1. Discuss DFA as Fund and as a company. How does it add value to investors? What are the Pros and Cons of Passive Approach? 1. The DFA Company is a type of broker investment company that invest in Small stock. This focus is on a small niche that fits within the realms of the company. This provide limitations to the company about the type of stock they will invest in. However it provides an academic understanding as to which stock the company should select based on the formulations. The company’s
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McGraw Hill. Henceforth this book will be referred to as BKM. We will cover three cases in this course. Case #1 Markov's Trilemma (No. UVA-F-1341) http://store.darden.virginia.edu/markovs-trilemma Case #2 Dimensional Fund Advisors, 2002, HBS (No. 203-026) http://hbr.org/product/dimensional-fund-advisers-2002/an/203026-PDF-ENG Case #3 Ito’s Dilemma (No. UV2481) http://hbr.org/product/ito-s-dilemma/an/UV2481-PDF-ENG I will post class slides and handouts during the course on Canvas. Course
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Introduction Dimensional Fund Advisors, further referred to as DFA, is an investment company that bases its strategy mainly on academic research and related theories. They work together with proponents of the efficient market hypothesis, indicating a relatively strong belief in this theory and thus in efficient markets. However DFA also feels that skilled traders have the ability to contribute to a fund’s profits even when the investment is inherently passive and DFA does adjusts its strategy
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Consolidated Rail Corp. by Benjamin C. Esty Airbus A3XX: Developing the World’s Largest Commercial Jet by Benjamin C. Esty American Chemical Corp.by William E. Fruhan, John P. Goldsberry American Home Products Corp.by David W. Mullins AQR’s Momentum Funds by Daniel B. Bergstresser, Lauren H. Cohen, Randolph B. Cohen, Christopher Malloy Arundel Partners: The Sequel Project by Timothy A. Luehrman AXA MONY by Andre F. Perold, Lucy White Beta Management Co. by Michael E. Edleson Butler Lumber Co. by
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to illustrate the application of the theory. Prerequisites: FINA 380 or 385; FINA 390 or 395. LEARNING OBJECTIVES To understand the theory and practice of Portfolio Management for Individuals and Institutions, e.g. Endowments, Mutual Funds, Pension Plans, etc. To learn about the key Asset Pricing Models. REQUIRED: Text: Bodie, Zvi, Alex Kane, Allan J. Marcus, Stylianos Perrakis, Peter J. Ryan and Lorne Switzer, Investments, 8th Canadian edition, McGraw-Hill
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The PBS video talks about how viral videos, television interviews and good looking CEO’s influence the stock price. Andy Kim states, the stock price of DI Corp. went sky high because of viral video ‘Gangnam Style’ by Psy. He is the son of DI Corp. executive chairman. The economist Eugene Fama who is the noble price winner has a theory on market efficiency. According to Andy Kim, Market efficiency suggests the price of stock shouldn’t change because of no financial information about the company went
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National Chengchi University Department of Finance ETP Graduate Investments Fall 2014 Case Discussion Questions Instructor: Professor Edward H. Chow 周行一 Case study: financial bubble Case: Trouble with a bubble (9-808-067) 1. Why did Irving Fisher believe that stock prices had reached a permanently high plateau? 2. Why did the stock market crash in 1929? 3. Why did influential individuals like Fisher, Keynes and Rockefeller believe that the downturn would only be temporary? Case
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deciding when to be in and out of the market. Those investors who simply purchase “the market” through index or asset class mutual funds are called passive or “market” investors. Active mutual fund managers are typically compared to a benchmark index. For example, large cap mutual funds are often compared to the S&P 500 index. To beat the index, an active mutual fund must perform better than the weighted average return of those companies in the index. And they must do so while including fees, taxes
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FIN 6310 Case Studies Purchase Case Studies (4) • Harvard Case Studies (2) o Courses available at o https://cb.hbsp.harvard.edu/cbmp/access/18322840 • Ivey Case Studies (2) o Register for an account at Ivey Cases https://www.iveycases.com/RegisterUser.aspx o Put the following two cases studies in your cart. Make sure Digital Download is selected which will cost $3.40 per case. o Burgundy Asset Management: The Wescast Investment Decision https://www
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National Chengchi University Department of Finance ETP Graduate Investments Fall 2010 Case Discussion Questions Instructor: Professor Edward H. Chow 周行一 Case study: financial bubble Case: Trouble with a bubble (9-808-067) 1. Why did Irving Fisher believe that stock prices had reached a permanently high plateau? 2. Why did the stock market crash in 1929? 3. Why did influential individuals like Fisher, Keynes and Rockefeller believe that the downturn would only be temporary? Case
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