Investments: Principles of Portfolio and Equity Analysis

Overview

"This most thorough, carefully researched, and splendidly organized book constitutes the most relevant and up-to-date work on portfolio and equity analysis available. It provides masterly coverage of all aspects of portfolio analysis, including index construction, ETFs, modern portfolio theory, behavioral finance, technical analysis, and much more. It is a must-read for practitioners, for those preparing to enter the field of portfolio management, and will also be a standard in the university classroom."
PHILIP ...

See more details below
Other sellers (Hardcover)
  • All (10) from $44.59   
  • New (6) from $55.19   
  • Used (4) from $44.59   
Investments: Principles of Portfolio and Equity Analysis

Available on NOOK devices and apps  
  • NOOK Devices
  • Samsung Galaxy Tab 4 NOOK
  • NOOK HD/HD+ Tablet
  • NOOK
  • NOOK Color
  • NOOK Tablet
  • Tablet/Phone
  • NOOK for Windows 8 Tablet
  • NOOK for iOS
  • NOOK for Android
  • NOOK Kids for iPad
  • PC/Mac
  • NOOK for Windows 8
  • NOOK for PC
  • NOOK for Mac
  • NOOK for Web

Want a NOOK? Explore Now

NOOK Book (eBook)
$76.99
BN.com price
(Save 42%)$134.95 List Price

Overview

"This most thorough, carefully researched, and splendidly organized book constitutes the most relevant and up-to-date work on portfolio and equity analysis available. It provides masterly coverage of all aspects of portfolio analysis, including index construction, ETFs, modern portfolio theory, behavioral finance, technical analysis, and much more. It is a must-read for practitioners, for those preparing to enter the field of portfolio management, and will also be a standard in the university classroom."
PHILIP FANARA Jr., CFA, Morgan Stanley Foundation Professor of Finance, Department of Finance, International Business, and Insurance, School of Business, Howard University

"Investments: Principles of Portfolio and Equity Analysis provides a timely and comprehensive guide to equity analysis and an invaluable guide for portfolio management. Anyone with more than a passing interest in portfolio and equity analysis will benefit from the study of this book."
LAVONE F. WHITMER, CFA, Vice President and Investment Manager, Indiana Trust & Investment Management

"The reader will learn how rigorous investment theory can be put efficiently in practice."
JACQUES R. GAGNE, CFA, CIPM, Asset and Risk Manager

"A great refresher of fundamental investment concepts that also covers advanced topics, the latest thinking, and best global practices in financial analysis and portfolio management. Having collected the wisdom of multiple authors from across the globe really sets this book apart."
VICTORIA RATI, CFA, Investment Research Analyst

Read More Show Less

Product Details

  • ISBN-13: 9780470915806
  • Publisher: Wiley
  • Publication date: 2/8/2011
  • Series: CFA Institute Investment Series , #37
  • Edition number: 1
  • Pages: 620
  • Sales rank: 974,240
  • Product dimensions: 7.00 (w) x 10.00 (h) x 1.60 (d)

Meet the Author

MICHAEL G. MCMILLAN, CFA is Director, Ethics and Professional Standards in the Education Division of CFA Institute. Dr. McMillan joined CFA Institute in 2008 after more than a decade as a professor of accounting and finance at Johns Hopkins University's Carey Business School and The George Washington University's School of Business. He has a doctorate in accounting and finance from The George Washington University, an MBA from Stanford University, and a BA from the University of Pennsylvania. Dr. McMillan is a member of the CFA Society of Washington, DC and the East African Society of Investment Professionals.

JERALD E. PINTO, CFA is Director, Curriculum Projects, in the Education Division of CFA Institute. Before coming to CFA Institute in 2002, he consulted to corporations, foundations, and partnerships in investment planning, portfolio analysis, and quantitative analysis. He has also worked in the investment and banking industries in New York City and taught finance at New York University's Stern School of Business. He holds an MBA from Baruch College, a PhD in finance from the Stern School, and earned his CFA charter in 1992.

WENDY L. PIRIE, CFA is Director, Curriculum Projects, in the Education Division of CFA Institute. Prior to joining CFA Institute in 2008, she taught finance, accounting, statistics, taxation, business law, and marketing for over twenty years at both large and small, public and private universities, religious colleges, and military academies. Her work has been published in Journal of Financial Research and Journal of Economics and Finance. She holds a PhD from Queen's University in Kingston, Ontario and MBAs fromthe Universities of Toronto and Calgary.

GERHARD VAN DE VENTER, CFA is Deputy Head of the School of Finance and Economics at University of Technology, Sydney. He was previously director, Curriculum Projects, in the Education Division of CFA Institute. He began his career in South Africa as a financial analyst and later as a dealer at the Bond Exchange, where he traded fixed income securities. He holds a PhD in finance from the University of Technology, Sydney. He is a member of CFA Institute and the New York Society of Security Analysts.

