Creating a Portfolio

This course is part of Trading Strategies in Emerging Markets Specialization

Instructors: Ramabhadran Thirumalai

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26,857 already enrolled

4 modules

Gain insight into a topic and learn the fundamentals.

322 reviews

Beginner level

No prior experience required

1 week to complete

at 10 hours a week

Flexible schedule

Learn at your own pace

4 modules

Gain insight into a topic and learn the fundamentals.

322 reviews

Beginner level

No prior experience required

1 week to complete

at 10 hours a week

Flexible schedule

Learn at your own pace

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Assessments

10 assignments

Taught in English

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This course is part of the Trading Strategies in Emerging Markets Specialization

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There are 4 modules in this course

This course integrates all the learning from the first three courses and guides the learner about ways of building a portfolio of strategies and integrating the same into a hedge fund.

In the first part of the course, you will be taught ways of measuring the contribution of a strategy to a portfolio in terms of risk and return. You will be able to appreciate the consequences of including a strategy to a new as well an existing portfolio. Next, you are taught various ways of conducting the tilting analysis in order to determine the optimal weight to be placed on each strategy. After this you will learn to develop techniques for minimizing overall portfolio risk. You will also get a basic overview of the regulatory framework that is applicable to hedge funds. You will know about different types of investors and the expectations of each type of investors.

In this module you will learn about the efficient market hypothesis and various market anomalies. In the second half, you will learn how to evaluate the performance of investments.

What's included

7 videos3 readings3 assignments

7 videosTotal 54 minutes

Market Efficiency8 minutes
Types of Market Efficiency10 minutes
Anomalies8 minutes
Performance measurement 19 minutes
Performance measurement 29 minutes
Market timing3 minutes
Performance measurement 36 minutes

3 readingsTotal 45 minutes

The Challenge: How To Benchmark Your Investment Portfolio15 minutes
Performance Measurement: The What, Why, and How of the Investment Management Process15 minutes
The 101 ways to measure portfolio performance15 minutes

3 assignmentsTotal 63 minutes

Quiz 130 minutes
Practice Quiz 121 minutes
Practice Quiz 212 minutes

In this module you will learn how to perform style analysis and performance attribution. You will also learn some facts about the mutual fund performance and timing measurement. In the second half of the module you will learn how to calculate the expected returns and risk. The module ends with an understanding of the utility theory.

What's included

9 videos1 reading3 assignments

9 videosTotal 63 minutes

Timing measurement4 minutes
Style Analysis12 minutes
Performance attribution6 minutes
Mutual fund performance10 minutes
Expected returns and risk6 minutes
Utility theory6 minutes
Investment Choices and Portfolios6 minutes
Capital Allocation7 minutes
Risky portfolios7 minutes

1 readingTotal 20 minutes

Utility theory and Attitude toward Risk20 minutes

3 assignmentsTotal 48 minutes

Quiz 230 minutes
Practice Quiz -15 minutes
Practice Quiz3 minutes

In this module you will learn the importance of diversification in your portfolio. You will learn about the efficient frontier and how to draw it. Also, you will study the investment opportunity set with more than one risky asset and a risk free asset. Finally, you will see how to optimally allocate between a risky and a risk free asset. You will also get a brief idea about the market portfolio and capital market line.

What's included

7 videos4 readings2 assignments

7 videosTotal 39 minutes

Diversification and efficient frontier5 minutes
Two fund separation7 minutes
Diversification revisited5 minutes
Investment opportunity set with two risky assets and a risk-free asset7 minutes
Investment opportunity set with three risky assets and a risk-free asset6 minutes
The optimal allocation between risky and risk-free assets3 minutes
The market portfolio and the capital market line6 minutes

4 readingsTotal 60 minutes

The pros' guide to diversification15 minutes
Diversification: How much is too much?15 minutes
The 15-Stock Diversification Myth15 minutes
Does the composition of the market portfolio really matter?15 minutes

2 assignmentsTotal 39 minutes

Weekly assessment 330 minutes
Practice Quiz9 minutes

In this module you will learn the basics of trading strategies based on text mining and the importance of a benchmark to evaluate the performance of your portfolio. You will also see how to backtest your trading strategy. Finally, you will learn the importance of reporting and compliance in trading.