Essentials of Investments with Standard & Poor's Bind-in Card

Description

The market leading Essentials of Investments, 6e by Bodie, Kane and Marcus is an undergraduate textbook on investment analysis, presenting the practical applications of investment theory to convey insights of practical value. The authors have eliminated unnecessary mathematical detail and concentrate on the intuition and insights that will be useful to practitioners throughout their careers as new ideas and challenges emerge from the financial marketplace. Essentials maintains the theme of asset allocation (authors discuss asset pricing and trading then apply these theories to portfolio planning in real-world securities markets that are governed by risk/return relationships).

Key Features

Additional and updated coverage of corporate governance, ethics, and recent scandals. This information will be spread throughout the book, including chapters 1, 3 (regarding IPO scandals and regulation changes), 4 (mutual fund scandals), 13 (disclosure within financial statements), and 16 (futures markets).

Greater coverage of behavioral finance is included in Chapters 8 (Efficient Markets and the Behavioral Critique) and 19 (Behavioral Finance and Technical Analysis). This reflects the recent research in this increasingly popular new area in finance.

Part 6 has been completely re-organized based on customer feedback. Chapter 18, International Investing, is now presented earlier in the text.

Every chapter has been reviewed and revised to give instructors and students the most modern, up-to-date textbook available. All tables and figures have been updated where necessary, and examples have been updated to reflect current issues and happenings in the dynamic world of investments.

In response to many reviewers, the tables and charts presented in the text will be available in PowerPoint.

Plentiful, high quality end of chapter material includes a chapter summary, key terms with page references, Problem Sets (many with CFA designation), S&P Problems, Excel problems- NEW to this edition: with templates available on the OLC & IR CD, Solutions to Concept Check questions, and Internet Activities. Appendix B lists each CFA question and the level and year of the CFA exam from which it was derived. This makes it an easy reference when studying for the exam.

Numerous Excel Applications are included where appropriate. This feature starts with an example presented in the chapter, briefly discusses how a spreadsheet can be valuable for investigating the topic, shows a sample spreadsheet, and then directs students to the Web to work with an interactive version of the spreadsheet. ALL Excel templates have been electronically recreated by Eric Sandburg, of Interactive Learning. The actual spreadsheet for each Excel Application can be obtained on the book?s website at www.mhhe.com/bkm.

Equations are called out in the text and identified by equation numbers. Separate numbered and titled examples are integrated in the chapters and indicated by a colored sidebar. Using the worked-out solutions to these examples as models, students can learn how to solve specific problems in a step-by-step manner as well as gain insight into general principles by seeing how they are applied to answer questions.

S&P Market Insight Problems are included in end of chapter questions. These problems require the use of the Educational Version of Market Insight, taking advantage of Standard & Poor?s powerful and well-known Compustat database. These problems provide instructors with an easy online way to incorporate current, real world data into the classroom. Access to this rich online resource is FREE with every new copy of the text.

Strong usage and inclusion of the Internet. There are two WebMaster boxes in each chapter?one in the body of the text, the other as part of the end of chapter material. These help students practice and understand how to work with investment topics on the web. In addition, websites related to chapter topics are introduced at the beginning of each chapter to teach students how the chapter material relates to the real world of investments.

Current articles from financial publications such as The Wall Street Journal are featured as boxed readings. Each box is discussed in the narrative of the text to strongly link the real-world relevance to the chapter topics.

Unique chapter 20 (Taxes, Inflation, and Investment Strategy) shows how individuals can plan investment and savings strategies that account for the interaction of taxes and inflation. The chapter treats personal finance issues in a rigorous manner, and complements the material already presented on active institutional investment management.