Question $1$

a$.$ ABC First Mutual Fund has issued $1,500,000$ shares for their mutual fund and the

composition of their portiolio is as follows:

$(3$ Marks$)$

i$.$ The fund has a liability of BDT $200,000$ to the portfolio manager. What is the net asset

value of the fund and per unit?

ii$.$ Assume after l$-$year, total market value of stock $x$ decreased by $4\%$ and stock $Y$

increased by $2\%.$ The fund has accrued BDT $220,000$ as management fee with the

portfolio manager. What is the net asset value of the fund and per unit.

b$.$ Which types of mutual fund you will invest if you want to eam coupon income and why?

$(3$ Marks$)$

c$.$ An investor purchased EBL stock at BDT $30$ three year ago, Currently, the market price is BDT

$30$ per share. During the holding period, EBL paid dividends in the three years as follows: BDT

$2\mathrm{.}5,$ BDT $2,$ and BDT $2\mathrm{.}10.$ Find the holding period returns and the annualized return of the

investor.