Explain the meaning and significance of Security Analysis.
[7 marks]What is risk? What are the various types of risks involved in investment decision?
[ marks]What is the meaning of Investment? “Apotential investor has an array of investment avenues.” Discuss the statement with suitable examples.
[ marks]Calculate the Expected Return & Standard Deviation of returns from the following data. State of Economy Probability Rate of Return Boom 0.60 45% Normal 0.20 16% Recession 0.20 -20%
[7 marks]What are the various securities available for investors in the financial market?
[ marks]Calculate the return and risk of portfolio from following details. Details Security-X Security-Y Expected Return 11% 20% Standard Deviation 9% 18% Coefficient of 0.15 Correlation i. 50% funds are in Security-Xand 50% funds are in security-Y. ii. 75% funds are in Security-Xand 25% funds are in security-Y.
[7 marks]Discuss the Efficient Market Theory and Market Hypothesis.
[7 marks]What are the principles of bond duration? Explain in detail
[7 marks]Calculate Portfolio Standard Deviation. Particulars Asset-A Asset-B Expected Return 10% 20% Standard Deviation 5% 20% Amount Invested Rs. 20,000 Rs. 30,000 Coefficient of Correlation 0.05 Page 1 of
[2 marks]What is Bond? Explain its properties in detail.
[7 marks]Year Return on Company (%) Return on Market (%) 1 -13 -3252 i. What is beta of the company? ii. Establish characteristics line for the company.
[ marks]Year Return-Unitech Ltd. Return-Sensex07 1 37% 15% 2 9% 13% 3 -11% 14% 4 8% -9% 5 11% 12% 6 4% 9% i. Find coefficient of correlation. ii. Calculate Standard Deviation of Unitech Ltd. and Sensex.
[ marks]Compare the concepts of Investment, Speculation and Gambling.
[ marks]The risk free return is 10%. Rank the following portfolios according to Sharpe & Treynor measures. Portfolio Return (%) Beta S.D. (%) P 15 0.90 Q 17 1.10 24 R 19 1.20 27 Sensex 16 1
[20 marks]What is Technical analysis? Explain main tools used for the purpose.
[7 marks]The risk free rate is 0.075. From the following information calculate Jensen’s Alpha. Portfolio Return Beta S.D. P 0.16 1 0.05 Q 0.21 1.5 0.10 R 0.11 0.6 0.03 S 0.16 1.1 0.06 Market 0.14 1 0.04
[7 marks]Explain the Arbitrage Pricing Theory in detail. Page 2 of
[2 marks]