If a question asks for mark to market the investment return on a portfolio should we take securities held to maturity at their fair market value less the cost? I was under the impression that since they are at cost we do not take them into account when marking to market thanks
If it asks you to mark-to-market, you do have to calculate the MVA=(Mkt value-cost)2 - (Mkt value-cost)1 Can anybody correct me if I’m wrong?
yes… if the question asks for a mark to markey return you need to do this for held to maturity also… so it is the same approach as the others…