FIN254 Syllabus

FINANCE 254 – INTRODUCTION TO INVESTMENTS

	TEXT: Practical Investment Management. Strong. 4th Edition.
	Course Objective: To enhance the fundamental understanding of common investment vehicles and practices for the novice investor.
	Week 1 - Introduction. Net Worth. Savings accounts. Rates/Yields. Money Markets.
	Week 2 - Time Value of Money.
	TIME VALUE OF MONEY PRACTICE PROBLEMS
	Week 3 - Time Value of Money (cont.). Lending Products.
	Week 4 - Mutual Funds.
	Week 5 - EXAM 1.
	Week 6 - Bonds and Fixed Income Securities.
	Week 7 - Fixed Income Securities (cont.)
	Week 8 - Bond Valuation. Government Securities. Yield Curve
	Week 9 - Securities Business, Brokerage Firms, Exchanges
	Week 10 - Averages, Indexes, Federal Reserve System
	Week 11 - Analyzing the Economy, Industries and Companies
	Week 12 - EXAM 2
	Week 13 - Stocks.
	Week 14 - Stocks (cont.)
	Dec 15 - FINAL EXAM (Not Comprehensive)

	GRADING: 90 - 100 A 80 - 89 B 70 - 79 C 60 - 69 D 0 - 59 F
	DISTRIBUTION: Exam 1 = 25% Exam 2 = 30% FINAL = 30% Assignments = 15%

THE WALL STREET JOURNAL:

Students are required to bring the WSJ to each class. The Wall Street Journal is an integral part of the course. I take attendance and measure class participation by choosing a piece of the WSJ that is due for each day’s class. I will ask for journal sections in this class about fifteen times over the duration of the semester. They will be worth 10 points each. I will curve this homework assignment by counting, for example, 12 of the 15 that I may ask for during the semester. Therefore, you will have 3 occasions in that example to "miss" the assignment. This was an example only. Actual numbers may vary.

	THIS IS THE RULE: Bring Monday's Wall Street Journal to each class.
	When an assignment is picked up: I want the day’s journal that is required for that day.
	I do not accept a different day’s journal.
	I do not accept the assignment late (after that day’s class).
	I do not accept the excuse that you did not get the paper.
	I do not accept a photocopy of the journal.
	I do not count more than one name on each assignment (i.e. no sharing)
	If you are having subscription problems call 1-800-JOURNAL
	Do not take the Journal assignment lightly. The points are significant to your final grade. This assignment is as easy as it can be – JUST BRING IT IN! There are no other "extra-credit" assignments to improve your grade. Bring in the paper for easy points. I will also require special sections of the Journal to be brought in after they are published. The paper produces tables and information on an irregular basis that is valuable to an investment course, I will give you sufficient time to bring them in. An example is the end-of-month data on mutual funds; this is produced once a month and would be a good example of a report that we should review. MISSED CLASS: In the case of missed class, make arrangements with colleague to secure missed notes. CALCULATORS: Evaluating investments has become increasingly quantitative. To have any appreciation for what is happening with YOUR money, some number crunching is necessary. The algebra that the course uses is very manageable, even for those who have been far removed from its pleasures. A basic calculator will be depended on in virtually every class and definitely on every test. Bring a calculator to every class. EXAMS: The first exam is the most difficult, of approximately 40 questions, more than half of the value of the test is derived from word problems that use time value techniques. The majority of the remainder of the test is multiple choice. The second test is long (maybe 60 questions), the majority of which are multiple choice and very few problems. The final exam is the easiest, it covers the smallest amount of information and is non-cumulative. The exams are given on the dates listed. No more than two hours will be allotted to the exams - you will be told of any time constraints. The exams are reviewed at the following class period. If you are absent the class after the exam, your grade will be available at following class meetings. Since the final is not comprehensive, I keep the exams. HOMEWORK ASSIGNMENT #1: Bring to class the quarterly review of mutual fund performance, found as a special section of the Wall Street Journal. The review will be printed soon after the quarter closes on September 30th. We will discuss this report at the class period following its printing. Do not bring in copies, do not turn this assignment in after the due date.

TIME VALUE OF MONEY PRACTICE PROBLEMS