Individual Report
You should prepare an individual report, which analyses the impact of four proposed changes in your client’s investment objectives. You should include your Bloomberg and Refinitiv/Eikon Certification, and News Reports, as Appendices.
You will be informed of four proposed changes to your client’s investment objectives during the seminars. You will assess the impact of these proposed changes on a portfolio which you will manage. In the first seminar, you will be assigned a sector for this portfolio.
Over the term, you should keep notes of the impact of News on your business sector, and report on this in your Appendices.
The word counts exclude references and appendices.
Your client is a UK private company, which specializes in providing risk management software for clients in the financial sector. The company is owned and managed by its Directors1, with offices in London and New York. The company has been trading for about 20 years, and it has amassed a sizeable pension fund for its employees. In addition, the Directors have invested £5 million of their own money directly in UK equities, on a ‘buy-and-hold basis.
Investment Objective 1: Directors’ UK Equity Fund
You will take responsibility for the Directors’ UK equity fund. You will be assigned a sector and stock, and asked to make a buy/sell/hold decision every week. In your assignment, you should report on the performance of the Directors’ UK equity fund, your sector, and your stock, compared with the FTSE 100.
Investment Objective 2: Employees’ Equity Fund
The Directors will ask you to implement a passive strategy for their employees’ equity fund. Details of the existing holdings will be provided during the seminar.
Investment Objective 3: Alternative Fund
The Directors will invite you to individually propose a trading strategy for alternative assets, where employees and their clients can invest their own money directly.
Investment Objective 4: ESG Strategy
The Directors would like you to recommend a strategy that improves the ESG (Environmental, Social, and Governance) performance of the Directors’ UK Equity Fund. Any trades you recommend – which can include short and long positions – should be in equities listed on the London Stock Exchange.
