Essays on Bonds

Stock Ownership and Capitalism

Introduction In the podcast entitled, Who Makes Cents?: A History of Capitalism, released in June 2014, Julia Ott discusses the issues associated with stock ownership. She does so in the wake of mass workers turnout at a Macdonald shareholders meeting (Ott, 2014). They take advantage of the meeting to voice out their grievances. This is due to the fact that shareholders and stock owners have become more influential in corporations across America.

Main Issues Addressed

The majority of American households today are stock owners, which has come a long way. Stock owners were seen as parasites to the economy in the 19th ...

The Rothschild banking family went down in history as the owners of the largest private wealth not only in the world but even in history with affiliate properties in London, Naples, Paris, Frankfurt, and Vienna. Currently, the family wealth has been diversified into more economically productive ventures such as financial services, production of wines and soft drinks, energy generation, real estate investments and even mining of minerals (Byford 78). The massive wealth as possessed by the Rothschild family has been a subject of suspicions, speculation and unending doubts about the exact identity of the Rothschild. For instance, while existing ...

We have all been taught how every object and thing around us is made up of matter and that matter exists in three very basic states which are the solids, the liquids, and the gasses. Even within these solids, liquids and gasses are particles, and it is simply the arrangement of these particles which makes any matter form one of the three states. It is also because the major difference between the three states is how the particles behave around one another which make the transition possible in between one state of matter and the next. In simple words, ...

Introduction

Genting Singapore is an international hospitality company that deals with integrated resort development and gaming (Genting 2017). Specifically, the company builds integrated resorts and runs casinos as its core business. It also consults for the hospitality industry businesses and investments in the area of sales and marketing support. Besides, it offers information technology services such as software development, systems integration and maintenance among others. Its markets of operation include Singapore, Malaysia, Philippines, the Bahamas, Australia and the UK. The company that began as Genting International was first listed on the Singapore Securities exchange in 2005. It acquired the Stanley ...

Carry trade is a means of trading where an investor borrows money from a financial institution then invests the same in assets with the hope of getting a profit from the assets. This means of trading is popular in the foreign exchange market. It involves borrowing from low-interest rate currency then converting that currency into that of a high yielding one. There are two ways in which an investor can earn for the carry trade. One can either invest in a high yielding currency or invest in an asset that has prospects of increasing its worth. These assets can ...

Impact of Policy Changes on Financial Stability of Commercial Banks in India

Paper Due date Abstract The study envisages financial stability of Indian Banks, especially schedule commercial banks, in the backdrop of macro-prudential policy changes. Banks are put under microscopic vision in terms of performing as commercial units while strictly adhering to the policy norms. The effect of regulatory and supervisory policy changes can be evidently seen in stressed performance of banks in the recent years, in-spite of growth in their retail portfolios. The policy changes of increased provisioning for NPAs, improvement in asset account quality, revised guidelines for Net Stable Funding Ratio, restructuring of large accounts and many more have ...

Yale University Investments Office: February 2011

David Swensen definition of efficient markets hypothesis: A financial market is (informationally) efficient when market prices reflect all available information about value. From the case study it can be said that Swensen believed in market timing in markets for stocks, bonds, private equity, real estates, oil and gas. Features of private equity markets that make market timing difficult are valuation, performance, regulation and the ongoing volatility and uncertainty in global markets. Based on the case analysis David Swensen would pick on option two that is a fund managed by energy industry experts with engineering undergraduate degrees from prominent state ...

Primary and Secondary Market

Primary markets are linked to the issuance of new securities that are apportioned and issues by the companies to people, who have subscribed to the issue. The securities in the primary market are issued to the public via initial public offerings (IPOs) by the public limited firms. The IOPs can be shares or the debentures. The IPOs are associated with the issuance of securities made by the company, which is limited to public on direct basis. On the other hand, in relation to bonds investors buy them directly from the firm. The shares or debentures are issued at the ...

The Relationship between Risks and Rate of Returns

The risk and rate of return, as discussed in business, are directly proportional. It means that as the risk increases, the rate of return increases while as the risk declines, the rate of return decreases as well (Christoffersen, 2012). Therefore, an individual willing to invest must take a decision based on both the risk and rate of return analysis to achieve a high return at a lower risk. Investors are likely to prefer investment decisions that yield high rates of return at minimal risks. The term risk defines the capability of acquiring loss below a person’s investigations. On ...

