BAFB4124: Investment Analysis Assignment, UIU, Malaysia Small Investors Berhad, a large foreign mutual fund, is considering investing in stocks on Bursa Malaysia. One of the portfolio
University | UNTAR International University (UIU) |
Subject | BAFB4124: Investment Analysis |
Question 1
Small Investors Berhad, a large foreign mutual fund, is considering investing in stocks on Bursa Malaysia. One of the portfolio managers, Mr. Ramy, has identified two stocks, Sore and Durby, which have great potential and are considered blue-chip stocks. As a new investor in the local market, Mr. Ramy approached you to advise him on which one of the two stocks should be selected. He provides you with the following information for analysis.
- Calculate the expected return and standard deviation for both stocks. Advise Mr. Ramy on the investment he should choose.
- Calculate the covariance between the two stocks.
- Calculate the expected return and standard deviation of a portfolio consisting of 60% Sore and 40% Durby.
Get Solution of this Assessment. Hire Experts to solve this assignment for you Before Deadline.
Question 2
Amanda Tan cannot decide whether to invest in Stock Hewlett or Stock Packard or in a portfolio that is a combination of both stocks. She has approached OSK Securities and the firm has provided her with the following information:
Using these stocks, she has identified two investment portfolio alternatives :
a) Calculate the portfolio return and standard deviation for each alternative.
b) Based on the findings above, which of the two alternatives would she choose? Explain your answer.
Question 3
John currently has a portfolio of shares giving a return of 20% with a risk of 10%. He is considering a new investment which gives a return of 20% with a risk of 12%. The coefficient of correlation of the new investment with his existing portfolio is +0.2. The new investment will comprise 40% of his enlarged portfolio. Should he invest in the new investment?
Stuck in Completing this Assignment and feeling stressed ? Take our Private Writing Services.
Question 4
Redesign Corp is considering a new strategy that would increase its expected return from 12% to 13.9%, but would also increase its beta from 1.2 to 1.8. If the risk-free rate is 5% and the return on the market is expected to be 10%, should Redesign change its strategy?
Question 5
Qin Bhd has a systematic risk of 6%. The market is giving a return of 12% with a risk of 4%. The risk-free rate is 5%. What will be the required return from Qin Bhd?
Question 6
Tuck Bhd is giving a return of 20%. The stock exchange as a whole is giving a return of 25% with a risk of 8%, and the return on government securities is 8%. What is the β of Tuck Bhd, and what is the systematic risk of Tuck Bhd?
Are You Searching Answer of this Question? Request Malaysian Writers to Write a plagiarism Free Copy for You.
Get Help By Expert
Seeking assistance with your BAFB4124 Investment Analysis assignment? Look no further than Assignment Helper MY, the leading Malaysian assignment helpers. Our team of experienced writers specializes in investment analysis and can provide you with top-quality assignment solutions. Whether it's analyzing financial statements, evaluating investment opportunities, or conducting risk assessments, our experts will deliver well-researched and comprehensive assignments tailored to your requirements. Besides, this our experts also provide Programming Assignment Help.
Recent Solved Questions
- Company and Business Law Assignment, BAC, Malaysia Demonstrated ability to identify a legal issue arising from a set of facts. Demonstrated ability to apply a relevant
- BTA3324: Sales and service tax (SST) was reintroduced on 1 September 2018 to replace goods and services tax (GST): Taxation 2 Assignment, UOW, Malaysia
- SFUF0393: Fundamental in Psychology Essay, UIU, Malaysia Discuss the basic psychology of human behavior. Apply the appropriate reasoning processes in arriving at conclusions
- MPU3412: Community service activities are aimed at improving people’s lives so that they can contribute: Community Service Assignment, OUM, Malaysia
- Bachelor of Communication with Honours Assignment, OUM, Malaysia Identify and list the research objectives and Who is the target audience of the research
- Introduction to Cyber Security for Non- Computing Science Case Study, UiTM, Malaysia Your organization is planning to adopt BYOD which allows the employee to bring their own devices to accomplish
- STA10003: Foundations of Statistics Assignment, SUT, Malaysia According to a web advertising company, the impact of pop-up ads depends on age. A random sample of 60 web surfers
- NBNS3224: Obstetric and Gynaecology Assignment, OUM, Malaysia Madam M, aged 28 years, is a primigravida of 12 weeks gestation. She was admitted to the ward because of threatened
- MGT7998E: The Relationship in Between Service Quality Dimensions and Patient Satisfaction of Public Hospital in Malaysia: RESEARCH Assignment, IIU, Malaysia
- Finite Element Analysis Assignment, CU, Malaysia Describe how the boundary conditions are applied and how the component is loaded