question archive Provide the answers of the questions given at the end of this case Ms Sania Mirza's investment goal is to buy a home within 1 years

Provide the answers of the questions given at the end of this case Ms Sania Mirza's investment goal is to buy a home within 1 years

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Provide the answers of the questions given at the end of this case
Ms Sania Mirza's investment goal is to buy a home within 1 years. She is looking for a two-bedroom house for around $250,000. Sania mentioned to a workmate (Shoaib Malik) who is a stock broker at Geo securities limited, that she has already saved over $120,000 in a form of term deposit at national saving institute providing her 10% annual returns after tax and all deductions. Further Sania says she can achieve her goal comfortably by keeping her money in an accessible online savings bank account earning a good rate of interest (8%).
Her workmate (Shoaib Malik) doesn’t understand why she doesn't try to fast-track things by investing the money in the share market. 'Shares can go up by 20% in a year,' he says.
Sania reply this Question as "I am already keeping an eye out for properties. It's important to me that I can withdraw my money immediately, if the right house comes up for sale. It might happen this year; or it might not happen for a year or two." Further she mentioned that she can easily save $ 10,000 per year.
Sania is a smart qualified working lady She knows that with her income, banks or HBFC (House Building Financial corporation) may offer her a long term loan. But according to her she is not willing to take any long term loan but if someone provide her a flexible saving plan she can adopt it very quickly.
Suddenly she meet an old and experienced Mutual fund(MF) manager(Ms Momo working with with National commodity exchange) guiding her to invest his money in an open ended(OEMF) or closed ended mutual funds(CEMF) for this purpose. Ms Momo also mentioned that OEMF always having a fixed maturity period and CEMF do not have any maturity period but listed and traded at stock Market.
1.   Can Sania achieve his goal with his existing savings and salary only? Support your answer by providing appropriate reasons or calculations.
2.   List down the names of Long-term and short term financial institutions used in this study
3.   List down the names of Long-term and short term instruments used in this study.
4.   According to you should Sania go for the MF. (If yes provide reason for selecting CEMF or OMEF, If No provide reason Why Not)
5.   Ms Sania meet stock broker(Shoaib Malik) and an MF manager(Momo) Both advises her to invest his savings by providing different options for saving but no one offered her a short term loan in order to meet her goal, Why? (Provide reason in your own)

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