Securities Analysis Question Paper 2008

Securities Analysis Question Paper 2008 M.Com
Commerce 

Section - A

1.Answer any ten of the following in about 3-4 lines each. Each sub question carries 2 marks. (2x 10=20)
a) Mention four avenues for investment.

b) What is a premium bond and what is a discount bond?

c) What is industry life cycle analysis?

d) State the porter model of profit potential of industries.

e) What is random walk hypothesis?

f) Give a list of types of futures that are traded on different exchanges.

g) What are variable income securities?

h) How do you calculate return earned by an equity share?

i) What is non financial company analysis?

j) What is Dow Theory?

k) State the semi-strong and strong form EMH.

l) What is bar-charting?

Section -B

Answer any three of the following in about one page each. Each question carries 5 marks. (3x5=15)
2. Discuss any one dividend discount model.

3. Describe the approach used for bond valuation.

4. Discuss in brief any two types of bonds.

5. Bring out the distinction between investment and speculation.

6. What is weak form efficient market hypothesis? Explain any one method of testing the same.

Section -C

Answer any three of the following in about three pages each. Each question carries 15 marks. (15x3=45)
7. What is analysis of an economy? discuss in detail, bringing out its importance in fundamental analysis.

8. What do you mean by risk in investment? Discuss various risks. Discuss risks in debt securities.

9. a) Define: I) option holder and an option writer.
          ii) a call option and a put option.          iii) An American option and an European option.
          iv) 'in the money' and 'out of money'.
b) Give a graphical representation of pay off a call option and a put option to the option holder and option writer.

10. a) How is technical analysis
different from fundamental analysis? Discuss any two of the following:
      i) Chart patterns.
      ii) Relative strength analysis.
      iii) Moving average analysis.
b) For the following data, find the breadth of the market:

Day Advances Declines

1 630 527
2 690 475
3 746 424

11. a) Define futures and forward contracts. Bring out the distinctions between the two.
b) What is 'marketing to market'? Assume that spot price of an asset is Rs. 450. Four period futures contract has a price of Rs. 460. Following data is available for four periods:

Period Price of the asset

1 Rs. 465
2 Rs. 455
3 Rs. 460
4 Rs. 465

Write the cash flows to the buyer and seller in case of
i) Forward contract
ii) Futures contract.