Professional Documents
Culture Documents
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PORTFOLIO MANAGEMENT
LECTURE 1
The Course
• INVESTMENT
• ANALYSIS
• PORTFOLIO
• MANAGEMENT
2
Text book
3
Investments
4
Uses of Investments
Three uses of investments;
1. Consumption
2. Savings
3. Investing
5
Savings
It is very important to see that how you
save the money.
• You save money in your home at secure
place.
• Committees.
6
Channels of Savings
• Banking
• Non-financial institutions
• National saving schemes
7
Investing
You consume less than you save and then
from saving you can always think about
investment.
8
Investing
To consume, to save, or to invest
a rupee that is earned ?
9
Fundamental Analysis
Fundamental Analysis include the evaluation of
the;
• Balance Sheet
• Annual Report
• Profit & Loss Figures
• Profitability Ratios
• Liquidity Ratios
• Operational Ratios
10
Technical Analysis
Focus on the movement of the share prices
going up or going down.
Scenario Analysis
11
Portfolio Management
12
Investment Alternatives
Assets
13
Three Reasons for Investing
Why invest ???
People invest to …
• supplement their income
– Dividends and Interest.
• earn capital gains
– Appreciation refers to an increase in the value
of an investment.
• experience the excitement of the
investment process. 14
Investment Alternatives
There are three broad categories of securities.
Securities
15
Investment Analysis and Portfolio
Management
16
Bonds
• Term Finance Certificates
• Bearer bonds
• Fixed Income bonds
• Euro bonds
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