Assignement 2
Question 1: ABL shares are currently trading at a price of $27, while HHT shares are trading at a price of $13.65. The riskfree rate is 1.49% per yea
a) Identify which of the following options are inthemoney, outofthemoney or atthemo
VI. Derivatives
In the following two chapters we will study derivatives. Derivative is a contract
written on an asset which can be another security or commodity.
There are many types of derivatives. In the following two chapters we will study
futures co
II. Portfolio Selection
1. Introduction
Our goal in this topic is to nd the best portfolio that if feasible for an investor
We will follow a topdown analysis of portfolio construction:
Capital allocation decision: the choice between riskfree and risky
PROBLEM 1 (50 MARKS)
NOTE THAT PROBLEM 1 CONSISTS OF 20 SEPARATE MULTIPLECHOICE
QUESTIONS. BE SURE TO MARK YOUR RESPONSES ON THE COMPUTER
ANSWER SHEET; ONLY THE RESPONSES ON THIS SHEET WILL BE GRADED.
1.
(2 MARKS) The singleindex model
A) greatly reduce
Print Last Name:
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ID Number:
COURSE
FINANCE
NUMBER
FINA 385/2
SECTION:
B & C Version 1
EXAMINATION
Final Exam
DATE
Dec 15, 2010
TIME
3 hours
INSTRUCTOR:
D. Newton
# OF PAGES 16
including cover
DIVISION
John Molson School of Business
Conco
Print Last Name:
Print First Name:
ID Number:
COURSE
FINANCE
NUMBER
COMM 308
SECTIONS: ( Circle your section)
A, AA, B, BB, C, D, E
EXAMINATION
DATE
Final Exam
December 10, 2010
VERSION BLUE
INSTRUCTOR:
( Underline your instructors name)
Rahul Ravi
Jennif
Quiz 1 Solutions
FINA 385!
!
Fall 2014
Gregory Lypny
Part 1
Twostock portfolios
InSample Portfolio Frontiers
E(Rp )
0.021
M
0.0134
0.0059
F
0.038
0.077
p
0.107
MinimumVariance Frontier
Capital Market Line
Question 1
The riskiest stock is CVX with a pop
Question 1: ABL shares are currently trading at a price of $9, while HHT shares are trading at a price of $30.82. The riskfree rate is 1.77% per year. Using the information above, perform each of the following tasks:
a) Identify which of the following op
Finance Theory I
COURSE OUTLINE
FI NA
385 E W INT ER 2015
Gregory Lypny
[email protected] pareto.concordia.ca
MB 11.307 (514) 8482424 ext. 2794
Lecture every Tuesday, 8:45 a.m. to 11:30 a.m. in MB 1.437
Ofce hours every Tuesday and Thursday, 12
FINA 385 Section B&C A1 Solution Key
As each student has a unique solution for their assignment this solution key will only highlight
the correct process. It is also assumed that Excel was used though other statistical packages might
have been use to achi
COMM 217 Financial Accounting, Fall 2011
Section C/D, Instructor Li YAO
TakeHome Assignment
This assignment is due on Oct 11, 2011 (Tuesday). Please hand in this assignment either
after class or during my office hour on that day. NEITHER LATE SUBMISSION
COVER PAGE
FI`NA 385
Assignment #1
Due at the beginning of the class on Thursday, February 14th
Instructions:
Please do print this cover sheet and staple it on top of your answers, as a cover page
PRINT your NAME, I.D.#, and SECTION in the space provided
JOHN MOLSON SCHOOL OF BUSINESS
CONCORDIA UNIVERSITY
FINA 385 THEORY OF FINANCE I
Course OutlineFall 2014
Professor:
Office:
Telephone:
Email:
Office Hours:
Grade Marker:
Sergey Isaenko
MB 12309
2797
[email protected]
Mondays at 11:0013:00 or
1.
Rimmer runs the following multivariate regression for all the stocks listed on the
TSX: Ri = rf + b1(GDP) + b2(Rmktrf) + b3(RRSP) where GDP is the per capita GDP and
RRSP is the monthly
RRSP contributions. He gets an adjusted R2 of 0.025 and all of th
Solutions of Additional Practice problems
Topic I
Find the derivatives of the functions in the questions 1, 2, and 3 below
1. y(x) = 5x2
Solution: y (x) = 5 2 x = 10x
2. y(x) =
x
Solution: y (x) = (x0.5 ) = 0.5 x0.51 = 0.5x0.5 =
3. y(x) =
0.5
x
x2
(2 + 3x
Professor: Rahul Ravi
Print Last Name:
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COURSE
NUMBER
FINA
385/
EXAMINATION
DATE
ID Number:
SECTIONS: (
20
A
TIME
# OF PAGES 1
Final Exam
including cover
SPECIAL INSTRUCTIONS
3
Circle your section)
4
p
= w12
2
1
2
+ w2
2
2
+2
1,2
1
2
r1
Professor: Rahul Ravi
Print Last Name:
Print First Name:
COURSE
NUMBER
FINA
385/Summer 2014
EXAMINATION
DATE
ID Number:
SECTIONS: (
Circle your section)
AB
TIME
Sample Final Exam
# OF PAGES 15
including cover
SPECIAL INSTRUCTIONS
2
E [ rA ] = 23%, E [ rB
1.
