Chabot CollegeFall, 2006

Removed Fall 2009

Course Outline for Business 81

INTRODUCTION TO INVESTMENTS

Catalog Description:

81 - Introduction to Investments3 units

Application of investment principles, including the various types of securities, the problems of securing capital for business ownership and the decisions involved in an individual or a corporate investment program. 3 hours.
[Typical contact hours: 52.5]

Prerequisite Skills:

None

Expected Outcomes for Students:

Upon completion of this course, the student should be able to:

  1. identify the risks of investments;
  2. discuss how investment markets work;
  3. discuss the business of investments—the securities business, stock brokerage firms, and mutual fund companies;
  4. compare and contrast investment opportunities available in stocks, cash, commercial paper, notes, bonds, mutual funds, real estate, collectibles, commodity contracts, future indexes, limited partnerships, and commodities;
  5. research investment information;
  6. prepare basic investment recommendations for individuals in various investment situations.

Course Content:

  1. Overview of investment situations
  2. Equity and debt securities
  3. Risks and returns
  4. How the securities business works
  5. Services of stock brokerage firms
  6. The New York Stock Exchange
  7. Averages and indexes
  8. Sources of information
  9. Financial and technical statement analysis
  10. Taxes and tax shelters
  11. Real estate investments
  12. Antiques, gems, and other investments
  13. Stock and index options
  14. Convertible securities, warrants, rights
  15. Commodities

ChabotCollege

Course Outline for Business 81, Page 2

Fall 2005

Methods of Presentation:

1.Lectures

2.Discussion

3.Videos

4.Guest speakers

5.Internet research exercises

Assignments and Methods of Evaluating Student Progress:

1.Typical Assignments:

  1. Go to the Yahoo Finance website. Research Delta Airlines and United Airlines. Compare the two stocks as potential investments, utilizing criteria including price/earnings ratio, cash flow, risk, growth projections, and historical total return.
  2. Working in a team, provide an investment portfolio recommendation for a hypothetical individual with two children and $250,000 to invest at age 30. Provide a similar recommendation for this same individual at age 60. Support your recommendations using portfolio management theory.

2.Methods of Evaluating Student Progress:

  1. Examinations
  2. Quizzes
  3. Case studies
  4. Team and individual projects
  5. Final examination

Textbook(s) (Typical):

Fundamentals of Investment Management, 8th Edition, Geoffrey Hirt, Stanley Block, McGraw-Hill Irwin, 2006.

Investments: An Introduction, 8th Edition, Herbert Mayo, South-Western, 2006.

Special Student Materials:

None

jn 08/05

BUS 81 course outline