Portfolio Management: Modern Strategies for Optimal Returns

Introduction

The field of portfolio management has rapidly evolved in recent years, driven by advancements in technology, changes in global financial markets, and the emergence of new investment opportunities. This five-day course on Advanced Portfolio Management is designed to provide participants with the latest knowledge and tools needed to excel in today's complex investment landscape. Whether you are a seasoned portfolio manager or a financial professional seeking to enhance your skills, this course will equip you with the most modern and advanced strategies to optimize portfolio performance and achieve superior returns.

Objectives

• Understand Modern Portfolio Theory (MPT) and its limitations in the current market environment.
• Explore cutting-edge portfolio construction techniques, incorporating alternative investments, factor-based models, and risk management strategies.
• Learn how to navigate the challenges posed by market volatility, geopolitical risks, and disruptive technologies.
• Discover advanced asset allocation methodologies that incorporate dynamic risk factors and market regime analysis.
• Develop a deep understanding of factor investing and how to implement factor-based portfolio strategies.
• Explore emerging trends in sustainable and socially responsible investing (SRI) and their impact on portfolio management.
• Gain insights into the role of artificial intelligence, machine learning, and big data analytics in portfolio construction and optimization.
• Understand the implications of behavioral finance on portfolio decision-making and learn how to mitigate cognitive biases.
• Learn the best practices for portfolio monitoring, performance evaluation, and rebalancing.
• Explore the challenges and opportunities in global portfolio management, including currency risk management and international diversification.

Course Outline

Day 1

 Modern Portfolio Theory and its Limitations

• Introduction to Modern Portfolio Theory (MPT)
• Efficient frontier and the concept of diversification
• Capital Asset Pricing Model (CAPM)
• Limitations of MPT in the current market environment

Day 2

 Advanced Portfolio Construction Techniques

• Alternative investments and their role in portfolio diversification
• Factor-based models and smart beta strategies
• Risk management techniques: Value at Risk (VaR), Conditional Value at Risk (CVaR)
• Portfolio optimization using advanced techniques

Day 3

 Navigating Market Volatility and Disruptive Technologies

• Managing portfolio risks in volatile markets
• Strategies for downside protection and tail-risk hedging
• Impact of disruptive technologies (e.g., blockchain, AI) on portfolio management
• Case studies and real-world examples

Day 4

 Factor Investing and Sustainable Investing

• Understanding factor investing and factor models
• Implementing factor-based portfolio strategies
• Introduction to sustainable and socially responsible investing (SRI)
• Integrating ESG (Environmental, Social, and Governance) factors into portfolio management

Day 5

 Advanced Techniques and Global Portfolio Management

• Role of artificial intelligence, machine learning, and big data analytics in portfolio management
• Behavioral finance and its implications for portfolio decision-making
• International diversification and currency risk management
• Portfolio monitoring, performance evaluation, and rebalancing techniques