This course is part of the Investment Management Specialization

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University of Geneva- Tony Berrada +7 more instructors

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Investment Management SpecializationUniversity of Geneva

About this Course

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In this course, you will gain an understanding of the theory underlying optimal portfolio construction, the different ways portfolios are actually built in practice and how to measure and manage the risk of such portfolios.
You will start by studying how imperfect correlation between assets leads to diversified and optimal portfolios as well as the consequences in terms of asset pricing. Then, you will learn how to shape an investor's profile and build an adequate portfolio by combining strategic and tactical asset allocations. Finally, you will have a more in-depth look at risk: its different facets and the appropriate tools and techniques to measure it, manage it and hedge it.

Key speakers from UBS, our corporate partner, will regularly add a practical perspective on these different topics as you progress through the course.

Flexible deadlines

Reset deadlines in accordance to your schedule.

Shareable Certificate

Earn a Certificate upon completion

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Course 3 of 5 in the

Investment Management Specialization

Approx. 7 hours to complete

English

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Skills you will gain

Portfolio Theories
Risk Management
Value At Risk (VAR)
Portfolio Optimization

Flexible deadlines

Reset deadlines in accordance to your schedule.

Shareable Certificate

Earn a Certificate upon completion

100% online

Start instantly and learn at your own schedule.

Course 3 of 5 in the

Investment Management Specialization

Approx. 7 hours to complete

English

Could your company benefit from training employees on in-demand skills?

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Instructors

Instructor rating

4.57/5 (250 Ratings)

Offered by

University of Geneva

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Syllabus - What you will learn from this course

Content Rating89%(6,204 ratings)

Week1

Week 1

1 hour to complete

General Introduction and Key Concepts

1 hour to complete

6 videos (Total 39 min), 2 readings, 1 quiz

6 videos

Why you should choose this course3mSome common mistakes you will no longer make after this course – Portfolio risk6mSome common mistakes you will no longer make after this course – Free lunch9mDistribution of returns - Graphical representation8mDistribution of returns - Numbers5mThe risk-return trade-off - UBS guest speaker5m

2 readings

Course syllabus5mGlossary10m

1 practice exercise

Graded quiz on the content of Week 110m

Week2

Week 2

2 hours to complete

Modern Portfolio Theory and Beyond

The focus of this second week is on Modern Portfolio Theory. By understanding how imperfect correlations between asset returns can lead to superior risk-adjusted portfolio returns, we will soon be looking for ways to maximize the effect of diversification, which is at the heart of Modern Portfolio Theory. But we won’t stop there: we will also explore the implications of Modern Portfolio Theory on real-world investment decisions and whether or not these implications are followed by investors. Finally, we will see how Modern Portfolio Theory can be built upon to derive the most popular asset pricing model: the Capital Asset Pricing Model.

2 hours to complete

14 videos (Total 89 min)

14 videos

The impact of correlation - The benefits of diversification5mThe impact of correlation - Maximizing diversification6mReaching the efficient frontier - UBS guest speaker4mThe efficient frontier with a risk-free asset4mExpanding the asset universe - International diversification5mExpanding the asset universe - Country versus industry diversification4mDo investors diversify internationally? - UBS guest speaker3mThe impact of constraints on optimal portfolios8mThe pitfalls of Modern Portfolio Theory - Assumptions8mThe pitfalls of Modern Portfolio Theory - Investors9mTwo-fund separation - Individual decision4mTwo-fund separation - Market level7mCapital market equilibrium - The Capital Market Line5mCapital market equilibrium - The Capital Asset Pricing Model9m

1 practice exercise

Graded quiz on the content of Week 215m

Week3

Week 3

2 hours to complete

Asset Allocation

This third week is dedicated to asset allocation. After a short introduction to investor profiling, we will delve into Strategic Asset Allocation (SAA). You will see how it relates to Modern Portfolio Theory and how it differs from Tactical Asset Allocation (TAA). We will look at how both asset allocations can be implemented separately but also in conjunction in order to build portfolios that fulfill investors’ needs and constraints while taking advantage of market opportunities.

2 hours to complete

14 videos (Total 96 min), 1 reading, 1 quiz

14 videos

How our age and wealth affect our investment profile - Main views8mHow our age and wealth affect our investment profile - Robo-advisors8mThe path from an investor's profile to his/her optimal investment strategy - UBS guest speaker2mStrategic asset allocation: MPT in practice - Definitions6mStrategic asset allocation: MPT in practice - Implementation8mAsset allocation versus stock picking: what matters more? - UBS guest speaker4mRebalancing a portfolio to maintain the SAA - SAA versus TAA6mRebalancing a portfolio to maintain the SAA - Weights and bounds9mKey drivers of tactical asset allocation - Goals8mKey drivers of tactical asset allocation - Implementation4mTiming the market with tactical asset allocation - Shiller's CAPE7mTiming the market with tactical asset allocation - Macroeconomic tools10mHow tactical asset allocation depends on macroeconomic fundamentals - UBS guest speaker6mHow to combine strategic and tactical asset allocations - UBS guest speaker4m

1 reading

The importance of asset allocation20m

1 practice exercise

Graded quiz on the content of Week 315m

Week4

Week 4

2 hours to complete

Risk Management

This fourth and final week is dedicated to risk. We will start by looking in more depth at different sources of risk such as illiquidity and currency risk but also at the different tools available to investors to perform risk management. But how should we measure risk? We will see that it may be valuable to go a step beyond standard deviation, the risk measure we used so far, and look at the Value-at-Risk and Expected Shortfall which focus on potential large losses. Finally, we will use the financial instruments at our disposal to hedge market and currency risk.

