Description
Discussion Topic ( you can choose any number from 12 to15 )
First: Pretend you are a Portfolio Manager for one of the following funds (please choose only one fund):
1- Pension Fund
2- Equity Hedge Fund ( Long/ Short Equity).
3- Event Driven Hedge Fund.
4- Relative Value Hedge Fund.
5- Global Macro Hedge Fund.
6- Emerging Market Hedge Fund.
7- Fund of Funds (FoF Hedge Fund)
8- Equity Mutual Fund.
9- Fixed Income Mutual Fund.
10- Money Market Mutual Fund.
11- General Mutual Fund (use all kind of investment).
12- Life Insurance Fund.
13- Non-Life Insurance Fund (Property & Causality).
14- Bank Fund.
15- Foundation (specify which type of foundation).
16- Endowment Fund.
try to choose a different fund than your classmates, so the first student whom post has the advantage of choosing, Note that there are multiple students will choose the same fund’s type but try to avoid the most taken kind of funds, this means do not pick a fund if it has been chosen by three students.
Second: Build a portfolio that match your client needs such as the following:
A- Build an IPS: you need to define the objective (return and risk) and constraints.
B- Set the capital Market expectation: what is the big market picture such that how would you predict according to the market.
C- Asset Allocation: pick the asset required for investment by choosing the weight and explain why did you choose that weight. (Be careful each fund has it own characteristics for choosing the weight and also even if you chose for example Fixed Income mutual fund there is still different kind of assets).
D- Do you diversify your portfolio or not? Why?
E- What strategy (passive , active , mix) would you choose and why?
D- What strategies and tolls do you use to manage the risk for the portfolio and why?
F- How would you monitor and rebalance (there are three strategies we talked about in the class such as CPPI) the portfolio and why?
Make the topic of your discussion as the name of the fund you picked so your classmates can easily choose among the remaining.
You need to reply to two of your classmates and the response should not be as I agree or you are absolutely right , but it should add some information to your classmates discussion’s post.
8 points for the post and 2 points for replies (one per each)
8 points for the post should be as follow:
2 points for choosing the fund : this means if there were three students before you choose that fund you will lose those two points; Note that there are 16 different kind of funds which is more than enough.
1 point per each requirements except D & E each one is one half point.
Due Date is Monday August 4th.
Good luck to you all
