SVKM’s NMIMS ASMSOC – Course Outline

Course Code
Course Title Equity Fund Management – Processes and Practices
Course Mr. Harsh Thakrar
Instructor/s Dr. Akshay Damani
Course Credit 4
Program and BBA – Semester VI
Semester
Pre-Requisite Students are expected to have an understanding of basics of
Mutual Funds, Financial Markets and Financial Products
Learning - To acquaint students with the procedural and practical aspects
Objectives of fund management in the mutual fund industry (PLO1a)
- To comprehend and apply techniques of technical analysis in
financial markets and develop decision making skills (PLO2a)
Learning Course learning Outcomes
Outcomes CLO1 – Students will be able to Understand and learn Fund
Management Environment and processes along with Fund
Management Styles
CLO2 – Students will be able to apply technical analysis for
trading in securities and analyse historical data and back test and
develop strategies to trade
Course The course covers key aspects in the area of Fund Management
Description processes including fundamental and technical analysis. It dwells
upon the key aspects of the mutual fund industry including
research process, trade execution and compliance for mutual fund
industry.
Evaluation Specific Assessment % AOL Intended CLOs to be
Pattern Methods / Task Wei Instru Assessed
ghta ments
ge
Project 15% Group CL CL CL CL CL
(15 marks) Activit O1 O2 O3 O4 O5
(Fundamental Analysis) y
Mid-Term 10% Test þ þ
(10 marks)
(Fundamental Analysis)
Assignment and 15% Group þ þ
Presentation Activit
(15 marks) y
(Technical Analysis)
Mid-Term 10% Test þ þ
(10 marks)
(Technical Analysis)
Term End Examination 50% Test
 Course Session Plan
Session Topics / Module Chapters (Mention Page
Numbers) / Articles / Cases /
(Mention Topic / Module with Material and Activities
Learning Outcome)
1-2 Background Mutual Fund Industry Handbook:
• Types of mutual funds A Comprehensive Guide for
(including ESG funds) Investment by Sundar Sankaran
• Typical organization structure (Chapter 1-4, pp. 1-82)
within a fund management
company PPTs, Cases and Industry Reports
• Implications of the fiduciary
role of fund manager
• Components of a mutual fund
factsheet
Learning outcomes: Students will
be able to understand the
fundamental aspects of the Mutual
Fund industry
3-17 Asset Allocation and Security Mutual Fund Industry Handbook
Selection Techniques by Sundar Sankaran (Chapter 5,
• Typical research processes pp. 83-108)
involved in asset allocation as well
as security selection Investments by BKMM (Chapter
• Black-Litterman Model of 27, pp. 951-976)
portfolio construction
• Brinson Attribution Model Brinson, G. P., & Fachler, N.
• Alternate Investment Funds in (1985). Measuring non-US. equity
fund management portfolio performance. The
• Dissecting and preparing an Journal of Portfolio Management,
Institutional Research Report 11(3), 73-76.
• Shiller P/E ratio (CAPE)
Brinson, G. P., Hood, L. R., &
• Factors Affecting Asset
Beebower, G. L. (1986).
Allocation Decision
Determinants of portfolio
Learning outcomes: Students will
performance. Financial Analysts
be able to learn the asset allocation
Journal, 42(4), 39-44.
processes in the Fund house
PPTs, MS-Excel, Cases,
Numericals, Industry Reports
18-20 Style vs Process Mutual Fund Industry Handbook
• Balance between individual by Sundar Sankaran (Chapter 9,
styles vs. institutional processes pp. 187-206)
• Portfolio management for
institutional investors PPTs, MS-Excel, Cases,
Learning outcomes: Students will Numericals, Industry Reports
be able to familiarize themselves
with the various Fund
Management styles
21-27 Role of fund manager v/s Mutual Fund Industry Handbook
research analyst by Sundar Sankaran (Chapter 6,
• Role of buy-side research pp. 109-130)
analyst
• Role of fund manager PPTs, Cases and Numericals
• Integration process for the fund
management team
Stock selection criteria: Models to
identify financial statement
authenticity
• DeChows F-Score
• Beneish M-score Model
• Benford Law
• Altman Z-Score
• Zmijewski X-score model
• Springate model
• Ohlson O- score model
Learning outcomes: Students will
be able to understand the
fundamental aspects of fund
research and role of fund manager

28-30 Compliance and Dealing Room Mutual Fund Industry Handbook

• Various regulatory aspects by Sundar Sankaran (Chapter 7-8,
involved in the fund pp. 131-186)
management process
• Expected code of conduct from PPTs, MS-Excel, Cases and
the fund management Numericals
professionals
• Role of the dealing room team
• Checks and balances between
the fund management team and
the dealing room team
• Execution of portfolio decisions
• Implementation Shortfall
• Introduction to Algo Trading
Learning outcomes: Students will
be able to understand the various
aspects of a dealing room and
learn the legal aspects of the Fund
Management Process

