Portfolio Risk & Return – Part I | Module 1 — Portfolio Management
0:00 Introduction to Portfolio Management
1:31 Why Portfolio Management Matters in CFA Level 1, 2, and 3
2:32 What This Module Covers
3:19 Return, Risk, and the Portfolio Trade-Off
4:09 Portfolio Construction Basics
5:30 Diversification and Why It Reduces Risk
6:07 Expected Return vs Expected Risk
7:10 Investor Objectives and Constraints
8:48 Historical Return and Expected Return
10:03 Expected Return Formula Explained
11:50 Actual Return vs Expected Return
12:40 Risk, Volatility, and Risk Premium
15:18 Other Investment Characteristics
16:04 Normal Distribution and Mean-Variance Analysis
18:19 Skewness and Kurtosis
19:47 Value at Risk and Conditional Tail Expectation
20:32 Market Characteristics and Liquidity Risk
21:26 Brokerage Costs, Bid-Ask Spread, and Price Impact
23:31 Risk Preferences in Portfolio Choice
24:10 Risk-Averse, Risk-Seeking, and Risk-Neutral Investors
25:52 Utility Theory and Indifference Curves
28:00 Utility Theory Explained for Investors
31:31 Optimal Portfolio and Investor Satisfaction
34:39 Applying Utility Theory to Portfolio Selection
36:02 Capital Allocation Line CAL Explained
37:19 Portfolio Return and Risk with Two Risky Assets
38:26 Why Portfolio Risk Is Not a Simple Average
39:01 Correlation, Covariance, and Diversification
45:00 Portfolio Return and Risk with Many Risky Assets
46:17 Why Correlation Drives Diversification
51:40 The Power of Diversification
54:58 Diversifying Across Asset Classes and Countries
58:40 Efficient Frontier and Investment Opportunity Set
1:01:32 Global Minimum Variance Portfolio
1:04:20 Risk-Free Asset and the Capital Allocation Line
1:06:46 Optimal Investor Portfolio
1:08:33 Two-Fund Separation Theorem
1:10:05 Capital Allocation Line Exam Tips
1:12:18 Final Summary and Wrap-Up