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  2. Investment Finance [ECF2226]

School: Business and Law

This unit information may be updated and amended immediately prior to semester. To ensure you have the correct outline, please check it again at the beginning of semester.

  • Unit Title

    Investment Finance

  • Unit Code

    ECF2226

  • Year

    2025

  • Enrolment Period

    1

  • Version

    3

  • Credit Points

    15

  • Full Year Unit

     N

  • Mode of Delivery

    On Campus
    Online

  • Unit Coordinator

    Dr Yanlin LI

Description

Risk and return are fundamental to investment decisions. This unit involves developing a conceptual framework and a practical set of skills that will allow the measurement of both risks and returns for a range of different investments including shares and fixed interest securities. As part of this conceptual framework, there will be coverage of modern portfolio theory, the capital asset pricing model, derivative securities, the efficient market hypothesis, and recent developments in the area of behavioural finance.

Prerequisite Rule

Students must have passed ECF1120.

Learning Outcomes

On completion of this unit students should be able to:

  1. Examine major conceptual frameworks in finance for measuring risk and return.
  2. Calculate the return and risk of combinations of financial assets to benefit asset diversification.
  3. Apply financial performance measurements to complex and challenging investment opportunities.
  4. Adapt the concept of efficient market hypothesis, considering human behaviour influences on investment decisions.
  5. Evaluate stock options and identify futures derivative securities to benefit investment choices.

Unit Content

  1. Rates of return.
  2. The measurement of risk.
  3. Portfolio theory.
  4. Capital asset pricing model.
  5. Performance measurement.
  6. Introduction to derivatives and option pricing.
  7. The efficient market hypothesis.
  8. Behavioural finance.
  9. Bond valuation and yield curves.
  10. Duration and immunisation.

Learning Experience

ON-CAMPUS

Students will attend on campus classes as well as engage in learning activities through ECU's LMS

JoondalupMount LawleySouth West (Bunbury)
Semester 113 x 1 hour labNot OfferedNot Offered
Semester 113 x 2 hour lectureNot OfferedNot Offered
Semester 213 x 1 hour labNot OfferedNot Offered
Semester 213 x 2 hour lectureNot OfferedNot Offered

For more information see the Semester Timetable

ONLINE

Students will engage in learning experiences via ECU’s LMS as well as additional ECU learning technologies

Additional Learning Experience Information

Students will learn to use industry-standard financial market databases for research, and to analyse the information using Microsoft Excel.

Assessment

GS1 GRADING SCHEMA 1 Used for standard coursework units

ON CAMPUS
TypeDescriptionValue
AssignmentPortfolio evaluation20%
AssignmentPortfolio optimisation 40%
ExaminationExam40%
ONLINE
TypeDescriptionValue
AssignmentPortfolio evaluation20%
AssignmentPortfolio optimisation 40%
ExaminationExam40%

Disability Standards for Education (Commonwealth 2005)

For the purposes of considering a request for Reasonable Adjustments under the Disability Standards for Education (Commonwealth 2005), inherent requirements for this subject are articulated in the Unit Description, Learning Outcomes and Assessment Requirements of this entry. The University is dedicated to provide support to those with special requirements. Further details on the support for students with disabilities or medical conditions can be found at the Access and Inclusion website.

Assessment

Students please note: The marks and grades received by students on assessments may be subject to further moderation. Informal vivas may be conducted as part of an assessment task, where staff require further information to confirm the learning outcomes have been met. All marks and grades are to be considered provisional until endorsed by the relevant School Progression Panel.

Academic Integrity

Integrity is a core value at Edith Cowan University, and it is expected that ECU students complete their assessment tasks honestly and with acknowledgement of other people's work as well as any generative artificial intelligence tools that may have been used. This means that assessment tasks must be completed individually (unless it is an authorised group assessment task) and any sources used must be referenced.

Breaches of academic integrity can include:

  • Plagiarism: Copying the words, ideas or creative works of other people or generative artificial intelligence tools, without referencing in accordance with stated University requirements. Students need to seek approval from the Unit Coordinator within the first week of study if they intend to use some of their previous work in an assessment task (self-plagiarism).
  • Unauthorised collaboration (collusion): Working with other students and submitting the same or substantially similar work or portions of work when an individual submission was required. This includes students knowingly providing others with copies of their own work to use in the same or similar assessment task(s).
  • Contract cheating: Organising a friend, a family member, another student or an external person or organisation (e.g. through an online website) to complete or substantially edit or refine part or all of an assessment task(s) on their behalf.
  • Cheating in an exam: Using or having access to unauthorised materials in an exam or test.

Serious outcomes may be imposed if a student is found to have committed one of these breaches, up to and including expulsion from the University for repeated or serious acts.

ECU's policies and more information about academic integrity can be found on the student academic integrity website.

All commencing ECU students are required to complete the Academic Integrity Module.

Assessment Extension

In some circumstances, Students may apply to their Unit Coordinator to extend the due date of their Assessment Task(s) in accordance with ECU's Assessment, Examination and Moderation Procedures - for more information visit https://askus2.ecu.edu.au/s/article/000001386.

Special Consideration

Students may apply for Special Consideration in respect of a final unit grade, where their achievement was affected by Exceptional Circumstances as set out in the Assessment, Examination and Moderation Procedures - for more information visit https://askus2.ecu.edu.au/s/article/000003318.

