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syllabus 22 R (1)

MGT4034 Investments
Spring 2022
Office Hours
Junesuh Yi
Business Building # 509 (x-8589)
Th 15:00–17:00 (or by appointment)
Course Description
The purpose of this course is to acquaint the student with what will be useful to any player
in the investment market, whether a portfolio manager, a corporate financial officer, or a
private investor. Topics covered are portfolio theory (including risk and return, capital asset
pricing model, and market efficiency), valuation of stocks and bonds, and fund market.
This course provides the practical applications by technical analysis and investment
simulation game as well as academic theories.
By its very nature, the course tends to be mathematical. It will serve you well to review
your algebra and statistics. I strongly recommend that you take this course after taking
Financial Management
Required: Essentials of Investments, 12th ed., McGraw-Hill, 2022
By Zvi Bodie, Alex Kane, and Alan J. Marcus (BKM)
References: Investments, previous edition. McGraw-Hill, By Zvi Bodie, Alex Kane,
and Alan J. Marcus
Any Investments Textbooks
Financial press (WSJ, FT, Business Week, Maekyung etc.)
Short Quizzes
Attendance and Participation
There are two exams scheduled for this course. More than sixty percent of your grade will
derive equally from these exams. The exam dates are noted on the syllabus. The exams
will be in class, consisting of multiple choices, true or false, filling the blank questions,
essays, and calculation questions. The exams require closed book and closed notes. The
key notation or terminology of equations may be provided in the exam. There will be no
make-ups. The only exception for make-ups is in the case of true and documented
There will be irregular homework assignments. Calculation questions will be mainly
assigned as homework. The problems and due dates will be announced during the semester.
Derivation of efficient frontier and computation of beta coefficient using excel program
may be assigned as homework. Students are responsible for turning in the homework in
Short Quizzes and Participation
There will be announced in-class quizzes. These quizzes mainly consist of short questions
that reflect important concepts in reading assignment or lectured in previous classes.
These quizzes usually will require no more than 10 minutes to complete. They will be used
to check your progress on this course. Class participation will be classified three levels,
above average, average, and below average through comprehensive evaluation. Student
may obtain the additional point in special case.
Project: Investment portfolio simulation game
The purpose of project is for students to apply their analytical skills to investment portfolio
construction and evaluation. The analytical tools include, among other, fundamental and
technical analyses, investment theory, and industry analysis. Stocks should be bought and sold
based on the various trading theories or the practical tools with logic. Students have 100M
won (or $100 K) as initial endowment supplied by web-site of investment simulation game.
(http://www.kiwoom.com) The grading of this project will be determined by not only
individual performance but project report. Project report should contain logic of trading. The
detailed procedure will be announced during the class.
1. Material for class will be posted on the e-class. Students are strongly advised to
check the e-class for announcements and updates.
2. Students should keep up with the required readings.
3. Attending class is highly recommended.
4. Students who may need special consideration due to a personal matter should make an
appointment to meet with the instructor.
DBS Vision and Investments
To be a top-tier business school in Asia, we will develop global leaders equipped with
creative thinking, specialized knowledge and ethical principles. DBS has the following four
specific missions:
DBS provides students with high quality business education through the innovative
teaching and continuous research.
DBS develops a global perspective for students through a variety of cross-cultural academic
DBS builds professional knowledge and skills in business through specialized programs.
DBS highlights business ethics so that all of its stakeholders could honor the ethical
Investment class is focus on innovative teaching and globalization among our missions.
Various innovative teaching methods are employed in the class. To apply the skills acquired
in class to the real-life financial world, students are required to carry out the project in
which they should make investment decision by simulation game. Students are also
required to do assignments that will enable them to obtain first-hand experiences of
applying financial theories to business practices by using Excel program. In terms of
globalization, the class is conducted in English ranging from lecturing to homework,
quizzes, presentation, and exams.
Code of Conduct
Students are expected to hold high level of integrity and ethical values. Dongguk Business
School (DBS) encourages the students to engage in activities that are consistent with
following code of conduct.
- Students should respect professors and fellow students in its academic and nonacademic activities.
- Students respect academic policies and specific procedures when they have probable
causes and academic misconducts.
- Students are committed to fostering high quality of learning environments.
- Students do not have to cheat on examination, plagiarize on assignments, or falsifying
academic records.
Class Schedule
Week 1
Week 2
Week 3
Week 4
Week 5-6
Background and Issues
Elements of Investments
Financial Market and Instruments
Trading Mechanism
Portfolio Theory
Risk and Return
Portfolio Analysis
BKM 2,3
Week 7
Efficient Market Hypothesis
Week 8
Week 9
Security Analysis
Economic and Industry Analysis
Technical Analysis
Stock Valuation
Week 10-11
BKM 12
BKM 13
Week 12
Fixed Income Securities
Bond Valuation
BKM 10
Week 13
Bond Portfolio Management
BKM 11
Week 14
Project Presentation
Week 15
Note: This is a tentative schedule. The actual pace of the class may vary.