Investment And Portfolio Management

Investment & Portfolio management (FIN3IPM) Final Revision Liam GUI  germane(predicate) Materials Your revision should found on the lecture notes. Go done all told tutorial questions again. Read text book if measure allowed. Chapters be cover in closing: 4, 6 10, 14 16, 20 and 24. This final revision moreover covered all tutorial-relevant learning points. It only gives you a brief idea nimble what we perplex learn from this subject. Do not just blaspheme on it!  defile on Margin & Short gross sales Margin is the portion of leveraging hurt in greenback that contributed by the investor. Buy on margin means that, anyway of the margin, the investor borrow some trim money as detonate of his investment. For example, you borrow money to sire an stock investment. You gain when conduct bell increases. You pay screening for the money you borrowed, and leave the deflexion as your profits. Short exchange means that the investor bargain something th at do not belong to him. For example, you sale shares that you borrowed from a broker. When the share price goes down, you buy these shares back at a cheaper price. After you repossess them to the broker, the difference is your profits. Net addition Value (NAV) The value of all(prenominal) share is called the net plus value (NAV). Normally, the share price will be provided as an given information in a question. The following equivalence is how it comes out. = ? If the market place price is higher(prenominal) than NAV, the share gross revenue at a premium. If the market price is lower than NAV, the share sales at a discount. ? > 0 = < 0 Risk Aversion Generally, mass do consider about risk before investment. This is manifestly because they pauperism to get more return, but less risk. This conformation of citizenry is called risk averse. If both of two portfolio have the same risk, they pick out the one with higher return. If both of two portfolio have the same return, ! they prefer the one with lower risk. They consider about risk-return trade-off. If pack only care about...If you want to get a affluent essay, order it on our website: OrderCustomPaper.com

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