ECF2226|3|1

School: Business and Law

This unit information may be updated and amended immediately prior to semester. To ensure you have the correct outline, please check it again at the beginning of semester.

  • Unit Title

    Investment Finance

  • Unit Code

    ECF2226

  • Year

    2025

  • Enrolment Period

    2

  • Version

    3

  • Credit Points

    15

  • Full Year Unit

     N

  • Mode of Delivery

    On Campus
    Online

  • Unit Coordinator

    Dr Yanlin LI

Description

Risk and return are fundamental to investment decisions. This unit involves developing a conceptual framework and a practical set of skills that will allow the measurement of both risks and returns for a range of different investments including shares and fixed interest securities. As part of this conceptual framework, there will be coverage of modern portfolio theory, the capital asset pricing model, derivative securities, the efficient market hypothesis, and recent developments in the area of behavioural finance.

Prerequisite Rule

Students must have passed ECF1120.

Learning Outcomes

On completion of this unit students should be able to:

  1. Examine major conceptual frameworks in finance for measuring risk and return.
  2. Calculate the return and risk of combinations of financial assets to benefit asset diversification.
  3. Apply financial performance measurements to complex and challenging investment opportunities.
  4. Adapt the concept of efficient market hypothesis, considering human behaviour influences on investment decisions.
  5. Evaluate stock options and identify futures derivative securities to benefit investment choices.

Unit Content

  1. Rates of return.
  2. The measurement of risk.
  3. Portfolio theory.
  4. Capital asset pricing model.
  5. Performance measurement.
  6. Introduction to derivatives and option pricing.
  7. The efficient market hypothesis.
  8. Behavioural finance.
  9. Bond valuation and yield curves.
  10. Duration and immunisation.

Learning Experience

ON-CAMPUS

Students will attend on campus classes as well as engage in learning activities through ECU's LMS

JoondalupMount LawleySouth West (Bunbury)
Semester 113 x 1 hour labNot OfferedNot Offered
Semester 113 x 2 hour lectureNot OfferedNot Offered
Semester 213 x 1 hour labNot OfferedNot Offered
Semester 213 x 2 hour lectureNot OfferedNot Offered

For more information see the Semester Timetable

ONLINE

Students will engage in learning experiences via ECU’s LMS as well as additional ECU learning technologies

Additional Learning Experience Information

Students will learn to use industry-standard financial market databases for research, and to analyse the information using Microsoft Excel.

Assessment

GS1 GRADING SCHEMA 1 Used for standard coursework units

ON CAMPUS
TypeDescriptionValue
AssignmentPortfolio evaluation20%
AssignmentPortfolio optimisation 40%
ExaminationExam40%
ONLINE
TypeDescriptionValue
AssignmentPortfolio evaluation20%
AssignmentPortfolio optimisation 40%
ExaminationExam40%

Disability Standards for Education (Commonwealth 2005)

For the purposes of considering a request for Reasonable Adjustments under the Disability Standards for Education (Commonwealth 2005), inherent requirements for this subject are articulated in the Unit Description, Learning Outcomes and Assessment Requirements of this entry. The University is dedicated to provide support to those with special requirements. Further details on the support for students with disabilities or medical conditions can be found at the Access and Inclusion website.

Assessment

Students please note: The marks and grades received by students on assessments may be subject to further moderation. Informal vivas may be conducted as part of an assessment task, where staff require further information to confirm the learning outcomes have been met. All marks and grades are to be considered provisional until endorsed by the relevant School Progression Panel.

Academic Integrity

Integrity is a core value at Edith Cowan University, and it is expected that ECU students complete their assessment tasks honestly and with acknowledgement of other people's work as well as any generative artificial intelligence tools that may have been used. This means that assessment tasks must be completed individually (unless it is an authorised group assessment task) and any sources used must be referenced.

Breaches of academic integrity can include:

  • Plagiarism: Copying the words, ideas or creative works of other people or generative artificial intelligence tools, without referencing in accordance with stated University requirements. Students need to seek approval from the Unit Coordinator within the first week of study if they intend to use some of their previous work in an assessment task (self-plagiarism).
  • Unauthorised collaboration (collusion): Working with other students and submitting the same or substantially similar work or portions of work when an individual submission was required. This includes students knowingly providing others with copies of their own work to use in the same or similar assessment task(s).
  • Contract cheating: Organising a friend, a family member, another student or an external person or organisation (e.g. through an online website) to complete or substantially edit or refine part or all of an assessment task(s) on their behalf.
  • Cheating in an exam: Using or having access to unauthorised materials in an exam or test.

Serious outcomes may be imposed if a student is found to have committed one of these breaches, up to and including expulsion from the University for repeated or serious acts.

ECU's policies and more information about academic integrity can be found on the student academic integrity website.

All commencing ECU students are required to complete the Academic Integrity Module.

Assessment Extension

In some circumstances, Students may apply to their Unit Coordinator to extend the due date of their Assessment Task(s) in accordance with ECU's Assessment, Examination and Moderation Procedures - for more information visit https://askus2.ecu.edu.au/s/article/000001386.

Special Consideration

Students may apply for Special Consideration in respect of a final unit grade, where their achievement was affected by Exceptional Circumstances as set out in the Assessment, Examination and Moderation Procedures - for more information visit https://askus2.ecu.edu.au/s/article/000003318.

ECF2226|3|2