Financial statements are used by financial experts to study and analyze the profits, liabilities, assets of an organization or an individual.
The investor has to buy after up ternd has started and exit before the top is reached. Here, the first phase of fall starts with the abandonment of hopes.
Short sales Ba9257 security analysis and portfolio management to the selling of shares that are not owned. Intrinsic value The true economic worth of the share is its intrinsic value. The upper trend line would be falling one. The fundamental analysis find out the intrinsic value of a share by using the following formula: Marking up the merchandise thinly traded stocks 2.
The turnover ratios show how well the assets are used and the extent of excess inventory, if any. These patterns show the marked correction of the overbought or oversold situations.
Descending triangle Here, connecting the lower tops forms the upper trend line. Ascending triangle Here, the upper trend line is almost a horizontal trend line connecting the tops and the lower trend line is a rising trend line connecting the rising bottom.
Each peak is higher than the previous peak. Your stock selection skills help you make choices which, on average, beat the market. The three directions of the share price movements are called as rising, falling and flat trends.
Financial statements are nothing but proofs or written records of various financial transactions of an investor or company. Holding a well diversified portfolio eliminates unsystematic risk.
The Index Fund Index funds are created by holding stocks in a wider index in proportion to their market value. Dow developed his theory to explain the movement of the indices of Dow Jones Averages.
Oscillators Oscillators indicate the market momentum or scrip momentum. Oscillators Oscillators indicate the market momentum or scrip momentum.
Anybody interested in the technical analysis should know the support and resistance level. Market Indices No adjustment for risk: The first hypothesis is that, no single individual or buyer can influence the major trend of the market. Trading and Execution The cost of trading includes the brokerage cost, the bid-ask spread and the price impact The Trade offs on Trading There are two components to trading and execution - the cost of execution trading and the speed of execution.
What is Portfolio Management. The lower trend line would be almost horizontal connecting the bottoms. The security price trend may be either increasing or decreasing.
Here also there are bullish and bearish pennant. Descending triangle Here, connecting the lower tops forms the upper trend line.
The bottoms are also higher than the previous bottoms. Multi-index models allow the performance evaluator to bring in economic factors that may influence expected returns. If the double top is formed when a stock price rises to a certain level, falls rapidly, again rises to the same height or more, and turns down.
There are not very many great stock pickers either In the second phase, companies are reporting lower profits and dividends. Options and futures An option in the right, but not the obligation to buy or sell something on a specified date at a specified price.
Derivatives are financial instruments with specific conditions under which payments need to be made between two parties. BASECURITY ANALYSIS AND PORT FOLIO MANAGEMENT. QUESTION BANK 2 marks UNIT I 1.
What is investment? 2. What are the steps involved in evaluation of a portfolio? anna university, chennai.
srinivasan engineering college, perambalur department of management studies. name of the subject: ba. BA SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT LT P C 3 0 UNIT – I INVESTMENT SETTING 8 Financial and economic meaning of Investment – Characteristics and objectives of Investment – Types of Investment – Investment alternatives – Choice.
SRINIVASAN ENGINEERING COLLEGE, PERAMBALUR DEPARTMENT OF MANAGEMENT STUDIES. BA SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT. UNIT-I - INVESTMENT SETTING. PART-B. 1. List and explain the market indicators. 2. Discuss the various types and features of debenture. 3. List the new innovation in bond market.
4. Besides explaining the theory of portfolio management that comprises fundamental and technical analyses, shares and bond valuation, efficient market theory and the capital asset pricing model, the book also provides a detailed analysis of the latest developments in securities trading/5(10).
ba security analysis and portfolio management 2 sce department of management sciences quality certificate.Ba9257 security analysis and portfolio management