If a stock is `underpriced according to some theoretical model, such as the CAPM,
then to restore the equilibrium:
a)
The stock price must rise to increase the expected returns
b)
The stock price must fall to increase the expected returns
c)
The stock
Concordia University
John Molson School of Business
Theory of Finance I FINA 385
Spring 2017
Instructor: Dr. Imants Paeglis
Phone: 8482424, ext. 2904
email: [email protected]
Office: MB 12.313
Office hours: Tuesdays 1:00pm 3:00pm and by appointm
FINA 385
Theory of Finance I
WINTER 2017
PORTFOLIO PROJECT
PART 2
Presented to
Professor Imants Paeglis
Presented by
DINGMEIXI MA
26765807
JINGHANG LAI
27314035
XIAO TAO
26493955
Thursday, March 2rd 2017
John Molson School of Business
Concordia University
III. The Capital Asset Pricing Model
Most of professional investors try to identify mispriced securities. They buy
underpriced assets and short sell overpriced ones.
To nd a mispriced security an investor needs a model that provides a
benchmark price of
V. Behavioral Finance and Technical Analysis
Samplesize neglect: People commonly neglect the size of a sample acting
as if a small sample is just as representative of a population as a large one.
The Behavioral Critique of Rational Finance
The premise o
IV. Factor Models and Arbitrage Pricing Theory
Factor model substantially reduces the number of computations in the
Markowitz model by introducing a structure into returns
1. Introduction
It is known that covariances between securities tend to be positi
Theory of Finance I FINA 385
Summer 2015
LEC AA and, AB
Chapter 2: Markets and Instruments
Chapter 2 Summary
Markets and Instruments
Objective: To introduce the features of
various security types, necessary for the
understanding of the coming material
Mo
Theory of Finance I FINA 385
Summer 2015
LEC AA and, AB
Chapter 1: The Investment Objective
Chapter 1 Summary
The Investment Objective
Objective: To provide a general overview of
the investment environment
Short History of Investing
The Investment Object
FINA 385
Assignment #2 (Total = 90 marks)
Due at the beginning of the class on Tuesday, November 18th
1. (10 marks.) Consider the following data for a onefactor economy. All portfolios
are well diversied.
Portfolio E(r), % Beta
A
12
0.6
B
23
1.1
Tbill
3
FINA 385
Assignment #1 (75pts)
Due at the beginning of the class on Tuesday, October 7th
The following data apply to problems 14:
Consider a market with three mutual funds. The rst is a stock fund, the second
is a longterm corporate bond fund, and the thi
Formulas for the Midterm
Expected return, variance and covariance of returns
E(r) =
p(s)r(s),
s
2 =
p(s)[r(s) E(r)]2 ,
s
Cov(rX , rG ) =
p(s)(rX E(rX )(rG E(rG )
s
An estimate of expected return based on historical data
1
r=
rt
n t=1
n
An estimate of v
COURSE
NUMBER
SECTION
Finance Theory I
FINA 385/3
AA
EXAMINATION
DATE
TIME
# OF PAGES
Midterm V1
May 28th, 2014
15:0017:30
12
INSTRUCTOR
DIVISION
David Newton
JOHN MOLSON SCHOOL OF
BUSINESS
INSTRUCTIONS:



This exam consists of 20 multiplechoice que
COURSE
NUMBER
SECTION
Finance Theory I
FINA 385/3
AA
EXAMINATION
DATE
TIME
# OF PAGES
Midterm V2
May 28th, 2014
15:0017:30
12
INSTRUCTOR
DIVISION
David Newton
JOHN MOLSON SCHOOL OF
BUSINESS
INSTRUCTIONS:



This exam consists of 20 multiplechoice que
Chapter 13: The term structure of interest rates
Yield curve: bonds at different maturities sell at different YTMs, the relationship is the following:
This curve allows investors to gauge expectations for future interest, against those of market
Multiple
Chapter 14
Managing Bond Portfolios
Interest risk
Interest risk sensitivity is the effect change in interest rate has on bond price
Price curve is convex lower YTM equals significantly higher prices and higher YTM equals less drastic
lower bond prices
6 o