1. Suppose you have decided to make an investment of Rs. 1000,000 in Stock Exchange. The investment is disbursed in the share of different companies on the basis of risk and return characteristics of firm stock. You have observed the market is fertile for investment and you can earn a lot by making investment but some constraints are there that restrict your ability to invest. What are these constraints and how they can affect your investment capability particularly in the context of this case? Q 2. Mr. Salman wants to buy maximum number of odd lot shares of Atif Habib Investment Limited. The price per share is Rs. 40. Salman Buy maximum number of Arif Habib odd lot share on margin. He paid Rs. 3600 in cash and borrowing the rest of odd lot shares from brokerage firm at an annual interest rate of 10%. He sells the shares for Rs. 45 per share after one year and repays the brokerage firm borrowed amount and interest. Atif Habib paid dividend Re. 1 per share over the year. Required: Calculate the return from buying the stock on margin. Q 3. (a) Why is it necessary to set investor capital market expectation. How Capital Market Expectation can be effectively framed. (b) To segregate and identify the core segment and liquidity segment for investment firm is crucial. Discuss