Business

Business The investment is spending money with expectations on return. Typically, the decisions with higher return expectations require certain risk, the options with moderate risk rate are characterized with medium risk, and the low-return decisions are the most reliable. Therefore, the investment decision is based on the investor’s expectation about the return, probabilities of success for different options, and willingness to take the risk (Dwivedi, 2010). Hence, a manager has to be aware of all the options and make the decision basing on reliable scientific tools. These tools are the decision tree and payoff analysis. The decision analysis ...

PART 1

Risk is defined as a measure of future projections on uncertainties that affect the set goals, achievements, objectives and performance of business, project or organizations. Risk is often associated with programs such as technology failure, threat, design maturation, supplier capability and performance plan analysis. The mentioned programs are managed through integrated master schedule (IMS) and Work Breakdown Structure (WBS). Industry risk assessment addresses potential variation in market capability, accessibility, cost structure, profitability, substitutes, cyclicality, and regulations. Therefore there are key elements that must be evaluated during risk assessment (Weagley, 2014). They include a root cause or risk projections that ...

In the 2000s, Argentina’s financial system fell into a serious recession. For this reason, the leaders in Argentina took financial loans from International Monetary Funds (IMF) and other agencies. However, the country was not able to pay its debt installments on time due to which Argentina failed to pay around US$93.2 billion of its external debt. In the year 2001, the country defaulted on a total of around $81 billion in bonds. The issues faced by the financial system of Argentina made the trading sector suffer as well. The foreign investment fled from Argentina and multinational companies ...

Healthcare has been experiencing tremendous transformations in the recent past, and this can be attributed to the changing health needs of the people. To adapt to these changes, the models of care delivery, care services, and even the personnel, have changed as well. Also, there is an increasing need to provide patient-centered and culturally sensitive care, as cultural diversity continues to pose a challenge to the delivery of holistic care. One approach of delivering care services is by focusing on a family, identifying the specific health needs of such families, and developing plans of treatment that are focused on ...

Profressor Name

Premarital sex among those living together in a cohabitation has long been a moral concern that many parents and religious people have minded themselves with. Even though the stigma of premarital sex and cohabitation before married has very much faded and waned over the years, the mental health and family planning concerns that come with the subject have amplified in nature give the increase out of wedlock birth rate and the complications of trying to persist with a serious and cohabitating relationship in spite of a marriage not being part of the proverbial equation. The general subject described above ...

Abstract

Decision situations can be analyzed using different methods out which decision trees are useful to analyze complex situations. Frequently, decision situation is complicated because the payoffs are not only dependent on the initial decision but also dependent on the additional decisions are taken in the sequential step process. Decision trees can identify the best initial as well as the best subsequent actions. The decision criterion that a decision tree satisfies the Bayesian expected payoff criterion. The present case has multiple alternatives and multiple probabilities; decision tree is the best method for solving this. The resulting decision tree has three ...

Japanese Economy in the Recent Years

Introduction During the advent of economic downturns particularly in terms of financial crises or bubbles, the usual resort of the government is to rely primarily on its monetary tools alongside expansionary fiscal policies to stimulate the economy. Monetary policies are tools used to deal with inflation, budget deficits, unemployment, incomes, international economic relationships among others. Monetary policies have profound effects on our jobs, incomes, livelihood, and career choices. One of the considerations and is always on the watch in an economy is the behavior of prices of the goods and services. As the law of demand states that with ...

(a)Discuss the conceptual merit(s) of each of the date-of-issue balance sheet presentations shown above for these bonds. (b)Explain why investors would pay $1,085,800 for bonds that have a maturity value of only $1,000,000. The difference between the present value and the maturity value of the bond depends on the interest rate and the coupon rate. If the coupon rate of a bond is greater than the yield to maturity rate, then it will trade at a premium to its face value. Therefore, it is clear that the bonds of Nicholas company are ...