31-36 Technical Analysis: Technical Analysis Explained-

Introduction and Concepts
-The Market cycle
Concepts–Trend Line–Channel-
Break out - Support and
Resistance,
- Charts types –OHLC- Line chart,
Pivot Points
Martin Pring Chapter 1, pg3-16
Chapter 5, pg55-69
Chapter 8, pg115-165
Chapter 11, pg209-232
Technical Analysis of Stock
Trends- Edwards, Magee and
Bassetti. Eleventh edition (2019)
 Price patterns – Heads and Chapter 14, pg253-280
Shoulders, Tops and Bottoms, Use of tradingview.com platform
Triangle–Cup and Handle. for understanding and back
Learning outcomes: Students will be testing techniques
able to understand different aspects
of the chart, identify chart patterns,
analyse & develop strategies based on
charts
37-38 Dow Jones Theory and Elliot Technical Analysis Explained -
Wave Theory Martin Pring Chapter 27
Learning outcomes: Students will Use of tradingview.com platform
be able to learn the development for understanding and back testing
and application of technical trades
indicators
39-44 Candle stick patterns: Doji, Technical Analysis Explained-
Hammer, Three white soldiers and Martin Pring
three black crows, morning and Chapter 16, pg340-372
evening stars, Marubozu, Use of tradingview.com platform
Engulfing, Harami, Flag, Pennant , for understanding and back
Rectangle, Tweezers, Abandoned testing trades
Baby, Marubozu, 3 Outside-Inside
up-down, Ladder Pattern,
Homing Pigeon, Heiken Ashi,
Tasuki Gap, Fibonacci retracement
Learning outcomes: Students will
be read, interpret and identify the
candle stick patterns and aim to
predict patterns.
45-60 Indicators- Types of Indicators Technical Analysis Explained-
- Momentum Indicators Martin Pring
RSI, Williams’s %R, Chande Chapter 9 to 15, pg 166-339,
Momentum. %k%d indicator Chapter 26, pg531-559
-Volatility Indicators
Bollinger bands, Donchain Use of tradingview.com platform
Channel, ATR for understanding and back testing
-Trend Indicators trades
Ichimoku Kinko Hyo, SMA, EMA,
WMA - MACD, Vortex indicator
Volume Indicators
On-balance Volume, Chaikin
Oscillator
Others
Commodity Channel Index,
Coppock Curve, Keltner channel,
Ulcer index, Rate of Change,
Aroon, ADX
Learning outcomes: Students will be
able to learn the development and
application of technical indicators,
form trades and analyse their
performance
 Prescribed Textbooks:
- Investments by Bodie, Kahn, Marcus, and Mohanty (BKMM), Eleventh
Reading Edition, McGraw-Hill; Eleventh edition, 2019
List and - Technical Analysis Explained- Martin Pring, Fifth Edition,
Referenc (13th Reprint 2021), Tata McGraw Hill (Education) India
es - Technical Analysis of Stock Trends- Edwards, Magee and Bassetti.
Eleventh edition (2019), Routledge, Taylor and Francis Group, USA
References:
- Mutual Fund Industry Handbook: A Comprehensive Guide for
Investment by Sundar Sankaran, 2018
- Brinson, G. P., & Fachler, N. (1985). Measuring non-US. equity
portfolio performance. The Journal of Portfolio Management, 11(3), 73-
76.
- Brinson, G. P., Hood, L. R., & Beebower, G. L. (1986). Determinants of
portfolio performance. Financial Analysts Journal, 42(4), 39-44.
- Right Stock at Right Price for Right Time by Shabbir Bhimani (2019).
Notion Press; 1st edition.
- Technical Analysis of Financial Markets - John Murphy (Second
edition, 2020), Prentice Hall Press, New York Institute of Finance, USA

Websites:
(a) Website: https://nseguide.com/ for Technical analysis
(b) Website https://in.tradingview.com/ for Technical analysis

Prepared by Faculty Approved by Program Approved by Associate

Members Chairperson Deans
Mr. Harsh Thakrar
Dr. Akshay Damani
Approved by I/C Dean –
ASM SOC

Note:
(i) Use of Tradingview.com platform for understanding and back testing trades.
(ii) Books prior to 2018 are classic and the latest edition available. They cover the
concepts much in detail.
Latest Edition: Technical Analysis Explained- Martin Pring, McGraw Hill Education;
Fifth edition (2017)

Classic books:

- Getting Started in Technical Analysis by Jack Schwager, John Wiley & Sons Inc., 1999