1a. Describe THOUGHTFULLY why it is important to understand the roles and functions of investment theory and social responsibility in a global economy. Ans.) The concept of social responsibility was not just conceptually valid, but could also be framed as a valid statistical construct. Social responsibility had been positively associated with financial outcomes. Typical socially responsible investors tilt their portfolios toward stocks of companies with high scores on social responsibility characteristics
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Course Description and Objectives This course introduces basic financial concepts all business managers should understand regardless of functional specialization. Topics include financial analysis and planning, time value of money, valuation, capital budgeting, risk/return trade-offs, cost of capital, and capital structure. The pedagogical approach used is a mixture of lectures and case examples. Cases are often used as a vehicle for discussing the complexities of real-world financial problems
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more liquid allows for more flexibility for the investor enabling them to trade at lower costs creating an even lower risk for the investor. In order to attract investors into less liquid markets, the interest rate must be higher and worth the investment. Thus the yield to maturity is even lower on Z, than all others. 2. Explain how an economist could use the slope of the yield curve to analyze the probability that a recession will occur and why the spread may matter. The shape of the yield
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“the group”) earns profits by charging direct and indirect fees including commissions on the total assets under management (“AUM”) of $847 bn . The group offers a full range of financial products comprising U.S., non-U.S. and global mutual funds/investment management, across cash management, equity, fixed income segments as well as alternative asset classes, such as private equity and real estate. It has a worldwide client base of institutional and retail clients, including governments, corporations
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to pick the best value stock. We calculate Return On Capital(ROC) using these formulas: ROC = EBIT/(Net Working Capital + Net Fixed Assets) In which, Net Working Capital = Current Assets – Current Liabilities Net Fixed Assets = Long Term Investment +Property Plant & Equipment Then we calculate Enterprise Yield, EY = EBIT/Enterprise Value In which, Enterprise Value = Market Capitalization of Equity + Debt – Cash Then we rank the value of ROC and EY and take the sum of these two
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of financial statements. They continually assess and compare the prospects of alternative investments. The assessment of each investment is often based on two variables: expected return and risk. Expected return refers to the increase in the investor’s wealth that is expected over the investment’s time horizon. This wealth increase is comprised of two parts: (1) increases in the market value of the investment and (2) dividends (periodic cash distributions from the firm to its owners). Both of these
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http://mathematicalanalysis.com/money/report1/report.html Stock Market Modeling Techniques and Potential Applications [Kevin M. Farnham - 24 April 1999] 0. Introduction Models have been developed that reduce the risk of investing in the U.S. stock market, while increasing long-term returns. Algorithms that evaluate the market's price pattern over a given period were studied in relation to the market's subsequent performance. Various correlations were noted. The correlations were merged
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one green initiative in place (or claim to), and a few have made the extra effort to distinguish themselves as green businesses. But what does “green banking” mean exactly? Depending on whom you ask, it’s a marketing term, a social philosophy, an investment strategy, and everything in between. However, if you’re an entrepreneur, you probably want to know if it makes sense on a business level. The answer is yes! You’ll save money, you’ll help the planet, and if you’re already running a green business
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Identify and describe an appropriate set of investment objects and investment constraints for Dr. and Mrs. Mason, and prepare a comprehensive investment policy statement based on these investment objectives and constraints. Facts: - Dr. Mason will receive $1,000,000 payment on 6/7/2006 - Will receive royalties of $100,000 in first year and up to $500,000 in subsequent years - Will receive $55,000 in salary for 2006 through 2010. - Will receive $10,000 to $25,000 per year from 2006 to 2010
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Crowdfunding Central Advancing Crowdfunding through Research and Best Practices The power of the crowd The power of new Crowdsourcing assets and the use of social networking and related Web 2.0 technologies are helping film-makers, musicians, politicians and charities finance new projects. Football clubs like Ebbsfleet United have funded operations through fans subscriptions; Obama has used the internet to reach a new and much broader funding audience, while redesigning the campaign financing business;
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