Risk and Portfolio Management

Risk and Portfolio Management


Introduction

Welcome to the Risk and Portfolio Management Program, which is taught by three experts in their fields. This comprehensive program will take the interested learner from the basics of Decision Making, which is taught by Dr. Beate Klingenberg, to the traditional approaches of Risk and Portfolio Analysis, taught by Dr. Tom Geurts, while ending at the advanced topics of Risk Analysis for Private Real Estate Investment, which is taught by Dr. Roger J. Brown. These three know each other and each others research very well, having published numerous articles individually and jointly in academic and non-academic journals.

 

The first module in the sequence will acquaint students with fundamentals of decision-making theory and quantitative analysis techniques applied to real estate investment scenarios. This module develops skills to understand and manage decision-making biases as well as to apply Excel based models to scenarios such as location decision, portfolio optimization and return-on-investment decision modeling. Assignments will allow the students to practice the various Excel models learned. Dr. Beate Klingenberg is professor of business and sciences as well as director of the STEM program at The Italian International Institute Lorenzo de’Medici in Florence, Italy, as well as adjunct instructor for decision support systems at the School of Computer Science and Mathematics at Marist College, Poughkeepsie, NY. She also is a lecturer for operations management and logistics at the DHBW in Mannheim, Germany. 

 

The second module builds upon the first module and will cover what is considered the standard contemporary approach to Risk and Portfolio Analysis. Topics such as creating a portfolio which includes real estate, the pitfalls and plain mistakes when using this approach, how Real Estate Investment Trusts use this methodology, and what the role of global real estate is in this process will be covered in much detail. This module will conclude with a hands-on assignment where the interested learner will apply what s/he has learned by creating and analyzing a portfolio, using an excel spreadsheet model, which will be provided. Dr. Tom Geurts is an Associate Professor of Real Estate and Finance at The George Washington University in Washington DC (USA) as well as an Honorary Professor of Real Estate at the Technical University of Berlin in Germany. He has taught this topic at those universities, as well as at New York University, and has presented on this topic around the world at conferences and other universities. These presentations are based on the articles that he has published on this topic.

 

While the second module hints at problems with the traditional approach, Dr. Roger J. Brown explores this in detail in the last module. Most of conventional real estate investment risk modelling has been built around the Finance Paradigm, with its static linear models, heroic assumptions about the shape of return distributions and separation of ownership and control. The third section of the course deals with private real estate ownership and examines alternate ways of measuring and managing risk. Measurement tools include Levy-Stable (so-called “heavy tailed”) distributions and spectral risk analysis which are in wide use in other disciplines. From the risk management standpoint the Labor Added Theory of hands-on management is modelled and the treatment of taxes as a cost center is described in a risk management context. Dr. Brown is President and Owner of IMOJIM, Inc., a private real estate investment company established more than 50 years ago, and founder of www.mathestate.com. He has provided investment counseling to clients in San Diego for five decades.


What I'll learn in this program?

  • Understand some of the underlying cognitive processes and common biases of decsion-making.
  • Develop appropriate quantitative decision-making models for various real estate related decision scenarios. Models include decision analysis under uncertainty, risk and certainty, linear programming (optimization), location analysis and the Analytic Hierarchy Process.
  • Implement the decision models in efficient Excel spreadsheets.
  • Critically asses the results delivered by decision-making models.
  •  
  • Understand how the measure Risk and Return.
  • Determine the Risk and Return characteristics for different individual investments and investment classes. 
  • Develop the ability to create an optimal portfolio using Excel. 
  • Being able to draw meaningful conclusions from the analysis of existing portfolios with respect to sell, hold, and buy. 
  • Analyze the benefits and drawbacks of including “foreign” investments in a portfolio. 
  • Understand the limitations and mistakes in the traditional approach to portfolio analysis. 
  •  
  • The limitations of conventional risk measures
  • The difference between risk and uncertainty
  • Alternative risk measures
  • Management as a risk modifier
  • The connection between taxes and risk

Requirements for the program?


Introduction to the modules


About the instructors

 

Beate Klingenberg

Ph.D.

Dr. Beate Klingenberg is Professor of Management and Sciences, as well as Supervisor of the School of Sciences at The Italian International Institute Lorenzo de’ Medici (LdM) in Florence, Italy. Furthermore, she is teaching as adjunct professor at Marist College in Poughkeepsie, NY and at the Duale Hochschule Baden-Württemberg, Mannheim, Germany.

