It is easy to get overwhelmed by the sheer number of considerations at the securities analysis or portfolio construction stages. Conflating these principles often leads to expensive mistakes. Knowing which risk you take, security selection (alpha) or a portfolio construction (beta) can be life-saving in volatile markets.
Key learning objectives:
What is the primary goal of portfolio construction?
Understand the difference between portfolio construction and security selection
What is risk management and what could go wrong?