Thin Layer Chromatography of Amino Acids

Introduction The technique used for this experiment was thin layer chromatography (TLC). TLC is used to separate components of a mixture (Clark, 2016). The purpose of this experiment was to identify an unknown amino acid. The components will have different affinities to the stationary and mobile phases. The various components will travel at different rates based on their affinity to either the mobile or stationary phase (Clark). A polar stationary phase is used in TLC experiments and the mobile phase can be a combination of solvents or just one solvent (psu.edu, n.d.). TLC can also be used to monitor ...

Food is important in every family structure. Food is something that all human beings need to live, but it is also something that humanity as a whole uses to build friendships and bonds. Although every culture places extreme importance on food, different cultures express cultural bonds with traditions and practices regarding food, community, and eating. In the Middle East, traditional practices of preparing food and eating food are extremely important within the family structure— and many of these practices remain the same across the cultures of the Middle East, regardless of the country. The cultures of the Middle East ...

Rationale for the stock selection

Since the shares of preferred stocks have dividends that must be paid out before bonuses to the common shareholders, they are the class of ownership in a corporation. Thereby, possessing high claims on the company's assets, common stock, and earnings. It does not carry voting rights. Additionally, the preferred shares more rights as compared to the ordinary shares. Therefore, the rationale for selecting this stock rely on the ability of companies to retain the issue options of buying the common shares at an exercise price with a reasonable discount from the prices of the preferred securities. The accounting and ...

Click Chemistry describes the biocompatible reactions that are high yielding, that are very simple to perform, have wide scope, that need no chromatography to remove their byproducts and that can be conducted in easily removable solvents. The synthesis of first triazole was reported by Arthur Michael in 1893. In the 20th century, Huisgen discovered the catalyst of copper, 1,3-dipolar cycloaddition which required the temperature of 100 degree Celsius. This reaction of copper is a highly versatile reaction which does not require any specific reaction conditions and can easily be performed with various solvents, wide temperature range and pH, ...

Microsoft Notes

Securities issued on 2013 Yield = (1000 * 0.875%)/ 998.35 = 0.876%

Yield in 2015

Yield = (1000 * 1.625%)/ 995.61 = 1.632%

Yield in 2020

Yield = (1000 * 3.0%)/ 991.36 = 3.026%

Yield in 2040

Yield = (1000 * 4.50%)/ 989.11 = 4.55%

Coca-Cola Enterprises, Inc.

Yield in 2012 Yield = (1000 * 3.750%)/ 995.87 = 3.766% Yield in 2015 Yield = (1000 * 4.250%)/ 988.77 = 4.298%

Norfolk Southern’s ``century’’ Bond

Issue to the public Yield = (1000*0.06)/1008.33 = 5.95%

Issue to U.S

Yield = (1000*0.06)/998.33 = 6.01%

IBM floating rate notes

Yield = (1000*0.1)/999.0 = 10.01% Bonds are instruments of indebtedness of the bond issuer to the holder of such debt securities. They are debt instruments under which the company issuing the bonds owes the owners the obligation and contingent ...

THE SCIENCE OF FOOD

Cancer and nutrition – good nutrition is very important in the management of cancer and thus healthy eating habits are encouraged during this period. Tumors that develop in the stomach or intestines may, however, affect the way the body uses the food that is ingested and may not absorb all the food, although the patient may be seen to be eating enough food. The side effects that may affect eating when one has cancer include vomiting, dry mouth, constipation, mouth sores, loss of appetite among others. Nutrition therapy is advised for cancer patients to help maintain a good quality life ...

Crime refers to an offense that is legally recognized as deserving punishment. The most common form of legal punishment is the detention of an individual in a prison. In contemporary detention facilities, such people are incarcerated: this works for both adult and delinquents. Delinquents are persons aged below 17 years and who according to the law are still minors. In most cases, they persist in crime despite the numerous efforts to rehabilitate them back into the society. This, therefore, culminates the question, is it true that crime can be traced through an individual’s life back to their younger ...

INVESTING IN THE FUTURE

Question 1: Discuss the role of investing in personal financial planning. It has been gathered from the case that Sam Johnson is a hard working guy and he has defined some financial goals for himself. He is about forty years of age, enjoys a great job and ensures that he pays his bill on time. He plans to retire at the age of sixty and he wishes to have enough savings so that he could send his young kids to college when they grow up. In order to ensure that he has ample amount in his savings before retirement, ...

