Equity Investments 3. [antikvár]

Book 3 - Equity InvestmentsReadings and Learning Outcome StatementsLEARNING OUTCOME STATEMENTS (LOS)study session 10The topical coverage corresponds with the following CFA Institute assigned reading:32.A Note on Asset ValuationThe candidate should be able to explain how the classic works on asset valuation byGraham and Dodd and John Burr Williams are reflected in modern techniques ofequity valuation, (page 11)The topical coverage corresponds with the following CFA Institute assigned reading:33.Equity Valuation: Applications and ProcessesThe candidate should be able to:a.define valuation and intrinsic value, and explain possible sources of perceived mispricing. (page 13)b.explain the going-concern assumption, contrast a going concern value to a liquidation value, and identify the definition of value most relevant to public company valuation, (page 14)c.discuss the uses of equity valuation, (page 14)d.explain the elements of industry and competitive analysis and the importance of evaluating the quality of financial statement information, (page 15)e.contrast absolute and relative valuation models, and describe examples of each type of model, (page 17)f.illustrate the broad criteria for choosing an appropriate approach for valuing a given company, (page 17)The topical coverage corresponds with the following CFA Institute assigned reading:34.Equity: Markets and InstrumentsThe candidate should be able to:a.explain the origins of different national market organizations, (page 22)b.differentiate between an order-driven market and a price-driven market and explain the risks and advantages of each, (page 22)c.calculate the impact of different national taxes on the return of an international investment, (page 24)d.discuss the various components of execution costs (i.e., commissions and fees, market impact, and opportunity cost) and approaches to reducing these costs, (page 25)e.describe an American Depositary Receipt (ADR) and differentiate among the various forms of ADRs in terms of trading and information supplied by the listed company, (page 28)f explain why companies choose to be listed abroad and calculate the cost tradeoff between buying shares listed abroad and buying ADRs. (page 28)g.state the determinants of the value of a closed-end country fund, (page 30)h.discuss the advantages of exchange-traded funds (ETFs) and explain the pricing of international ETFs in relation to their net asset value (NAY), (page 30)i.discuss the advantages and disadvantages of the various alternatives to direct international investing, (page 31)