Exam_2013 - Exam 2013 Asset Management Dr Hartmut Leser Closed book 90 minutes 1 Describe the concept of value at risk(VAR Under what circumstances does

Exam_2013 - Exam 2013 Asset Management Dr Hartmut Leser...

This preview shows page 1 out of 1 page.

Exam 2013 Asset Management, Dr. Hartmut Leser Closed book, 90 minutes 1. Describe the concept of value at risk (VAR). Under what circumstances does VAR underestimate the real portfolio risk? 2. Why is active management (at best) a zero-sum game? 3. What is the role of investment consultants? How does a manager- search work? 4. Why do active managers have different investment-styles? How is this fact related to the concept of market efficiency/inefficiency? 5. Explain why investments consultants use RFPs. What does a typical RFP try to find out? 6. Describe the idea behind growth investing. 7. Why will German life insurance companies and many pension
Image of page 1

Unformatted text preview: funds face difficulties if the low interest rate-environment stays? 8. A company’s earnings constant growth rate is 6%? It’s constant payout ratio is 50%. The relevant discount rate is 8%. According to the dividend discount model what is the fair valuation of the company’s stock in terms of the price-earnings ratio? How is the stock’s dividend yield related to the future growth prospects of the company? 9. Explain the concept of tracking error. What are the strengths and weakness of the concept? What is the difference between ex post – and ex ante – tracking error? 10. Describe the basic concept behind portable alpha. Good luck!...
View Full Document

  • Fall '15
  • Dr. Hartmut Leser, earnings constant growth, typical RFP try, real portfolio risk

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern

Ask Expert Tutors You can ask 0 bonus questions You can ask 0 questions (0 expire soon) You can ask 0 questions (will expire )
Answers in as fast as 15 minutes