Unit IV Essay Example | Topics and Well Written Essays - 750 words

Unit IV - Essay Example Three years’ statements are provided for the company. In addition, statements can also be viewed on quarterly basis. This is an interesting link and shows prices for IBM stocks since December 31, 1965 to date. The information that is provided include open and close prices for the day, highest and lowest prices and total volume of transactions for the day. One can search the range of dates for which the historical stock prices are to be viewed and the system provides these readily. This link shows the industry in which the company operates. For IBM, the industry is â€Å"Diversified Computer Systems† in the â€Å"Technology† sector. It also gives a brief comparison of the company with the industry changes in stock prices. This page provides comprehensive information about IBM. This includes the full business address of the company, its website, the stock exchanges where the company is listed, number of employees (366,486 for IBM) and a brief summary of IBM together with a description of key executives and their pay package. The research reports provide various analysis of the company by different research agencies like Standard and Poor’s, Plunkett, Reuters etc. The reports are provided for existing and potential shareholders to gain an insight into company’s strategies, operations and market standings. The P/E ratio for IBM is 16.92 (as on June 28, 2007). The stock price depends upon factors like last dividend paid, dividend growth ratio and the interest rate in the market. The actual figure, though, might differ from the calculated one because other non-financial factors like market conditions, speculation, and company’s image are also critical in the actual stock price. 2. Yes. Government needs to intervene into the operations of companies from the viewpoint of a regulator. This is because these listed companies use common people’s money to develop their systems and procedures and hence, have

Chartered Portfolio Manager and Investment Management- week 3 Essay

Chartered Portfolio Manager and Investment Management- week 3 responses - Essay Example I agree that it is not suitable to add a hedge fund to such a client’s portfolio who has low capital base, risk averse nature, and willingness for long-term returns. Despite the accessibility of general public to the hedge funds as a result of their inclusion in mutual funds, they are not a viable option because of their cost and subjectivity of information. Participation in returns is not likely to increase considering the current limitations of the hedge funds. You have provided a concise definition of hedge funds. This was a particularly informative post as it introduced some new concepts such as derivatives and the investment technique of leverage. I don’t think it is suitable to add hedge funds that use leverage to a client’s portfolio given the enormity of risk of loss. I agree that institutions’ willingness for diversification drives them toward hedge funds. However, a fair understanding of risk and its comparison to the capital base is fundamental to making informed