Explain diversifiable risk and undiversifiable risk
How are diversifiable risk and undiversifiable risk associated with portfolio?
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The contribution from the uncorrelated εs to the portfolio vanishes as we increase the number of assets in the portfolio; it is the risk related with the diversifiable risk. The remaining risk, that is correlated with the index, it is the undiversifiable systematic risk.
We focus more on cash flows rather than profits when estimating proposed capital budgeting projects. Explain.
Suppose a currency swap wherein two counterparties of comparable credit risk each borrow at the best rate obtainable, yet the nominal rate of one counterparty is greater than the other. After the primary principal exchange, is the counterparty i.e. required t
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What is Crash Metrics?
What are the time dimensions of the balance sheet, the income statement and the statement of cash flows?
Explain the Deterministic modelling approach in Quantitative Finance.
Who proposed the probabilistic approach based on copulas?
Where is Crash Metrics Applicable?
A stock whose value is now $44.75 is growing on average by 15 percent per annum. Its volatility is 22 percent. The interest rate is 4 percent. You need to value a call option along with a strike of $45, expiring in two months’ time. So, what can you do?
Explain the way to load Bitmap at Dialog background within an MFC application?
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