9578/D2D/M3D OCTOBER 2009 MANAGEMENT OF FINANCIAL INSTITUTIONS (Por those who joined in July 2000 and after) ‘Time : Three hours Maximum : 100 marks Answer any FIVE questions All questions carry equal marks. 1. “A financial system is a well ~ integrated system whose parts interact with each other” - Explain, 2. Describe briefly the framework of the commercial paper market in India. 3. What measures have been taken by the Reserve Bank of India to restore the confidence of depositors of urban co operative banks? 4. Briefly explain the development of banking sector in India 5, Explain the mode of competition between foreign financial institutions and IDBI in providing assistance to industries. 6. State the diversification plans of IFCI and IRBI. 7. “Life Insurance Corporation is still a monolith”. Do you agree? Why? 8. “Is Deregulation in insurance industry a boon or bane” — Explain. 9. Discuss the regulations of SEBI in relation to mutual fund. 10. What is credit rating? Explain the importance of credit rating in India. 2 9578/D2D/M3D9579/D2E/M3E OCTOBER 2009 INTERNATIONAL TRADE, FINANCE AND DOCUMENTATION (For those who joined in July 2000 and after) ‘Time : Three hours Maximum : 100 marks Answer any FIVE questions. All questions carry equal marks. 1, Define visible and invisible imports and exports. How do these two affect the balance of trade and payments? 2. — Explain in detail the marine losses covered under marine insurance policy. 3. Discuss different types of finance for imports and exports in foreign trade. 4. Describe the functions of EXIM Bank. 5. Discuss exchange control regulations in India. 6. _ Briefly explain the present exchange system. 7. _ Examine the role of World Bank in the economic development of under developed countries. To what extent India has been benefited by the World Bank? 8. Describe the role of RBI in maintaining equilibrium in exchange rates. 2 9579/D2E/M3E9580/D2F/M3F INVESTMENT AND PORTFOLIO MANAGEMENT OCTOBER 2009 (For those who joined in July 2000 and after) Time : Three hours Maximum : 100 marks Answer any FIVE questions. All questions carry equal marks. 1. Discuss the characteristics of investors, speculators, and gamblers. Explain the impact of cach on the investment programme process. 2 Why should an investor include non-security forms of investment in his portfolio? Outline the various investment avenues offered by the LIC. 3. Explain how the efficient frontier is determined using the Markowitz approach. Use a two-security approach, 4, List out the assumptions of capital market theory. Differentiate between capital market line and security market line. 5. What is Bond Immunization? How would you immunize the bond portfolio using immunization technique? 10. Define “Random Walk Hypothesis”. What basic assumptions underlying technical analysis differ with the weak form of Efficient Mark Theory? Discuss. Explain the difference between a ‘fundamental’ approach to investment or trading decisions and the ‘technical’ approach. State the reasons for the Treynor and Sharpe indices giving conflicting performance ranking. Mlustrate with an example. Elaborate the principles for selection and revision of equity portfolios. ‘The reaction coefficients for two stocks and the market price 4 are given below : Factor 4 by bp 08 6 7 2 -08 4 #8 4 12 2 Using APT model and risk free rate at 6% what is the expected return, if two stocks are equally weighted? 2 9580/D2F/M3F