Investment decision making

The aim of this course is to introduce candidates to the key features of financial accounting, management accounting and financial management and how these three aspects are linked within the background of the stakeholders, the economy and the financial markets in which they operate.
By the end of this module you will be able to identify the key stakeholders in an organisation and its financial objectives and critically analyse the control mechanisms of a company's financial activities, including the role played by boards of directors and the audit process.

The goal is to provide candidates with critical knowledge of the capital budgeting process so they can make informed, reasoned and sustainable capital investment decisions.
By the end of this module you will be able to demonstrate a critical understanding of the process of evaluating long-term investments; identify, calculate and apply relevant cash flows and cost of capital within an investment; critically understand the impacts of taxation, inflation and working capital on investment planning and on the cash flows used in evaluating capital investments; and identify and apply appropriate measures of risk and uncertainty in evaluating investments.

We start with the efficient market hypothesis, which is a useful framework for modelling financial markets. Like any model, the efficient market hypothesis is not a perfect description of reality: some prices are almost certainly "wrong". Therefore, there are reasons to believe that active management can have efficient outcomes. Topics in active investing include securities analysis, active portfolio management, hedge funds, and risk management issues.

We make thousands of decisions every day. Should I cross the road now or wait for an oncoming truck to pass? Should I have fries for lunch or a salad? How much should I tip the taxi driver? We usually make these decisions almost without thinking, using what psychologists call "heuristics" - rules that allow us to navigate through life. Without these mental shortcuts, we would be paralyzed by the multitude of daily decisions. In some circumstances, however, these shortcuts lead to predictable mistakes - predictable, that is, if we know what to look out for. Behavioral finance addresses these and dozens of other financial decision-making mistakes that we can avoid if we know the biases that cause them. As part of the study, we will explore these predictable mistakes and see where we are most susceptible to them. The goal is to guide participants to make better financial decisions. Learn how to improve your spending, saving and investment decisions for the future.

Learn about the main financial markets and their characteristics and how they are linked to the economy. Our experts will first teach you how the price of stocks and bonds are calculated and why they move, while you become increasingly aware of the concept of risk and why it is important in measuring investment performance. We will then focus on less popular markets such as gold, emerging markets, real estate, hedge funds and private markets. These will be analyzed with an emphasis on their specific risks and return opportunities, as well as how they can help in constructing efficient portfolios. Finally, central bank policy and its impact on financial markets will be introduced, along with the link between the economy and the price of financial assets.

Everyone has made an investment decision. Some may have turned out well, while others may have left you feeling disappointed, frustrated or other negative emotions. Chances are that the difficult decisions are not over for you; your personal and professional life is likely to continue to be full of difficult decisions, and with that comes your investment decisions. This course will help you gain more confidence in yourself as a problem solver as you develop your decision-making skills.