She has many years of teaching experience in traditional and distance learning format. Her core fields of teaching are operations management and decision-sciences through Excel modeling. She also offers courses in global business, marketing, introduction to chemistry and college mathematics as well as history of sciences. She has published most recently in the fields of sustainability in education, and in the past also in environmental management, knowledge management, as well as operations management issues in real estate. Her publications appear in academic as well as practitioner publications. Her credentials include a Master in Chemistry and Ph.D. in Physical Chemistry (both University of Erlangen-Nürnberg, Germany) as well as an MBA degree from Marist College, NY. Furthermore, she has extensive industry experience in technology transfer and project management.

 

 

Dr. Tom Geurts

FRICS, BSc, MS, MS, PhD

Professor Tom Geurts, of George Washington University, holds a PhD in Real Estate and Finance from Pennsylvania State University (1998); an M.S., Economics, University of Amsterdam (1991); an M.S., Political Science, University of Amsterdam (1991), and a B.S., Civil Engineering, Higher Technical College Zwolle (1987). In his distinguished career, Dr Geurts was Director of Academic Affairs of the NYU Real Estate Institute, the largest masters-level real estate program in the world. He has also served as Director of Research, and authored and co-authored quarterly market reports for Manhattan, New Jersey, and Fairfield/Westchester, containing real estate market information, trend analysis, and predictions. Dr Geurts has Presented at twenty-six national and international conferences, taught numerous courses at four universities with high student ratings, gave guest lectures at another seven universities in Europe and North America. He is author of twenty-one academic publications, and will soon publish a book on Global Real Estate Investment in the Homburg-Oxford University Press Advances in Real Estate book series.

 

 

Roger Brown

BA, MBA, PhD, CCIM

Dr Roger J. Brown is a private consultant with more than 40 years experience specializing in solving complex real estate problems. He is the founder of “mathestate”, a proprietary set of data-driven mathematical analysis tools designed to analyze investments using real data and custom formulas. Prior to creating mathestate, he developed a wide range of expertise in investment real estate. From 2001- 2005 he was the Director of Research for the Real Estate and Land Use Institute at San Diego State University. Prior to this, he was General Manager of one of the oldest investment firms in San Diego which has had as many as 100 employees supervising of all aspects of finance, legal, accounting and administration of investment portfolios. Dr Brown continues to write and teach in the fields of real estate investment, finance, appraisal, taxation, analysis and management. He holds a Ph.D. in Business Administration from the Pennsylvania State University (2000), and an MBA (1994) and BA (1970) from San Diego State University.

 


How to take the program?

Welcome to this self-paced program that's delivered in 3 module of approximately 30 hours of video lecture presentations on key topics in the field of Risk and Portfolio Management. 

The order of courses to follow the program is as below:

1) Decision-Making - Beate Klingenberg

2) Risk and Portfolio Management - Tom Geurts

3) Private Real Estate Investment – Risk Analysis - Roger Brown

Before starting the lectures in the module you should view the instructor introduction video at the beginning of each module that'll explain in more details how to take the course and explanation of the assignment. 

In each course, you'll able to download and print a copy of the presentation slides and make notes as you follow along. You'll be able to watch as many, or as few lectures each day, or each week, in your own time. Each instructor will have there own forum for you to ask questions and answers. The instructors will have an assignment after the lectures or at the end of each module. 

By successfully completing all the assignments in the program we will send you a certificate of completion of the program.

 

Down below is a "Table Legend" on how to access the page correctly.

Table Legend

Pages will give you access to lectures
Forums are used to ask questions and answer to the instructor
Download PDF Document
Download Excel Document
Download CDF document and other formats
This folder will contain downloadable documents
Assignment for the students
Quizzes for the students

Program outline

Select to view program outline
Program Outline

Program includes

30 hours of on-demand video
Articles, Slides, Books
Full lifetime access*
Access on mobile and TV
Certificate of Completion


Tuition & Fees


Register for this Program

Program Outline

1) Decision-Making
Beate Klingenberg
2) Risk and Portfolio Management
Tom Geurts
3) Private Real Estate Investment
Risk Analysis - Roger Brown

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