Introductory description

This is an elective module available for WBS and non-WBS students. To find detailed availability and to apply for this module, log in to my.wbs.ac.uk using your normal IT login details and apply via the my.wbs module application system. Once you’ve secured a place on my.wbs you should apply via your home department’s usual process, which usually takes place via eVision. Note that you do not require the module leader’s permission to study a WBS module, so please do not contact them to request it.

Alternative and responsible investments by their very nature are applications of various disciplines. Therefore, this general practitioner module will build on the students’ knowledge from any relevant courses general finance, corporate finance, investment, economics, accounting, financial analysis, asset pricing, valuation, statistics, econometrics, financial mathematics, big data, machine learning, law, etc (none of such subjects is a specific prerequisite for this elective).

Students on the module are strongly encouraged to make the practical link between their other subjects, in particular the module IB357 - Investment Management, and the topics of this elective and how this could inform their future career or research decisions. It will also enable students to recognise how they can leverage their knowledge in other disciplines to pursue and develop a career in or around alternative or responsible investments.

Students should note that this is a challenging, intense and fast-paced module covering multiple topics.

Module web page

Module aims

Outline syllabus

This is an indicative module outline only to give an indication of the sort of topics that may be covered. Actual sessions held may differ.

1. Introduction to Alternative Investments

2. Hedge Funds (HFs)
   -Introduction to Hedge Funds
   -Global Macro
   -Managed Futures
   -Event Driven Hedge Funds
   -Relative Value Hedge Funds
   -Equity Hedge Funds
   -Funds of Hedge Funds
   -Introduction to Risk Premia: Alternative Risk Premia vs Smart Beta
   -Due Diligence of Fund Managers

3. Private Equity (PE) including Venture Capital (VC)

4. Introduction to Real Assets (RA)

5. Responsible Investments (RI) focusing on Equity ESG Investing

Learning outcomes

By the end of the module, students should be able to:

• Demonstrate a good basic understanding and appreciation of the current issues around socially responsible investments.
• Apply relevant knowledge to a range of situations in assessing alternative investment opportunities.
• Apply appropriate techniques to allow detailed investigation of alternative investment options.
• Show creativity in the application of knowledge, together with a practical understanding of how established techniques of research and inquiry are used to develop and interpret knowledge of sustainable investment.

Indicative reading list

Textbook: Chambers, Anson, Black and Kazemi (2020), Alternative Investments CAIA Level I, 4th edition, Wiley

CFA Institute , Certificate in ESG Investing Curriculum, 2021 3rd Edition

Subject specific skills

By the end of the module, the student should be able to:

• Show the ability to acquire and analyse data and information to evaluate their relevance in a sustainable investment context.
• Demonstrate a good conceptual understanding of ESG (Environmental, Social and Governance) fundamentals.

Transferable skills

By the end of the module, the student should be able to:

• Apply empirical tools relevant for alternative and sustainable investment to analyse data.
• Oral communication skills to discuss policy relevant questions.