Option Area(s):

Finance (Investment Track)

Course Description :

This course is a continuation of MGMT 61400. In this course we will attempt to tackle the BIG question of "Can you predict the stock market?" This is not as straightforward a question as you might think. There are all sorts of issues that cloud the answer. Things like survivorship bias, data snooping, microstructure issues, and “cheating” on your reported results get in the way. We will discuss the stock picking skills of security analysts, brokerage houses, mutual fund managers, hedge fund managers, and other professional money managers. Then we will cover a range of stock picking/portfolio formation techniques that one might use to pick future winners and losers. These techniques will include traditional security analysis techniques, cross-sectional and time series based forecasting methods, the use of artificial intelligence in stock-market forecasting, and the one method that sometimes performs the best: the use of darts in selecting your stock portfolio.

Prerequisites :

MGMT 61000 and 61100, 61400.