Assume you have the following information with respect to the amount of investments you have, assigned to three portfolio managers who work for you: Manger A Manager B Manager C Amount of investment 10,000 15,720 30,500 Day of investment 5 February 18 March 20 April Market value of the investment at the end of the year 12,530 18,912 35,640 Assume the number of days in the year is 360 days whereas each month is 30 days You need to answer the following: The compound rate of return for each manager Your portfolio rate of return at the end of the year If you withdrew 4,500 at May 15th and 2,300 at Sept. 10th from your portfolio, what would be your portfolio rate of return at the end of the year?
Assume you have the following information with respect to the amount of investments you have, assigned to three portfolio managers who work for you: Manger A Manager B Manager C Amount of investment 10,000 15,720 30,500 Day of investment 5 February 18 March 20 April Market value of the investment at the end of the year 12,530 18,912 35,640 Assume the number of days in the year is 360 days whereas each month is 30 days You need to answer the following: The compound rate of return for each manager Your portfolio rate of return at the end of the year If you withdrew 4,500 at May 15th and 2,300 at Sept. 10th from your portfolio, what would be your portfolio rate of return at the end of the year?
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
- Assume you have the following information with respect to the amount of investments you have, assigned to three
portfolio managers who work for you:
|
Manger A |
Manager B |
Manager C |
|
|
Amount of investment |
10,000 |
15,720 |
30,500 |
|
Day of investment |
5 February |
18 March |
20 April |
|
Market value of the investment at the end of the year |
12,530 |
18,912 |
35,640 |
|
Assume the number of days in the year is 360 days whereas each month is 30 days |
You need to answer the following:
- The compound
rate of return for each manager - Your portfolio rate of return at the end of the year
- If you withdrew 4,500 at May 15th and 2,300 at Sept. 10th from your portfolio, what would be your portfolio rate of return at the end of the year?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 5 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.Recommended textbooks for you
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Essentials Of Investments
Finance
ISBN:
9781260013924
Author:
Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:
Mcgraw-hill Education,
Foundations Of Finance
Finance
ISBN:
9780134897264
Author:
KEOWN, Arthur J., Martin, John D., PETTY, J. William
Publisher:
Pearson,
Fundamentals of Financial Management (MindTap Cou…
Finance
ISBN:
9781337395250
Author:
Eugene F. Brigham, Joel F. Houston
Publisher:
Cengage Learning
Corporate Finance (The Mcgraw-hill/Irwin Series i…
Finance
ISBN:
9780077861759
Author:
Stephen A. Ross Franco Modigliani Professor of Financial Economics Professor, Randolph W Westerfield Robert R. Dockson Deans Chair in Bus. Admin., Jeffrey Jaffe, Bradford D Jordan Professor
Publisher:
McGraw-Hill Education