Financial Market Effects on Industry Trends
In Learning Module: Financial Market Effects on Industry Trends, you will learn about the relationship between risk and return. Generally speaking, the more risk that an investor takes, the higher the return. Risk is measured by the standard deviation and variance. You will learn about the different types of risk and how unsystematic risk can be reduced or eliminated through diversification. Systematic risk, on the other hand, can’t be eliminated. It is the risk that comes with investing.
You will learn how to calculate the return of a portfolio and the expected return of a portfolio, and how individual stocks and stock portfolio’s experience volatility. Systematic risk can be measured which allows the comparison of returns from individual stocks to the market. The capital asset pricing model puts these concepts together and serves as a way calculate the expected return of any investment.
…
Resources
Modules:
Planning
Working Capital
Risk and Return
Understanding Returns
Approaches to Calculating the Cost of Capital
Bible
…
Learning Module Activity Path: Financial Market Effects on Industry Trends
Devotional
Deuteronomy 10: 11-12
Devotional Introduction
No Risk No Reward
Generally speaking, in the financial markets, the greater the risk, the greater the return. Unfortunately, the opposite is also true, with large risks comes the possibility of large losses. The relationship between risk and reward is important for marketing professionals to understand.
Risk can’t be avoided. Getting out of bed in the morning entails risk. So does staying in bed. It is a part of life and an ever-present reality of the financial markets. Figure 1 of Chapter 19 on page 863 shows the historical returns of different investments. The riskiest investment on the chart is small stocks that had the highest return. It also had the most volatility. Investors in small stocks have to be willing to hold their stock for long periods of time and endure periods of significant losses to achieve the higher returns. Even though small stocks experienced significant losses during this time period, the gains far exceeded the losses.
Moses and the Israelites understood risk and reward. Moses and Aaron took great risks in repeatedly approaching pharaoh to secure the Israelites freedom from slavery. After leaving Egypt, the Israelites faced a significant risk and reward decision in deciding whether or not to enter the Promised Land. The first generation chose not to trust God and take the risk. They suffered the loss of wondering in the desert for 40 years and dying there. The second generation wisely chose to trust God.
Deuteronomy 10: 11-12 says, 11”Go, the Lord said to me, ‘and lead the people on their way, so that they may enter and posses the land that I swore to their fathers to give them.’ 12And now, O Israel, what does the Lord your God ask of you but to fear the Lord your God, to walk in all his ways, to love him, to serve the Lord you God with all your heart and with all your soul…” (Deuteronomy 10: 11-12, NIV).
For the Israelites, and you and me, all God asks of us is to trust him, to walk in his ways, to love him, and to serve him with all of our heart and soul. If we take this risk, we receive the reward of eternal life. Unlike the financial markets where the possibility of loss comes with taking risk, in the economy of eternity, trusting God has no downside. We are promised to spend eternity with him.
Upon completion of this assignment, you should be able to:
Incorporate Biblical and ethical principles into the relationship between risk and reward.
…
Resources
Website: www.biblestudytools.com
Textbook: Horngren’s accounting (11th ed.); Fundamentals of corporate finance (3rd ed.)
Bible
…
Instructions
Review Figure 1 on page 863 of the textbook.
Read Deuteronomy 10: 11-12.
Questions to consider:
How do long-term investment returns relate to Deuteronomy 10: 11-12?
What lessons can marketing executives learn about risk and reward from Deuteronomy 10: 11-12?
Have you taken the risk to receive God’s promise of eternal life?
Read, review, and check for understanding:
Planning
Working Capital
Risk and Return
Understanding Returns
Approaches to Calculating the Cost of Capital
Assessment One
Instructions
Assessment One Instructions
Complete all previous activities in the Learning Module Path: Evaluate Financial Market Effects on Industry Trends.
Select one topic from the Learning Module: Evaluate Financial Market Effects on Industry Trends.
Create a video journal and address these points:
As an entry-level professional.
As a mid-level professional.
As an executive-level professional.
Identification: Identify the topic and explain why you believe the topic is important.
Explanation: Explain the calculations or concepts, and how it can be used in decision-making.
Application: Assuming your audience knows nothing about the topic, explain how to apply it:
Ethics: Identify 1 ethical issue related to this topic and explain how you would address it.
Process
Develop a rough idea of what you want to do.
Create a storyboard to further organize and refine your thoughts.
Requirements:
The video should be between 5 minutes and 7 minutes long.
A minimum of 7 slides. You may choose any form of presentation
software. You will post the URL for the instructor to review. 1 slide
for the introduction and 1 slide for references with at least 5 for the
body.
A minimum of 2 references from the Skyepack modules associated with this Learning Module.
A minimum of 1 reference from the Bible.
Submit a Word document with your name and the URL for your presentation in submit assignments.
When you have completed your assignment, save a copy for yourself and submit a copy to your instructor using the Financial Market Effects on Industry Trends Assignment Submission Page by the end of week 6.
Assessment Rubric
Collepals.com Plagiarism Free Papers
Are you looking for custom essay writing service or even dissertation writing services? Just request for our write my paper service, and we'll match you with the best essay writer in your subject! With an exceptional team of professional academic experts in a wide range of subjects, we can guarantee you an unrivaled quality of custom-written papers.
Get ZERO PLAGIARISM, HUMAN WRITTEN ESSAYS
Why Hire Collepals.com writers to do your paper?
Quality- We are experienced and have access to ample research materials.
We write plagiarism Free Content
Confidential- We never share or sell your personal information to third parties.
Support-Chat with us today! We are always waiting to answer all your questions.
