FIN 355 Week 10 Discussion 1

"Interest Rate Caps and Floors" Please respond to the following:

·         Assess the volatility risk with an investment in a derivative, using an interest rate cap or floor in today’s marketplace. Indicate whether or not you would advise financial institutions to engage in this type of investment. Provide support for your response. 

·         Assess the effectiveness of using the Black-Scholes model to value cap and floor type investments, indicating how any pitfalls with this method of valuation can be minimized. Provide support for your response.

·         Please provide one citation/reference for your initial posting that is not your textbook.  Please do not use Investopedia or Wikipedia.

FIN 355 Week 10 Discussion 2

How the Market Works

For each week, your second discussion question will be about your involvement in the stock trading game, “How the Market Works.” You have been given $100,000 of imaginary money to make stock trades based on your own discretion. You are not expected to be a stock trader or professional day trader, okay? This activity is meant to see how you respond to what you're learning and expose you to the basics of the stock market. Here’s how it works:

·         Log in to How the Market Works at http://www.howthemarketworks.com/login.

·         Trading video tutorials (you must be logged in to view): http://www.howthemarketworks.com/trading/tradingvideos

·         You have $100,000 dollars to make investments. Remember, there will be a small commission for buying and selling your stocks.

·         Post a summary of your activity that week. Include some sort of activity, which I can see, that involves a trade (buying or selling).

o    Why did you purchase or sell stock(s)?

o    What sort of research did you find that persuaded your decision?

                        Please respond to one (1) classmates’ posting substantively about their portfolio. Please be articulate.

You have $100,000 dollars to make investments. Remember, there will be a small commission for buying and selling your stocks.

In Week 1, all you are required to do is register and start investing. If you register, invest, and post a message saying you've done so in Week 1 Discussion 2, you will get credit. No exceptions.

In Week 2, that is when you will start posting your weekly summaries, okay? Please let me know if you have any questions. This game should be fun!

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Status NEW Posted 07 Oct 2017 07:10 AM My Price 10.00

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