Sound investment decisions require an in-depth knowledge of the financial markets and available financial instruments. This book provides students and professionals with an understanding of the role and activities of an equity security analyst within the investment process. Emphasis is on understanding the process of analyzing companies; the valuation process; and the challenges of achieving success in a highly competitive capital market. The authors present a comprehensive compendium on the financial theory, the empirical evidence and the mathematical tools that form the underlying principles of investment decisions.

to securities markets and investment management

to Market Microstructure
An Overview of Securities Markets Regulation around the World
Financial Theories
The Capital Asset Pricing Model and Arbitrage Pricing Theory: Theory
The Capital Asset Pricing Model and Arbitrage Pricing Theory: Tests and Application
Financial Statements and Equity Prices
Accounting and Financial Analysis
The use (and misuse) of Cash flow statements
Prospective Analysis: Guidelines for Forecasting Financial Statements
Valuation models
The EVA Approach to Investing
DCF Valuation Models: Free Cash flow, APV, ECF and CCF valuation models
Valuation Using Multiples
Real Options Perspective of Security Analysis
Investing in Initial Public Offerings and Depository Receipts
Equity Options
Pricing Equity Options
Investing in Exotic Options
Fixed Income and Credit sensitive instruments
An Overview of Fixed Income Securities and Markets
Investing in Convertibles, Preferred Stocks and Warrants
Managing Fixed Income Portfolios
Interest Rate Derivatives
The Credit Market
Investing in Credit Derivatives
Active Investments and Market efficiency
Market Efficiency: Theory, Tests and Applications
An Overview of Mutual Funds and Exchange Traded Funds
Understanding Active Portfolio Management
Measuring Mutual Fund Performance
Hedge Funds
Investing in Emerging Markets
Behavioral Finance and Summary
Behavioral Finance and Investment Strategy.