BU.232.730.XX –Wealth Management– Instructor Name – Page 1 of 6

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Wealth Management

2 Credits
BU.232.730.XX
[NOTE:Each section must have a separate syllabus.]
[DayTime/ex: Monday, 6pm-9pm]
[StartEnd Dates / ex: 3/24/15-5/12/15]
[Semester / ex: Fall 2016]
[Location / ex: Washington, DC]

Instructor

[Full Name]

Contact Information

[Email Address]

[Phone Number, ###- ###-#### (Optional)]

Office Hours

[Please specify the day and time of the 2 hours that will be dedicated to office hours each week. For evening classes, faculty may wish to hold their office hours by phone or email. While faculty are permitted to state “and by appointment,” office hours should not be held exclusively by appointment.]

Required Text(s)Learning Materials

Dalton, Michael A. (2016).Personal financial planning theory and practice,9th edition. Kaplan, Inc.

All necessary supplementary reading materials will be made available on Blackboard.

Course Description and Overview

This course provides strategies for coordinating financial planning for high-net-worth individuals. Students will become skilled at identifying and dealing appropriately with clients’ goals, needs, and problems in the areas of investment and investment planning.

This course is designed for students interested in pursuing a career in Wealth Management. This course is designed to address the importance of taxation, retirement, capital accumulation and estate planning for an individual.

Wealth Management broadly defined consists of investment advisory services made available to clients. Clients may include: retail investors, high net-worth individuals, family offices, institutional investors, pension funds, sovereign wealth funds, etc. The fiduciary responsibilities inherent in Wealth Management will be stressed throughout this course. Moreover, students should gain a deep understanding of the relevant issues when recommending investments to potential clients. The course will train students how to optimally manage investments in light of the many known and unknown risks and constraints. Students will learn how to better position their advice by establishing trust and understanding the client’s needs.

This course will not only cover the most recent topics currently being debated within the Wealth Management industry but also review the prior academic knowledge regarding Wealth Management. The goal will be to obtain a keen understanding of the arguments on the opposing sides of the current and past issues in Wealth Management.

Prerequisite(s)

BU.231.620 OR BU.910.611 OR BU.234.610

Statement about Finance and Social Responsibility

The effectiveness and perceived integrity of finance have been tested in recent years. Along with preventable excesses and regrettable distortions, financial innovation has, however, always been an effective means for society to achieve its goals, from insurance to consumption to saving. The power of financial innovation as a generator of inclusive prosperity and widespread well-being can (and should be) reclaimed. In this context, optimization of shareholder’s value, for instance, may not be the only metric along which financial success is measured and should be placed, along with other traditional finance metrics, in the broader context of its contribution to society. To this extent, Carey encourages technical, non-ideological, exchanges of ideas leading to a better understanding of the broader role of finance as a force for shared prosperity. We will incorporate a reading or an in-class discussion of current events that provides an initial opportunity for technical discussions of these issues as they relate to the topics covered in Wealth Management.

Learning Objectives

By the end of this course, students will be able to:

  1. Gain knowledge of the Global Wealth Management industry
  2. Gain factual knowledge of all aspects of the financial planning process and the impact of inflation, interest and taxes on financial decision-making
  3. Construct and analyze personal financial statements
  4. Comprehend traditional assets and their historical behavior
  5. Understand fiduciary responsibilities
  6. Understand non-traditional investments
  7. Apply benchmarks
  8. Identify the need for and suitability of life, health, disability, and property insurance
  9. Apply course material to establish investment policies that are consistent with client goals and objectives

To view the complete list of Carey Business School’s general learning goals and objectives, visit the Carey website.

Attendance
Participation is part of your course grade. Students are expected to attend all scheduled class sessions. Failure to attend class will result in an inability to achieve the objectives of the course. Full attendance and active participation are required for you to succeed in this course.

The structure of this class makes your individual study and preparation outside the class very important. Reading the assigned chapters/handouts before class will greatly assist your understanding of the lecture.

Assignments

Assignment / Learning Objectives / Weight
Homework 1 / 1–9 / 10%
Homework 2 / 1–9 / 10%
Homework 3 (in-class presentation) / 1–9 / 10%
Class Participation / 1–9 / 20%
Comprehensive Final Exam / 1–9 / 50%
Total / 100%

Homework assignments: Students can work on these in groups (maximum 3 people) but do not have to do so, if students so choose. The assignments will be graded ++ (turned in and well-crafted), + (turned in and not-so-well-crafted), and – (not turned in).

Exams and assignments are designed so that students who obtain a high grade have clearly demonstrated their extra effort and interest in the subject, through their own reading and additional practice. Without a substantial amount of practice, it may be difficult to succeed in this course.

Makeup Exam Policy

Makeup exams may be available only to students who have a legitimate excuse for missing an exam such as death in the immediate family, etc. If a student misses an exam unexpectedly because of last minute illness or accident, the student should contact the instructor when she/he is available, with documentation of the situation.

Grading

Effective Fall 2017: The grade of A is reserved for those who demonstrate extraordinarily excellent performance as determined by the instructor. The grade of A- is awarded only for excellent performance. The grades of B+, B, and B- are awarded for good performance. The grades of C+, C, and C- are awarded for adequate but substandard performance.The grades of D+, D, and D- are not awarded at the graduate level (undergraduate only). The grade of F indicates the student’s failure to satisfactorily complete the course work.

Please note that for Core and Foundation courses, a maximum of 25% of students may be awarded an A or A-; the grade point average of the class should not exceed 3.3. For Elective courses, a maximum of 35% of students may be awarded an A or A-; the grade point average of the class should not exceed 3.4. (For classes with 15 students or fewer, the class GPA cap is waived.)

