Problem 1. Holding Period Return
Based on the following information calculate the holding period return:
P0 = $11.00
P1 = $11.40
D1 = $1.02
Problem 2. 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.
Problem 3. Holding Period Return
Based on the following information calculate the holding period return:
P0 = $10.00
P1 = $12.00
D1 = $1.22
Problem 4. Measures of Risk. Address each source of risk that is measured and relate it to two models addressed in this unit.
Your response should be at least 250 words in length.
Problem 5. Sources of Risk & Diversification - convertible bond.
Address each source of risk from the portfolio perspective and how diversification impacts them.