Accounting
Anthropology
Archaeology
Art History
Banking
Biology & Life Science
Business
Business Communication
Business Development
Business Ethics
Business Law
Chemistry
Communication
Computer Science
Counseling
Criminal Law
Curriculum & Instruction
Design
Earth Science
Economic
Education
Engineering
Finance
History & Theory
Humanities
Human Resource
International Business
Investments & Securities
Journalism
Law
Management
Marketing
Medicine
Medicine & Health Science
Nursing
Philosophy
Physic
Psychology
Real Estate
Science
Social Science
Sociology
Special Education
Speech
Visual Arts
Question
Government regulation of financial markets takes which of the following forms?a. Disclosure regulation.
b. Financial activity regulation.
c. Regulation of financial institutions.
d. Regulation of foreign participants.
e. All of the above.
Answer
This answer is hidden. It contains 1 characters.
Related questions
Q:
The basic economic function of futures markets is to provide an opportunity for market participants:a. To hedge against the risk of adverse price movements.b. To hedge against the risk of adverse interest rate changes.c. To hedge against the risk of adverse exchange rate changes.d. b and c only.e. All of the above.
Q:
What is beta and how can it be estimated?
Q:
Compare and contrast the SML, CML and market model.
Q:
The multifactor CAPM is attractive because:a. It is simple to use.b. It recognized nonmarket risks.c. It is easier to implement.d. All of the above.e. None of the above.
Q:
Assumptions about capital markets include:a. Perfectly competitive capital markets.b. The absence of frictions.c. Investors can borrow and lend at some riskfree rate.d. All of the above.e. a and b only.
Q:
Explain what is meant by an optimal portfolio and how an optimal portfolio is selected from all the portfolios available on the Markowitz efficient frontier.
Q:
Discuss the impact of diversification on total risk.
Q:
Discuss the management of pension funds.
Q:
Explain the economic functions provided by mutual funds.
Q:
Discuss the similarities and differences between exchange traded funds and closed-end funds.
Q:
At the current time, hedge funds are not regulated by the SEC.a. True.b. False.
Q:
When the value of the assets of a defined benefit plan is exceeded by the value of its liabilities, the plan is said to:a. Have a surplus.b. Have a deficit. c. Be overfunded.d. a and c only.e. None of the above.
Q:
Investors in mutual funds incur:a. Fund sales charges.b. Annual operating expenses.c. Interest.d. a and b only.e. All of the above.
Q:
Which of the following are types of investment companies?a. Open-end funds.b. Closed-end funds.c. Unit trusts.d. a and b only. e. All of the above.
Q:
In constructing Markowitz efficient portfolios it is assumed that:a. An investor's decision is affected by the expected return and risk.b. Investors are risk averse.c. Investors seek to achieve the highest expected return for a given level of risk.d. a and b only.e. All of the above.
Q:
The total risk of a portfolio consists of:a. Diversifiable risk.b. Nondiversifiable risk.c. Statistical risk.d. a and b only.e. All of the above.
Q:
The risk of a portfolio can be quantified by:a. Specifying the probability associated with each possible future outcome.b. The dispersion of the possible returns below the expected value.c. The variance of the portfolio returns.d. The standard deviation of portfolio returns. e. All of the above.
Q:
When the return to be realized in the future is known with certainty today, the asset is said to be:a. Risky. b. Riskfree.c. Neutral.d. b and c only.e. None of the above.
Q:
The investment return can be measured in terms of:a. An arithmetic average rate of return.b. A time-weighted rate of return.c. A dollar-weighted rate of return.d. All of the above.e. None of the above.
Q:
Portfolio theory deals with:a. The selection of portfolios that maximize expected returns consistent with individually acceptable levels of risk.b. The relationship that should exist between security returns and risk.c. The effects of investor decisions on security prices.d. a and b only.e. All of the above.
Q:
The secondary market is the market for the trading of:a. Newly issued securities.b. Previously issued securities.c. Seasoned securities.d. b and c only.e. None of the above.
Q:
Differentiate between operational efficiency and pricing efficiency.
Q:
According to the McCarran Ferguson Act of 1954, the insurance industry is regulated by:a. The individual states.b. The federal government.c. The Securities and Exchange Commission.d. a and b only.e. None of the above.
Q:
The borrowings by S&Ls from the Federal Home Loan Banks are called:a. Reserves.b. Advances.c. Deposits.d. Contributions.e. None of the above.
Q:
Regulation Q allowed the Fed to impose:a. Geographical restrictions on branch banking.b. Interest rate ceilings on deposit accounts.c. Capital requirements for commercial banks.d. Permissible activities for commercial banks.e. None of the above.
Q:
An underwriting arrangement whereby an investment banking firm or group of firms offers a potential issuer of debt securities a firm bid to purchase a specified amount of the securities with a certain coupon rate and maturity is known as:a. Firm commitment underwriting.b. Bought deal.c. Dutch auction.d. Underwriting process.e. None of the above.
Q:
Rule 415, which permits certain issuers to file a single registration document indicating that it intends to sell a certain amount of a certain class of securities at one or more times within the next two years, is popularly referred to as:a. Private placement. b. Shelf registration.c. Red herring.d. Security liquidity.e. None of the above.
Q:
Investment banking firms are engaged in which of the following activities?a. Public offering and trading of securities.b. Private placement of securities.c. Securitization of assets.d. Mergers and acquisitions. e. All of the above.
Q:
When a trader positions the capital of the investment banking firm to take advantage of a specific anticipated movement of prices or a spread between two prices, this strategy is referred to as:a. Riskless arbitrage.b. Risk arbitrage.c. Speculation.d. Hedging.e. None of the above.
Q:
In a firm commitment underwriting arrangement, the risk that the investment banking firm accepts is:a. That it sells the securities to investors at a lower price.b. That the price it pays to purchase the securities from the issuer will be less than the price it receives when it reoffers the securities to the public.c. That it does not buy the entire issue from the issuer.d. That it does not realize the gross spread.e. None of the above.