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15Peter Gumbel, The Hard Sell Getting Germans to Invest in Stocks, The Wall Street Journal, 4 August 1995, p. A2. 16Christopher Rhoads, Germany Is Poised for a Pension Overhaul, The Wall Street Journal, 10 May 2001, p. A13. Other Organization for Economic Cooperation and Development OECD countries place regulatory restrictions on institutional investors. For example, pension funds in Austria must have at least 50 percent of their assets in bank deposits or schilling-denominated bonds. Belgium...

Individual Investor Life Cycle

Financial plans and investment needs are as different as each individual. Investment needs change over a person's life cycle. How individuals structure their financial plan should be related to their age, financial status, future plans, risk aversion characteristcs, and needs. The Preliminaries Before embarking on an investment program, we need to make sure other needs are satisfied. No serious investment plan should be started until a potential investor has adequate income to cover living...

5. You Read In Business Week That A Panel Of Economists Has Estimated That The Long-run Real Growth Rate Of The U.s.

Compute the expected return ER on Lauren Computer stock. 8. Without any formal computations, do you consider Madison Beer in Problem 6 or Lauren Computer in Problem 7 to present greater risk Discuss your reasoning. 9. During the past year, you had a portfolio that contained U.S. government T-bills, long-term government bonds, and common stocks. The rates of return on each of them were as follows U.S. government long-term bonds 7.50 During the year, the consumer price index, which measures the...