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  3. 1. compute the etf premium based on the following

1. Compute the ETF premium based on the following information: The ETF market price at...

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Finance

1. Compute the ETF premium based on the following information: The ETF market price at the open (9.30am) on Monday is 48, the ETF market price at the close (4.00pm) 54 and the NAV for Monday is 50. The answer should be given in decimal form (e.g., 1 % is 0.01), rounded to the nearest decimal.

2. A mutual fund charges a base fee of 1.0 % per year regardless of performance. The fund also charges a fulcrum fee that increases with performance based on the following schedule: if the fund outperforms the benchmark by more than 1 % then the fulcrum fee is 0.5 %, if the fund outperforms the benchmark by between 0.25-1% then the fulcrum fee is 0.25; if the fund matches the benchmark (+/-0.25 %) then the fulcrum fee is 0%, if the fund underperforms the benchmark by between 0.25 %-1% then the fulcrum fee is -0.25%, if the fund underperforms the benchmark by more than 1 % then the fulcrum fee is -0.5 %.

Suppose that the underlying portfolio (gross) return on the mutual fund is 9.5 % and the benchmark return is 11 %. In that case, what is the funds net return (after fees)? The answer should be given in decimal form (e.g., 1.15 % is 0.0115)

pls im struggling

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