Read More Show Less

Table of Contents

Foreword xiii

Acknowledgments xv

Introduction xvii

CHAPTER 1 Market Organization and Structure 1

Learning Outcomes 1

1. Introduction 1

2. The Functions of the Financial System 2

3. Assets and Contracts 10

4. Financial Intermediaries 24

5. Positions 35

6. Orders 41

7. Primary Security Markets 47

8. Secondary Security Market and Contract Market Structures 51

9. Well-Functioning Financial Systems 56

10. Market Regulation 58

11. Summary 61

CHAPTER 2 Security Market Indices 73

Learning Outcomes 73

1. Introduction 73

2. Index Definition and Calculations of Value and Returns 75

3. Index Construction and Management 78

4. Uses of Market Indices 90

5. Equity Indices 91

6. Fixed-Income Indices 94

7. Indices for Alternative Investments 96

8. Summary 101

CHAPTER 3 Market Efficiency 109

Learning Outcomes 109

1. Introduction 109

2. The Concept of Market Efficiency 111

3. Forms of Market Efficiency 118

4. Market Pricing Anomalies 124

5. Behavioral Finance 131

6. Summary 134

CHAPTER 4 Portfolio Management: An Overview 139

Learning Outcomes 139

1. Introduction 139

2. A Portfolio Perspective on Investing 140

3. Investment Clients 149

4. Steps in the Portfolio Management Process 156

5. Pooled Investments 160

6. Summary 172

CHAPTER 5 Portfolio Risk and Return: Part I 175

Learning Outcomes 175

1. Introduction 175

2. Investment Characteristics of Assets 176

3. Risk Aversion and Portfolio Selection 200

4. Portfolio Risk 209

5. Efficient Frontier and Investor’s Optimal Portfolio 222

6. Summary 234

CHAPTER 6 Portfolio Risk and Return: Part II 243

Learning Outcomes 243

1. Introduction 243

2. Capital Market Theory 244

3. Pricing of Risk and Computation of Expected Return 256

4. The Capital Asset Pricing Model 267

5. Beyond the Capital Asset Pricing Model 284

6. Summary 287

CHAPTER 7 Basics of Portfolio Planning and Construction 295

Learning Outcomes 295

1. Introduction 295

2. Portfolio Planning 296

3. Portfolio Construction 312

4. Summary 326

CHAPTER 8 Overview of Equity Securities 331

Learning Outcomes 331

1. Introduction 331

2. Equity Securities in Global Financial Markets 332

3. Types and Characteristics of Equity Securities 338

4. Private versus Public Equity Securities 345

5. Investing in Nondomestic Equity Securities 347

6. Risk and Return Characteristics of Equity Securities 353

7. Equity Securities and Company Value 356

8. Summary 362

CHAPTER 9 Introduction to Industry and Company Analysis 369

Learning Outcomes 369

1. Introduction 370

2. Uses of Industry Analysis 370

3. Approaches to Identifying Similar Companies 371

4. Industry Classification Systems 374

5. Describing and Analyzing an Industry 385

6. Company Analysis 412

7. Summary 417

CHAPTER 10 Equity Valuation: Concepts and Basic Tools 425

Learning Outcomes 425

1. Introduction 426

2. Estimated Value and Market Price 426

3. Major Categories of Equity Valuation Models 428

4. Present Value Models: The Dividend Discount Model 430

5. Multiplier Models 445

6. Asset-Based Valuation 457

7. Summary 461

CHAPTER 11 Equity Market Valuation 469

Learning Outcomes 469

1. Introduction 469

2. Estimating a Justified P/E Ratio 470

3. Top-Down and Bottom-Up Forecasting 484

4. Relative Value Models 491

5. Summary 506

CHAPTER 12 Technical Analysis 515

Learning Outcomes 515

1. Introduction 515

2. Technical Analysis: Definition and Scope 516

3. Technical Analysis Tools 520

4. Elliott Wave Theory 563

5. Intermarket Analysis 566

6. Summary 568

Problems 570

Glossary 575

References 589

About the Authors 595

About the CFA Program 601

Index 603

Read More Show Less

Customer Reviews

Be the first to write a review
( 0 )
Rating Distribution

5 Star

(0)

4 Star

(0)

3 Star

(0)

2 Star

(0)

1 Star

(0)

Your Rating:

Your Name: Create a Pen Name or

Barnes & Noble.com Review Rules

Our reader reviews allow you to share your comments on titles you liked, or didn't, with others. By submitting an online review, you are representing to Barnes & Noble.com that all information contained in your review is original and accurate in all respects, and that the submission of such content by you and the posting of such content by Barnes & Noble.com does not and will not violate the rights of any third party. Please follow the rules below to help ensure that your review can be posted.

Reviews by Our Customers Under the Age of 13

We highly value and respect everyone's opinion concerning the titles we offer. However, we cannot allow persons under the age of 13 to have accounts at BN.com or to post customer reviews. Please see our Terms of Use for more details.

What to exclude from your review:

Please do not write about reviews, commentary, or information posted on the product page. If you see any errors in the information on the product page, please send us an email.

Reviews should not contain any of the following:

  • - HTML tags, profanity, obscenities, vulgarities, or comments that defame anyone
  • - Time-sensitive information such as tour dates, signings, lectures, etc.
  • - Single-word reviews. Other people will read your review to discover why you liked or didn't like the title. Be descriptive.
  • - Comments focusing on the author or that may ruin the ending for others
  • - Phone numbers, addresses, URLs
  • - Pricing and availability information or alternative ordering information
  • - Advertisements or commercial solicitation

Reminder:

  • - By submitting a review, you grant to Barnes & Noble.com and its sublicensees the royalty-free, perpetual, irrevocable right and license to use the review in accordance with the Barnes & Noble.com Terms of Use.
  • - Barnes & Noble.com reserves the right not to post any review -- particularly those that do not follow the terms and conditions of these Rules. Barnes & Noble.com also reserves the right to remove any review at any time without notice.
  • - See Terms of Use for other conditions and disclaimers.
Search for Products You'd Like to Recommend

Recommend other products that relate to your review. Just search for them below and share!

Create a Pen Name

Your Pen Name is your unique identity on BN.com. It will appear on the reviews you write and other website activities. Your Pen Name cannot be edited, changed or deleted once submitted.

 
Your Pen Name can be any combination of alphanumeric characters (plus - and _), and must be at least two characters long.

Continue Anonymously

    If you find inappropriate content, please report it to Barnes & Noble
    Why is this product inappropriate?
    Comments (optional)