Kies de Nederlandse taal
Course module: 323060-M-6
Investment Analysis
Course info
Course module323060-M-6
Credits (ECTS)6
CategoryMA (Master)
Course typeCourse
Language of instructionEnglish
Offered byTilburg University; Tilburg School of Economics and Management; TiSEM: Finance; Finance;
Is part of
M Research Master in Business
M Accountancy
M Economics
M Finance
dr. R.G.P. Frehen
Other course modules lecturer
dr. P.C. de Goeij
Other course modules lecturer
Academic year2020
Starting block
Course mode
RemarksCaution: this information is subject to change
Registration openfrom 25/08/2020 up to and including 20/08/2021
  • Discuss topics within the field of investment analysis
  • Know the main investment analysis formula‚Äôs and be able to combine them and apply them in applications to a given situation
  • Apply and interpret the concepts  of pricing of risk in capital markets, in particular in the context of (Markowitz) Portfolio theory
  • Choose, apply and interpret the Capital Asset Pricing Model, APT and multifactor models to a given situation
  • Apply and interpret models for bond pricing and yields and how to manage (bond) portfolios
  • Interpret Macroeconomic risk using the term structure of interest and monetary policy models
  • Choose and apply the investment analysis methods to a given situation
Students have to form groups and are required to make on group assignment which is covering topics of the first half of the course. The assignment counts for 20 percent in the final grade of the course.
The assignment can only be handed in once (before the deadline) and will be taken into account when determining the grade based on the resit-exam as well.
ALL students (thus also repeaters) will have to make the assignment - NO EXCEPTIONS
Recommended Prerequisites
Finance 1 and 2, or Financiering 1 and 2 (or Investeren en Beleggen en Ondernemingsfinanciering en Vermogensmarkten), or Corporate Finance 1 and 2.
The aim of this course is to provide the theoretical background and foundations of investment theory. Particular attention will be paid to the investment in stocks and bonds. The applicability of the theoretical models and their empirical relevance will be discussed as well as how these are used in the academic literature to determine how and when to invest financial markets. There is a variety of topics that will be discussed, such as
  • The investment environment and how securities are traded
  • Mutual fund and other investment companies
  • The concept risk aversion and capital allocation to risky assets
  • Pricing of risk in capital markets
  • Value-at-Risk and GUISE
  • (Markowitz) Portfolio theory (MPT)
  • MPT with exogenous risk
  • The Capital Asset Pricing Model
  • Intrinsic value of equity and dividend discount model
  • Empirical tests of the CAPM and pricing risk in securities markets
  • Bond prices and yields
  • Default risk and credit rating agencies
  • Managing risk of bond portfolios (duration and convexity)
  • Macroeconomic and industry risk
  • Term structure of interest rate risk, macroeconomic risk and forward interest rates
  • Active portfolio management (Treynor-Black and Black-Litterman) and portfolio performance evaluation
Type of instructions
3 or 4 times a week a lecture of 2 hours, for 7 weeks
Type of exams
Written Exam (80%) and Empirical Group Assignment (20%)

Note that for the written exam (or resit exam) a minimum grade of 50 (out of 100) needs to be obtained in order to pass the course
Compulsory Reading
  1. Bodie, Kane, and Marcus, Investments, McGraw- Hill Education International Edition (11th Edition)
  2. Slides and handouts (available via BlackBoard)
  3. Additional readings (available via BlackBoard)
  4. Class notes made by students themselves
Course available for exchange students
Master level, conditions apply
Contact person
dr. P.C. de Goeij
Timetable information
Investment Analysis
Written test opportunities
Written test opportunities (HIST)
Online exam / Online examEXAM_01BLOK 1124-10-2020
Online exam / Online examEXAM_01BLOK 1214-01-2021
Required materials
This textbook is one of the best internationally orientated introductory textbooks in the field of Investments. The International Student Edition is for use outside the U.S. (and hence cheaper)
Publisher:McGraw-Hill Education International Edition
Recommended materials
Group assignment

Individual empirical assignment

Online exam

Final grade

Kies de Nederlandse taal