Portfolio Management

Preface

The investment landscape is ever-changing. Today's innovative solution will be taken for granted tomorrow. In writing Portfolio Management: Theory and Practice, our goal is to expose readers to what it is really like to manage money professionally by providing the tools rather than the answers. This book is an ideal text for courses in portfolio management, asset allocation, and advanced or applied investments. We've also found it to be an ideal reference, offering hands-on guidance for practitioners.

Broadly speaking, this book focuses on the business of investment decision making from the perspective of the portfolio manager—that is, from the perspective of the person responsible for delivering investment performance. It reflects our combined professional experience managing multibillion-dollar mandates within and across the major global and domestic asset classes, working with real clients, and solving real investment problems; it also reflects our experience teaching students.

We taught the capstone Portfolio Management course in the graduate programs in Investment Management at Boston University and Reykjavik University for over ten years, and advanced portfolio management courses at Cornell University for five. By the time students took our classes most of them had worked in the industry and were on their way to mastering the CFA Body of Knowledge^TM required of candidates for the CFA^® designation. The courses' curricula were designed to embrace and extend that ...