This class offers an advanced introduction to theory and empirics of investment analysis. Specifically, the class will cover topics such as financial instruments, asset pricing theory, portfolio theory, investment strategies and performance evaluation.

Students will hone skills to assess current issues and debates covered by both the popular media and more-specialized finance journals (e.g., impact of tariffs on asset valuation; role of geopolitical risk, etc.)

This class will cover the following topics: 1. Asset Classes and Financial Instruments 2. How Securities are Traded 3. Risk, Return, and the Historical Record 4. Capital Allocation to Risky Assets 5. Efficient Diversification 6. Index Models 7. The Capital Asset Pricing Model 8. Arbitrage Pricing Theory and Multifactor Models of Risk and Return 9. The Efficient Market Hypothesis 10. Behavioral Finance 11. Portfolio Performance Evaluation 12. Alternative Assets 13. ESG, Climate Risk and Investment

Bodie, Kane and Marcus, Investments, 13th Edition (or more recent), McGraw-Hill. This textbook is required. Material supplied by the instructor (including papers, lecture notes and slides).

In class lectures, assignments, in-class tutorials, investment games

Attendence Students who actively participate in at least 70% of classes are considered to be attending. Classroom attendance is recorded through the BEACON system. Students who do not reach the minimum classroom attendance threshold of 70% become non-compliant. Without prejudice to the mandatory attendance requirement as stipulated in the University's Didactic Regulations (Regolamento Didattico di Ateneo), students on international exchange, with proven health problems, engaged in work or internship, and athletes may be exempted from compulsory attendance. The request to be exempted from compulsory attendance should be submitted to the Graduate School office, with appropriate supporting documentation, by the first week of the semester. The outcome of the request is notified via e-mail. Valuation Attending students are involved in a continuous assessment that corresponds to one-third (1/3) of the overall evaluation. During the continuous assessment, students are subjected to various assessment activities and tests, designed to monitor progressive learning and the acquisition of skills. These activities include practical exercises, group projects, presentations, individual tests or assignments, or other forms of evaluation. In the exam sessions, attending students take an individual final exam that corresponds to two-thirds (2/3) of the overall evaluation. The final examination is aimed at the recognition of the knowledge and skills acquired and consists of a written examination. The combination of continuous assessment (one-third) and final exam (two-thirds) is valid only in the examination dates scheduled at the end of the semester in which the course is taught. In subsequent examination sessions (retake sessions), students are evaluated exclusively through a single final examination (100%), thus losing the continuous assessment grade. The continuous assessment is mandatory for attending students. Continuous assessment's grades cannot be refused. Students who are exempted from compulsory attendance or are non-compliant, shall take a final examination that corresponds to 100% of the overall evaluation, and which is based on an appropriate study load that can compensate for the missed knowledge acquisition over the semester.

Students interested in preparing a Master thesis in this class are required to submit a proposal indicating the quantitative contribution and data they expect to use. Students will be selected on the basis of their proposal and performance in the class.