Investments Assignment 3
College of Administrative and Financial Sciences
Assignment -3
Academic Year: 1441/1442 H
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Course Name: Investments |
Student’s Name: |
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Course Code: FIN403 |
Student’s ID Number: |
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Semester: 2nd |
CRN: 21946 |
For Instructor’s Use only
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Instructor’s Name: |
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Students’ Grade: Marks Obtained/Out of |
Level of Marks: High/Middle/Low |
Instructions – PLEASE READ THEM CAREFULLY
· The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
· Assignments submitted through email will not be accepted.
· Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page.
· Students must mention question number clearly in their answer.
· Late submission will NOT be accepted.
· Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks.
· All answered must be typed using Times New Roman (size 12, double-spaced) font.
· Submissions without cover page will NOT be accepted.
Assignment -3
Submission Date by students: 9/4/2021
Place of Submission: Students Grade Centre via blackboard.
Weight: 05 Marks
Assignment Purposes/Learning Outcomes:
CLO-2-Explain the Different Types of Investments. ( PLO-1.3)
CLO-3. Demonstrate investment arrangements as part of the process for implementing an investment strategy. ( PLO- 2.2)
CLO-5. Illustrate asset models of a stochastic nature that are appropriate to the management of liabilities. ( PLO-2.4)
Assignment Question(s): (Marks 5)
Q.1. What is meant by the exercise or strike price on an option? What factors influence a speculative premium on an option? ( 2.5 Marks )
Q.2. What is the basic difference between a closed-end fund and an open-end fund? Define net asset value. Do closed-end funds normally trade at their net asset value? What about open-end funds? ( 2.5 Marks )
GOOD LUCK