Questions from General Investment

Q: What is active portfolio management? Will it result in superior returns

What is active portfolio management? Will it result in superior returns? Explain.

Q: Describe the key advantages and disadvantages of short selling. How are

Describe the key advantages and disadvantages of short selling. How are short sales used to earn speculative profits?

Q: What is intrinsic value? How does it fit into the security

What is intrinsic value? How does it fit into the security analysis process?

Q: Hector Francisco is a successful businessman in Atlanta. The box-

Hector Francisco is a successful businessman in Atlanta. The box-manufacturing firm he and his wife, Judy, founded several years ago has prospered. Because he is self-employed, Hector is building his...

Q: Briefly describe the IPO process and the role of the investment banker

Briefly describe the IPO process and the role of the investment banker in underwriting a public offering. Differentiate among the terms public offering, rights offering, and private placement.

Q: For each of the items in the left-hand column,

For each of the items in the left-hand column, select the most appropriate item in the right-hand column.

Q: Explain how the dealer market works. Be sure to mention market

Explain how the dealer market works. Be sure to mention market makers, bid and ask prices, the Nasdaq market, and the OTC market. What role does the dealer market play in initial public offerings (IPO...

Q: Why is globalization of securities markets an important issue today? How

Why is globalization of securities markets an important issue today? How have international investments performed in recent years?

Q: Describe how foreign security investments can be made, both indirectly and

Describe how foreign security investments can be made, both indirectly and directly.

Q: Describe the risks of investing internationally, particularly currency exchange risk.

Describe the risks of investing internationally, particularly currency exchange risk.