Capital Markets & Investments · Mathematics
Capital markets knowledge, CAPM, effective frontier, portfolio theory, behavioral finance, etc.
The investment environment, asset classes and financial instruments, how securities are traded, risk/return and the historical record, capital allocation to risky assets, efficient diversification, index models, the capital asset pricing model, arbitrage pricing theory and multifactor models of risk and return, the efficient market hypothesis, and behavioral finance and technical analysis.
1) That in the reasonably free and competitive financial markets the securities prices are nearly efficient, and how useful this observation is for the securities valuation and investments strategies selection. 2) Risk/return tradeoff, diversification and their role in the modern portfolio theory, their consequences for asset allocation, portfolio optimization. We will cover Capital Asset Pricing Model, Modern Portfolio Theory, Factor Models, and Equities Valuation. 3) Definition and treatment of futures, options, fixed income securities.
Learned a lot of terminology and strategies in the capital market as well as the math behind a lot of portfolio managements, etc.
Investment knowledge. Textbook is classic CFA material.
Basic finance knowledge, mainly quantitative analysis terms and structures of derivatives.
The reason I'not sure is that I did not get much new other than what I have learned from the textbook.
The class is really fun, professor have some real-life example to make things interesting.
Good grad level math course to take if you don't want to take a theoretical or applied math course for your math requirement.