Class Notes
These lecture notes cover the core topics of the course, from portfolio theory to asset pricing. Each chapter is self-contained and available in both HTML and PDF, so you can read online or download a copy for offline study.
Portfolio Theory
This section develops the tools investors use to characterize risk and return and to build optimal portfolios. We start with the statistical properties of asset returns, move through utility theory and capital allocation, and end with the CAPM and the index model as ways to price risky assets.
| Topic | Date | Notes |
|---|---|---|
| Statistics of Asset Returns | 8/24-26 | Notes |
| Utility Theory Under Uncertainty | 8/31 | Notes |
| Optimal Capital Allocation | 9/2, 9/14 | Notes |
| Portfolios of Risky Assets | 9/9 | Notes |
| Perfect Correlation | 9/16 | Notes |
| Beta Pricing | 9/21 | Notes |
| The Capital Asset Pricing Model | 9/21 | Notes |
| The Index Model | 9/30 | Notes |
Supplementary Notes
This section contains notes that are not part of the assigned schedule. They are not tied to a specific class session, but you may find them useful as background or as further reading.
| Topic | Notes |
|---|---|
| Probability Basics | Notes |
| The Fisher Model | Notes |