Which of the following statements regarding close-end investment companies, if any, is correct? 1. Close-end funds continually create new shares as new monies are obtained. 2. Close-end funds offer price guarantees a. 1 only. b. 2 only. c. Both 1 and 2. d. Neither 1 nor 2.
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Which of the following statements regarding close-end investment companies, if any, is correct?
1. Close-end funds continually create new shares as new monies are obtained.
2. Close-end funds offer price guarantees
a. 1 only.
b. 2 only.
c. Both 1 and 2.
d. Neither 1 nor 2.
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- There are different proxies used for investment sentiments such as ; Retail Investor Trades Mutual Fund Flows Trading Volume Dividend Premium Closed-End Fund Discount Option Implied Volatility IPO First-Day Returns and IPO Volume. Question; What are the advantages and disadvantages of the above 7 proxiesThe liability / equity side of an open-ended hedge fund is composed of __________________. A. units and margin loans B. units only C. the financial instruments described in the deeds D. Investment properties E. marketable sharesWhich of the following is correct? Transactions within the spot market can be used to mitigate and hedge risk. In an efficient market, it is not possible that a stock of the firm has a price equal to its intrinsic value. Index funds are funds that reflect the performance of a specific index An example of an indirect transfer of capital through investment banks is when an investor buys a unit of a fund from a bank that is invested in various financial assets such as bonds and stocks of other companies.
- Open-end equity mutual funds find it necessary to keep a significant percentage of total investments, typically around 5% of the portfolio, in very liquid money market assets. Closed-end funds do not have to maintain such a position in “cash equivalent” securities. What difference between open-end and closed-end funds might account for their differing policies?Which of the following defines a hedge fund the most? 1. A collective investment model based on issuing a fixed number of shares which are not redeemable from the fund. 2. A negotiable security that represents securities of a foreign company and allows that company's shares to trade in the U.S. financial markets. 3. A diversified portfolio that typically does not limit the number of shares it can offer, and they are bought and sold on demand. 4. A type of investment fund that trades in relatively liquid assets and is able to make extensive use of more complex trading, portfolio construction and risk-management techniques to improve performance.which one is correct please confirm? The cost of equity capital for non-dividend paying stocks can be determined by ____. I. using the Capital Asset Pricing Model II. estimating ke for comparable dividend-paying stocks in their industry a. Only statement I is correct. b. Only statement II is correct. c. Both statements I and II are correct. d. Neither statement I nor II is correct.
- Which flow of funds indicator is considered bearish for equities? A. Higher than Average cash balances in mutual funds B. A Large increase in the number of IPOs C. An upturn inmargin debt but one that is still below the long-term averageWhich mutual fund tends to be invested in companies with relatively low P/E ratios and good growth potential to its peers? A : Growth and income fund B : Value fund C : Growth fund D : Balanced fundInvestment bankers perform which of the following role(s)? A. Provide advice to the firms as to market conditions, price, etc. B. Design securities with desirable properties C. Market new stock and bond issues for firms D. All of the options E. None of the options