Skip to main contentSkip Navigation or Skip to Content
Thompson Rivers University
Thompson Rivers University

FNCE 3171: Fixed Income and Alternative Investments

Students learn to design and analyze fixed income securities and alternative investments. The importance of interest rates, credit risk, and product features in the valuation of these assets is emphasized. Topics include an introduction to fixed income investments, fixed income markets, yield curves, bond pricing, valuation and volatility, credit analysis for firms and individuals, asset backed securities, real estate, hedge funds and private equity.

Learning outcomes

  • Examine and describe various types and structures of debt instruments.
  • Differentiate between different types of bond issuers.
  • Interpret quantitative measures including price, yield to maturity, and duration for various fixed income securities.
  • Examine the risk-return characteristics of fixed income securities.
  • Apply the 4 Cs (capacity, collateral, covenants and character) of credit analysis.
  • Explain how asset-backed securities are created.
  • Contrast alternative investment asset classes versus traditional stock and bond investments and their roles in a portfolio.
  • Estimate the value of a real estate investment using various methods.
  • Contrast different private equity and hedge fund strategies, fees, structures and benchmarks.

Course topics

  • Module 1: Defining Features of Fixed Income Securities
  • Module 2: Fixed Income Markets
  • Module 3: Fixed Income Valuation
  • Module 4: Risk and Return
  • Module 5: Fundamentals of Credit Analysis
  • Module 6: Asset Backed Securities
  • Module 7: Alternative Asset Classes
  • Module 8: Real Estate
  • Module 9: Hedge Funds
  • Module 10: Private Equity

Required text and materials

Students will need to source the following e-textbook on their own:

Petitt, B., Pinto, J. E., Pirie, W. L., CAIA Association, Chambers, D. R., Kazemi, H., … Anson, M. J. (2018). Fixed Income and Alternative Investments. Hoboken (NJ): John Wiley & Sons, Inc.
Type: e-textbook: ISBN: 9781119545255

The required e-textbook is available for purchase directly from the TRU Bookstore and search for the course under “Digital Access Codes and Online Components Search Engine”


Please be aware that should your course have a final exam, you are responsible for the fee to the online proctoring service, ProctorU, or to the in-person approved Testing Centre. Please contact with any questions about this.

To successfully complete this course, students must achieve a passing grade of 50% or higher on the overall course and 50% or higher on the mandatory final exam.

Assignment 1: Fixed-Income Securities, Markets and Valuation 15%
Assignment 2: Fixed-Income Risk and Return, Credit Analysis and Asset-Backed Securities 10%
Assignment 3: Proposal and Research Paper 20%
Final Exam (mandatory) 40%
Total 100%

Open Learning Faculty Member Information

An Open Learning Faculty Member is available to assist students. Students will receive the necessary contact information at the start of the course.

Search To Top