CURRICULUM PROPOSAL FORM #3
UNIVERSITY OF WISCONSIN-WHITEWATER

NEW COURSE


Effective: Spring 2001
Course Number: * 240-484   Cross Listed Number:  
Course Title: Applied Investments  
(limited to 65 characters)
 
15 Character Abbreviation: APPLIED INVEST
25 Character Abbreviation: APPLIED INVESTMENTS

 
 
Sponsor: John Howat   E-mail Address: howatj@uww.edu
Department: Finance & Business Law   College: Business and Economics
         
Co-sponsor:     E-mail Address:  
Department:     College:  
  * You MUST verify course numbers with Registrar's Office prior to submitting (x1211)
Other Programs Affected:  

 
Check if course is to meet any of the following requirements:
__ None __ Writing __ Computer __ Diversity __ General Ed and Area  

 
Credit/Contact Hours: (per semester)
Total lab hours: 2.0   Total lecture hours: 1.0
Number of credits: 3.0   Total contact hours: 3.0

 
Check if course is repeatable: _ No X Yes (if yes, answer the following questions)
  • No of times in major
 Twice   #of credits in major 6.0
  • No of times in degree
 Twice   #of credits in degree 6.0

 
Enter the appropriate titles if the course is required in any of the following:
Major Title(s)          
Minor Title(s)          
Emphasis Title(s)          

Course justification:

In May 1999, the UW-W Foundation approved a proposal from the College of Business and Economics, and the Finance and Business Law Department, to designate $10,000 of Foundation funds to be invested by a select group of finance students. The Applied Investments Program began in Fall 1999. Five students were selected to participate for the 1999-2000 academic year. A new group of students will be selected each Spring to participate for the next academic year. This is a great, hands-on learning experience for the students. We believe they deserve six credits for the year-long experience.

Rather than giving them credit through internship and independent study (as is being done this year), this new course will provide a means to give credit for the experience which will be easily identifiable on the students’ transcripts. This experience will give the participants a significant advantage over other students in competing for jobs in the security analysis field, and for spots in graduate programs. They will be able to show employers and graduate school committees that they have completed an applied investments program.

Relationship to program assessment objectives:

This course should help students meet all six of the department’s educational objectives. The experience that the students get should be a real capstone to their finance program. They will draw upon the knowledge gained from all of the courses in their major and most of the courses in their business program.

Budgetary impact:

There should be no budgetary impact. Department faculty are willing to serve as advisors to these students as part of their service to the University. Therefore, no additional staff are needed.

Course description:

Students will gain hands-on experience by managing a real portfolio of securities. After developing a group investment philosophy, they will analyze the current holdings, investigate other alternatives, and make buy and sell decisions as a group. Presentations of the students’ research will be made to an advisory board made up of faculty and investment professionals.

Course requisites:

Corequisite 240-456 Security Analysis, and consent of Department Chair.

If dual listed, list graduate level requirements:

Course objectives and tentative course syllabus:

The objectives of the course are to learn about the principles and the process of security analysis and portfolio management. Students will determine an investment philosophy, select alternatives that are consistent with that philosophy, and pick the best investments from those alternatives. They will monitor the performance of the portfolio, and make changes when deemed necessary.

Tentative Course Syllabus

Week 1 Introduction

Week 2 Meet with Advisory Board

Week 3 Market Indicators and Strategies
Sources of Information

Week 4 Investment Philosophies

Week 5 Valuation Methods

Week 6 Economic Analysis

Week 7 Industry Analysis

Week 8 Company Analysis

Week 9 Presentations

Week 10 Presentations & Reports Due

Week 11 Analyzing Risk

Week 12 Analyzing Growth

Week 13 Portfolio Management

Week 14 Presentations

Week 15 Presentations & Reports Due

Grading: The team will prepare a written investment philosophy. All will get the same grade for it, and it will count as 25% of the final grade. Each student will write research reports on two companies, and formally present his/her recommendations to the Advisory Board. These will be graded individually. The reports will count as 50% of the final grade and the presentations count as 25% of the final grade. Bibliography:

Bernstein, Peter, Capital Ideas

Brandes, Charles, Value Investing Today

Buffett, Warren, Chairman’s Letters from Berkshire Hathaway Annual Reports

Graham, Benjamin, The Intelligent Investor

Hagstrom, Robert, The Warren Buffett Portfolio

The Warren Buffett Way

Lee, Ken, Trouncing the Dow

Lowenstein, Roger, The Making of an American Capitalist

Malkiel, Burton, A Random Walk Down Wall Street

O’Neill, William, How to Make Money in Stocks

O’Shaughnessy, James, How to Retire Rich

Invest Like the Best

What Works on Wall Street

Siegel, Jeremy, Stocks for the Long Run

Vick, Timothy, Wall Street on Sale