Risk and Return

Mar 28, 2019

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Risk and Return. By Jairaj Gupta. Session Objective. At the end of this session you should: Be aware of the key measures of risk and return for individual stocks and for portfolios. Be familiar with the effects of diversification

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Risk and Return

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Risk and Return

Risk and Return. FIL 404 Prepared by Keldon Bauer. What are investment returns?. Investment returns measure the financial results of an investment. Returns may be historical or prospective (anticipated). Returns can be expressed in: Dollar terms. Percentage terms. .

860 views • 50 slides

Risk and Return

Risk and Return. Risk and Return. Various Ways to Discount Cash Flows - WACC - APV - FTE We shall see these in action shortly But First What is the WACC. Risk and Return WACC, A Simple Example.

616 views • 26 slides

Risk and Return

Risk and Return. Chapter 7. Sep 26, 2012. Learning Objectives. Define risk, risk aversion, and risk-return tradeoff. Measure risk. Identify different types of risk. Explain methods of risk reduction. Describe how firms compensate for risk. Discuss the CAPM. Financial Crisis.

798 views • 36 slides

Risk and Return

Risk and Return. Learning Module. Expected Return. The future is uncertain. Investors do not know with certainty whether the economy will be growing rapidly or be in recession. Investors do not know what rate of return their investments will yield.

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Risk and Return

Risk and Return. FIL 240 – Business Finance Prepared by Keldon Bauer. Risk and Return. Risk is defined as uncertainty of outcomes. In a financial sense, we are uncertain of the outcome of any investment. Formally, uncertainty is measured by variability.

1.08k views • 54 slides

Risk and Return.

Risk and Return. Risk and Uncertainty. Risk and returns are two sides of the investment coin. Risk is associated with the possibility of not realizing return or realizing less return than expected.

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Risk and Return

Risk and Return. Question 9. Shares. EZY Gold Ltd. $10 to buy Dividend is 50 cents per share each year. Shares will raise to $12 in 5 years . Bank Cash Management Account. ABC Bank 4% per year for the next 5 year. Property. Costal Land $1, 000, 000 to purchase

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Return and Risk

Return and Risk. Returns – Nominal vs. Real Holding Period Return Multi-period Return Return Distribution Historical Record Risk and Return. Real vs. Nominal Rate. Real vs. Nominal Rate – Exact Calculation: R : nominal interest rate (in monetary terms)

477 views • 18 slides

Risk and Return

Risk and Return. Chapter 11. Key Concepts and Skills. Know how to calculate expected returns Understand the impact of diversification Understand the systematic risk principle Understand the security market line Understand the risk-return trade-off. Chapter Outline.

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Risk and Return

11. Risk and Return. Prepared by Ernest Biktimirov, Brock University. Chapter Outline. 11.1 Expected Returns and Variances 11.2 Portfolios 11.3 Announcements, Surprises, and Expected Returns 11.4 Risk: Systematic and Unsystematic 11.5 Diversification and Portfolio Risk

702 views • 45 slides

Risk and Return

Risk and Return. Managing stakeholder Relationships. Corporate social Responsibility. Agency Problem. Corporate Governance:

572 views • 35 slides

Risk and Return

Risk and Return. Portfolio Returns Investment Risk Historical Record Risk, Return and Dominance Diversification and Portfolio Risk Asset Allocation – A Risk Free and Risky Asset Asset Allocation – Two Risky Assets Efficient Frontier The Capital Asset Pricing Model Single Index Model.

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Risk and Return

Risk and Return. Alasdair Mackay. 1. Learning Objectives. Define risk, risk aversion, and risk-return tradeoff. How to measure risk. Identify different types of risk. Explain methods of risk reduction. Describe how firms compensate for risk.

406 views • 34 slides

Return and Risk

262 views • 17 slides

Risk and Return

Risk and Return. Risk and Return. Defining Risk and Return Using Probability Distributions to Measure Risk Attitudes Toward Risk Risk and Return in a Portfolio Context Diversification The Capital Asset Pricing Model (CAPM). Defining Return.

614 views • 45 slides

Risk and Return

Risk and Return. Topic 5 I. Measuring Risk and Return. A. Return. 1. Return can be seen as the reward for investing. 2. Components of Return 3. Importance of Return 4. Calculating Return a. Historical Performance b. Expected Return. Return Probability -30% .03

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