Complete
Assignment available for NMIMS
in
rs 250 per assignment only
You
can call us 87-55555-879
Within
1 hour will revert you by mail
Sample only
Capital Market and Portfolio Management
Question1 - Mr. Lalawani wants to invest in share market. Specifically, he is
interested in the securities of Power Sector. He strongly believes that
performance of any entity is significantly related to the general industry to
which the entity belongs and also to the economic environment.
Discuss the nature and type of analysis Mr. Lalwani will pursue so
as to get the desired outcome. (10 Marks)
Introduction:
Inventory evaluation is the assessment of a
distinctive changing instrument, a speculation subject, or the market all in
all. Stock investigators exercise to decide the future action of an instrument,
division, or market. Inventory
Question 2 - Mr. Anand wants to determine in which, out of the two securities he
should invest in. He already did the task of forecasting the returns on both of
these securities as mentioned below. You, being the financial research analyst
advise him on these securities.
Answer
Calculation
of Expected Return
Security A
Question 3
Beta of
Pragati Ltd is 1.55. The market rate of return is 15%. The risk-free rate of
return is 8 %
a. Compute the
expected return based on CAPM, explaining all the components of the CAPM Model (5
Marks)
Answer
= 1.55
Rp
b. Suppose, the risk premium on the market
goes up by 3.5 % points do you think that the expected return on the stock of
the above company will change? Calculate and elaborate. (5 Marks)
Answer
It is given that,
risk premium is increased by 3.5% then,
Rp – Rf = 10
Complete
Assignment available for NMIMS
in
rs 250 per assignment only
You
can call us 87-55555-879
Within
1 hour will revert you by mail
Sample only
No comments:
Post a Comment