单选题There is an investment which contains an expected return and standard deviation of 10% and 5% respectively. Assume that it is normally distributed, calculate the chance of losing money.
单选题An investor gathers the following information about three U. S.
Treasury annual coupon bonds:
Bond 1
Bond 2
Bond 3
Maturity
2 - year
1 - year
2 - year
Price
$10000
$476.19
$9500
Coupon
5%
0%
0%
Par Value
$10000
$500
$10500
Misvaluation
$o
$o
9 If bond price
converge to their arbitrage-free value, what should happen to the price of Bond
3?
A. Selling pressure should decrease its value.
B. Buying pressure should increase its value.
C. Selling pressure should increase its value.
单选题An analyst determines that an 8 percent option-free bond, maturing in 2015, would experience a 3 percent change in price if market interest rates rise by 50 basis points. If market interest rates fall by 50 basis points, the bond's price would increase by:
单选题An analyst does research about moneyness of stock options. With respect to stock options, the potential for an infinite loss exists for an investor who: A. sells a put option. B. buys a put option. C. sells a call option.
单选题Thefollowinginformationisavailableforaportfolio:AssetClassAssetAllocationWeight(%)AssetClassReturn(%)CorrelationwithEquitiesClass(%)Equities4616100Mortgages251230Cashandequivalents30210Thereturnontheportfolioisclosestto:
单选题A financial instrument that has payoffs based on the price of an underlying physical or financial asset is a(n) :
单选题James Martin, CFA, is a portfolio manager in charge of several mutual funds with Global First Investments. Martin receives an oversubscribed initial public offering (IPO) and allocates it proportionately to his largest clients. Martin discloses this arrangement to all of his clients and obtains their written consent. Has Martin most likely violated the Standards of Professional Conduct? A. No. B. Yes, relating to fair dealing. C. Yes, relating to diligence and reasonable basis.
单选题Which of the following statements is NOT an advantage of swaps? Swaps:
单选题The current coupon period for a 10-year IBM bond with face value
$100000 and a 7% coupon rate is 183 days in length. The next coupon will be paid
85 days from today's settlement date. What is the accrued interest on this bond?
A. $3748.
B. $1626.
C. $1874.
单选题An analyst working at an investment firm has a client that rents
limousines. The client tells the analyst that as long as he is the client's
analyst, he can have free use of a limousine several times a year. The analyst
needs to:
A. inform his supervisor in writing of the offer if the analyst intends to
accept the offer.
B. explicitly refuse such an offer.
C. do nothing since the offer is not linked to the performance of the
client's portfolio.
单选题A retailer provides credit cards only to its most valued customers who pass a rigorous credit check
单选题After a firm presents a minimum required number of years of GIPS- compliant performance, the firm must present an additional year of performance each year, building up to a minimum of:
单选题A sample of monthly returns of aggressive growth funds contains 35,20,30,50 and 55. Find out the range, mean absolute deviation, and variance of the data set? Mean Absolute Sample Range Deviation Variance A. 17 11.6 415
B. 17 23.2 207.5
C. 35 11.6 207.5
单选题Aportfoliocontainsequalweightsoftwosecuritieshavingthesamestandarddeviation.Ifthecorrelationbetweenthereturnsofthetwosecuritieswastodecrease,theportfolioriskwouldmostlikely:
单选题An investor deposits 2,000 into an account that pays continuously compounded interest of 6% (nominal annual rate)
单选题Toby Jensen originally purchased 400 shares of CSC stock on margin at a price of $60 per share. The initial margin requirement is 50 percent and the maintenance margin is 25 percent. CSC stock price has fallen dramatically in recent months and it closed today with a sharp decline bringing the closing price to $ 40 per share. Will Jensen receive a margin call? A. Yes, he does not meet the minimum maintenance margin requirement. B. Yes, he does not meet the minimum initial margin requirement. C. No, he meets the minimum maintenance margin requirement.
单选题If the Federal Reserve unexpectedly shifts to a more expansionary monetary policy, which one of the following is most likely occur in the short run?（ ）
单选题Kate Wilson, CFA, is a portfolio manager for wealthy individuals in a large international investment company. Which of Wilson's following statements is among the recommended procedures in compliance with the Standards of Professional Conduct relating to performance presentation? A. When the company presents its performance, it should use uniform format for both retail and institutional clients. B. When the company presents its historical performance, terminated accounts should be excluded. C. Rather than a single representative account, the company presents performance of the weighted composite of portfolios with similar investment strategy, objective, or mandate.
单选题For a hedge fund investor, a benefit of investing in a fund of funds is least likely the:
单选题The financial manager at Genesis Company is looking into the purchase of an apartment complex for $550000