In multivariate normal distribution described the probability of a group of random variable For ex:-Suppose we have 5 stock in your portfolio say A,B,C,D,E We require 5 mean 5 standard deviation 10 correlation i.e.5C2 AB,AC,AD,AE,BC,BD,BE,CD,CE,DE i.e.n(n -1)/2 correlation simply say 5C2
In multivariate normal distribution described the probability of a group of random variable
For ex:-Suppose we have 5 stock in your portfolio say A,B,C,D,E
We require 5 mean
5 standard deviation
10 correlation i.e.5C2
AB,AC,AD,AE,BC,BD,BE,CD,CE,DE i.e.n(n -1)/2 correlation simply say 5C2
Even if it is 2 tail test we did not divide the p value Ex:- An analyst is testing the hypothesis Ho sigma=0.01 versus Ha sigma not equal to 0.01 the p value for test statistics is 0.03 so at 5% alpha we will reject the null hypothesis but 1% alpha we will not reject the null hypothesis
Even if it is 2 tail test we did not divide the p value
Ex:- An analyst is testing the hypothesis Ho sigma=0.01 versus Ha sigma not equal to 0.01 the p value for test statistics is 0.03
so at 5% alpha we will reject the null hypothesis but 1% alpha we will not reject the null hypothesis
Look if we want to track the performance of our portfolio manager or whoever investing on behalf of us then we will use - TWROR (because in this only time matters not cashflows which we withdraw and deposit ) hope this helps !
Look if we want to track the performance of our portfolio manager or whoever investing on behalf of us then we will use – TWROR (because in this only time matters not cashflows which we withdraw and deposit )
It seems as if they're trying to infer from the said line that when we take a sample of a bigger size say around 30/40 % of the total, the significance of the test rises and this rise can be explained with the help of degree of correlation i.e., the higher the correlation between the pairs the higheRead more
It seems as if they’re trying to infer from the said line that when we take a sample of a bigger size say around 30/40 % of the total, the significance of the test rises and this rise can be explained with the help of degree of correlation i.e., the higher the correlation between the pairs the higher the assurance towards the significance.
More discussion is encouraged as I’m too not completely sure. Thank you.
It seems that the question is wrong, I'm not remembering exactly but in the explanation part they have written from critical value perspective. Please go through it once. Thank you.
It seems that the question is wrong, I’m not remembering exactly but in the explanation part they have written from critical value perspective. Please go through it once. Thank you.
CDO is securities backed by pool of diversified portfolio. For example, HDFC Bank has pools of loans like Mortgage loans, Auto Loans, & Credit Card Loans, Corporate Bonds, etc. HDFC Bank decide to sell these loans to a SPV. SPV repackages these loans & issue securities backed by these loansRead more
CDO is securities backed by pool of diversified portfolio. For example, HDFC Bank has pools of loans like Mortgage loans, Auto Loans, & Credit Card Loans, Corporate Bonds, etc.
HDFC Bank decide to sell these loans to a SPV. SPV repackages these loans & issue securities backed by these loans to investors of different risk tolerance (Seniors, Mezzanine & Equity tranches)
The main concept of CDO is that there’s a collateral manager who buys & sells the loans in order to generate profits. Payment to investors are made with these cash flows & from principle as well as interest of loans.
Generally, equity tranches is held by the collateral manager only. Low cost funds are raised by issuing securities to senior & mezzanine tranches. The amount received is utilized in buying & selling loans in order to generate return in excess of cost. Thus success of CDO depends on whether or not collateral manager is able to generate return for himself/herself.
Kyonki fixed asset jo business ke use ke liye use karte vo fair par nhi dikhaayi jaati aur uski usually capacity bhi decrease hoti lekin jab sell karenge to gain ya loss recognise karenge Isko shayad isliye historical cost par dikhaate kyonki hum lanbe samay tak isko hold karenge kyonki ye hamare buRead more
Kyonki fixed asset jo business ke use ke liye use karte vo fair par nhi dikhaayi jaati aur uski usually capacity bhi decrease hoti lekin jab sell karenge to gain ya loss recognise karenge
Isko shayad isliye historical cost par dikhaate kyonki hum lanbe samay tak isko hold karenge kyonki ye hamare business main kaam ayegi
Kabhi daam badhenge kabhi ghatenge
Par investment property fair value par dikhaate kyonki uska use hum apne business main nhi karte matlab vo ek investment hai jisse humko profit hoga agar usko bechkar le ya rent ke form main
Par fixed asset ko thodi na bechenge kyonki vo hamare business main help karti hai
Agar investment property ko apne business main use karenge to fir depreciation karna padega
REITs
The same question has been answered earlier please look up for the question in the alternative investment section of CFA level two.
The same question has been answered earlier please look up for the question in the alternative investment section of CFA level two.
