Financial Institutions and Markets/ FIN402

Description

Having Trouble Meeting Your Deadline?

Get your assignment on Financial Institutions and Markets/ FIN402  completed on time. avoid delay and – ORDER NOW

This assignment is an individual assignment.

The Assignment must be submitted only in WORD format via allocated folder.

Assignments submitted through email will not be accepted.

Students are advised to make their work clear and well presented; marks may be reduced for poor presentation. This includes filling your information on the cover page.

Students must mention question number clearly in their answer.

Late submission will NOT be accepted.

Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions.

All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).

Submissions without this cover page will NOT be accepted.

Assignment Purposes/Learning Outcomes:

1.Discuss implications of the efficient market hypothesis for the allocation of funds.

Assignment questions: Total grade – 10 points

The efficient market hypothesis (EMH) has numerous applications to the real world. It is especially valuable because it can be applied directly to an issue that concerns managers of financial institutions and general public as well.

Question: What is the efficient market hypothesis? discuss in brief the important evidence in favor and in against the market efficiency (5 points). Also answer the following questions.

a.Suppose that you have just read in a reputed journal that investment advisors are predicting a boom in oil stocks because an oil shortage is developing. Should you proceed to withdraw all your hard-earned savings from the bank and invest it in oil stock? Explain your action. (1 point)

a.Suppose that your broker phones you with a hot tip to buy stock in the Ahmed Feet corporation (AFC) because it has just developed a product that is completely effective in curing athlete’s foot. The stock price is sure to go up. Should you follow this advice and buy AFC stock? Explain your action. (1 point)

b.Do Stock Prices always rise when there is good news? Discuss. (1 point)

c.Prepare a practical guideline for small investors who want to invest in the stock market, the guideline should provide a better understanding of the use and implications of the efficient market hypothesis. (2 points)

Answers:

Explanation & Answer

Our website has a team of professional writers who can help you write any of your homework. They will write your papers from scratch. We also have a team of editors just to make sure all papers are of HIGH QUALITY & PLAGIARISM FREE. To make an Order you only need to click Order Now and we will direct you to our Order Page at Litessays. Then fill Our Order Form with all your assignment instructions. Select your deadline and pay for your paper. You will get it few hours before your set deadline.

Fill in all the assignment paper details that are required in the order form with the standard information being the page count, deadline, academic level and type of paper. It is advisable to have this information at hand so that you can quickly fill in the necessary information needed in the form for the essay writer to be immediately assigned to your writing project. Make payment for the custom essay order to enable us to assign a suitable writer to your order. Payments are made through Paypal on a secured billing page. Finally, sit back and relax.

Do you need an answer to this or any other questions?

Similar Posts