Question 3 Samantha has inherited a fortune of SGD 20 million. She is keen to see how she can invest this sum in the financial markets for maximal returns. She did some research and discovered a few possibilities she could pursue: 1) Set up a FX portfolio with the major trading currencies, e.g., USD, Euro, Yen, SGD, AUD etc. and see how she can trade and benefit on her own. 2) Invest this amount into stocks of firms that are domiciled in the countries of these major trading currencies, e.g., buy shares of firms in the US, Europe, Japan, Singapore etc. 3) Open an account with one of the major asset management firms and let them manage her portfolio, e.g., a mutual fund. Evaluate each of the above choices for their advantages and disadvantages. Is there another 4th option she could pursue?

1. 1: Time Value of Money: Introduction A dollar in hand today is worth -Select- ✓a dollar to be received in the future because if you had it now you could invest that dollar and Select- interest. Of all the techniques used in finance, none is more important than the concept of time value of money (TVM), also called -Select- analysis. Time value analysis has many applications including retirement planning, stock and bond valuation, loan amortization and capital budgeting analysis. Time value of money uses the concept of compound interest rather than simple interest.

Finding a present value is the reverse of finding a future value. Which of the following is true about finding the present value of cash flows? O Finding the present value of cash flows tells you what a cash flow will be worth in future years at a specified rate of return. O Finding the present value of cash flows tells you how much you need to invest today so that it grows to a given future amount at a specified rate of return. Which of the following investments that pay will $15,500 in 8 years will have a lower price today? O The security that earns an interest rate of 5.50%. O The security that earns an interest rate of 8.25%. Eric wants to invest in government securities that promise to pay $1,000 at maturity. The opportunity cost (interest rate) of holding the security is 6.80%. Assuming that both investments have equal risk and Eric's investment time horizon is flexible, which of the following investment options will exhibit the lower price? O An investment that matures in six…

Suppose you are considering investing some of your wealth in one of three investment portfolios: gold, food, or auto. Your broker provides you with the following table, which gives the probabilities of possible returns from each investment:   Gold Food Auto Probability Return Probability Return Probability Return 0.2 15% 0.4 15% 0.2 20% 0.3 8.3% 0.6 5% 0.25 12% 0.2 10%     0.25 6% 0.3 5%     0.2 5%         0.1 0.10% Which investment should you choose to maximize your expected return: gold, food, or auto? If you are risk-averse and have to choose between the gold and the food investments, which should you choose? Why? Do I have to use standard deviation? Why?

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Answer is C

plz solve all theses questions!!

Styles QUESTION 3 Alan, a chartered financial analyst (CFA), is willing to invest two stocks, Bloom stock and Stars stock. He has collected the data on both stocks from Bursa Malaysia. The data as follows: Stock Stock Bloom Stars State of Probability Return (%) Return (%) Economy Recession 0.35 -20 30 Normal 0.40 10 20 Boom 0.25 70 50 Alan has RM100,000 and he plans to invest RM60,000 in Bloom and the remainder in Stars. The market price for Bloom and Stars are RM12 and RM25 respectively. Beta for each stock is 1.2 and 0.5. Required: C. If Alan decide to invest all 100% in Bloom stock, criticise your findings. w ww m D. Evaluate the beta portfolio and each of the stocks. Assess the riskiness of the stocks based on standard deviation and the beta.

Please give me answer very fast I will rate

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