1. Assume that an investor who has invested $50,000 in the active fund decided to withdraw all his/her investment and you need to make the necessary adjustments in the fund. If you have to sell some investments made by the fund to pay for the redemption, explain and justify your reasons why you choose the securities to be excluded from the fund's investments. Firstly, you need to calculate what is the Net Asset Value (NAV) per unit of the fund as at today. NAV per unit is the net asset value of all investments made by the fund today divided by the number of units in circulation (you should think about what net assset value is). We shall assume that the fund is created at $1.00 per unit which means that the number of units in circulation is 50,000 units. For example, if the total NAV of the fund is $50,250, then the NAV per unit is $1.005. The investor who has invested $50,000 would have own 50,000 units. If he/she decided to withdraw half of his/her investments (25,000 units), it means that you need to sell some of your investments made in the fund if you do not have sufficient cash to pay the investor. For example if you have New Zealand Oil and Gas Ltd stocks in the fund and decided to sell this stock, please explain and justify why you choose to sell this stock.