Portfolio measures and revision

Portfolio measures and revision

Bachelor of Business Studies (BBS) — Fourth Year

Subject: Fundamentals of Investment (FIN 253)

Unit 10: Managing Portfolios

Academic Year: 2083/84

Topic Objectives

After studying this topic, students should be able to:

• Explain the scope and key elements of portfolio measures and revision.
• Apply the relevant financial concepts or calculations and explain their assumptions, risks and analytical limits.

Curriculum Scope

• Assessing portfolio performance: measuring portfolio return, comparison of portfolio return with overall market measures – Sharpe’s measure, Treynor’s measure, Jensen’s measure
• Portfolio revision

Detailed Microsyllabus

1. Risk-adjusted measures

   1. Portfolio return and market comparison.
   2. Sharpe's total-risk measure.
   3. Treynor's beta-based measure.

2. Revision

   1. Jensen's model-based excess-return measure.
   2. Interpret results under stated assumptions.
   3. Review allocations without assuming past performance persists.

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Curriculum reference: Tribhuvan University, Faculty of Management, revised four-year BBS curriculum, PDF pages 89–91.

Source note: The curriculum scope above is retained from the existing TU syllabus breakdown. The numbered study subtopics are editorial elaborations for teaching and study, rather than a separately issued TU syllabus. Unit or component allocations apply at their stated level; no separate topic hours or marks are assigned here. Examples involving current laws, rates, institutional products or Nepalese status must identify the relevant period and official materials; no changing numerical or legal requirements are invented here.