The objective of this course is to familiarize students with the seminal and contemporary literature on selected topics in theoretical, empirical and applied finance as it relates to investment analysis. The material and structure of the course is designed to provide students with an advanced understanding of investment decision making. The course is directed at postgraduate and honour students and is designed for students wishing to pursue higher level studies or a career relating to investment analysis and decision making.  The course material builds on undergraduate studies in the area of investments.  The material is heavily orientated to research issues and their practical problems.

Research-Led Teaching

Text book material will be supplemented with the most recent information from relevant news and research. A large part of this course is learning by doing.

 

Additional Course Costs

Examination Material or equipment

Non-programmable calculator, unannoted dictionary.

Required Resources

Recommended Resources

No prescribed (required) text.

Recommended reading: Asset Pricing (Revised Edition), by John H. Cochrane. This book is available in the ANU Library and has been requested to be put in the 2 hour loan.

The lecturer will make any supplemental readings available on Wattle.

Staff Feedback

Students will be given feedback in the following forms in this course:

• Verbal (common) comments on the assessment of tests (1) and (2), and homework assignment are to be provided in the class;
• Verbal (individual) comments on the assessment of tests (1) and (2), and homework assignment are to be provided during office hours.

Student Feedback

ANU is committed to the demonstration of educational excellence and regularly seeks feedback from students. Students are encouraged to offer feedback directly to their Course Convener or through their College and Course representatives (if applicable). The feedback given in these surveys is anonymous and provides the Colleges, University Education Committee and Academic Board with opportunities to recognise excellent teaching, and opportunities for improvement. The Surveys and Evaluation website provides more information on student surveys at ANU and reports on the feedback provided on ANU courses.

Other Information

Assessment Requirements

As a further academic integrity control, students may be selected for a 15 minute individual oral examination of their written assessment submissions.

Any student identified, either during the current semester or in retrospect, as having used ghost writing services will be investigated under the University’s Academic Misconduct Rule.

Scaling

Your final mark for the course will be based on the raw marks allocated for each of your assessment items. However, your final mark may not be the same number as produced by that formula, as marks may be scaled. Any scaling applied will preserve the rank order of raw marks (i.e. if your raw mark exceeds that of another student, then your scaled mark will exceed the scaled mark of that student), and may be either up or down.

 Communication

Students should contact the lecturer via email at alexander.vadilyev@anu.edu.au.

If necessary, the lecturer for this course will contact students on their official ANU student email address. Students are expected to check the Wattle site for announcements about this course, e.g. changes to timetables or notifications of cancellations. Notifications of emergency cancellations of lectures will be posted on the door of the relevant room.

 Support for Students

The University offers a number of support services for students. Information on these is available online from http://students.anu.edu.au/studentlife

Class Schedule

Week/Session	Summary of Activities	Assessment
1	Predictability of Prices and Market Efficiency
2	Decision Making Under Uncertainty
3	Portfolio Selection: the Mean-Variance Model
4	The Capital Asset Pricing Model (CAPM) (1)	In-class test (1)
5	The Capital Asset Pricing Model (CAPM) (2)
6	Arbitrage
7	Factor Models and the Arbitrage Pricing Theory (APT)
8	Empirical Tests of the CAPM and APT (1)	In-class test (2)
9	Empirical Tests of the CAPM and APT (2)
10	Present Value Relationship and Price Variability	Assignment
11	Intertemporal Choice and the Equity Premium Puzzle (1)
12	Intertemporal Choice and the Equity Premium Puzzle (2)

Tutorial Registration

There is a tutorial class for the whole class, registration is not required.

