Applied Portfolio Construction is a "capstone" elective that draws on core investment principles, theories and techniques previously studied. The objective of this course is to introduce students to portfolio construction and asset allocation. It will focus on gaps in theory and how they can be managed in practice. Examples include challenges/realities in estimating and implementing portfolio optimization programs, role of liquidity, plan governance. Topics will include dimensions of risk, asset classes (equity, fixed income, FX, alternative assets, governance, benefits and fund structure, fund of funds, time diversification and target date funds.

1. Understand and implement asset allocation and portfolio construction
2. Able to communicate portfolio objectives and implementation
3. Understand the role of market liquidity and plan governance in porfolio policy implementation.

The assessment for this course is proposed to be made on the following basis:  40% Case study; 30% Mid-semester examination; 30% Final Examination