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Book Cover
E-book
Author Hilario, Jan, author

Title Closing time / Jan Hilario, Maik Meusel, Walt Pohl, Karl Schmedders
Published London : Kellogg School of Management, 2017
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Description 1 online resource : illustrations
Series SAGE Knowledge. Cases
SAGE Knowledge. Cases
Summary Jennifer McDougall is considering investing in mutual funds for the first time, and has narrowed her options down to three: one that is domiciled in Germany, and two that are domiciled in Luxembourg. As a cautious and risk-averse investor, Jennifer has done extensive research on the three funds, and has come across a curious fact: the beta of the German fund is surprisingly low. After speaking to her financial planner, she learns there is no legal requirement in Germany for mutual funds to compute net asset values at a particular time of the day. If the German fund is closing its books in the middle of the day and its net asset values reflect its midday holdings, rather than end-of-day holdings, this could explain the low beta. Thus, the German fund might appear less risky, without actually being so. Jennifer needed to get a clearer picture of what was going on before making her decision.Using the data provided with the case, students will determine the closing time of the three funds and how that affects the beta of each. Then they must make a recommendation about which fund would be the best investment for Jennifer
Notes Originally Published InHilario, J., Meusel, M., Polh, W., & Schmedders, K. (2017). Closing time. 5-217-258. Evanston, IL: Kellogg School of Management at Northwestern University
Description based on XML content
Subject Mutual funds -- Case studies.
Risk management -- Case studies.
Genre/Form Case studies.
Form Electronic book
Author Meusel, Maik, author
Pohl, Walt, author
Schmedders, Karl, author
ISBN 152646036X
9781526460363 (ebook)