2 hours to complete

14 videos (Total 95 min)

14 videos

Defining forwards and options - Forwards10mDefining forwards and options - Options11mRisk as volatility?4mWhat about illiquidity? - UBS guest speaker2mCurrency risk - Return7mCurrency risk - Risk6mDefining the Value-at-Risk4mComputing the Value-at-Risk5mDefining the Expected Shortfall6mComputing the Expected Shortfall3mRisk management applied to portfolio allocation6mBanking regulation & Basel recommendations: How did we get there?7mHedging against market falls (using options)8mHedging against currency risk (using forwards)9m

1 practice exercise

Graded quiz on the content of Week 415m

Reviews

4.7

383 reviews

5 stars
75.35%
4 stars
20.09%
3 stars
3.72%
2 stars
0.70%
1 star
0.13%

TOP REVIEWS FROM PORTFOLIO AND RISK MANAGEMENT

by CFNov 25, 2020

Definitely not for people without economical and some math knowledge, but Great content, and fully recommend for anybody looking to improve their knowledge to better take care of your portfolio!

by CWJan 16, 2023

This course is a bit difficult for me because I have no background in all the topics, but the instructors were able to discuss all these very well.

by SIMar 13, 2018

The great Modern Portfolio Theory! If you are into portfolio investment, this course is a must for you. You can learn how to get a lunch almost free...

by EMMay 3, 2018

Great course - wish there were more examples or exercises on the more technical, math-intensive topics like VaR and ES instead of just an extended explanation of the theory behind the formulas.

View all reviews

About the Investment Management Specialization

In this Specialization, you will understand how investment strategies are designed to reach financial goals in a global context. You will learn the theory that underlies strong investment decisions, as well as practical, real-world skills that you can apply when discussing investment proposals with your advisor, managing your personal assets or your client’s investment portfolio. You will start by developing a global understanding of financial markets and what impacts rational and irrational behaviors have in finance at the micro and macro levels. You will then learn how to adequately build and manage a portfolio with a long-term view while gaining an appreciation for novel research advances in finance and related areas as well as future trends that are shaping the investment management industry. In the final Capstone Project, you will create a sensible 5-year investment plan that accounts for an investor's goals and constraints in a dynamic economic landscape. Key speakers from UBS, our corporate partner, will contribute to this specialization by providing you with practical insights they have gathered through years of experience working for the world’s largest wealth manager.

Frequently Asked Questions

When will I have access to the lectures and assignments?
Access to lectures and assignments depends on your type of enrollment. If you take a course in audit mode, you will be able to see most course materials for free. To access graded assignments and to earn a Certificate, you will need to purchase the Certificate experience, during or after your audit. If you don't see the audit option:
The course may not offer an audit option. You can try a Free Trial instead, or apply for Financial Aid.
The course may offer 'Full Course, No Certificate' instead. This option lets you see all course materials, submit required assessments, and get a final grade. This also means that you will not be able to purchase a Certificate experience.
What will I get if I subscribe to this Specialization?
When you enroll in the course, you get access to all of the courses in the Specialization, and you earn a certificate when you complete the work. Your electronic Certificate will be added to your Accomplishments page - from there, you can print your Certificate or add it to your LinkedIn profile. If you only want to read and view the course content, you can audit the course for free.
Is financial aid available?
Yes. In select learning programs, you can apply for financial aid or a scholarship if you can’t afford the enrollment fee. If fin aid or scholarship is available for your learning program selection, you’ll find a link to apply on the description page.

More questions? Visit the Learner Help Center.

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Portfolio and Risk Management

About this Course

Skills you will gain

Instructors

University of Geneva- Tony Berrada

University of Geneva- Ines Chaieb

University of Geneva- Jonas Demaurex

University of Geneva- Rajna Gibson Brandon

University of Geneva- Michel Girardin

University of Geneva- Philipp Krueger

University of Geneva- Kerstin Preuschoff

University of Geneva- Olivier Scaillet

Offered by

University of Geneva

Syllabus - What you will learn from this course

General Introduction and Key Concepts

Modern Portfolio Theory and Beyond

Asset Allocation

Risk Management

Reviews

TOP REVIEWS FROM PORTFOLIO AND RISK MANAGEMENT

About the Investment Management Specialization

Frequently Asked Questions

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Portfolio and Risk Management

About this Course

Skills you will gain

Instructors

University of Geneva- Tony Berrada

University of Geneva- Ines Chaieb

University of Geneva- Jonas Demaurex

University of Geneva- Rajna Gibson Brandon

University of Geneva- Michel Girardin

University of Geneva- Philipp Krueger

University of Geneva- Kerstin Preuschoff

University of Geneva- Olivier Scaillet

Offered by

University of Geneva

Syllabus - What you will learn from this course

General Introduction and Key Concepts

Modern Portfolio Theory and Beyond

Asset Allocation

Risk Management

Reviews

TOP REVIEWS FROM PORTFOLIO AND RISK MANAGEMENT

About the Investment Management Specialization

Frequently Asked Questions

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Learn Something New

Popular Data Science Courses

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