See lessDCF – AI
Maybe it is assumed that it is it the end of year eight and beginning of year nine
Maybe it is assumed that it is it the end of year eight and beginning of year nine
See lessNormal Distribution
In multivariate normal distribution described the probability of a group of random variable For ex:-Suppose we have 5 stock in your portfolio say A,B,C,D,E We require 5 mean 5 standard deviation 10 correlation i.e.5C2 AB,AC,AD,AE,BC,BD,BE,CD,CE,DE i.e.n(n -1)/2 correlation simply say 5C2
In multivariate normal distribution described the probability of a group of random variable
For ex:-Suppose we have 5 stock in your portfolio say A,B,C,D,E
We require 5 mean
5 standard deviation
10 correlation i.e.5C2
AB,AC,AD,AE,BC,BD,BE,CD,CE,DE i.e.n(n -1)/2 correlation simply say 5C2
See lessP-VALUE
Even if it is 2 tail test we did not divide the p value Ex:- An analyst is testing the hypothesis Ho sigma=0.01 versus Ha sigma not equal to 0.01 the p value for test statistics is 0.03 so at 5% alpha we will reject the null hypothesis but 1% alpha we will not reject the null hypothesis
Even if it is 2 tail test we did not divide the p value
Ex:- An analyst is testing the hypothesis Ho sigma=0.01 versus Ha sigma not equal to 0.01 the p value for test statistics is 0.03
so at 5% alpha we will reject the null hypothesis but 1% alpha we will not reject the null hypothesis
See lessMwror vs twror
Look if we want to track the performance of our portfolio manager or whoever investing on behalf of us then we will use - TWROR (because in this only time matters not cashflows which we withdraw and deposit ) hope this helps !
Look if we want to track the performance of our portfolio manager or whoever investing on behalf of us then we will use – TWROR (because in this only time matters not cashflows which we withdraw and deposit )
hope this helps !
See lessCORRELATION
It seems as if they're trying to infer from the said line that when we take a sample of a bigger size say around 30/40 % of the total, the significance of the test rises and this rise can be explained with the help of degree of correlation i.e., the higher the correlation between the pairs the higheRead more
It seems as if they’re trying to infer from the said line that when we take a sample of a bigger size say around 30/40 % of the total, the significance of the test rises and this rise can be explained with the help of degree of correlation i.e., the higher the correlation between the pairs the higher the assurance towards the significance.
More discussion is encouraged as I’m too not completely sure. Thank you.
See lessHYPOTHESIS TESTING
It seems that the question is wrong, I'm not remembering exactly but in the explanation part they have written from critical value perspective. Please go through it once. Thank you.
It seems that the question is wrong, I’m not remembering exactly but in the explanation part they have written from critical value perspective. Please go through it once. Thank you.
See lessAsset Backed Securities
CDO is securities backed by pool of diversified portfolio. For example, HDFC Bank has pools of loans like Mortgage loans, Auto Loans, & Credit Card Loans, Corporate Bonds, etc. HDFC Bank decide to sell these loans to a SPV. SPV repackages these loans & issue securities backed by these loansRead more
CDO is securities backed by pool of diversified portfolio. For example, HDFC Bank has pools of loans like Mortgage loans, Auto Loans, & Credit Card Loans, Corporate Bonds, etc.
HDFC Bank decide to sell these loans to a SPV. SPV repackages these loans & issue securities backed by these loans to investors of different risk tolerance (Seniors, Mezzanine & Equity tranches)
The main concept of CDO is that there’s a collateral manager who buys & sells the loans in order to generate profits. Payment to investors are made with these cash flows & from principle as well as interest of loans.
Generally, equity tranches is held by the collateral manager only. Low cost funds are raised by issuing securities to senior & mezzanine tranches. The amount received is utilized in buying & selling loans in order to generate return in excess of cost. Thus success of CDO depends on whether or not collateral manager is able to generate return for himself/herself.
Fixed Incom
Option C is the answer -100 - PV 107.75 - FV 2-N CPT-I/Y-3.8*=7.61 Intuitively also BEY is semi-annual compounding so it will be lower than given YTM
Option C is the answer
-100 – PV
107.75 – FV
2-N
CPT-I/Y-3.8*=7.61
Intuitively also BEY is semi-annual compounding so it will be lower than given YTM
See lessInvestment Property (FRA)
Kyonki fixed asset jo business ke use ke liye use karte vo fair par nhi dikhaayi jaati aur uski usually capacity bhi decrease hoti lekin jab sell karenge to gain ya loss recognise karenge Isko shayad isliye historical cost par dikhaate kyonki hum lanbe samay tak isko hold karenge kyonki ye hamare buRead more
Kyonki fixed asset jo business ke use ke liye use karte vo fair par nhi dikhaayi jaati aur uski usually capacity bhi decrease hoti lekin jab sell karenge to gain ya loss recognise karenge
Isko shayad isliye historical cost par dikhaate kyonki hum lanbe samay tak isko hold karenge kyonki ye hamare business main kaam ayegi
Kabhi daam badhenge kabhi ghatenge
Par investment property fair value par dikhaate kyonki uska use hum apne business main nhi karte matlab vo ek investment hai jisse humko profit hoga agar usko bechkar le ya rent ke form main
Par fixed asset ko thodi na bechenge kyonki vo hamare business main help karti hai
Agar investment property ko apne business main use karenge to fir depreciation karna padega