Sharpe ratio Guides d'étude, Notes de cours & Résumés

Money markets - correct answer short term debt securities, large denomination fixed income securities - correct answer longer term instruments; government issues(U.S treasury bonds and notes); private issues(corporate bonds, mortgage backed securities) issues with price weighted index - correct answer similar % change movements in higher price stocks cau...

Samenvatting van het vak Beleggen gegeven in de minor Financiële planning (Fontys).

In constructing a point and Figure chart, a new entry is added only when? Price has moved equal to or more than the specified box size When the Stochastic indicator crosses below 20, it is signaling? The price is vulnerable to a reversal, but no action needs to be taken just yet. Brainpower Read More What principle describes a characteristic of related cycles Harmonics What formation is often called a coil? Symmetrical Triangle Bullish support lines on a 3-box...

What are two purposes of investment policy? - correct answer 1. To provide a foundation of goals, time horizons, and constraints on which the client portfolio is constructed 2. To provide a basis for review, performance evaluation, and adaptation to changing conditions. Why is a long term perspective essential as an element of investment policy? - correct answer The returns work better in the invest...

Which of the following structures transforms asset ownership into potentially distinct and diverse tradable investment opportunities? trading structure Which of the following structures refers to the financial markets related to a particular instrument, such as whether the investment is publicly traded on an exchange? Which of the following investments most likely has a long lock-up period with a fund life of ten years or longer? hedge funds managed futures private equity stru...

Portfolio Theory: Market Portfolio and CAPM question with complete solution 2023Market portfolio - correct answer the portfolio of all stocks held in proportion to their market weight, vi Market Capitalization - correct answer The total value of a company's issued shares Return on the market - correct answer S&P 500 - correct answer Tracks performance of a value weighted portfolio of 500 of the largest US companies Value weighted - correct answer weights are proportional to th...

CFA Level 1 Formulas Exams 245 Questions with Answers Price change based on convexity - CORRECT ANSWER -duration(change in yield)+1/2(convexity)(change in yield)^2 Effective Duration - CORRECT ANSWER Required if a bond has embedded options: [(v-)-(v+)]/[2V0(change in curve)] Modified Duration - CORRECT ANSWER [(v-)-(v+)]/[2V0(change in yield)] Future Value - CORRECT ANSWER PV(1+(I/Y)^N) PV - CORRECT ANSWER FV/(1+r)^n PV of perpetuity - CORRECT ANSWER PMT / discount rate Ap...

CFA Level 1 Quantitative Methods Exam 318 Questions with Answers Three ways interest rates can be thought of - CORRECT ANSWER First, they can be considered required rates of return—that is, the minimum rate of return an investor must receive in order to accept the investment. Second, interest rates can be considered discount rates. In the example above, 5.26 percent is that rate at which we discounted the $10,000 future amount to find its value today. Thus, we use the terms "interest r...

Price change based on convexity - Answer- -duration(change in yield)+1/2(convexity)(change in yield)^2 Effective Duration - Answer- Required if a bond has embedded options: [(v-)-(v+)]/[2V0(change in curve)] Modified Duration - Answer- [(v-)-(v+)]/[2V0(change in yield)] Future Value - Answer- PV(1+(I/Y)^N) PV - Answer- FV/(1+r)^n PV of perpetuity - Answer- PMT / discount rate Approximate percentage price change of a bond - Answer- (-)(modified duration)(ΔYTM) Nominal Risk F...

Define investment - Answer Investment is deferred consumption List the four major types of real assets other than land and other types of real estate. - Answer Natural resources, commodities, infrastructure, and intellectual property. List the three major types of alternative investments other than real assets in the CAIA curriculum. - Answer Hedge funds, Private Equity, and Structured Products Name the five structures that differentiate traditional and alternative investments - Answer ...