skip to main content
Language:
Search Limited to: Search Limited to: Resource type Show Results with: Show Results with: Search type Index

Leverage certificates’ design within the portfolio management

Scientific Papers of the University of Pardubice. Series D, Faculty of Economics and Administration, 2019-01 (45), p.53 [Peer Reviewed Journal]

2019. Notwithstanding the ProQuest Terms and Conditions, you may use this content in accordance with the associated terms available at https://knihovna.upce.cz/uk/open-access ;ISSN: 1211-555X ;EISSN: 1804-8048

Full text available

Citations Cited by
  • Title:
    Leverage certificates’ design within the portfolio management
  • Author: Harčariková, Monika ; Bobriková, Martina
  • Subjects: Financial instruments ; Financial leverage ; Portfolio management ; Profitability
  • Is Part Of: Scientific Papers of the University of Pardubice. Series D, Faculty of Economics and Administration, 2019-01 (45), p.53
  • Description: The paper examines an analysis of leverage certificates (namely turbo certificates), where their value is derived from an underlying asset and barrier options. Turbo certificates are riskier financial instruments that provide much more gains or losses due to leverage effect. There are introduced long turbo (for increasing markets) and short turbo certificates (for markets drop). The replicating portfolios profit is identical to a profit from the combination of an underlying asset and barrier options as it is proved in the paper. Based on theoretical approach, replicating portfolios for long and short turbo certificates on Google and Facebook companies are engineered with various parameters and calculated the certificates prices and financial leverages. Their profitability is disproportionately high what it is proved due to low capital investment and the leverage. The main objective is to demonstrate the nature of the given certificates creation using barrier options in an analytical form. The use of proposed turbo certificates can be one of the alternatives for creating a diversified portfolio for investors to reduce risk in case of unforeseen stock price developments. The results of our analysis help the increasing of the intellectualization of all potential investors. After that they will be able to make the best investment decisions in future according to the expectations of UA’s price development.
  • Publisher: Pardibuce: University of Pardubice, Faculty of Economics and Administration
  • Language: English
  • Identifier: ISSN: 1211-555X
    EISSN: 1804-8048
  • Source: DOAJ Directory of Open Access Journals
    ProQuest Central
Back to results list
Go to Previous pagePrevious Result  7 NextGo to Next page
INSPIRE LIBRARY - TON DUC THANG UNIVERSITY (84-028) 37 755 057 Feedback
19 Nguyen Huu Tho St. Dist.7, HCM thuvien@tdtu.edu.vn

Copyright © 2017 INSPIRE LIBRARY - TON DUC THANG UNIVERSITY

Searching Remote Databases, Please Wait