This book seeks to capture the essence of modern developments in investments and provides a guided tour of the intricate and complex world of investments. Written by a highly acknowledged author and expert, this book: Describes a characteristics of various investment alternatives available to investors Discusses how the securities market functions Explains the techniques used by professionals for analyzing and valuing investment alternatives Discusses the implications of modern research in the field of investments Explains how financial derivatives like futures and options are valued Presents a framework for portfolio management Provides insights into the strategies followed by the investment wizards of the world Sensitizes the reader to the pitfalls of the investment game Offers a set of guidelines for investors with varying inclinations Notable additions in this edition Two new chapters Two new appendixes Ten new sections Several new minicases The accompanying CD contains Additional solved problems, additional self-test problems and additional minicases Excel spreadsheets Supplementary notes Investment Analysis and Portfolio Management is meant for: Investment practitioners like equity researchers, portfolio managers, and investment counsellors Lay investors interested in managing their investments in a rational and systematic manner MBA students taking a course in Investments (popularly called 'Security Analysis and Portfolio Management).