Articles Summary

The main point in the current article is to develop an attitude towards the savings at the early age. The sources of finance at the early age are very limited and it is very important that the individuals must plan their important needs accordingly. According to the article, the important needs such as higher studies, important assets and the good credit history must have a proper financial plan. The planning must cover all risks, including recessions, inflation and the time value of money. The idea of savings from the early life can help anyone in achieving the goals such ...

Abstract

When an organization has cash inflows and outflows of foreign nature, the cash forecast for every currency will help during the identification of the currency exposures. The format of the estimation should allow the users to determine the balance for every currency and whether there is a growing shortage or extra money over time based on reasonable cash flows. The increasing gaps between the cash inflows and outflows may need hedging, and the cash flows that offset over time represents the issue of timing effectively. The management of foreign exchange transaction can be achieved through the offsetting transactions to ...

Abstract

Individuals and business organizations with investment potential or the desire to become investors often find themselves having limited capital to undertake the desired projects. Additionally, most investors are often confused when carrying out analysis to assess the risk of the various portfolio in which they intend to invest their resources. The governments have developmental projects that require more financial resources than their revenue due to budget deficits. Having excess money in the circulation is dangerous to an economy because it results in excess aggregate demand that produces inflationary gaps. As such, the government must regulate money supply to ensure ...

A) In the article titled Corporate Policies of Republican Managers the authors tested the effect of personal political preferences of corporate managers on corporate policies. The authors specifically focused on the Republican managers who had 73% likelihood of identifying themselves as conservative, 24% chance of identifying as moderate, and only 3% chance of being liberal (Hutton, Danling and Kumar 1279). The study found that majority of the managers identifying themselves as politically more inclined towards the Republican also adopted conservative corporate policies. Consequently, the organizations that they led were characterized by low debt levels, low capital, low investment in ...

The chapter under consideration is the Chapter 5, Financial Services: Savings Plans and Payment Accounts. The chapter gives to the reader five important aspects that contribute to the understanding of the personal finances. 1. The first aspect is the selection and use of the available financial services in the market and the factors that influence the decision to select a specific financial service. The selection of the financial service depends on of the needs of the client and the convenience of fees and conditions. One of the financial services is the availability of cash. The cash is the most ...

Abstract

The Great Depression during the 1930s was referred to as the most severe economic downturn that affected the United States and the global economy. The depression lasted for almost a decade, and some economists and monetary scholars blamed the failure of the banking institutions to come up with effective policies to maintain a sound standing. The banks were not sufficiently prepared to deal with erratic economic movements. Consequently, there were also those who argued that the Fed should be blamed for the economic recession because of their failure to adapt sound monetary policies. It was pointed out that the ...

Galaxy International operates in a niche market; this is because skiing is only possible in very specific areas, and only a limited number of the population skis regularly anyway. Despite this, the company has performed outstandingly well to be achieving the level of sales with a small staff. This being said, Galaxy International needs to raise capital quickly and in an efficient way to successfully continue expanding to fully capture its full market size. By offering a unique product that is flexible yet tough, Jeremy is likely to continue to increase the volume of his sales and therefore the ...

Investing in Saudi Arabia Market: Oil and Gas Services

Dissertation Proposal Rationale of the Study The rationale of the study is stipulated by the necessity to extend the analysis of the investment opportunities in Saudi Arabia market, the greatest oil, and gas supplier on the Arab Peninsula. The role of Saudi Arabia in the global economy is determined by the significant amounts of raw hydrocarbon deposits – the explored volumes of oil and gas equal to 40,3% and 22,7% of the world deposit accordingly. The experts estimate the financial assets of public and private Saudi Arabian structures in around $4 trillion. Economic and political processes taking place ...

1. The Financial Crisis: Avoidable but Inevitable Theoretically, the financial crisis could have been avoided as investigation findings revealed . Under the circumstances however, the crisis was an inevitable consequence of everything that was going. The Federal inquiry concluded that the 2008 financial crisis could have been avoided. The crisis was the result of “widespread failures in government regulation, corporate mismanagement and heedless risk-taking by Wall Street”. It was the result of “greed, ineptitude or both” on the part of government and the private sector. Among the persons found responsible for the crisis included Federal Reserve Chairman Alan Greenspan and, ...