Assessment Summary

Assessment task	Value	Due Date	Return of assessment	Learning Outcomes
In-class test (1)	10 %	12/08/2019	19/08/2019	1,2,3,4
In-class test (2)	10 %	23/09/2019	30/09/2019	1,2,3,4
Assignment	20 %	07/10/2019	21/10/2019	1,3,4,5
Final examination	60 %	31/10/2019	28/11/2019	1,2,3,4

* If the Due Date and Return of Assessment date are blank, see the Assessment Tab for specific Assessment Task details

Policies

ANU has educational policies, procedures and guidelines, which are designed to ensure that staff and students are aware of the University’s academic standards, and implement them. Students are expected to have read the Academic Misconduct Rule before the commencement of their course. Other key policies and guidelines include:

• Student Assessment (Coursework) Policy and Procedure
• Special Assessment Consideration Policy and General Information 
• Student Surveys and Evaluations
• Deferred Examinations
• Student Complaint Resolution Policy and Procedure

Assessment Requirements

The ANU is using Turnitin to enhance student citation and referencing techniques, and to assess assignment submissions as a component of the University's approach to managing Academic Integrity. For additional information regarding Turnitin please visit the ANU Online website. In rare cases where online submission using Turnitin software is not technically possible; or where not using Turnitin software has been justified by the Course Convener and approved by the Associate Dean (Education) on the basis of the teaching model being employed; students shall submit assessment online via ‘Wattle’ outside of Turnitin, or failing that in hard copy, or through a combination of submission methods as approved by the Associate Dean (Education). The submission method is detailed below.

Moderation of Assessment

Marks that are allocated during Semester are to be considered provisional until formalised by the College examiners meeting at the end of each Semester. If appropriate, some moderation of marks might be applied prior to final results being released.

Examination(s)

Centrally administered examinations through Examinations, Graduations & Prizes will be timetabled prior to the examination period. Please check ANU Timetabling for further information.

Assessment Task 1

In-class test (1)

• The in-class test will be a closed-book test, with no formula sheet provided. The test will be 25 minutes in length, with an additional 5 minutes of reading time. The test is compulsory;
• The test will comprise a mixture of theory questions relating to materials covered in Weeks (1) to (3) and will count towards 10% of students’ 
• Further details of the test structure will be provided as the test date approaches.

Assessment Task 2

In-class test (2)

• The in-class test will be a closed-book test, with no formula sheet provided. The test will be 25 minutes in length, with an additional 5 minutes of reading time. The test is compulsory;
• The test will comprise a mixture of theory questions relating to materials covered in Weeks (4) to (7) and will count towards 10% of students’ final course grade;
• Further details of the test structure will be provided as the test date approaches.

Assessment Task 3

Assignment

• This is the homework assignment. Students have at least three weeks to complete the assignment.
• The assignment can be undertaken individually or in groups of maximum 3 students. Students have to form their groups or undertake the assignment individually.
• Some parts of the assignment require statistical (STATA) programming. A complete report as well as appendices such as programming codes needs to be submitted. These assignments are designed to improve students’ problem solving skills and develop their ability to apply knowledge in real-world context.
• Usage of statistical software STATA is required. Students are not required to purchase the STATA package. Access can be obtained from the computer labs on campus. STATA crash course (main commands and manual) will be provided. Each student is assumed to have access to a personal computer or computer lab.
• The assignment is compulsory and counts towards 20% of students’ final grade for the course.
• Late submissions of assignments are not accepted. Students will receive a mark of zero for the assignment if it is submitted after the due date and time.
• Further details of the report requirements and structure will be provided in the class.

Assessment Task 4

Final examination

• The final exam will be a closed-book test, with no formula sheet provided. The exam will be 3 hours in length, with an additional 15 minutes of reading time. The final exam is compulsory;
• The exam will comprise a mixture of theory and practical questions relating to materials covered throughout the duration of the semester and will count towards 60% of students’ final course grade;
• Further details of the exam structure will be provided as the exam date approaches.

Academic Integrity

Academic integrity is a core part of the ANU culture as a community of scholars. At its heart, academic integrity is about behaving ethically, committing to honest and responsible scholarly practice and upholding these values with respect and fairness.

The ANU commits to assisting all members of our community to understand how to engage in academic work in ways that are consistent with, and actively support academic integrity. The ANU expects staff and students to be familiar with the academic integrity principle and Academic Misconduct Rule, uphold high standards of academic integrity and act ethically and honestly, to ensure the quality and value of the qualification that you will graduate with.

The Academic Misconduct Rule is in place to promote academic integrity and manage academic misconduct. Very minor breaches of the academic integrity principle may result in a reduction of marks of up to 10% of the total marks available for the assessment. The ANU offers a number of online and in person services to assist students with their assignments, examinations, and other learning activities. Visit the Academic Skills website for more information about academic integrity, your responsibilities and for assistance with your assignments, writing skills and study.

Online Submission

Assignments may be submitted by just one member of the group, but must include a completed cover sheet clearly identifying all members of the group. Please keep a copy of the assignment for your records. Unless an exemption has been approved by the Associate Dean (Education) all submission must be through Turnitin.

Hardcopy Submission

If given exemption to submit in hard copy by the Associate Dean (Education), you will be required to submit your assignment report (and copies of all references included in the assignment report) in hard copy by the due date. All submitted hard copy assignments must include a completed a completed cover sheet clearly identifying all members of your group. Please keep a copy of the assignment for your records.

Late Submission

Late submissions of assignments are not accepted. Students will receive a mark of zero for the assignment if it is submitted after the due date and time.

Referencing Requirements

Accepted academic practice for referencing sources that you use in presentations can be found via the links on the Wattle site, under the file named “ANU and College Policies, Program Information, Student Support Services and Assessment”. Alternatively, you can seek help through the Students Learning Development website.

Returning Assignments

Graded assignments will be returned to students on Week 12.

Extensions and Penalties

Extensions and late submission of assessment pieces are covered by the Student Assessment (Coursework) Policy and Procedure. The Course Convener may grant extensions for assessment pieces that are not examinations or take-home examinations. If you need an extension, you must request an extension in writing on or before the due date. If you have documented and appropriate medical evidence that demonstrates you were not able to request an extension on or before the due date, you may be able to request it after the due date.

Resubmission of Assignments

No resubmission of assignments is permitted.

Privacy Notice

The ANU has made a number of third party, online, databases available for students to use. Use of each online database is conditional on student end users first agreeing to the database licensor’s terms of service and/or privacy policy. Students should read these carefully. In some cases student end users will be required to register an account with the database licensor and submit personal information, including their: first name; last name; ANU email address; and other information.
In cases where student end users are asked to submit ‘content’ to a database, such as an assignment or short answers, the database licensor may only use the student’s ‘content’ in accordance with the terms of service – including any (copyright) licence the student grants to the database licensor. Any personal information or content a student submits may be stored by the licensor, potentially offshore, and will be used to process the database service in accordance with the licensors terms of service and/or privacy policy.
If any student chooses not to agree to the database licensor’s terms of service or privacy policy, the student will not be able to access and use the database. In these circumstances students should contact their lecturer to enquire about alternative arrangements that are available.

Distribution of grades policy

Academic Quality Assurance Committee monitors the performance of students, including attrition, further study and employment rates and grade distribution, and College reports on quality assurance processes for assessment activities, including alignment with national and international disciplinary and interdisciplinary standards, as well as qualification type learning outcomes.

Since first semester 1994, ANU uses a grading scale for all courses. This grading scale is used by all academic areas of the University.

Support for students

The University offers students support through several different services. You may contact the services listed below directly or seek advice from your Course Convener, Student Administrators, or your College and Course representatives (if applicable).

• ANU Health, safety & wellbeing for medical services, counselling, mental health and spiritual support
• ANU Diversity and inclusion for students with a disability or ongoing or chronic illness
• ANU Dean of Students for confidential, impartial advice and help to resolve problems between students and the academic or administrative areas of the University
• ANU Academic Skills and Learning Centre supports you make your own decisions about how you learn and manage your workload.
• ANU Counselling Centre promotes, supports and enhances mental health and wellbeing within the University student community.
• ANUSA supports and represents undergraduate and ANU College students
• PARSA supports and represents postgraduate and research students