EBK INVESTMENTS
11th Edition
ISBN: 9781259357480
Author: Bodie
Publisher: MCGRAW HILL BOOK COMPANY
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Question
Chapter 4, Problem 10PS
Summary Introduction
Adequate information:
Opening NAV of the fund - $ 41,970,000 During the year stock D holding is sold
Fund purchased 200,000 shares of stock E at $ 50 per share and 200,000 shares of stock F at $ 25 per share
To compute:
Portfolio turnover rate
Introduction:
Portfolio turnover rate represents the frequency of purchases and sales of the securities made by the fund manager. It is the ratio of minimum of the total value of securities purchased or sold during a particular period to the average net assets value (NAV) of the fund.
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Students have asked these similar questions
Reconsider the Fingroup Fund in the previous problem. If during the year the portfolio manager sells all of the holdings of stock D and replaces it with 200,000 shares of stock E at Php50 per share and 200,000 shares of stock F at Php25 per share, what is the portfolio turnover rate?
The composition of the Fingroup Fund portfolio is as follows:
Stock
Shares
Price
A
280,000
$
35
B
380,000
40
C
480,000
15
D
680,000
20
If during the year the portfolio manager sells all of the holdings of stock D and replaces it with 170,000 shares of stock E at $50 per share and 170,000 shares of stock F at $30 per share, what is the portfolio turnover rate? (Round your answer to 2 decimal places.)
The composition of the Fingroup Fund portfolio is as follows:
Stock
shares
price
A
200,000
$
33
B
278,000
41
C
411,000
31
D
570,000
50
During the year the portfolio manager sells all of the holdings of stock D and replaces it with 200,000 shares of stock E at $60 per share and 220,000 shares of stock F at $75 per share.
What is the portfolio turnover rate?
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Similar questions
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