Hey there! Sign in to join this conversationNew here? Join for free
x Turn on thread page Beta
    • Thread Starter

    Hi all attached is last years past paper

    I'm hoping someone, some investment banking genius can let me guide me on how to tacke the questiopns answers would be great but understanding/explanations are equally welcome aswell

    thanks very much romski
    Attached Files
  1. File Type: doc ExamPaperFEI2009[1].doc (253.5 KB, 187 views)
    • Thread Starter

    ection A

    1. a) You are buying a share at £10 and for three years the company pays a dividend of £0.5 per year and the stock itself is valued at £12 three years later. What is the annualised rate of return of this share? (15 Marks)

    b) Listed below are
    estimated covariance matrix for three stocks:

    A B C
    A 625 -244 118
    B -244 336 225
    C 118 225 184

    i) Find the correlation coefficient matrix of returns on the securities. (15 Marks)

    ii) Find the risk of a portfolio consisting of 30% of A, 60% of B and 10% of C.
    (15 Marks)

    Thanks guys
Are you going to a festival?
Useful resources


Guide to investment bankingGuide to consultancy

Featured recruiter profiles:

Deutsche Bank logo

Deutsche Bank is recruiting

"Thrive in an international banking environment"

Quick link:

Unanswered investment banking and consultancy threads

Groups associated with this forum:

View associated groups

The Student Room, Get Revising and Marked by Teachers are trading names of The Student Room Group Ltd.

Register Number: 04666380 (England and Wales), VAT No. 806 8067 22 Registered Office: International House, Queens Road, Brighton, BN1 3XE

Write a reply...
Reputation gems: You get these gems as you gain rep from other members for making good contributions and giving helpful advice.