Tentative Course CalendarThe instructors reserve the right to alter course content and/or adjust the pace to accommodate class progress. Students are responsible for keeping up with all adjustments to the course calendar.

Week / Date / Topic / Reading / Assignments
1 / Introduction
Fiduciary Responsibilities
Current Global Wealth Dynamics
Potential Clients
Understanding the External Environment / Chapters 1, 2, 3, 6
Capgemini Reports / HWK1 Assigned
2 / Personal Financial Statements
Establishing Financial Direction
Income Tax Planning
Education Funding / Chapters 4, 5, 7, 13
3 / Introduction to Insurance and Risk Management
Managing Life, Health & Disability Risks
Personal Property and Liability
Social Security / Chapters 8, 9, 10, 11 / HWK1 Due
HWK2 Assigned
4 / Long-Term Perspective on Traditional Assets
Endowment Model
Risk Parity
Permanent Portfolio / Siegel’s Chapters 1, 2
Supplements
5 / New Investments Approaches
Hedge Funds
Private Equity
Real Estate
Real Assets / Supplements / HWK2 Due
HWK3 Assigned
6 / Operational Due Diligences / Supplements
7 / Retirement Planning
Basic Retirement Plans
Practice of Financial Planning / Chapters 15, 16, 18 / HWK3 Due
(in class presentation)
8 / Comprehensive Final Exam

Reading List

Arnott, R. (2012). “The Glidepath Illusion,” Fundaments, Research Affiliates, September.

Asness, C. S., Moskowitz, T. J., Pedersen, L. H. (2009). “Value and Momentum Everywhere.” NBER/AQR.

Gross, B. (2012). “Cult Figures.” PIMCO Investment Outlook, August.

Humphreys, J. et al. (2010). “Educational Endowments and the Financial Crisis: Social Costs and Systemic Risks in the Shadow Banking System.” Center for Social Philanthropy Tellus Institute.

Hurst, B. K., Johnson, B., & Ooi, Y. H. (2010). “Understanding Risk Parity.” AQR Capital Management.

Hurst, B. K., Ooi, Y. H., & Pedersen, L. H. (2012). “A Century of Evidence on Trend-Following Investing.” AQR Capital Management.

Keating, C., &Shadwick, W. F. (2002). “An Introduction to Omega.” The Finance Development Centre Limited.

Liew, J. (2011). “Chapter 37: Equity Hedge Fund Strategies.” CAIA Level II Book.

BU.232.730.XX –Wealth Management– Instructor Name – Page 1 of 6

Carey Business School

Policies and General Information

Blackboard Site

A Blackboard course site is set up for this course. Each student is expected to check the site throughout the semester as Blackboard will be the primary venue for outside classroom communications between the instructors and the students. Students can access the course site at Support for Blackboard is available at 1-866-669-6138.

Course Evaluation

As a research and learning community, the Carey Business School is committed to continuous improvement. The faculty strongly encourages students to provide complete and honest feedback for this course. Please take this activity seriously; we depend on your feedback to help us improve. Information on how to complete the evaluation will be provided toward the end of the course.

Disability Support Services

All students with disabilities who require accommodations for this course should contact Disability Support Services at their earliest convenience to discuss their specific needs. If you have a documented disability, you must be registered with Disability Support Services ( or 410-234-9243) to receive accommodations. For more information, please visit the Disability Support Services webpage.

Academic Ethics Policy

Carey expects graduates to be innovative business leaders and exemplary global citizens. The Carey community believes that honesty, integrity, and community responsibility are qualities inherent in an exemplary citizen. The objective of the Academic Ethics Policy (AEP) is to create an environment of trust and respect among all members of the Carey academic community and hold Carey students accountable to the highest standards of academic integrity and excellence.

It is the responsibility of every Carey student, faculty member, and staff member to familiarize themselves with the AEP and its procedures. Failure to become acquainted with this information will not excuse any student, faculty, or staff from the responsibility to abide by the AEP. Please contact the Student Services office if you have any questions. For the full policy, please visit the Academic Ethics Policy webpage.

Students are not allowed to use any electronic devices during in-class tests. Calculators will be provided if the instructor requires them for test taking. Students must seek permission from the instructor to leave the classroom during an in-class test. Test scripts must not be removed from the classroom during the test.

Student Conduct Code

The fundamental purpose of the Johns Hopkins University’s regulation of student conduct is to promote and to protect the health, safety, welfare, property, and rights of all members of the University community as well as to promote the orderly operation of the University and to safeguard its property and facilities. As members of the University community, students accept certain responsibilities which support the educational mission and create an environment in which all students are afforded the same opportunity to succeed academically. Please contact the Student Services office if you have any questions. For the full policy, please visit the Student Conduct Code webpage.

Student Success Center

The Student Success Center offers free online and in-person one-on-one and group coaching in writing, presenting, and quantitative courses. The center also offers a variety of workshops, exam study sessions, and instructor-led primer seminars to help prepare students for challenging course content, including statistics and accounting. For more information or to book an appointment, please visit the Student Success Center website.

Other Important Academic Policies and Services

Students are strongly encouraged to consult the Carey Business School’s Student Handbook and Academic Catalog and Student Resources for information regarding the following items:

  • Statement of Diversity and Inclusion
  • Inclement Weather Policy

Copyright Statement

Unless explicitly allowed by the instructor, course materials, class discussions, and examinations are created for and expected to be used by class participants only.The recording and rebroadcasting of such material, by any means, is forbidden. Violations are subject to sanctions under the Honor Code.