As an investor, you looked at the published list of securities held by an investment company and noted that the price of the stock was less than the market value of the securities held. You immediately decided to purchase shares of the company. What type of investment company was it?
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As an investor, you looked at the published list of securities held by an investment company and noted that the price of the stock was less than the market value of the securities held. You immediately decided to purchase shares of the company. What type of investment company was it?
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- How is treasury stock purchased? What ethical issues may arise from buying back company stock?1. Suppose many investors are still interested in acquiring the shares of Company ABC after the initial public offering, what kind of Financial market should they go to from whom would they purchase this shares? 2. What would happen if there are no Financial market in the Financial system?An investment bank’s clients wanted to manipulate its stock price in order tofacilitate a better selling price in private placement deal with a pension fund.To assist the client, the investment bank solicits other advisory clients to buythe company stock; at the same time solicits other clients to sell the samecompany stock to effect a matched. These trades represent a large percentage of the company’s stock volume, which leads to a drastic increase in price. Comment the action of the investment bank.
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