assignment 8 - traded on the open market, and are not...

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ASSIGNMENT 8 MONIKA PATELL FINA 510 ID 110-00-3261 1.   How does a public offering differ from a private placement? Answer:- The sale of equity shares or other financial instruments by an organization to the public  in   order   to   raise  funds  for   business   expansion   and   investment.   Public   offerings   of  corporate securities in the U.S. must be registered with and approved by the SEC and  are normally conducted by an investment underwriter. private placement  is the issuance of restricted securities sold privately to qualified  buyers. These securities, usually in the form of shares or debt instruments, cannot be 
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Unformatted text preview: traded on the open market, and are not registered with the Securities and Exchange Commission. You cannot privately place securities unless you have first filed a Form D filing for those securities with the SEC. 2. What is a mutual fund? In what sense is it a financial intermediary? Answer:-A mutual fund represents a pool of financial resources obtained from individuals and companies, which is invested in the money and capital markets. This process represents another method for economic savers to channel funds to companies and government units that need extra funds....
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This note was uploaded on 07/15/2011 for the course FIN 510 taught by Professor Smith during the Spring '11 term at Ecole Polytechnique Fédérale de Lausanne.

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