The first part of the course provides a brief introduction to financial statements and various common filings of firms. You will learn how to obtain information regarding a company's performance from them and use the information to build trading strategies. Next, you are taught basic asset pricing theories so that you will be able to calculate the expected returns of a stock or a portfolio. Now you are introduced to the concept of a hedge fund, it's differences with other conventional investment vehicles, the concept of long short, the type of strategies used in developed markets, how long the strategies work, the situation in emerging markets, durability of these strategies in emerging markets. Finally, you will be introduced to the actual functioning of asset markets, type of players in the market, different types of orders and the efficient ways and opportune time to execute them, trading costs and ways of minimizing them, the concept of liquidity .etc. This knowledge is required to develop efficient algorithm to execute various trading strategies.
Course 1 of 5 in the Trading Strategies in Emerging Markets Specialization.