TAILIEUCHUNG - Essentials of Investments: Chapter 3 - Securities market

Essentials of Investments: Chapter 3 - Securities market incldudes Primary vs. Secondary Security Sales, Investment Banking Arrangements, Public Offerings, Private Placements, Organization of Secondary Markets, Organized Exchanges. | 1 Bodie • Kane • Marcus Essentials of Investments Fourth Edition Chapter 3 Securities market Irwin / McGraw-Hill © 2001 The McGraw-Hill Companies, Inc. All rights reserved. 2 Bodie • Kane • Marcus Essentials of Investments Fourth Edition Primary vs. Secondary Security Sales • Primary – New issue – Key factor: issuer receives the proceeds from the sale • Secondary – Existing owner sells to another party – Issuing firm doesn’t receive proceeds and is not directly involved Irwin / McGraw-Hill © 2001 The McGraw-Hill Companies, Inc. All rights reserved. 3 Bodie • Kane • Marcus Essentials of Investments Fourth Edition Investment Banking Arrangements • Underwritten vs. “Best Efforts” – Underwritten: firm commitment on proceeds to the issuing firm – Best Efforts: no firm commitment • Negotiated vs. Competitive Bid – Negotiated: issuing firm negotiates terms with investment banker – Competitive bid: issuer structures the offering and secures bids Irwin / McGraw-Hill © 2001 The McGraw-Hill Companies, Inc. All rights reserved. 4 Bodie • Kane • Marcus Essentials of Investments Fourth Edition Public Offerings • Public offerings: registered with the SEC and sale is made to the investing public – Shelf registration (Rule 415, since 1982) • Initial Public Offerings (IPOs) – Evidence of underpricing – Performance Irwin / McGraw-Hill © 2001 The McGraw-Hill Companies, Inc. All rights reserved. 5 Bodie • Kane • Marcus Essentials of Investments Fourth Edition Private Placements Private placement: sale to a limited number of sophisticated investors not requiring the protection of registration • Dominated by institutions • Very active market for debt securities • Not active for stock offerings Irwin / McGraw-Hill © 2001 The McGraw-Hill Companies, Inc. All rights .

• Kinh tế học
• Essentials of Investments
• Securities market
• Secondary Security Sales
• Investment Banking Arrangements
• Public Offerings
• Private Placements
• Ebook Essentials of investments
• Investment companies
• Debt securities
• Portfolio theory
• Securities markets
• Capital asset pricing
• Derivative markets
• Active investment management
• Equity valuation
• Financial statement analysis
• Financial Assets
• The Investment Process
• Major Classes of Financial Assets
• Key Trends
• Global Markets
• Industry analysis
• Options markets
• Option valuation
• Futures markets
• Asset classes
• Financial instruments
• Other investment companies
• Behavioral finance
• Technical analysis
• Mutual funds
• International investing
• Performance evaluation
• Financial Markets
• Money Market Instrument Yields
• Bank Discount Rate
• Bond Equivalent Yield
• Net Asset Value
• Types of Investment Companies
• Rates of Return
• Returns Using Arithmetic
• Geometric Averaging
• Dollar Weighted Returns
• Dollar Weighted Average Using Text
• Efficient Diversification
• Correlation Coefficients
• Three Security Portfolio
• Minimum Variance Combination
• Extending Concepts to All Securities
• Arbitrage Pricing Theory
• Resulting Equilibrium Conditions
• Capital Market Line
• Market Risk Premium
• The Efficient Market Hypothesis
• Versions of the EMH
• Types of Stock Analysis
• Resource Allocation
• How Tests Are Structured
• Behavioral Critiqu
• Share Price
• Moving Averages
• Bond Prices
• Bond Characteristics
• Corporate Bonds
• Preferred Stock
• Innovation in the Bond Market
• Bond Pricing Relationships
• Rules for Duration
• Callable Bonds
• Mortgage Backed Securities
• Passive Managemen
• Fundamental Analysis
• The Global Econom
• The Domestic Macroeconom
• The Domestic Macroeconomy
• Models of Equity Valuation
• Valuation by Comparables
• Limitations of Book Value
• Financial Statements
• Profitability Measures
• Financial Leverage
• Option Terminology
• Exercise Price Relationships
• European Options
• Different Types of Options
• Factors influencing option values
• BlacScholes option valuation
• Using the BlacScholes formula
• Binomial Option Pricing
• Risk Management
• Basics of Futures Contracts
• Existing Contracts
• Trading Mechanics