Financial Econometrics Cointegrating Rank Estimation

Financial Econometrics Cointegrating Rank Estimation The data required for the Assessment are provided on the module web page.

Your answer should be no more than 2000 words (excluding bibliography, notes, tables, figures and
equations).

Part One of the Financial Econometrics Cointegrating Rank Estimation

Use the data money.dta:
1. Estimate a VAR(1) and a VAR(2) for the four variables, including two dummy variables (dumy, dumo). Which is preferred on AIC? (15 marks)
2. Test for autocorrelation (LM tests) after estimating the VAR(2) and after for VAR
(1). What do these test suggest ? (10 marks)
3. Estimate the cointegrating rank for a second order VAR, including a constant but not a trend. What do you .nd the cointegrating rank to be? Repeat with a restricted trend
(this allows for a trend in the cointegrating relationships). How do the results concerning the cointegrating rank change?(15 marks)

Part Two of the Financial Econometrics Cointegrating Rank Estimation

Now use the file cons_income.dta is a STATA data file with data on real personal disposable income, rpdi, and real personal consumption, rc. The third variable is ‘time’.
The data are quarterly from 1947q1 to 2009q2. Take the natural logarithms of rpdi and rc,
and then first difference these variables to get the approximate growth rates, So for income: gen Lrpdi = ln(rpdi) gen DLrpdi = d.Lrpdi and similarly for consumption.
1. Analyse the statist s of the logs of the series and the differences of the logs of the series: plot the data and look at ACF and PACF. What features do you notice? (15 marks)
2. Test the series Lrc, Lrpdi and Ls (=Lrc – Lrpdi) for being I(1) versus I(0).
What happens if you test Ls on the periods 1947-1980 and 1980-2009 separately?
Plot the time series for Ls and interpret your results.(10 marks)
3. Estimate alternative univariate models for the differences (Dlrdi, Dlrc) using observations up to 1999q3, leaving the remaining observations for out-of sample forecasting. Start with AR models, then you can try different mixed ARMA
specifications.(20 marks)

Part Three of the Financial Econometrics Cointegrating Rank Estimation

The file assignment.dta is a STATA data file containing computer generated data on four time series, x,y,z and w and a series newt which is a quarterly time trend running from
(1950:Q1 to 1999:Q4). Assume that the series x,y,z and w are already in logs.
1. Investigate the order of integration of the series x,y,z and w, paying particular attention to the form of test regression that you use. (5 marks)
2. Produce dynamic forecasts of x,y,z and w using an estimated VECM model for all 4 series using in-sample forecasting for the period 1990Q1 to 1999Q4. Now comparethe

Financial Econometrics Cointegrating Rank Estimation Comparative Performance

1-step ahead forecast performance of a univariate AR(2) model for ?x with forecasts of the same variable using an estimated VECM model for all 4 series using in-sample forecasting for the period 1990Q1 to 1999Q4. What are the gains (if any) to using the
VECM compared to the simple time-series model for the series? Are these gains what you’d expect? (10 marks)

Investments Finance and Financial Markets

Investments Finance and Financial Markets Assignment Question
In order to assess and manage credit risk and to minimize the risk of default on an individual advance (credit), banks can, as a first step, consider what loaned funds are intended to be used for (or what they are being used for) and other financial circumstances of the borrower.

Investments Finance and Financial Markets and Personal Information of the Potential Borrower Applicant

Credit scoring is playing an increasingly prominent role in selecting good risks in consumer lending. A potential borrower (applicant) is asked a standard set of questions relating to factors such as age, assets held, financial commitments, and so on; and, based on the answers, a score is calculated reflecting the credit risk of the applicant.
Consider the foregoing statement. Explain the method of credit scoring. Discuss various ways in which credit scoring could be employed by commercial and retail banks in order to reduce the incidence of loan defaults.

Investments Finance and Financial Markets and Credit Risk Management

Critically evaluate the effectiveness and robustness of this method as a credit risk management technique. In order to assess and manage credit risk and to minimize the risk of default on an individual advance (credit), banks can, as a first step, consider what loaned funds are intended to be used for (or what they are being used for) and other financial circumstances of the borrower. A potential borrower (applicant) is asked a standard set of questions relating to factors such as age, assets held, financial commitments, and so on; and, based on the answers, a score is calculated reflecting the credit risk of the applicant.

