Instructions, format, and questions are included in the attached document file. 8 Questions: Discuss federal government’s involvement in the secondary mortgage market, specifically, the roles and functions of government agencies and GSEs in helping the evolvement of the secondary market. Were there excessive risks taken by the GSEs? Despite the criticism against mortgage-backed securities, MBSs provide benefits to investors. Discuss its role in portfolio management as a potential diversification tool. What is high frequency trading? Discuss the competing perspectives (supports and concerns) regarding high frequency trading. Does empirical evidence generally support EMH in weak, semi-strong, and strong form? Please provide some details of the supportive evidence or evidence against it. Discuss the rationale and main criticisms of the following stock market interventions. Is there any evidence that these interventions failed to work? Short-selling restrictions. Circuit breaker. Give a few examples of psychological factors or behavioral biases that could affect investment behavior. Provide details on how they affect investment behavior. How have actively managed funds performed relative to passive funds? Discuss the values provided to investors of active funds. Do fund manager quality, experience and risk attitude affect fund performance? Discuss the changes and overall healthiness in the commercial banking industry after the recent recession.