Molocotay Investments Client 1: Client is following 2 renewable stocks in the US market, Company H and Company G, and is interested to invest in only 1 of them, that you advice is better to analyze first. Our meeting with Client 1 includes a few public data published by the stock market that we had recorded for the meeting with Client as the Table below shows. On the basis of expected Rate, Standard Deviation, Variance and Coefficient of variation decided which of the following renewable company is your best advice for Client 1 investment (Single company Risk analysis).

Possible Outcomes	Probability	Rate of return Company G	Company H
Bullish Trend Normal Trend Bearish Trend	0,3 0,4 0,3	50% 20% 10%	25% 15% 15%

Which stock should Client 1 buy? Molocotay Investments Client 2:

At mid-morning we have an appointment with Client 2, a conscious individual with

many doubts on the state of the economy for the next year. He also likes though to be in

renewables, in this case in new energies (Hydrogen, ), and comes with the selection of

investments in Stock A and Stock B.

Our advisory team has made a good pre-meeting research and summarized it in a

Table. Following are the probability distribution of returns of portfolio of Stock A and

Stock B in equal proportion of weight in each state of economy that we could identify

for the next few years. You are required to calculate and advise Client 2 on the Expected

Return and Risk for individual Stocks A and B.

State of Economy	Probability	Return on Stock A (%)	Return on Stock B (%)
1	0,2	15	5
2	0,2	5	15
3	0,2	5	25
4	0,2	35	5
5	0,2	25	35

What would you advise to Client 2? Molocotay Investments Client 3:

Right after lunch, you are receiving the visit of your sophisticated Client 3.

Client 3 is determined to invest on one energy specific stock, and do not want to

compare to any other alternatives. Hence, your advice has to be based in helping the

assessment of the expected return of such stock in 1 year, under different market

scenarios for Client 3 to know where is this investment likely going.

Suppose the stock has a current market value of USD 100 and that quite probably there

will be no dividend income after one year. Help Client 3 to find expected Rate of Return

on this specific stock

Outcome after a 1 year	Probability %
Bull Market (Stock Price P1*=140)	30% or 0,3
Noraml Market(Stock Price P1*=110)	40% or 0,4
Bear Market(Stok Price P1*=80)	30% or 0,3
	100% or 1,0

Molocotay Investments Client 4:

Finally, you have scheduled a coffee with Client 4, that is willing to acquire shares from

a public company on which you have full public information on the declared 3 years

dividends. Client 4 wishes to know the true price of the stock so Client 4 can place an

order to buy at the market utilizing such information.

As per the information you have searched with Client 4, that specific stock dividend for

first, second and third years are expected in the amount of USD 1.00, USD 2.00 and

USD 2.50 respectively and -after that- dividends will grow at a constant rate of 5 % per

year thereafter. Required rate for Client 4 investment is 10%.

a. Calculate the value of stock you should have as a reference today

b. Imagine that the expected volatility of the average stocks market in US

for this year would be 1,09 or 9% (1 year). If this stock is in the Power

sector, what would you expect to happen compared with the average

stock mentioned above. Use the link on NYU shown above (before Client

1) to respond Molocotay Investments Client 5: The problem of being an investment advisor is that even friends believe they can use your expertise everywhere at all times You went for dinner with a good pal, and you are faced with a friend that you are forced to convert in Client 5. Your friend is much into Preference shares. In this specific advice, the related A preference share has a par value of USD 100 and a dividend rate of 10.75%. If the required rate of return is 10%, what is the shares value reference that you should advice your friend to have in mind.