A sinking fund can be set up in one of two ways. Discuss the advantagesand disadvantages of each procedure from the viewpoint of both the firmand its bondholders.

Q: The price an investor pays when buying shares of an open-end mutual fund is based on the supply and…

A: An open-end fund is a portfolio that can issue an unlimited number of shares.  Open-end shares are…

Q: What is one advantage an ETF has over an open-end mutual fund.

A: Mutual fund is an institution that invests the money of small investors in financial securities like…

Q: Why are mutual funds considered good investments for long-term investors?

A: Investment means engaging your funds to generate wealth or profit in future. There are many…

Q: Compare no-load and load mutual funds.

A: A load mutual fund imposes an offering cost or commission for the obtained stocks. This installment…

Q: Of the following investment vehicles, which is the best and which is the worst? Choose from common…

A: There are various investment vehicles such as common stocks, mutual funds, ETFs and REITs. Common…

Q: What is a mutual fund?

A: Mutual fund is pool of funds managed by professionally qualified fund managers who collect funds…

Q: Give some advantages and disadvantages in investing in a mutual fund

A: Mutual fund can be defined as an accumulation of fund, mutually collected from large number of…

Q: Which of the following investment types cannot be sold during normal market hours? a) mutual fund…

A: Investment is a process of investing money with the motive of making more money.  The person who…

Q: Obtain information on the following two funds: (i) Colonial First State Imputation (ii) Vanguard…

A: COLONIAL FIRST STATE IMPUTATION FUND: It provides investors with exposure to Australian equities,…

Q: The liability / equity side of an open-ended hedge fund is composed of  __________________.…

A: There are two types of funds. Open ended fund and close ended funds. The funds which allow the…

Q: Would you expect a typical open-end fixed-income mutual fund to have higher or lower operating…

A: Mutual funds are of two types, they are, open ended and closed ended. We can explain the operating…

Q: Are mixed mutual funds and hybrid funds are same ? explain

A: Mutual funds are the investment options through which a group of investors contribute funds to…

Q: What problems would confront a mutual fund trying to create an index fund tied to an equally…

A: A mutual fund refers to an investment pool. The investors' money is invested into the pool, the…

Q: Which of the following has the highest cost of capital? Choose the correct. A. Loans B.…

A: Cost of capital:   It refers to the cost incurred by a company to acquire a given form of fund.

Q: What is a bond sinking fund? What is the purpose of establishing a sinking fund? Are bonds that…

A: A bond sinking fund is the total amount of cash kept in a fund that will be used to retire a bond…

Q: Which of the following is likely to have a price that differs from its NAV?: -open-ended mutual…

A: Mutual funds are the pooled or managed fund that  managed by the asset management company. The asset…

Q: Financial markets that facilitate the flow of short-term funds are known as: O Primary markets O…

A: Financial markets can be defined as the market where financial assets or instruments are traded.…

Q: The _________ of an open-end fund provides the only market for buying or selling the shares of the…

A: Secondary market is the market where the trading of securities take place for the securities that is…

Q: What is a mutual fund? How does mutual fund differ from money market fund? need this answer asap

A: A mutual fund is a kind of investment vehicle made up of a group of cash that many shareholders…

Q: Are securities that provide for a sinking fund regarded as beingriskier than those without this type…

A: Introduction: A sinking fund is nothing but a set up by an economic institution by setting aside…

Q: difference between Mutual Fund and Venture Capita

A: Venture capital and mutual funds are the sources through which investors make investments in the…

Q: Compare the funds based on their size, management, risk level, and dividend distributions. Then,…

A: A mutual fund is an investment opportunity whereby allows the investors to buy securities. It is…

Q: Explain in detail the mutual fund and it types.

A: A mutual fund is a type of financial vehicle made up of a pool of money collected from many…

Q: What are some major differences between a UITF and a Mutual Fund?

A: Unit Investment Trust Funds (UITFs) are professional-managed financial vehicles that can help you…

Q: Explain to King Solomon what call provisions and sinking fund provisions are and how these…

A: Call Provision: A contingent provision included in a bond indenture. It leads a bond issuer to a…

Q: In the context of evaluating performance of a particular hedge fund for the purpose of determining…

A: A high water mark is used to decide the performance / incentive fees paid to the fund managers. It…

Q: WHAT ARE THE CONCEPTS OF MUTUAL FUND?

A: A mutual fund is a trust that pools the savings of a number of  investors who share a common…

Q: In what respect is preferred stock similar to bonds, and in what respect is it similar to common…

A: Preferred stock and bonds are similar in following aspects- - Both preferred stock and bonds have a…

Q: What is different between long-term mutual funds and money market mutual funds and what are the main…

A: A mutual fund is a pool of investments from multiple of investors who pools their money towards the…

Q: What are the two ways a sinking fund can be handled? Whichmethod will be chosen by the firm if…

A: A sinking fund is a fund created periodically by setting aside money for the gradual repayment of a…

Q: Balanced funds, life-cycle funds, and asset allocation funds all invest in both the stock and bond…

A: Balanced funds are the funds that hold both stocks along with the bond. Asset allocation fund and…

Q: How might the constant scrutiny and demand for consistentresults affect the long-term performance of…

A: Those funds which accept money from the investors and use that money to invest as per the scheme or…

Q: The payments made to a fund's shareholders that result from the sale of securities in the fund's…

A: Distribution can be of two types to the fund shareholders, first is to payment of cash to the…