To evaluate the performance of her portfolio

Assignment Help Financial Management

Reference no: EM131011576

Susan has 40% of her portfolio invested in a mutual fund to track the S&P 500 and 40% in a mutual fund to track the Dow Jones Industrial Average (DJIA) and 20% in government securities. To evaluate the performance of her portfolio, Susan’s best benchmark is

A: The DJIA Index

B: The S&P 500 Index

C: A government security index

D: A 50%/50% combination of A and B

E: A combination of A, B and C

Reference no: EM131011576

Questions Cloud

Principal differences between net income and cash flow : One of the underlying principles of GAAP is that items on the balance sheet are listed at Book Value as opposed to Market Value. What are Book Value and Market Value? Under what circumstances could they be the same and under what circumstances could ..

Current stock price and the annual dividends per share : Research the value of your company's current stock price and the annual dividends per share, assuming that you own 250 shares, answer the following questions: 1. What is your expected return? 2. If you require an 8% return, given the current stock pr..

Should you use the binomial distribution : In each situation below, is it reasonable to use a binomial distribution for the random variable X? Give reasons for your answer in each case.

Capital gains and dividend taxes : Kelly pays 15% in capital gains and dividend taxes and 35% in ordinary income taxes. Kelly is considering a contribution of $3,000 to a traditional IRA or a taxequivalent amount to a Roth IRA. How much will she need to contribute to the Roth IRA to h..

To evaluate the performance of her portfolio : Susan has 40% of her portfolio invested in a mutual fund to track the S&P 500 and 40% in a mutual fund to track the Dow Jones Industrial Average (DJIA) and 20% in government securities. To evaluate the performance of her portfolio, Susan’s best bench..

What is the mass of a sphere of water : What is the mass of a sphere of water, with the same radius as the sinker? The water has density ρω = 1 gm/cm3. The drag force on a sphere of radius r moving with velocity v in water.

Opened a mutual fund account : Albert opened a mutual fund account with $2,500 and then deposited $500 at the end of the next three months. The initial price of a share of the mutual fund was $30, and the ending prices were $20, $35 and $30. How many shares did Albert have after t..

How much will he be paid if his home is totally destroyed : Jerry Carter's home is currently valued, on a cost basis, at $315,000. When he last checked his policy, his home was insured for $235 000, and he did not have an inflation guard If he has a s25,500 claim due to a kitchen fire, how much will his homeo..

Find some conditional probabilities : Choose a point at random in the square with sides 0 ≤ x ≤ 1 and 0 ≤ y ≤ 1. This means that the probability that the point falls in any region within the square is the area of that region.

User Account

All Pages