732 Tentative Schedule for Fall 2009


Week 1:  Wednesday (9/9)    Introduction and Review: 

What do tulips and bubbles have to do with investments? Secrets of the Dow!

Reilly Norton Ch  1:   The Investment Setting

                                    Mutual Funds and EFTs basics for Stock-Trak formation of buy and hold portfolio and initial active portfolio


Week 2:  Wednesday (9/16)  Investment Choices from ADRs to Zeros Including: 

 DIAMONDS, iShares, ProShare’s ultras, QQQQs, SPDRs and VIPERS

Why do cubes have the symbol QQQQ?

Reilly Norton Ch  2:   Return and Risk Basics

Strong         Ch  13:     Market Indexes

Reilly Brown Ch  3:    Selecting Investments in a Global Market

Mutual Funds and Other Managed Investments

Stock-Track Trading begins on Monday, September 14th

(Initial trades are due to Stock-Trak by 3pm on Friday, September 18, 2009)


Week 3:  Wednesday (9/23)  Why Being Short Is Risky?

The most important investment decision

Strong           Ch  3:   The Marketplace

Strong             Ch 6:   Market Mechanics

Reilly Norton Ch  5:   Investment Policy Statements and Asset Allocation Issues

Stock-Track Trading--2nd Week:  Stops, shorting and buying on margin

(Summary paragraph on Week #1 due)


Week 4:  Wednesday (9/30)  Strips, Straps and Straddles—Oh my!

Reilly Norton Ch 17:  An Introduction to Derivative Instruments

Reilly Norton Ch 18:  Derivatives:  Analysis and Valuation

Stock-Track Trading--3rd Week: Rebalancing and buying mutual funds

(Summary paragraph on Week #2 due)


Week 5:  Wednesday (10/7)  Wiener Process (not the one by Oscar Mayer) Use of Options May Truncate Tails

Reilly Norton Ch 18:  Derivatives:  Analysis and Valuation

Reilly Norton Ch 19:  Equity-Portfolio Management

Stock-Track Trading--4th Week:  Adjusting sector weighting, leveraging and buying short positions

(Summary paragraph on Week #3 due)


Week 6:  Wednesday (10/14) Could that be a real $100 bill on the floor?   Does Size Matter?

Reilly Brown   Ch 6:   Efficient Capital Markets 

Strong           Ch 11:  Behavioral Finance

Stock-Track Trading--5th Week:  Futures Transactions

(Summary paragraph on Week #4 due before or in class)


Week 7:  Wednesday (10/21) After Stock-Trak discussion, Exam in class

Stock-Track Trading--6th Week:  Basic Option Transactions

(Summary paragraph on Week #5 due before or in class)


Week 8:  Wednesday (10/28) Investing on the Frontier:  Portfolio Formation and Asset Pricing

Reilly Brown  Ch  7:   An Introduction to Portfolio Management

Reilly Brown  Ch  8:   An Introduction to Asset Pricing Models

Reilly Brown  Ch  9:   Multifactor models of risk and return

Stock-Track Trading--7th Week:  Advanced Option Strategies

(Summary paragraph on Week #6 due before or in class)


Week 9:  Wednesday (11/4)  Term paper TOPIC is due (one paragraph)

Reilly Brown  Ch   9:  Multifactor models of risk and return

Reilly Brown  Ch 16:  Equity Portfolio Management Strategies

Stock-Track Trading--8th Week: Commodities futures, Index options, and individual stocks  

(Summary paragraph on Week #7 due before or in class)


Week 10:  Wednesday (11/11)          Doing better than the market is bad!

Reilly Brown  Ch 16:  Equity Portfolio Management Strategies

Reilly Brown  Ch 25:  Evaluation of Portfolio Performance

Stock-Track Trading--9th Week:  Currency Futures and Limit orders

(Summary paragraph on Week #8 due before or in class)


Week 11:  Wednesday (11/18)          NO CLASS in Green Bay—online discussions

Stock-Track Trading--10th Week:  Bonds and more stocks

(Summary paragraph on Week #9 due to D2L dropbox)


 

Week 12: Wednesday (11/25)           NO CLASS in Green Bay Thanksgiving Break

Stock-Track Trading--11th Week:  No required trades

(No weekly summary due this week)


 

Week 13:   Wednesday (12/2)           Term paper is due (Bring 2 copies)

Stock-Track Trading--12th Week:  Close all derivatives, short and margin positions

Last Day of trading is December 4th

(Summary paragraph on Weeks #10 and #11 due before or in class)

Topic:  TBA


Week 13:   Wednesday (12/9)          

Stock-Trak Final Report due in class)

Topic:  TBA


Week 14:  Wednesday (12/16) In-class Exam


 

Other potential topics and resource chapters (Do not buys these until after the first class period)

 

The Dead Cat Bounce and Stock Prices

            Valuation:    A Three Step Approach to Discovering Intrinsic Worth

Reilly Norton Ch 16:  Technical Analysis

Reilly Norton Ch 11:  An Introduction to Valuation

 

Malkiel Ch   5:                        Technical and Fundamental analysis

Malkiel Ch   6:                        Technical Analysis and Random-Walk Theory

Malkiel Ch   7:                        How Good is Fundamental Analysis?

 

Reilly Norton Ch 12:  Analysis of Fixed-Income Valuation

Reilly Norton Ch 20:  Bond Portfolio Management

 

EIC:  it’s fun-da-mental

Reilly Norton Ch 13:  Economic and Industry Analysis

Reilly Norton Ch 14:  Analysis of Financial Statements

Reilly Norton Ch 15:  Company Analysis and Stock Valuation