SYLLABUS
Management 3412B – Finance
University of Lethbridge
Spring 2007
Instructor: Dr. Eahab Elsaid
Telephone: 332-5276
Email: eahab.elsaid@uleth.ca
Office Hours (E463): Tuesdays 12:30 to 2:30, Thursdays 12:30 to 2:30, and by
appointment.
CLASS TIME & ROOM: Tuesdays and Thursdays, 10:50 TO 12:05, AH117
PREREQUISITE: Finance 3040
TEXTBOOK:
W. Sean Cleary and Charles P. Jones, INVESTMENTS – Analysis and Management,
Canadian Edition, John Wiley & Sons Canada, Ltd.
GOALS:
To provide students with a good understanding of the operation of security markets, the
types of securities traded in them and the theory, concepts, and models underlying
investment analysis and management in preparation for more advanced study.
COURSE OBJECTIVE:
This course is designed to provide students with an overview of the investment management
in Canadian Capital Markets. Throughout the course, theory and practice will be emphasized
within the framework of the portfolio management process. The material describes the
financial markets and the instruments traded in them. Contents include valuation of stocks;
how shares are traded in the equity market; risk and return; diversification; portfolio
formation; fixed income securities; options and futures; valuation and management of fixed
income securities; and risk hedging techniques.
COURSE REQUIREMENTS:
Grades will be determined by:
• Quizzes (15%)
• First Midterm (25%)
• Second Midterm (25%)
• Comprehensive Final (35%)
GRADING CRITERION:
Grade Percentage
Grade Percentage
A+
95 - 100%
C
66 - 69
A
90 - 94
C62 - 65
A86 - 89
D+
58 - 61
B+
82 - 85
D
51 - 57
B
78 - 81
F
Less than 50
B74 - 77
C+
70 - 73
Quizzes and Exams - each quiz and exam will cover assigned chapters, discussion in
class, handouts, and any other material assigned or class content.
First Midterm (TBA)
Second Midterm (TBA)
Final (TBA)
Course Contents (subject to progress)
Chapter
Chapter 1
Chapter 2
Chapter 3
Chapter 4
Chapter 5
Chapter 6
Chapter 7
Chapter 8
Chapter 9
Chapter 10
Chapter 11
Chapter 13
Chapter 17
Chapter 19
Chapter 20
Topic
Understanding Investments
Investment Alternatives
Investment Funds
Securities Markets
How Securities are Traded
The Returns and Risks From Investing
Expected Return and Risk
Portfolio Selection
Capital Market Theory
Market Efficiency
Bond Yields and Prices
Common Stock Valuation
Company Analysis
Options
Futures
Notes:
Exams, Assignments, etc.
Missed quizzes, exams, assignments etc. will result in a mark of zero being recorded and
will continue to be weighted in accordance with this syllabus. Make-up quizzes and
assignments will not be given to anyone for any reason. Weighting and time of writing of
any exam cannot be shifted, except where a documented, legitimate reason is provided
which will be verified (eg. medical reasons supported by a Doctor’s note. Students will
not be allowed to return to the exam room after leaving the room; all materials must be
submitted (including the exam itself) which will be graded to the extent completed. All
original exams must be submitted to the Instructor/Invigilator before leaving the room
otherwise a grade of zero will be recorded. All University of Lethbridge calendar
policies, including Academic Offences and Discipline Procedures, will be enforced.
Plagiarism on assignments and cheating during exams will not be tolerated.
Quizzes and Exams – format, formula sheet, calculator
All quizzes and exams are closed book. Use of a calculator* (non-programmable) and a
formula sheet (maximum 1 page – both sides) will be allowed during any testing. You
must hand in the formula sheet used during exams, but it is recommended that you keep a
copy of your formula sheet for each quiz or exam to add on to it for the next exam.
Understanding formulas is essential to grasping concepts, however, fluency in the use of
a financial calculator to maximize accuracy and efficiency is highly encouraged as well.
*HP (Hewlett Packard) 10B II is recommended. Do not bring a programmable calculator
to quizzes or exams.