Financial Management

Holding Period Return  Based on the following information calculate the holding period return:  P0 = $10.00 P1 = $12.00 D1 = $1.22

Risk & Return and the CAPM.  Based on the following information, calculate the required return based on the CAPM: Risk Free Rate = 3.5% Market Return =10% Beta = 1.08

Risk and Return, Coefficient of Variation  Based on the following information, calculate the coefficient of variation and select the best investment based on the risk/reward relationship.                                           Std Dev.                                                     Exp. Return Company A                        10.4                                                           15.2 Company B                        14.6                                                           22.9

Portfolio Theory Risk.  What is portfolio theory and why is it important to investing behavior?  Your response should be at least 250 words in length

Go to www.cnbc.com and explore the video tab, by using the key term diversification. As you learned in this unit, there are various sources of information. Watch at least one video, list the videos you viewed, and provide a summary of the type of information that the video contained and how it relates to this unit.