Identify the important features of each of the major security laws as they affect investors.

Explain why the combination of two risky securities can produce a portfolio with less risk than either separately, and compute both the expected rate of return and the standard deviation for any two-security portfolio.

Describe a multifactor model.

Describe the term structure of interest rates, and explain the investment implications of the term structure.

HS 328 Course Introduction

Construct a profit function for combinations of options and stocks.

Demonstrate the tax advantages of net unrealized appreciation on stock distributions from a pension plan, tax-harvesting losses in an IRA account, and the tax implications of converting assets from a traditional IRA to a Roth IRA.

Describe the tax issues associated with investing in investment companies, options, annuities, LPs and MLPs, as well as futures contracts.

Compute the tax consequences associated with investing in various types of bonds, including a tax-equivalent yield.

Avoid subjecting a client to violations of the wash-sale rule for various types of investments.

Discuss the pros and cons of tax-loss harvesting and tax-efficient investing.

Determine the tax consequences of various equity investments, including the treatment of capital gains and losses as well as qualified and nonqualified dividend income.

Compute the cost basis or adjusted cost basis of an investment.

Explain the basic model of personal taxation, compute a tax liability, and identify the relevant marginal tax rate.

Explain the various characteristics of mutual funds, including their sales fees, benefits, and disadvantages.

Describe how closed-end funds work.

Decide whether an ETF or an index fund is more appropriate for a client.

Describe the differences between REITs, RELPs, and REMICs.

Decide whether an ETF or an index fund is more appropriate for a client.

Identify the important characteristics to consider in selecting an appropriate mutual fund for a client.

Reconcile the poor average performance of mutual funds with their appropriateness for an investor's portfolio.

Describe the key nonmarketable instruments available to a client.

Explain what is meant by the money market and describe the key money market instruments.

Describe the various securities and interest rates related to the money market.