1 ASSIGNMENT (July-2011 to December 2011) Course Code : MS - 44 Course Title : Security Analysis and Portfolio Management Assignment Code

: MS-44/SEM - II /2011 Coverage : All Blocks Note : Answer all the questions and submit this assignment on or before 31st October 2011, to the coordinator of your study center. 1. risk. What is investment risk? Discuss the various components of investment

2. Define Market Efficiency. Explain the various forms of market efficiency and discuss the tests for various forms of market efficiency. 3. What is fundamental analysis? Explain the utility of Economic Industry Company (EIC) approach to equity investment decisions. 4. Explain and compare CAPM with APT. Which of the two is a better model for pricing risky assets and why? 5. (a) Antique Arts Company would pay Rs. 2.50 as dividend per share for the next year and is expected to grow indefinitely at 12%. What would be the equity value if the investor require 20% return? Analyze the following portfolios performance using Jensen index, Treynor index and Sharpe index versus the market: Observed Beta () Rate of Return 15% 1.5 10% 0.5 Residual Variance 0.02 0.00

(b)

Magic fund Shanti fund

Risk-free rate of interest is 50%, return on the market portfolio is 12% and standard deviation is 0.04.

2 ASSIGNMENT Course Code : MS - 45 Course Title : International Financial Management Assignment Code : MS-45/SEM - II /2011 Coverage : All Blocks Note : Answer all the questions and submit this assignment on or before 31st October 2011, to the coordinator of your study center. 1. 2. 3. Discuss in detail about the international financial architecture and explain the East Asian Crisis of 1997 and the lesson learnt from it. What is Exchange Rate Arrangement? Explain the Present system of Exchange Rate followed by Various Countries. Discuss the concept, application and causes of deviation of the following. (i) (ii) 4. 5. 6. Purchasing Power Parity Relationship Interest Rate Parity Relationship

What do you understand by Exchange Rate Exposure? Explain the techniques used for exchange risk management. How cut off rate for foreign projects are determined? Explain why cost of capital varies across countries? What is international diversification? Discuss about the barriers to international diversification and explain the techniques used to overcome capital flow barriers.

3 ASSIGNMENT Course Code : MS - 46 Course Title : Management of Financial Services Assignment Code : MS-46/SEM - II /2011 Coverage : All Blocks Note : Answer all the questions and submit this assignment on or before 31st October 2011, to the coordinator of your study center. 1. 2. 3. What are financial services? Discuss in detail about the various types of financial services. What do you understand by Government Securities Market and Corporate debt securities market? Compare and Contrast between the two. Explain the meaning, process and mechanism of Securitization? Discuss the role of Special Purpose Vehicle (SPV) in the process of secularization and instruments of securitization. Write short notes on the following: a) Leasing and Hire purchase b) Venture Capital c) Factoring and Forfeiting d) Bill Discounting Discuss in detail about Marine Insurance and bring out the difference between Marine cargo policies and Marine Hull Policies.

4.

5.