Introduction

The case dwells upon the situation, in which a new Major Accounts Management, Zain, who recently joined the organization Zoro Stationary, found himself, ones trying to adjust to the new environment. The reality demonstrates that the previous experience of this professional, which encompasses over ten years in one of the major regional clothing and household retailers allowed good insight into the purchasing and customer behavior. The challenges, associated with the change of the industry, corporate culture and personal diversity, however, built on a number of difficulties in adapting his skills to the new role. The learning process within the ...

A) Cost of Equity Calculation:

= Risk free rate+ Beta(market risk premium) = 2.24+0.57(6.2) = 5.78%

Calculative Notes:

a) Risk Free Rate:

30-year US treasury rate: 2.24%

b) Equity Risk Premium:

Duff and phelps equity risk premium: 6.2%

c) Beta: 0.57

B) Cost of Debt: 2.72%

For the purpose of calculation of cost of debt, we have assumed average of yield to maturity of existing bonds of the company. c) Equity and Debt Weights: D) Cost of Capital-On Book Value basis

E) Cost of Capital-On Market Value basis

Important to note, cost of capital based on market value is the most appropriate as it represents the appropriate risk involved within the company’s capital structure.

G) Equity and Asset Beta

Beta (asset) = Beta (equity) / [1+ [(1-t)*D/E]] The above table indicates that amongst all ...

Introduction: Historically, female Black slaves endured the worse treatment, but have received the least amount of attention than their male counterparts in North American Slavery (Hine, 2007). There are longstanding myths that surround the experiences of female Black slaves, and struggles they face daily trying to survive. Deborah Gray White provides an intimate look into female slavery that until 1985 was long overdue. In her book she stated “Slave women were the only women in America who were sexually exploited with impunity, stripped and whipped with a lash, and worked like oxen” (White, 1999, p. 162). In the nineteenth ...

Abstract

Although obliged to cover issues in their entirety, with no distortions made in the process, American media tend to misrepresent the reality, as was the case with the depiction of Muammar Gaddafi’s regime implications for the social welfare possibly for political reasons. The noble cause of saving the international image of the USA formerly allied with the late leader in the wake of the Gaddafi demonization could have been the driving force of misrepresentation of the myth related in part to ethical minorities. The knowledge of non-consequentialism and its principles, whether unconsciously or otherwise, allows readers to perceive ...

The deterioration in political and economic environment in Brazil is a cause of worry as the portfolio holds 10% of Brazilian bonds denominated in USD. If the situation degrades further, it could result in increased credit risk due of two types, either due to downgrade of credit rating by the credit rating agencies or default on the payment. Either of the situations would lead to decline in value of the bonds and affect the whole portfolio. A downgrade in bond rating would lead to increase in the yield, resulting in decline in bond value. On the other hand, there ...

Introduction to Convertible Bonds

Convertible bonds consist of the bonds that are easily converted into the stocks. These convertible bonds are issued by the company and like any other normal bonds it has maturity date and face value. The convertible bondholder has all the rights of converting the bond into the predetermined share numbers of the respective company in an identified period. The factors influencing the bondholder converting or not depend on the stock interest rates and prices.

Contract conditions and Payoffs

The convertible bonds market conditions are not standardized and hence making it differ depending on every contract case. The maturity date being one of the ...

Abstract

The composition of the foods people consume has a significant influence on their health. Whole certain components in certain foods offer protection against the development of certain disease conditions, the consumption of other components at certain levels might predispose one to certain diseases and disease conditions. The processing industries have a role to inform the consumer of the ingredients in their food products. This is necessary for the consumer to make informed decisions about their dietary choices. This requirement is enforced by the role through regulations passed by government agencies. Even then, certain compounds that are present in processed ...

Finance is a vast area of discussion that requires one's dedication and interest to understand it better. Under finance, there are major issues like corporate financial policy which has a lot to be studied. The corporate fiscal policy is defined as an innovative corporate finance course that mainly touches on equity and debt management, for example, the descriptions of types of debt and equity, distribution policy and security issuance, for instance, the design of capital structure and securities that controls information problems. The sub-topics in securities and financial policy can be discussed in details as below.

Debt and equity management.

Debt and equity ...

