King Saud University | Finance Department
Portfolio Management | FIN 563
2022/2023
Instructor: Hanan Mohammed Alhussayen
E-mail: halhussayen@ksu.edu.sa
Office Hours: Monday, Tuesday, Wednesday
COURSE DESCRIPTION
The aim of the course is to provide students with the theoretical and practical aspects of portfolio
construction and performance evaluation. It also aims at fostering the students’ analytical skills, with
special focus on tools needed to make good investment decisions, asset allocation decisions, portfolio
management strategies and portfolio performance evaluation.
LEARNING OUTCOMES
Students who complete this course should be able to:





Define the different portfolio construction models
Evaluate the risk-return characteristics of financial assets
Design an optimal portfolio depending on the risk tolerance level and return
required by the clients
Evaluate portfolio performance
Evaluate and Manage assets using one and multifactor models
COURSE FORMAT AND SCHEDULE
WEEK CHAPTER
2
5
3
4
5
8
6
7
8
9
9
10
10
11
24
25
DESCRIPTION
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
Portfolio Performance Evaluation
International Diversification
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REQUIRED TEXT
Investments
12thEdition
by Zvi Bodie, McGraw-Hill Higher
ISBN:9781260013832 / 1260013839
Education
EVALUATION
Midterm Exam
Assignments
Cases
Engagement
Final exam
Total
20%
20%
10%
10%
40%
100%
CASES AND ASSIGNMENTS
Cases and assignments are group work, the materials for these cases and assignments will be posted
through LMS. It’s required from each group to fully answer the questions assigned and only the
group’s leader can submit the full report in the day of submission and not later than 8 pm. Noting that
submissions will not be accepted in two situations: If PLAGIARISM is deducted and if the
submission
is
LATE.
Cases and Assignments
Portfolio Assignment - First Report
Week 3
Proportion of total
Assessment
5%
Portfolio Assignment - Second Report
Week 4
5%
Case 1
Week 8
5%
Portfolio Assignment - Third Report
Week 10
5%
Case 2
Week 12
5%
Portfolio Assignment - Fourth Report
Week 13
5%
Total
Week Due / Date
30%
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ENGAGEMENT
Engagement will be assessed based on student lecture attendance, discussion, and participation.
EXAM POLICY/REQUIREMENTS
 There will be no makeup exams unless the student has reasonable justification, otherwise
he/she will receive zero for the midterm.
 During the exams, talking, whispering, using cell phones for calculation or for any reason, is
not allowed and strictly forbidden.
 Cell phones are not allowed to use for calculation during the exams.
 Borrowing calculators during exams is not allowed in any way.
 Devices with word processing capabilities (laptop computers, etc.) are not allowed during
tests.
 General college policies (bringing your ID, etc.) about exams also apply.
ATTENDANCE
 Students are required to attend the classes and participate to the discussion in the class.
 It is also compulsory to attend at least 75% of all classes.
 The instructor reserves the right not to accept the availability of a student who is late.
CLASSROOM REQUIREMENTS
 Please obey the lecture times and be on time in the class.
 Please keep your mobile phones switched off during the lecture and exams.
CONTACT
 Students can feel free to contact me for any clarification during my office hours
 Students can email any questions with special care to the following:
Each e-mail sent should include:
o Full name
o Student number
o Course code / section
o Try to contact with your university email account.
EXPECTATION
 You may have to spend at least 6 to 8 hours weekly on the subject outside the class hours.
 This syllabus is subject to change. Changes, if any, will be announced in class. Students will
be held responsible for all changes
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