Investments Finance and Financial Markets and the Methods of Credit Scoring

Consider the foregoing statement. Explain the method of credit scoring. Discuss various ways in which credit scoring could be employed by commercial and retail banks in order to reduce the incidence of loan defaults. Critically evaluate the effectiveness and robustness of this method as a credit risk management technique.

Development Finance Company Feasibility Study

Development Finance Company Feasibility Study You are employed by ABC Developments and have asked to investigate a small housing project in Falkirk.

Specifically the project out-turn is to be compared with the feasibility study.

Development Finance Company Feasibility Study Detailed Research Paper Instructions

The feasibility study is included in the Case Study in Teaching Paper Number Two: ABC Developments. This includes a developers budget, projected cash flow and estimated borrowing. The borrowing includes both that loan by the finance company who are part financing the project and from the overdraft facilities from the developers own bank. Development Finance Company Feasibility Study The out-turn for the project is subject to things going wrong. This includes: 1. A delay in the granting of planning caused the project to start late. This lead to an increase in the cost of construction and an increase in the period of the loan for the purchase of the land. It also resulted in houses being completed outside the anticipated selling window. 2. Interest rates increased from those included in the feasibility study. This affected both the loans to cover the cost of purchasing land and construction costs from the finance company and the cost of overdraft facilities. 3. The sales rate of houses was much slow than anticipated and the prices had to be trimmed back as the marketability of houses of that type in the location had been over estimated. Development Finance Company Feasibility Study

Development Finance Company Feasibility Study Paper Writing Guidelines

Consult the sheet to be posted on Blackboard to identify the delay in grant of planning permission, the increase in interest charges on the loan and on the overdraft, Also you should read off the expected speed of sales. The figures taken will be randomly generated and should be taken from the row corresponding to the last two digits on your registration number. Development Finance Company Feasibility Study Also make the adjustments to the Banks overdraft rate and the revised loan facilities Use the information to produce a revised cash flow schedule and an updated developers budget. Compute the revised outcome in terms of profit or loss. Identify the factors responsible for the change in the above giving the contribution of each. Outline potential changes that could be introduced to the feasibility studies for the company to avoid giving a misleading view and taking on unviable projects. Development Finance Company Feasibility Study

Deficit and Surplus for Currency Strength and Fluctuations

Trade Deficit and Surplus for Currency Strength and Fluctuations or Hedging Each exam will have one question (your choice of two) about:
1. Trade deficit / trade surplus
2. Currency strength, fluctuations, hedging.

You should understand the concepts and how they work in international business, you should be able to apply the concepts to discussion of your group’s two countries (Syria & Australia), and you should be able to discuss how a Kuwaiti company could operate in your two countries, focusing on issues related to these topics.
You should be using at least the following three sources:
World Economic Forum, The Global Competitiveness Report 2015-2016.
World Trade Organization, International Trade Statistics 2015
United Nations Conference on Trade and Development, World Investment Report 2015
Note that data from these 3 sources is necessary, but often not sufficient, to have a good discussion about aspects of your countries. You should also research on your two countries regarding issues discussed in the book chapters, especially if the topic is listed here.

We can write this or a similar paper for you! Simply fill the order form!

Report on Monte Carlo methods in Financial Mathematics

Report on Monte Carlo methods in Financial Mathematics The project should take the form of a report on the subject area of Monte Carlo methods in Financial Mathematics and run to approximately 20 pages.

You may focus on a particular area or take a broad perspective.
It is important the work is written by you and that you do not transcribe content from other sources with the exception of attributed quoted passages. You must reference properly any source material you use for your work.
Task: Prepare a report on Monte Carlo (MC) methods in financial applications. This report should
contain a review of the method and its uses in finance. You must reference any source material used.
You should consider a specific are to specialise your report on following your initial broader survey.
This may be numerical or analytical.
Marks will be allocated for content, presentation, independence, originality, referencing.

Freedonia Bauxite Terminal a Financial Management

Freedonia Bauxite Terminal a Financial Management Part I
Identify the tender sum that the contractor should submit for the project.

