business finance work

Our papers are 100% unique and written following academic standards and provided requirements. Get perfect grades by consistently using our writing services. Place your order and get a quality paper today. Rely on us and be on schedule! With our help, you'll never have to worry about deadlines again. Take advantage of our current 20% discount by using the coupon code GET20


Order a Similar Paper Order a Different Paper

Please submit
your Unit #8 Writing Assignment in MS Word format with the following
file name: LastNameFirstInitial_Unit 08_WritingAssignment.docx. For
example, if you name is John Smith, the file name of your Answer Sheet
should be SmithJ_Unit08_Writing Assignment.docx.

Save your time - order a paper!

Get your paper written from scratch within the tight deadline. Our service is a reliable solution to all your troubles. Place an order on any task and we will take care of it. You won’t have to worry about the quality and deadlines

Order Paper Now

If you have any questions or comments, please do not hesitate to contact me.

NAME: _____________________________________

Robert
and April Johnson have come to you with a portfolio of invesments that
seem to be a mixture of past adviser’s uncoordinated recommendations.
One positive is that some of the funds seem to be doing well, another is
that all the funds are tax-deferred acounts held for specific purposes,
and a third is that the Johnsons seem to be able to meet their goals.
So your job is not so much financial planning as investment planning.
Table 1.0 contains data on what the clients have brought to you.

Robert
and April have only two goals: the college education of their twins in
six years and their retirement in 20 years. Ignore the amounts necessary
to achieve their objectives. Assume that the allocation of their
current funds is equal in ech accunt. Also assume the amount in the
Education Savings Account is enough to fund their education goal. Assume
that their current savings rate plus their 401(k) is just sufficient to
meet their retirement goal with a high level of condifence. Your
assignment is as follows:

Evaluate the current investments of
Robert and April. Make recommendations as to the viability and
apropriateness of their current investments (for example, risk level,
time horizon, and investment objectives.)

Is the overall portfolio sufficiently differsified?

Determine if the current invesments should be kept. Should one or more investments be sold. If so which ones?

Decide
which funds should be in the Retirement Portfolio and which should be
in the Education Savings Account portfolio and construct two target
portfolios that match their specific goals and have the best return
prospects.

Robert and April are not well educated about investing.
Provide support for your your recommendations. Write your
recommendations in a way that educates and explains portfolio risk and
return to the Johnsons.

Fund

Class

Portfolio

Current

Allocation

Beta

(to S &P)

Sharpe Ratio

Treynor Ratio

Jensen’s Alpha

1

Domestic growth

401(k)

16.7%

1.1

0.773

15.455

1.5%

2

Global growth

401(k)

16.7%

0.8

0.625

18.75

0.3%

3

Balanced

401(k)

16.7%

0.6

0.667

16.667

-0.4%

4

U.S. bonds, mixed grade

Education Savings Account

16.7%

3.6 years’ duration

NMF

NMF

+1% (to bonds index

5

S & P 500 index

Education Savings Account

16.7%

1.0

0.770

17.0

-.10%

6

Equity income

Education Savings Account

16.7%

0.8

1.06

21.25

3.0%

*MNF – No Meaningful Figure.

20 hours ago

Writerbay.net

Hi, student! You are probably looking for a free essay here, right? The most obvious decision is to order an essay from one of our writers. It won’t be free, but we have an affordable pricing policy. In such a manner, you can get a well-written essay on any topic. Let us cover any of your writing needs!


Order a Similar Paper Order a Different Paper