MPD 422 INVESTMENT DECISION ANALYSIS

Financial Mathematics. Time value of money. Capitalisation. Annuities. Investment decision under certainty. Overview of the investment evaluation criteria. Investment decision under uncertainty. Uncertainty and risk. Investment decision under indefinite future. Investment decision under probabilities. Risk and Return of a portfolio. Portfolio selection and management; market model, capital asset pricing model. Case studies.

Laboratory: The laboratory courses serve educational needs and activities related to the course of Investment Decision Analysis. The laboratory courses deal with case studies concerning the financial mathematics, investment decision under uncertainty, investment decision under indefinite future and portfolio selection. For the settlement of the exercises and the case studies, spreadsheet software program excel is applied.