Gains-losses for different mixes of mutual fund and futures

Assignment Help Financial Management
Reference no: EM131546422

An investor decided to put $205,990 in a fund tracking the DJIA. The settlement price for the mini Dow maturing in December is 20599 while the Dow is at 20968 today. The average and standard deviation of the Dow returns are 7.88% and 10.87% respectively. Find how many futures contracts the investor should enter into, if any. Find the gains/losses for different mixes of mutual fund and futures.

Reference no: EM131546422

Questions Cloud

Recommend for ashkan retirement plan : Which of the following asset allocations would you recommend for Ashkan’s retirement plan?
How are the concepts of authority and engagement connected : Please describe the three concepts of classroom management, engagement, and motivation in reference to education. How are all of these aspects of education.
Calculate the effective annual interest rate if interest : Calculate the effective annual interest rate if the interest is paid:
When analyzing residential mortgage-backed securities : Discuss two strengths and two weaknesses when analyzing residential Mortgage-Backed Securities using a real example.
Gains-losses for different mixes of mutual fund and futures : Find how many futures contracts the investor should enter into, if any. Find the gains/losses for different mixes of mutual fund and futures.
Discuss the application or nonapplication of article ii : Purpose of Assignment: You enter 100s of contracts a month, but you might not realize it. Contracts are the basis of all business transactions.
Capital structure weights on book value basis : What are the company's capital structure weights on a book value basis? What are the company’s capital structure weights on a market value basis?
Two weaknesses when analyzing convertible bonds : Discuss two strengths and two weaknesses when analyzing Convertible Bonds using a real world example.
What is company market value of debt-book value of debt : What is the company’s total book value of debt? What is the company’s total market value of debt?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd