Market Hypothesis was firstly brought forward by E. Fama in 1960s. Its main believing is in that security prices fully reflect all available information in an efficient market‚ which allows investors to earn no above average risk-adjusted return (Fama‚ 1965). Although some technical studies and opportunistic investors have stretched hard in searching for proofs to challenge the efficient market hypothesis‚ and to prove above average returns could be gained by predicting the future price using the existing
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informational efficiency. Problem Statement: The Lag Mason Value Trust has been able to outperform the S&P 500 index for 15 consecutive years till 2005. Will the trust to able to consistently deliver similar performance in future? Should a rational investor buy shares in Value Trust as on middle of 2005? What can be possible reasons for the exemplary record of the Value Trust? Can the reasons of the trust’s success can be only attributed to the trading skills and style of Bill Miller or is it sheer
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Bernd Rohrmann (2005) Risk Attitude Scales: Concepts‚ Questionnaires‚ Utilizations. Bymes‚ J.P.‚ Miller‚ D.C. and Schafer‚ W.D.‚ 1999‚ Gender Differences in Risk Taking: A Meta-Analysis." Psychological Bulletin 125‚ p.367-383. Grable John E. (1997) Investor Risk Tolerance: Testing the Efficacy of Demographics as Differentiating and Classifying Factors Grable‚ J. E. and Lytton‚ R. H.‚ 1999‚ Financial risk tolerance revisited: The development of a risk assessment instrument‚” Financial Services Review
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(FDI) in Thailand. This paper also provides brief background of Thailand and comprehensive information on the above legal concerns. Furthermore‚ it illustrates how the outcome of these regulations is in favor of FDI and; therefore‚ attract foreign investors to invest in Thailand. Introduction Foreign Direct Investment has recently become increasingly significant in terms of capital inflow and capital formation which contribute largely to a development in Thai economy for the past decades. It has
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swaps can be used to transform the cash flow characteristics of reference assets‚ so that investors can hedge the currency‚ credit and interest rate risks to create synthetic investments with more suitable cash flow characteristics. An asset swap package involves transactions in which the investor acquires a bond position and then enters into an interest rate swap with the bank that sold him the bond. The investor pays fixed and receives floating. This transforms the fixed coupon of the bond into a Libor
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the venture capital investor. Further‚ its role in enabling investors to make decisions on how‚ when and how much to invest is limited. We propose that standard setters take this on board in revising reporting requirements. Ó 2014 Elsevier Ltd. All rights reserved. Keywords: Venture capital Accounting information High-technology Intangible assets 1. Introduction This article explores the issues surrounding the usefulness of financial accounting to a specific type of investor; the venture capitalist
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Assignment# 3 by Nedim Halilagic Chapter 6 14. Freely Floating Exchange Rates. Should the governments of Asian countries allow their currencies to float freely? What would be the advantages of letting their currencies float freely? What would be the disadvantages? ANS: Given that Asian countries are rising economies and that floating exchange rate systems allows currency values to reflect a nation’s economic fundamentals gradually and efficiently‚ I would say that they should allow their
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securities or other investment alternatives. The investment process can be divided into five stages 1. Framing of investment policy 2. Investment analysis 3. Valuation 4. Portfolio construction portfolio evaluation Investment policy: The investor before proceeding into investment formulates the policy for the systematic functioning. The essential ingredients of the policy are investible funds‚ objective the knowledge about the investment alternative and market. * Investible funds: The
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Introduction Initial Public Offering is a rigorous process where a firm decides to go public in order to enable it raise capital for the company that will enable it to fund its operations such as expansion plans‚ generate profits as well as make its investors happy. For the IPO to go successfully there are a number of important factors and players that come into consideration. These include investment bankers‚ underwriters‚ pricing‚ demand and supply among other important factors. The role of investment
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standards (GAAP). Accounting standard setters anticipate that the use of IFRS will improve the comparability of financial statements‚ improve reporting transparency‚ and increase the quality of financial reporting which in turn will lead to greater investor confidence. From an economic perspective‚ some believe that it’s challenging to perceive that such expectations will be achieved as a result of converting to IFRS. However according to proponents of IFRS‚ publicly traded companies believe that applying
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