/courses offering this Teaching Unit”.
The course draws its content from the following list of study
- Portfolio Risk, Return, Planning and Construction
- Active Portfolio Management
- Portfolio Management Process and Investment Policy
- Alternative investments: Investing in Commodities, Real
Estate, Private Equity and Hedge Funds
- Private Wealth Management
- Portfolio Management for Institutional Investors
- Capital Market Expectations in Portfolio Management
- Economic Concepts for Asset Valuation in Portfolio
- Asset allocation
- Fixed-Income Portfolio Management
- Relative-Value Methodologies for Global Credit Bond
Portfolio Management
- Hedging Mortgage Securities to Capture Relative Value
- Equity Portfolio Management
- Alternative Investments Portfolio Management (Swaps,
Commodity Forwards and Futures)
- Risk Management for Strategies on Currencies, Forward
and Futures, Options, and Swaps
- Execution of Portfolio Decisions
- Monitoring and Rebalancing of Portfolios
- Evaluating Portfolio Performance
- Global Performance Evaluation
- Global Investment Performance Standards
Teaching methods
- Lectures based on Powerpoint presentations
- MCQs
- Excel applications
- Video tutorials
- Portfolio simulation
Evaluation methods
Written exam
Bacon (2008), Practical Portfolio Performance
Measurement and Attribution, 2nd ed., Wiley.
Bodie, Kane et Marcus (2010), Investments, 9th edition,
Bodson, Grandin, Hübner et Lambert M.(2010),
Performance de portefeuille, 2nd edition, Pearson
Roncalli (2013), Introduction to Risk Parity and Budgeting,
Chapman & HallCRC Financial Mathematics Series.
Faculty or entity

Programmes / formations proposant cette unité d'enseignement (UE)

Title of the programme
Master [120] in Management (shift schedule)

Master [120] in Management (shift schedule)