SET - I

VIVEKANANDHA COLLEGE OF ENGINEERING FOR WOMEN

(AUTONOMOUS INSTITUTION AFFILIATED TO ANNA UNIVERSITY, CHENNAI)
Tiruchengode -637 205

TERM TEST – III

Third Semester
MASTER OF BUSINESS ADMINISTRATION
P19BAF01– SECURITY ANALYSIS AND PORTFOLIO MANAGEMENT
(2019 – Regulation)

Date: 18.12.2021 Maximum: 40 Marks

Time: 1 hour and 30 Mins
Answer ALL the questions
(5 x 2 = 10 Marks)
PART - A

Q.No Questions Marks KL CO

CO4
1. Write a short note on Japanese Candle Stick 2 K1
CO5
2. List the limitations of Markowitz model of portfolio selection. 2 K2

3. What is CAPM? 2 K1 CO5

4. What is differential return? 2 K1 CO5
An investor owns a portfolio that over the lasr five years has
produced 16.8 percent annual return. During that time, the
portfolio produced a 1.10 beta. Further, the risk free return
5. and the market return averaged 7.4 percent and 15.2 percent 2 K2 CO5
per year respectively. How would you evaluate the performance
of the portfolio?

PART – B
(2X15 = 30 Marks)
Q.No Questions Marks KL CO
What are pricing charts? Describe the different types of 15 K2 CO4
6.a
pricing charts used by technical analysis.
(OR)

Describe the important market indicators that are useful in 15 K2 CO4

6.b
studying the trend of the market.
(OR)
“Portfolio evaluation essentially comprises two functions, 15 K3 CO5
7.a
performance measurement and portfolio evaluation” - Discuss
(OR)

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7.b Given below are the historical performance information 15 K3 CO5
on the capital market and a mutual fund.

Year Mutual fund Mutual fund Return on Return on

return(percent) beta market index Govt.securities
1 13.85 1.25 -10.00 4.76
2 28.00 1.20 21.00 4.21
3 35.00 1.18 11.05 5.21
4 11.25 1.20 -7.50 6.00
5 24.00 1.22 4.00 6.50
6 6.85 1.32 14.31 4.35
7 1.20 1.27 18.95 3.85
8 21.00 1.25 14.50 6.15
9 10.18 1.10 9.25 7.50
10 17.65 0.95 20.00 6.00

Calculate risk adjusted return measures for the mutual fund.

(i) Sharpe ratio
(ii) Treynor ratio
***All the Best***

Subject Incharge HoD

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