This should be broken down into the following:
1. Temporary works and site overheads.
2. Costs of supervisory and managerial staff
3. Costs of skilled labour
4. Costs of unskilled labour
5. Costs of construction plant
6. Costs of materials procured locally
7. Costs of imported materials and components
8. Costs of imported equipment
9. Contingencies
10. Head office overhead costs
11. Profit margin
The above costs should be broken down into a cash flow schedule for each month of the project commencing from the time when the contract was signed through
to the date for commencement on site to the completion date and the date for final settlement.
The above should be compared with the expected cash inflow from the mobilization payment, interim certificates and final payment to form a cumulative cash
flow schedule.
All the above should be presented in local currency. Current exchange rates can be computed as for Part II below.
Part II
Take account of the following economic changes and revised the expected profit margin and the cash flow schedule:
1. Local inflation
2. Devaluation of the local currency against other currencies
a. Pound Sterling
b. Euro
c. US Dollar
d. South African Rand
3. World interest rates
4. Time and cost escalation
The incidence of inflation, currency fluctuations, interest rates and time and cost escalation will be determined by random numbers. These will be provided
in a table which is below and can be read off the row corresponding to the last two digits on the student registration number.
Which is the row number 87 and all needed file will be attached.
anything that not clear to the writer just email or call me at any time.

Individual for International Financial Market

Individual for International Financial Market The Investment Policy Committee of your firm is considering adding International Securities to their groups of portfolios.

They have requested that you, as a
Financial Analyst perform some research to aid them in the decision-making process. Specifically the committee would like to see some comparisons of returns, and other relevant portfolio theory statistical data of domestic stocks with international stocks. They would also like to read a report of your recommendations with regard to your findings.

Individual for International Financial Market Deliverables

Visit the Finance website and select two Large Cap Growth stocks. Select one company where the stock primarily trades in the US domestic financial markets,
and select another that is an International Company that primarily conducts business outside of the US borders. Obtain the last 10 months of closing stock
prices, and then compute one average price for each month.
Using the average price data, create an excel file and use the appropriate excel functions to determine the average return, standard deviation, variance, and
correlation for the two stocks for the last 10 months.
Create a Word document using APA Style and discuss each of these financial metrics, and interpret your results. Also consider potential currency risks as
part of your discussion.

Fundamentals of Corporate Finance

Fundamentals of Corporate Finance Current event related to finance elated to firm performance and long-term investment decisions-this includes issues related to accounting measures, earnings announcements, long-term assets, mergers/acquisitions, other long-term strategy changes.

IMPORTANT:
I would like from you before you start on my paper to give me 5 Articles, written within last year, to show it to the professor to approve it. Please, DON’T
START UNTIL SHE APPROVED THE ARTICLE FOR ME. For now, I will wait for you to send me 5 articles First, then when the professor give me the approved one, I
will tell you which article to use.
In addition, I will attach the assignment instructions. After telling you what the article will be, the paper should include:
1- summary
2- how this article is related to chapters 10, or 11 of our textbook.
3- propt question about the article.
note: the textbook that we use is:
Ross, Westerfield, and Jordan, Fundamentals of Corporate Finance 10th edition with Connect Plus (alternate edition), McGraw-Hill Irwin, 2017

State Funded Programs and Budget Analysis Paper

State Funded Programs and Budget Analysis Paper What is the state-funded program you are interested in analyzing?
What are the issues that we Californians face regarding this state-funded program?
What are the pros and cons for funding or not funding this state-funded program?

Who will be impacted most and what potentially can happen as a result?
How will the proposal affect Californians in the next five to ten years down the road?
You will need to include a Works Cited page with at least 10 sources (book, Internet, and/or journal articles). Please refrain from plagiarizing and do not
include quotes from other sources, rather paraphrase from your sources. If you include statistics in your paper, please provide the source(s). If 10 sources
is too many, do at least 5.

Financial Analysis Executive Summary

Financial Analysis Executive Summary You can choose one to five financial topics related to our course subjects. That is, you can either write on one topic for 10 pages or up to 5 topics with 2
pages each.

Your paper should contain a cover page and a table of contents. You can organize your writing in sections with section titles. You need to provide proper
citations and clearly list references about sources of information. Make sure that your spellings and grammar are correct.
I recommend that you write your papers as concise as an executive summary. In general, you need to describe the background of the topic at hand, the recent development, the current issues (for example, parties involved, and the conflict of interests between them), the implication, your analyses, and suggestions, and even your conjecture of the possible outcome.