DCM 3102 INVESTMENT OPTIONS & MUTUAL FUNDS

198.00

Scroll down for Match your  questions with Sample

Note- Students need to make Changes before uploading for Avoid similarity issue in turnitin.

Another Option

UNIQUE ASSIGNMENT

0-20% Similarity in turnitin

Price is 700 per assignment

Unique assignment buy via WhatsApp   8755555879

Quick Checkout

Description

SESSION JULY-AUGUST   2024
PROGRAM BACHELOR OF COMMERCE (B.COM)
SEMESTER V
COURSE CODE & NAME DCM3102 INVESTMENT OPTIONS AND MUTUAL FUNDS
   
   

 

 

Set – 1

 

  1. Explore the significance of Foreign Institutional Investors (FIIs) or Foreign Portfolio Investors (FPI) in the Indian stock market.

Ans 1.

Significance of Foreign Institutional Investors (FIIs) or Foreign Portfolio Investors (FPI) in the Indian Stock Market

Introduction
Foreign Institutional Investors (FIIs) or Foreign Portfolio Investors (FPIs) play a critical role in shaping the Indian stock market. Their significance has grown steadily since the liberalization of the Indian economy in 1991, which opened the gates for foreign investments. FIIs/FPI primarily invest in stocks, bonds, and other financial instruments, significantly influencing the market’s liquidity and

 

Its Half solved only

Buy Complete from our online store

 

https://smuassignment.in/online-store/

 

MUJ Fully solved assignment available for session July-Aug 2024.

 

Lowest price guarantee with quality.

Charges INR 198 only per assignment. For more information you can get via mail or Whats app also

Mail id is aapkieducation@gmail.com

 

Our website www.smuassignment.in

After mail, we will reply you instant or maximum

1 hour.

Otherwise you can also contact on our

whatsapp no 8791490301.

 

 

 

  1. a) Explain the term Beta and its relevance in investment decisions.
  2. b) Calculate the expected return using the CAPM formula.

Given: Risk-free rate (Rrf) = 3%, Beta (Ba) = 1.2, Expected return of the market (Rm) = 8%.

Ans 2.

a) Explanation of Beta and Its Relevance in Investment Decisions

Understanding Beta

Beta is a measure of an asset’s sensitivity to market movements. It quantifies the relationship between the returns of an individual stock or portfolio and the overall market. Represented mathematically, Beta is calculated as the covariance of a stock’s returns with the market returns divided by the variance of the

 

  1. Explain the discounted cash flow method of bond valuation.

Ans 3.

Introduction to Bond Valuation

Bond valuation is a method to determine the fair value of a bond by estimating its future cash flows and discounting them to their present value. The discounted cash flow (DCF) method is one of the most widely used approaches in this context. This method evaluates the intrinsic value of a bond based on its coupon payments and the principal repayment at maturity, adjusted for the time value of money.

Concept of Discounted Cash

.

 

Set – 2

 

  1. Analyze the potential advantages and disadvantages of real estate compared to equity investments in India.

Ans 4.

Advantages and Disadvantages of Real Estate Compared to Equity Investments in India

Introduction
Investing in real estate and equity represents two popular investment avenues in India, each with unique characteristics, benefits, and risks. While real estate refers to the purchase of physical property for income or capital appreciation, equity investments involve buying shares of companies traded on stock exchanges. Comparing these two options requires evaluating their potential advantages and disadvantages in the Indian context.

Advantages of Real Estate

 

 

  1. Elucidate the meaning of Derivatives. Also, analyze the benefits and risks associated with investment in derivatives.

Ans 5.

Meaning of Derivatives and Their Benefits and Risks

Understanding Derivatives

Derivatives are financial instruments whose value is derived from an underlying asset, index, or reference rate. The underlying asset can include stocks, bonds, commodities, currencies, interest rates, or market indices. Derivatives are contractual agreements between two or more parties, and they are typically traded in both organized exchanges and over-the-counter (OTC) markets. Common types of derivatives include futures, options, forwards, and swaps.

The primary purpose of

 

  1. Elaborate on the chief constituents of Mutual Funds in India.

Ans 6.

Chief Constituents of Mutual Funds in India

A mutual fund is a collective investment vehicle that pools money from multiple investors to invest in a diversified portfolio of assets, such as equities, bonds, money market instruments, or a combination of these. Managed by professional fund managers, mutual funds are structured to achieve specific investment

us key constituents that work together to provide efficient fund management and investor protection. With their diverse offerings and professional oversight, mutual funds cater to a wide range of financial goals and risk profiles, making them a cornerstone of modern investment strategies.