Short – Term Investing

Introduction A treasury bill or a T-Bill is a short-term maturing promissory note, usually lasting for three months to one year. Nyawata (2012) asserts that the federal or national governments are the ones that issue T-Bills as their primary instruments of regulating the supply of money within the national economy, as well as raising funds for various government projects through open market operations. The central banks of the respective countries are the ones responsible for issuing and paying on T-Bills. According to Thau (2000) T-bills do not have any form of explicit interest, but they sell at a discount ...

Briefing Paper 1

a.) The “act of state doctrine” provides that a court in the United States, cannot pass judgement on the actions of a foreign government taken within their own country or territory that it has jurisdiction over (Cheeseman, 2012). In essence, the doctrine bars U.S. courts from interfering in the domestic policy actions of another government in their own country. b.) Under a communist theory of the world, the government of Cuba did act ethically when it appropriately the Glens’ property. From an American perspective, the expropriation was not only ethically questionable but most likely illegal. Club Med, under the ...

Introduction

The capital market is a wider portfolio market that deals with securities. The investment banking process provides a platform for the securities trading. The investors are provided with an opportunity to choose the appropriate financial instrument to choose. The portfolio management provides key elements that are applied by the investors in understanding the capital investment market. Therefore, the study seeks to explore on capital market investment and investment banking.

Portfolio and investment banking process

Investment banking process involves financial institutions that provide assistance to individuals, corporations, and governments in achieving and raising financial capital. This is through underwriting or taking part as the agent ...

Based on the above discussion, recommend and justify the risk exposures that should be reported as part of an Enterprise Risk Management System for the Toyota Motor Company? (10 Marks) The first risk that Toyota is faced with is the investment in commodities. Commodities such as non-ferrous metals, precious metals, ferrous alloys, energy, and plastic resin from outside sources may be subjected to price changes. Changes in prices can have a negative impact on the productivity for Toyota because inflated prices may result in delayed projects and the inability to complete planned products based on a lack of resources. ...

Introduction

Casino Capitalism is a vivid description of the international financial markets, their behavior, and the economic strength they yield to various entities. The book goes on to describe the advantages of international financial markets and some of the evils associated with the same. The author, Susan Strange was a former student of the British international relations studies; she is mostly renowned for her contributions to the creation of the international political economy. Apart from her major publication of the Casino Capitalism in 1986, she also published other books, namely: States and Markets (1988), The Retreat of the State (1996) ...

Abstract

The US economy thrives on the proper functioning of the monetary policy of the government of the day. Interest rates, inflation and recession are all related and happen to influence proper functions of the government warranting their clear understanding. As a victim of a recent economic recession, a consideration of the role of interest rates on the overall functioning of the economy becomes particularly important. This paper shall seek to understand the concept of interest rates and how they affect the economy of the United States of America. The paper, in doing this, shall consider the causes of the ...

Planned retirement age

I plan to retire at the age of 60 years. It is my hope that I shall have accumulated adequate resources to finance my post-retirement expenses. I also believe that I shall have done everything I have wished for in my career.

Retirement money

I will need about $641,000 for my retirement. This determination is based on my current and the expected salary as well as salary increases. The retirement fund requirement is also based on my current and expected expenditure. It also takes into consideration annual savings for retirement. I anticipate that my annual retirement expenditure will be about $ ...

(College/University/Institute)

Leonardo Pisa

Prior to the introduction of modern concepts for calculation, various mathematical operations would have required proficiency in the use of the abacus. However, in 1202, Leonardo da Pisa, an Italian math expert, released a book entitled “Liber Abaci,” or “Book for Calculation.” The book revolutionized the methods of calculating figures by establishing useful approaches in using the Arabic numbers 0 to 9 to the Western world. Though the book did not find immediate acceptance in the West, in the end it revolutionized the areas of commerce, finance, research, science and technology. Furthermore, da Pisa’s work laid the ...

Most of the services offered by a bank are largely financial in nature. However, the terms Assets and Liabilities have a different meaning when it comes to banks. For instance, assets in banking terminology would indicate fund usage, while liabilities in case of banks would, in fact, be a source of funds for banks. This essay will consider five different services or function that a bank offers and would explain with reasons if the said service is an asset or a liability, while also evaluating the services and providing an overall impression of the same. This essay considers the ...

