11. For which of the following clients would a mutual fund C share be most suitable? Assume that breakpoints kick in at $25,000. a. Jordan, who has $15,000 to invest now and intends to maintain her account for at least 5 years. b. Thelma, who has $20,000 to invest now and intents to add $5,000 to the account by the end of the each of the next three years c. Mary, who has $35,000 to invest and intends to maintain her fund for at least five years d. Mike, who has $5,000 to invest now, will add an additional $5,000 in six months, but doesn't intend to maintain his investment for much more than a year

11. For which of the following clients would a mutual fund C share be most suitable? Assume that breakpoints kick in at $25,000. a. Jordan, who has $15,000 to invest now and intends to maintain her account for at least 5 years. b. Thelma, who has $20,000 to invest now and intents to add $5,000 to the account by the end of the each of the next three years c. Mary, who has $35,000 to invest and intends to maintain her fund for at least five years d. Mike, who has $5,000 to invest now, will add an additional $5,000 in six months, but doesn't intend to maintain his investment for much more than a year

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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Similar questions

Harriet has been investing $300 at the end of each month for the past 25 years in an equity mutual fund. How much is the fund worth assuming she has earned a 12% annual return compounded monthly on her investment? 40,000 563,654 37,699 647,288
Please answer fast i give you upvote.
You deposit the following at the end of each year into a growth mutual fund that earns 11 percent per year: How much should the fund be worth at the end of 5 years How much interest have you earned in total?
The Market Edge Mutual Fund charges a 3 percent back-end load. Todd invested $2,500 in this fund sixteen years ago. Today, the total NAV value of his shares is $9,948 so he decided to withdraw the entire amount and take a month's vacation to tour South America. How much did Todd receive when he made his withdrawal? O $9,948.00 O $10,246.44 O $9,873.00 O $10,023.00 O $9,649.56
Question 1(a) Currently, Eric has $100,000 and her investment horizon is 8 years (i.e., all investments will be terminated at the end of year 8). He is considering one of the following investments products being offered by his private banker from OCBC Bank:• Greentech Fund: First year return is 4% per year, and this will increase by 1% each year for the next four years. Thereafter, returns will remain constant.• Net-zero Fund: Investment can only be made two years later (i.e., His money is in the bank for the first 2 years). When the investment is made, the return on the first three years is 6% per year and 12% per year thereafter.Interest of 3% per year (compounded monthly) can be earned if Eric deposits her money in an OCBC savings account.Analyze which is a better investment product. You are required to show all relevant workings (b) SingLife is offering an endowment policy where Eric, aged 40 today, will need to make the following payments:• 41st…
Future value (with changing interest rates). Jose has $3,000 to invest for a 6-year period. He is looking at four different investment choices. What will be the value of his investment at the end of 6 years for each of the following potential investments? a. Bank CD at 3%. b. Bond fund at 7.5%. c. Mutual stock fund at 14%. d. New venture stock at 21%. a. What will be the value of Jose's bank CD investment that offers an annual rate of return of 3% for 6 years? (Round to the nearest cent.) $
Manshu
1. A mutual fund has an offer price of $7.82 per share and a net asset value of $7.41. What is the sales charge percent? (Round to the nearest tenth.) A. 5.2% B. 5.5% C. 6.5% D. 94.8% 2. If Tanya's husband were to die, she and her children could live on $64,400 per year. Tanya makes $35,100 annually, and estimates additional income of $21,500 from other sources. How much insurance should she purchase on her husband to cover the shortfall, assuming a 16.7% prevailing interest rate? (Round your answer to the nearest $1,000.) A. $40,000 B. $42,000 C. $47,000 D. $48,000
3
1.
24. Azizi Bank raises funds through the issuance of a bond which will pay $2,500 at the end of each year for 15 years and on the date of the last payment will also make a separate payment of $100,000. If the investors’ required rate of return on this investment is 9%, how much would they be willing to pay for the Azizi Bank bond today?
1. Suppose Josh gets a $7500 gift from his family on graduation & wants to buy securities with this. He talks to his broker who informs him that the initial (minimum) margin requirement to be 25%. He, however, decides to use his entire gift to buy only 150 shares in HSBC at an initial price of $100 each. (a) What is the initial percentage Margin on Josh's account? (b) If R is Josh's portfolio return, and R= A.RHSBC, where RHSBC is HSBC's return, what is A? (c) If HSBC's beta is 0.975, what is the beta of Josh's portfolio?

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