The British Academy offers a comprehensive Active Portfolio Management and Asset Allocation Course designed to equip professionals with the knowledge and skills needed to excel in investment management. Among the important topics, active portfolio management principles and the role of asset allocation in optimising investment strategies are usually taught in this course. Attendees are likely to discover topics regarding the differences between a passive and active style of management, and also mention diversification as an important risk-management technique. Meanwhile, this course allows attendees to get into the basics of Modern Portfolio Theory (MPT), the Capital Asset Pricing Model (CAPM), and Behavioral Finance by forging a strong ground in understanding how best the markets should be perceived.

Afterward, the course moves toward risk management techniques, including quantitative approaches and strategies, as well as asset selection and weighting methods for building a balanced portfolio. Practical insights into performance evaluation using measures such as the Sharpe ratio, alpha, and beta, together with attribution analysis for evaluating portfolio outcomes, will be imparted to attendees.

It includes sophisticated techniques such as dynamic asset allocation, risk parity, and factor investing that enable professionals to think ahead in portfolio management. In addition, the applicability of the real-life case studies will allow attendees to implement them in their careers.

After completing the programme, attendees will be equipped to diversify their client portfolios and allocate assets optimally, which would lead to improving investment returns while managing risk effectively.

Objectives:

The primary objective of this course are:

1. Understand the basics of active portfolio management and its significance in investment strategies in connection with asset allocation. 

2. Learn to measure and choose financial instruments for constructing a portfolio. 

3. Acquire skills to manage risks, maximise returns, and reallocate portfolios according to market conditions. 

4. Understand asset classes such as equity, fixed income, alternative investments, and commodities. 

5. Learn evaluation techniques for performance, along with the importance of benchmarking as a basis of performance.

Who should attend?

This course is ideal for:

People who really represent investment oriented roles such as investment advisors, portfolio managers, financial analysts could equally benefit from this course to significantly raise their knowledge around active portfolio management and asset allocations. Other individuals who stand to gain from this course include those in asset management houses, hedge funds, private equity, and financial advisory services and delegates with a knowledge of the fundamentals of modern portfolio theory, asset allocation theory, equity analysis and portfolio construction techniques.

How will attendees benefit?

After completing the course attendees have following benefits:

1. Enhanced Knowledge of Investment Strategies: Attendees will understand active portfolio management and asset allocation skills and strategies for optimal investment management.

2. Advanced Risk Management Skills: The course teaches identifying, measuring, and managing the different kinds of risks, using advanced tools and hedging strategies to protect and grow their portfolios.

3. Enhanced Portfolio Construction Abilities: Delegates will learn how to select the right set of assets, strategic, and tactical asset allocation methods to build diversified, high-performing portfolios.

4. Pragmatic Knowledge of Asset Classes: Attendees will acquire some insight on equities, fixed income, alternative investments, etc. and hence make informed decisions on which asset to hold within their portfolio.

5. Performance Evaluation Expertise: The techniques for benchmarking portfolio performance, Sharpe ratio calculation, alpha and beta determination, and attribution analysis to determine how well the strategy has worked will be known to attendees.

6. Exposure to Advanced Strategies: It gives a grounding in such advanced concepts as dynamic asset allocation, factor investing, and risk parity so that delegates are ready to apply the most modern approaches in their investment management.

7. Real-World Applications: Attendees will analyse real cases and must ensure that these apply theoretical concepts to practical settings and change strategies to the evolving market conditions.

Introduction to Active Portfolio Management

• The evolution of portfolio management strategies

• Key differences between passive and active management

• The role of an active portfolio manager

Fundamentals of Asset Allocation

• Types of asset classes and their characteristics

• Strategic vs. tactical asset allocation

• The importance of diversification in risk management

Investment Theories and Approaches

• Modern Portfolio Theory (MPT)

• Capital Asset Pricing Model (CAPM)

• Efficient Market Hypothesis (EMH)

• Behavioral finance in portfolio management

Risk Management in Active Portfolio Management

• Identifying, measuring, and managing different types of risk

• Quantitative techniques for risk management

• Hedging strategies and tools

Active Portfolio Construction

• Asset selection and weighting techniques

• Evaluating and integrating alternative investments

• Managing a multi-asset portfolio

Performance Evaluation and Benchmarking

• Setting benchmarks and comparing portfolio performance

• Key performance metrics (Sharpe ratio, alpha, beta, etc.)

• Attribution analysis and portfolio review

Advanced Asset Allocation Strategies

• Dynamic asset allocation

• Factor investing

• Risk parity and other modern approaches

Case Studies and Real-World Applications

• Analyzing case studies of active portfolio management

• Practical tips for real-world portfolio management

• Adapting strategies to changing economic and market conditions

Structured products

• What are structured products?

• Foreign exchange products

• Certificates

              - Index

              - Basket

              - Comparison with mutual funds

                 - Covered warrants

• Capital guarantee and protection products

             - Vanilla products

             - Portfolio insurance

• Maximum return products

             - Discount certificates

             - Reverse convertibles

• Derivatives

• Exchange Traded Funds – tools for tactical asset allocation

• Ad hoc solutions or part of portfolio construction?