Analysis of Securities

The goal of the subject is to conquest the advanced knowledge of instruments and problems of their valorization, investment strategies and markets. Of course, the Theory of capital markets is initially presented. The subject itself should be upgrade of the subject Financial Markets. On most modern world's universities this subject is taught under the same name Analysis of Securities or Investments.

Финансијска тржишта

The main result of studying the professional contents in this subject is to introduce students to basic methods for evaluation of isolated financial instruments and their sets, i.e. the portfolio selection. After passing the exam in this subject the students should understand the basic strategies of using financial instruments, and to analyze and find the causes of changes in their prices. Structure of this subject is adjusted to the profile of financial economist of the first level of education and may be useful for economists whose focus is on a quantitative financial analysis. Knowledge gained in this subject should represent the quality basis for students who plan professional career in investment analysis.

Introduction to the process of investing in securities, investment risk and return, investment value and market price of financial instruments; Investment portfolio and consideration of the problem of sources of investment portfolio, initial and ultimate investor's welfare, the indifference curve and the expected return and standard deviation of the portfolio. Models of valorization of basic instruments, valuation of instruments with fixed income, valuation of instruments with variable income and options valuation models.

Lectures, discussions, seminar papers, case studies and consultations. Independent researches and analyzes as well as visits to government and international institutions specialized in topics listed in the contents of the subject and writing of papers based on the independent research work. The lectures consist of presentations of the most important settings related to each educational unit, while the exercises elaborate each unit in more details with the preparation of tasks, discussions and presentations of current topics by the students.

Colloquiums are a written form of the exam, while final exam is oral. The very activity of students is estimated by their participation in discussions, writing seminar papers and case studies. Colloquium I (0-20 points); Colloquium II (0-20 points); Final exam (0-50 points); Attendance (2point); Class activities (seminar papers, discussions, case studies) (0-8 points)

Bodie, Z., A.; Kane, A., J.; Mareus (2009). The basics of Investments. Belgrade: Data status; Parino, R. I.; Kidwell, D. (2008). Fundamental of corporate finance. Library of Congress Cataloging-in Publication Data, John Wiley and Sons.