Investment Management

Investment Management

Investment Management

Table of Contents

Introduction 1

Investment Theory 1

Investment Objectives and Philosophy 3

Objectives 3

Philosophy 4

Portfolio Strategy and Asset Allocation 5

Portfolio Strategy 5

Asset Allocation 5

Security Screening, Analyzing and Selection 7

Trading Strategies 10

Performance Analysis and Portfolio Rebalancing 11

Results and Implications 12

Conclusion 13

References 15

Appendix 16

Introduction

Every individual saves some part of his or her income for any unforeseen situation. In addition to this, saving is also important for every person as an adequate amount of money in the account after retirement will ensure a better and tension free life. Simply putting money in the locker is considered as dead investment as the saved amount will not grow. Further, it is also a well-known fact that the human being is a greedy animal (Pihlman, et. al., 2011). They want to see their money grow in leaps and bounds and due to this desire, instead of putting money in the locker, people are more interested in investing their capital in certain areas which give good returns (Pihlman, et. al., 2011). In order to make swift profit, people invest their savings in different schemes which delivers promising returns. In this regard, the stock market has become one of the most popular areas in which people are eagerly investing their money into different stocks in order to get higher returns. Putting money in savings accounts does not reap high returns; therefore people are more interested in the share market as it has generated better returns in the past (Focardi and Fabozzi, 2004). However, before investing money in stocks of different companies, it is essential for every investor to have adequate knowledge of investment management.

Investment management can be defined as the purchase and sale of investments within a portfolio. The area of investment management is vast and includes banking,...