Investment Analysis and Portfolio Management

Portfolio Management Process

Sources of Uncertainty

Portfolio

A collection of investment held by an

investment company, hedge fund

financial institution or in

dividual

Portfolio Management

The art and science of making decisions

about investment mix and policy, matching

investments to objectives, asset allocation

for individuals and institutions, and

balancing risk against performance.

Portfolio Management Process

• Focus• Capital Market

Policy statement

• Monitor• Update

Feedback Loop

Policy Statement

The Need For a Policy Statement

Input To The Policy Statement

Constructing The Policy Statement

The Need For a Policy Statement

Investor Goals

Standards For

Evaluation

Other Benefits

Input To The Policy Statement•Capital Preservations•Capital Appreciation•25-yld•65-Year-Old

Investment Objectives

•Liquidity needs•Time Horizon•Tax Concerns•Legal and regulatory Factors•Unique needs preferences

Investment Constraints

Constructing The Policy StatementGeneral Guidelines

• Investor and advisor

• Set Of question• Satisfactory

Answers

Some Common Mistakes

• Employer Sponsored Retirement plan

• Issue of stock Trading

Examine Current and Projected ConditionsFinancia

l

Economic

Political

Social

Feedback LoopEnvironmental conditions

Evaluate Portfolio conditions

Thank You..!

M.com Batch 2013-15 UCP

Mr. Noor ur Rahman