Abstract

The aim of this project is to conduct risk assessment and return analysis on the investment vehicles in my portfolio. The investment vehicles chosen are Ford Motor, Walt Disney Company, Citigroup Inc., Wal-Mart Stores Inc., Time Warner Inc, Johnson & Johnson, US Treasury Bills, and Johnson & Johnson bond. The portfolio includes securities drawn from three categories that are the money market fund, corporate bonds, and shares. In the first scenario, the project tested the impact of novice asset allocation on return and risk in the sense that the investor allocates assets to the portfolio at own discretion. In this scenario, ...

Introduction

The purpose of this document is to reflect on personal and professional sides of my life up to date. While the analysis is rounded on the intention to analyse and close the gaps, between the "current me" and "expected future me" in terms of business environment, it is critical to understand that management and leadership, whether it is the leadership of self, leadership of others or leadership of entire organizations is based upon the combination of personal and professional qualities of an individual. With that in mind, the GAP analysis, which will be used as a structure for this ...

Movie Summary: The Big Short

The Big Short’, truly a magnum opus, is undoubtedly the best movie I have ever seen in the recent time. Directed by Adam Mackay and based on non-fiction book, ‘The Big Short-Inside the doomsday machine’ by Michael Lewis, the movie is based on the real life incidents revolving around a group of four individuals with parallel yet unconventional story of making millions by going short on the mortgage market. Here, the term- ‘Short’ refers to a financial term when an investors foresight the downside potential in an asset class and place investment on it with the intend to gain ...

Abstract

“Bartleby the Scrivener” is a marvelous short story of the American nineteen century that has been discussed greatly from various disciplinary perspectives over the last century. Bartleby has been seen as a revolutionary figure who intentionally disrupts the capitalist system and has been traced to numerous real people, including Thoreau, Emerson, and even Melville himself. Critics have attached numerous equivalences to the protagonist; therefore, it is important to study the historical, political, and cultural context to choose the proper one. “Bartleby the Scrivener” demonstrated not only allusion to specific people and conflicts in New York but also showed class ...

Risk exposures: The Financial Transaction Risks Table

Features of the method used to measure the interest rate identified Before determining the best method to be used in the measurement of the interest risk, it is essential to assess the source of the risk. The most common sources of interest rate risk are security mismatching for various items in the balance sheet depending on whether the interest rate is fixed or variable. The value assets lead to interest rate risk when there are valuation problems as well as in situations where interest rates are not aligned with the liabilities and assets (Kaufman, 1984). Various methods are applicable ...

Summary of these key indicators for the U.S. economy One of the key indicators of the US economy is current inflation. As at May 2016, the inflation rate stood at 1.02% (The World Bank, 2016). However, between January and May, the average inflation rate has been 1.01 percent. The second indicator is the unemployment rate recorded at 5.5 percent as at the end of May (The World Bank, 2016). The average for the year thus far has been 4.9 percent. The real GDP growth is also a critical indicator. In the first quarter of the year 2016, which ended ...

Introduction

Capital structure refers to a company’s alignment of the long-term and short-term debts, common equity and the preferred equity. The term also include the analysis of how the company decides on how to allocate the cash flow into various components including a portion that is allocated to meet the financing needs of the debt capital and the other portion that is allocated to the shareholders as part of the dividend. Capital structure is a subset of the financial structure. Financial structure refers to the relative proportion of the various sources of finances that are used in the business ...

Financial management is effective management of monetary resources of the organization. It helps the organization to plan, organize, direct, monitor, and control the financial activities efficiently and run the operations smoothly. I have learned different concepts of financial management in the class. I have learned that financial ratios play are useful in accessing the business performance and provide information about the company’s financial situation. The application of financial ratios allows examining the financial structure of the organization and comparing it with other competitors. I have understood that it helps the financial analyst to implement different strategies and improve ...

Introduction

The purpose of business is to obtain the maximum revenue at the lowest cost of capital in a competitive environment. The realization of this goal requires of comparing the size of the capital invested in the production and trading activities with the financial results of this activity. However, in the implementation of any kind of economic activity there is objectively a risk of loss, the volume of which is due to the specifics of a particular business. Risk is the probability of losses, damages, shortfalls of projected revenues, profits. Losses that occur in business activities can be divided into ...